If you plan on making a donation to charity the IRS may need certain requirements to be met in order to deduct the donation on your tax return. How can you protect your deduction? First, be aware that in order to deduct charitable donations, you must itemize deductions. Due to today’s relatively high standard deduction […]

If you have a closely held C Corporation and are in need of capital then it is important to note that including debt in the corporation’s capital structure can have advantages when it comes time to pay taxes. Tax rate considerations Let’s review some basics. The top individual federal income tax rate is currently 37%. […]

Despite carefully running your business, you will most likely run into customer disputes at one time or another. You can protect your business’s reputation and even strengthen its brand by creating and maintaining an effective customer dispute resolution process that includes eight key features. Some of the complaints may be people looking to negotiate a […]

Taking a hobby and turning it into a regular business is a dream for many. You probably won’t have any tax headaches if your new business is profitable over a certain period of time. But what if the new enterprise consistently generates losses (your deductions exceed income) and you claim them on your tax return?

Are you aware of the financial and legal impacts of adding a new partner to a partnership? Although adding a new partner may appear to be simple, it’s important to plan the new person’s entry properly to avoid various tax problems. Here are two issues to consider: Here’s an example to illustrate: You and your […]

If your company operates in the business-to-business (B2B) marketplace, you may have experienced some challenges with collections. There’s no easy solution, of course. But you can “grease the wheels,” so to speak, by strategically devising and continuously improving a methodical collections process. Every company, whether buyer or seller, is trying to manage cash flow. That […]

Vacation homes in high-value areas could be worth much more than owners originally paid for them. That’s great, but what about taxes? Here are three scenarios to illustrate the federal income tax issues you face when selling an appreciated vacation home. Scenario 1: You’ve never used the home as your primary residence In this case, […]

It’s not unusual for a partner to incur expenses that are related to the business activity. This is especially likely to occur in service partnerships such as an architecture or law firm. What’s the tax treatment of such expenses? Here are the answers. For example, partners in service partnerships may incur entertainment expenses in developing […]

Navigating the complexities of health insurance for employees is an ongoing concern for businesses striving to balance cost-effectiveness with comprehensive coverage. Two primary options emerge: the familiar realm of fully insured plans purchased from insurers, or the more hands-on approach of self-insurance. Opting for self-insurance entails shouldering the responsibility of funding and managing the plan, […]

Inheritances often evoke feelings of gratitude and financial relief, offering unexpected windfalls that can ease burdens or fulfill aspirations. However, amidst the excitement of receiving such gifts, there lies a potential tax pitfall that many may overlook: income in respect of a decedent (IRD). While most inherited assets typically come tax-free, IRD can complicate matters, […]