Many small businesses are owned by individuals or families, but tend to operate as a corporate or pass-through entity, which is a separate legal entity from the individual or family. Incorporating as a corporation or limited liability company (“entity”) provides the “entity” with certain advantages, such as certain protections from liability, a perpetual business existence, and eligibility for special treatment under the tax codes. However, the “entity” can only enjoy these advantages if it main...
January 14, 2014 12:00 am
The IRS continues to increase its scrutiny of Form 1099 reporting by individuals and businesses. The IRS uses 1099s submitted to them to be sure Form 1099 recipients report the income on their income tax returns. Failure to comply with 1099 filing requirements may result in substantial penalties.
January 14, 2014 12:00 am
There are many important tax changes taking effect in 2014. They are the result of tax legislation enacted in prior years, or are triggered by effective dates in regulations, rulings and other guidance. Also, a number of important final regulations go into effect in 2014.
January 14, 2014 12:00 am
In 2014, taxpayer-unfriendly changes are scheduled for the election to expense (Section 179) and for bonus depreciation (Section 168(k)). For taxpayers contemplating purchases of machinery and equipment, these changes may motivate taxpayers to make their purchases in 2013, instead of 2014. In the context of acquiring business or income-producing tangible personal property, there are two taxpayer-friendly tax provisions that are scheduled to be curtailed in 2014: (1) With regard to the election t...
December 30, 2013 12:00 am
Finally, for once in recent history we can talk about tax certainty as we head into year-end tax planning. The American Taxpayer Relief Act, passed in January 2013, extended many key business and individual tax provisions through the end of this year – that’s the good news. Unfortunately, that act also added much more complexity to the tax code at a time when we thought the rules would be simplified.
December 30, 2013 12:00 am
For individuals: Above-the-line deduction for certain expenses of elementary and secondary school teachers. Deduction for state and local sales taxes. Above-the-line deduction for qualified tuition and related expenses.
December 30, 2013 12:00 am
The U.S. Department of Health and Human Services (HHS) announced that it would delay again online enrollment in the federally-facilitated Small Business Health Options Program (SHOP) until November 2014, a year later than expected. Instead, small businesses that wish to apply must continue to do so through an agent or broker or submit their enrollment applications via fax or mail.
December 30, 2013 12:00 am
Although there are only a few weeks left to go before the year ends, it's not too late to implement some planning moves that can improve your tax situation for 2013 and beyond.. Make HSA contributions. Under Code Sec.
December 30, 2013 12:00 am
While the American Taxpayer Relief Act of 2012 (ATRA) may be largely a misnomer, a few provisions are beneficial to taxpayers. One such provision is the extension through this year of the qualified charitable distribution (QCD). This provision permits an IRA holder who is age 70½ or older to make a distribution from his or her IRA account directly to a public charity and exclude the distribution from gross income.
December 30, 2013 12:00 am
Small-business owners need to consider five tax regulations and credits that they should evaluate before the end of the year. 1. The Small Business Tax Credit.
December 30, 2013 12:00 am
