Rental real estate requires reporting for QBI deduction
There is a significant tax deduction available for owners of rental property, but you will have to get started now organizing your records to claim the savings on your 2019 taxes. The new qualified business income deduction that was created as part of the Tax Cuts and Jobs Act can be a great tax-saving tool […]
Qualified Opportunity Fund is a worthy option for investing capital gains
The business landscape is ever evolving as many owners are selling their businesses or restaurants or retiring. The upside is these business owners are often realizing a significant return on their life’s investment. The downside is a large capital gains tax bill is looming on the horizon. There is an option that can provide a […]
Are you withholding enough? Now is a good time to check
Due to the massive changes in the Tax Cuts and Jobs Act, the 2019 filing season resulted in a few surprises. Some filers who have gotten a refund in past years wound up owing money. The IRS reports that the number of refunds paid this year is down from last year — and the average […]
Tax-smart domestic travel: Combining business with pleasure
Summer is just around the corner, so you might be thinking about getting some vacation time. If you’re self-employed or a business owner, you have a golden opportunity to combine a business trip with a few extra days of vacation and offset some of the cost with a tax deduction. But be careful, or you […]
Divorce may be even more taxing under TCJA
Divorce is never easy, emotionally or financially, and now with the Tax Cuts and Jobs Act, the process can be even more taxing. Prior to the passage of the sweeping tax reform law at the end of 2017, a divorced spouse paying alimony could deduct those payments from his or her reportable income when filing […]
Tax reform can impact quarterly tax payments
Some taxpayers were surprised that their tax refunds this year were not as high as in years past because they had not adjusted their withholdings in response to the Tax Cuts and Jobs Act. The sweeping tax reform law that was passed at the end of 2017 should also prompt those who pay estimated quarterly […]
To lease or to buy: What makes more sense for your business?
Recent changes to federal tax law and accounting rules could affect whether you decide to lease or buy equipment or other fixed assets. Although there’s no universal “right” choice, many businesses that formerly leased assets are now deciding to buy them. Pros and cons of leasing From a cash flow perspective, leasing can be more […]
Fundamental tax truths for C corporations
The flat 21 percent federal income tax rate for C corporations under the Tax Cuts and Jobs Act (TCJA) has been great news for these entities and their owners. But some fundamental tax truths for C corporations largely remain the same: C corporations are subject to double taxation. Double taxation occurs when corporate income is taxed […]
Clear these hurdles to benefit from deducting investment interest expense
As you likely know by now, the Tax Cuts and Jobs Act (TCJA) reduced or eliminated many deductions for individuals. One itemized deduction the TCJA kept intact is for investment interest expense. This is interest on debt used to buy assets held for investment, such as margin debt used to buy securities. But if you […]
The good and not-so-good news about qualified improvement property
If you made improvements to your commercial property last year or are planning to this coming year, there’s good news and not-so-good news. The good news is, some of the restrictions for taking the depreciation on those improvements have been eliminated under the 2017 Tax Cuts and Jobs Act. Prior to the new tax law, […]