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Business Tax & Financial Planning

Business Tax & Financial Planning

Partnerships: If You’re Audited, Will You Be Ready?

Partnerships: If You’re Audited, Will You Be Ready?

The Bipartisan Budget Act of 2015 established a new “centralized audit” regime for partnerships, including LLCs taxed as partnerships. Although the new audit rules apply to partnership tax returns for tax years beginning after 2017, the IRS didn’t finalize...

California Will Conform to Some TCJA Provisions

California Will Conform to Some TCJA Provisions

By Nicolas Waldenmayer, CPA, MBA, MBTIn December 2017, the Tax Cuts and Jobs Act (TCJA) was signed into law, representing the most significant tax code overhaul in over three decades. Until recently, California has not conformed to any part of the TCJA...

The GST Tax and Your Estate Plan: What You Need to Know

The GST Tax and Your Estate Plan: What You Need to Know

The Tax Cuts and Jobs Act doubled the generation-skipping transfer (GST) tax exemption to $10 million beginning last year. The exemption is adjusted annually for inflation. (For 2019, the exemption amount is $11.4 million.) However, even though most...

Why Opportunity Zones are Taxpayer Friendly

Why Opportunity Zones are Taxpayer Friendly

by Jonathan Smeragliuolo, Tax ManagerThe recently introduced Opportunity Zones program is one of, if not THE, most taxpayer friendly additions to the U.S. tax system. With only a few years to take advantage of the 15% taxable gain elimination provision of...

Exporters, Does An IC-DISC Still Make Sense?

In recent years, the interest-charge domestic international sales corporation (IC-DISC) has been a popular tax-reduction tool for exporters. Without going into detail, one of the IC-DISC’s most powerful tax-saving tools is its ability to convert ordinary income into...

Estate Planning and Business Succession Planning

Estate Planning and Business Succession Planning

The Lines Blur When a Family Business Comes Into PlayFor many business owners, estate planning and succession planning go hand in hand. If you’re the owner of a closely held business, you likely have a significant portion of your wealth tied up in the...

When Can You Deduct Business Meals?

When Can You Deduct Business Meals?

The Tax Cuts and Jobs Act (TCJA) eliminated most tax deductions for business-related entertainment, beginning in 2018. It also created confusion over the continued deductibility of business meals. Late last year, the IRS issued a notice clarifying that...

Matters of Interest

Matters of Interest

When are interest payments deductible? The Tax Cuts and Jobs Act (TCJA) has made a significant impact — both directly and indirectly — on the deductibility of interest expense. Here’s a quick review of where things now stand. 5 types of interest Interest expense...

New Rules for Those Filing a Form 1065 Partnership Tax Return

Rule changes affect the way the IRS audits all partnerships (and LLCs taxed as partnerships)by Brett Simpson, CPAThere are new rules pertaining to the way the IRS audits all partnerships (and LLCs taxed as partnerships) beginning with 2018 tax year...

What It Means for Internet and Mail-Order Sales

What It Means for Internet and Mail-Order Sales

Supreme Court’s Wayfair DecisionIn its much-anticipated decision in South Dakota v. Wayfair, the U.S. Supreme Court ruled, by a 5 to 4 margin, that a state may require out-of-state sellers to collect sales and use tax even if they lack a physical presence...

Tax Topics: 0% Capital Gains, Research CR, Estate Plan Clause

Tax Topics: 0% Capital Gains, Research CR, Estate Plan Clause

Make the Most of the 0% Capital Gains RateIf you’re holding highly appreciated investments, there may be techniques you can use to avoid federal income taxes on the gain. High-income earners pay tax on long-term capital gains at rates of 15% or 20%, plus...

What’s The Right Structure for Your Business?

What’s The Right Structure for Your Business?

C Corporation vs. Pass-ThroughThe recent corporate tax cut has many pass-through business owners rethinking their choice of entity. The Tax Cuts and Jobs Act (TCJA) slashed the federal corporate income tax rate to a flat rate of 21% from a top rate of 35%,...

Are Your Business Interest Expenses Deductible?

Are Your Business Interest Expenses Deductible?

Before Congress passed the Tax Cuts and Jobs Act (TCJA), most business-related interest expense was deductible, although corporations couldn’t deduct interest paid to or guaranteed by a related party under certain circumstances. But for tax years beginning...

Are LLC Members Subject to Self-Employment Tax?

Are LLC Members Subject to Self-Employment Tax?

Ambiguity in the tax code and regulations has led many limited liability company (LLC) members to take an aggressive position regarding self-employment (SE) tax. They claim that their distributive shares of LLC income — after deducting compensation for...

Timing Compensation in a Changing Tax Climate

All eyes on Sec. 409A Many people expect to see significant tax reform in the near future now that Republicans are in control of Congress and President Trump is in office. Among the changes being discussed are reduced marginal tax rates for individuals, lower...

Is a Family Office the Solution to Your Financial Woes?

Affluent individuals may find that the demands of work, family and other responsibilities can leave little time to manage their day-to-day financial affairs. A “Family Office” is an organization that assumes the day-to-day administration and management of...

Financial Monitoring for the Health of Your Business

by Susan Levinstein, CPA, PartnerIn order to keep a business “healthy” from a financial perspective, management should periodically monitor several key indicators. Failing to do so could eventually result in poor financial performance and even the demise...

New Rules Limit Tax Benefits of Leveraged Partnerships

In October 2016, the IRS issued a suite of final, temporary and proposed regulations that tighten the disguised sale rules for contributions of  appreciated property to partnerships.One of the most significant changes made by the new rules effectively...

Material participation key to deducting LLC and LLP losses

If your business is a limited liability company (LLC) or a limited liability partnership (LLP), you know that these structures offer liability protection and flexibility as well as tax advantages. But, until recently, they also had a significant tax disadvantage: The...

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