The S corporation business structure offers many advantages, including limited liability for owners and no double taxation (at least at the federal level). But not all businesses are eligible, and S corps may not be quite as attractive from a…
If your small business doesn’t have a retirement plan and has 100 or fewer employees, consider a SIMPLE IRA. Offering a retirement plan can provide your business with valuable tax deductions for its contributions and help attract and retain employees….
The SEC updated its pass-fail model for audit reports last year. Under the revised model, auditors must report critical audit matters (CAMs) that warrant attention from stakeholders. The change goes into effect for audits of fiscal years ending on or…
The Tax Cuts and Jobs Act (TCJA) liberalized the eligibility rules for using the cash method of accounting, making this method (which is simpler than the accrual method) available to more businesses. Now the IRS has provided procedures for obtaining…
Converting a traditional IRA to a Roth IRA can provide tax-free growth and tax-free withdrawals in retirement. But conversions are subject to income tax. Before the TCJA, if you discovered a conversion would be too costly tax-wise, you could undo…
A family limited partnership (FLP) can help you enjoy the tax benefits of transferring ownership in your business to the next generation yet allow you to retain control. The value of transferred interests is removed from your taxable estate. Discounts…
Investors and lenders beware: What’s undisclosed on a company’s financial statements can be just as significant as the disclosures. Examples of unrecorded liabilities include warranties, pending lawsuits, IRS investigations and an underfunded pension. It’s also important to consider hidden items…
Some common deductions for businesses are meal (generally 50%), vehicle and travel expenses. Deductibility depends on a variety of factors, but proper documentation is one of the most critical. Following some simple steps can help ensure your deductions will pass…
Under the TCJA, employees can no longer claim the home office deduction. But if you run a business from your home or are otherwise self-employed, this deduction may still be available to you. You might qualify if part of your…
Do you still need to worry about the individual alternative minimum tax (AMT)? A repeal had been proposed, but it wasn’t included in the final version of the Tax Cuts and Jobs Act (TCJA). The act will, however, reduce the…