Tax, Audit & Accounting
Year End Reminder Regarding Common Fringe Benefits, Special Treatment for Two Percent Shareholders and Changes Under TCJA
Summary As 2018 draws to a close, we remind you about the proper inclusion of common fringe benefits in an employee’s and/or two-percent shareholder’s taxable wages, as well as changes made under the 2017 tax reform, referred to herein as the Tax Cuts and Jobs Act (TCJA). Fringe benefits are defined as a form of […]
Tax Savings Opportunities for S Corporations
Shareholders of existing S corporations should consider the following year-end planning tips: Shareholders must have basis in their stock or in loans to the corporation in order to take advantage of anticipated losses. Basis may be increased by additional capital contributions or direct shareholder loans to the corporation. Shareholder loans should always be well-documented. After […]
IRS Warns of “Tax Transcript” Email Scam; Dangers to Business Networks
The Internal Revenue Service and Security Summit partners recently warned the public of a surge of fraudulent emails impersonating the IRS and using tax transcripts as bait to entice users to open documents containing malware. The scam is especially problematic for businesses whose employees might open the malware because this malware can spread throughout the […]
Our Take on Tax Reform and Year-End Planning
The Tax Cuts and Jobs Act (TCJA) includes provisions that will affect businesses and individuals. This is the biggest income tax change since 1986 and there are still a lot of unknowns on how it will apply in different situations and many clarifications are still needed. You may be asking yourself, how will the provisions […]
Is Your Office Holiday Party Deductible?
Yes, Virginia, there is cause to celebrate! Your office holiday party is 100% deductible according to the regulations outlined in the 2017 Tax Cuts and Jobs Act (TJCA). Also included in the 100% deduction list include transportation to and from a restaurant for a client business meal, food offered to the public for free at […]
New Ways to Use Distributions from Qualified Tuition Plans
Background Qualified tuition plans (QTPs) have been widely used to pay for post-secondary education. QTPs would need to be maintained by a state, state agency, or by an eligible education institution. These would commonly be referred to as QTPs or 529 plans. They would allow for tax free growth and the distributions would not be […]
Agriculture Producers Eligible for Direct Payments Need to Act Now
Earlier this summer, Agriculture Secretary Sonny Perdue announced a $12 billion program to help farmers who are bearing the brunt of unfriendly and illegal tariffs that have been imposed on the United States in the past few months. We recently asked firm partner Mike Regan how agriculture producers can take action to receive aid. Mike […]
Proceeds from an Easement or Right-of-Way
When you hear someone talk about building new pipelines or wind turbines, they often refer to securing an easement or a right-of-way. Farmers and ranchers are increasingly receiving easement, or right-of-way payments for expanded roadways, pipelines, wind turbines, electrical towers and similar permanent improvements that have a permanent impact on the use of their property.
Where to Start with State Sales Tax Reporting
With the U.S. Supreme Court ruling on the South Dakota v. Wayfair case, states now have the ability to collect income tax from remote sellers, who are companies that do not have a physical presence in that state. However, states must have legislation in place to proceed with collecting taxes from remote sellers. Currently 19 […]
Iowa Expands Types of Businesses Required to Collect Sales Tax
Iowa Governor Kim Reynolds recently signed Senate File 2417, an extensive state tax reform bill that will greatly impact the tax structure in Iowa. This legislation contains changes to modernize and expand the types of businesses required to collect Iowa sales tax.