Some business losses are worth more than others
Not all losses are created equal. The rules surrounding net operating losses (NOLs) have changed quite a bit over the last few years and tax planning opportunities are ripe. Due to the COVID-19 economic downturn, many companies faced significant net operating losses in 2020. The Tax Cuts and Jobs Act (TCJA) passed in 2017 provided that […]
IRS to send letters in January about Child Tax Credit payments
Families who received advance Child Tax Credit payments in 2021 will need to file a 2021 tax return and compare the advance Child Tax Credit payments they received with the amount of the credit they can claim on their 2021 tax return. To help taxpayers reconcile the advance payments, the IRS is sending in January […]
Supreme Court blocks vaccine mandate for large employers
The Supreme Court voted 6 to 3 to block the Biden administration’s federal vaccine mandate for employers with more than 100 employees. OSHA’s Emergency Temporary Standard (ETS) would have required workers to be vaccinated against the Covid-19 virus or to wear masks and be tested weekly. Employers were to have established policies to provide paid […]
Biden to sign $1.2T infrastructure bill
President Biden plans to sign on Monday, Nov. 15, the $1.2 trillion infrastructure bill recently passed by the House of Representatives and approved earlier this summer by the Senate. Below are some of the provisions included in the bill that will become law once President Biden signs the bill: The Employer Retention Tax Credit would […]
Biden, House release revised Build Back Better framework, bill
President Biden released Thursday a framework to help guide the drafting of legislative language for the Build Back Better bill. What once contained $3.5 trillion in spending, the BBB now has been negotiated down to about $1.850 trillion dollars. The tax provisions included in the BBB framework include: Corporate minimum tax and stock buyback surcharge. […]
Donor-advised funds and private foundations can optimize your philanthropic impact
As we look at the potential increase in the capital gains rate, it is important to understand which tax strategies are available to mitigate your tax burden. A donor-advised fund or a private foundation are both great strategies to eliminate capital gains tax on long-term appreciated assets. Why donor-advised funds? Donor-advised funds are increasingly popular […]
States given green light for SALT workaround
Since the Tax Cuts and Jobs Act of 2017, taxpayers have been limited to $10,000 of state taxes they can claim as itemized deductions. This state and local tax, or SALT, limitation has caused many people to pay more federal income taxes over the last couple years. In response, states have been looking for creative […]
Tips for keeping taxes lower should capital gains rise
An increase in the capital gains rate is under serious consideration in Congress. President Biden has proposed a plan making its way through Congress that would increase the capital gains rate on taxpayers earning more than $1 million from 20% to 39.6%, retroactive to April 2021. In the past week, the House Ways & Means […]
Tax changes on tap with two infrastructure bills
Two significant infrastructure bills are making their way through Congress. Earlier this month, the Senate approved a $1.2 trillion “hard” infrastructure bill and will begin negotiations soon on a much larger $3.5 trillion “soft” infrastructure bill that serves as the outlines of the 2022 budget resolution. Both measures will undergo the political “sausage making” process […]
Employers eligible for tax credits for paid time off for Covid vaccine
Employers can now apply for tax credits for wages paid to employees who help family members who obtain a COVID-19 vaccination. Credits were made available to employers through the American Rescue Plan Act of 2021 (ARPA) for qualified wages paid to employees who took leave as a result of the coronavirus. According to updated guidance […]