There are several different types of tax-advantaged accounts or arrangements to help today’s employees with medical expenses. A Health Reimbursement Arrangement is one of the current options available. Under an HRA, your business sets up and wholly funds a plan that reimburses participants for qualified medical expenses of your choosing. (To be clear, employees can’t […]

The step-up in basis is a tax benefit that commonly comes with inherited assets, but is just as often misunderstood. If you recently inherited assets or may in the future, here are the basics of the rule and some planning considerations. What “basis” means First, let’s look at a couple definitions. Basis is generally what […]

There are a lot of financial and administrative elements that can be overwhelming when considering a retirement plan for your employees and yourself. The basic options are the Simplified Employee Pension (SEP) and a Savings Incentive Match Plan for Employees (SIMPLE), which we explain below SEPs offer easy implementation SEPs are intended to be an […]

While the word “concentration” might initially suggest a productive connotation, (after all, focus is essential for achieving business goals) it can carry a different meaning in a corporate setting. In this context, concentration often refers to a company’s dependence on specific customers, suppliers, products, or markets. Evaluate your customers Let’s start with customer concentration, which […]

After filing your 2024 tax return, don’t fall victim to the urge to declutter those overflowing file cabinets and digital folders. Before you start shredding or hitting delete, plan to retain these documents for two reasons. 1. They protect you in the event of an IRS audit. 2. They help establish the tax basis of […]

As summer approaches, many small business owners are looking to hire extra help. If your child is eager to earn some money, this could be the perfect opportunity. By hiring your child to work for your business, you not only give them valuable job experience, but you can also unlock meaningful tax benefits for your […]

Certain tax violations carry significantly more severe consequences than others. A prime example is the failure to remit federal income and employment taxes withheld from employees’ paychecks. In such cases, the IRS may impose the Trust Fund Recovery Penalty, commonly referred to as the 100% penalty. This penalty is termed the 100% penalty because it […]

As a business owner, you’ve probably been bombarded with tech advice as technology steadily becomes more advanced. One term you may have heard recently is, ‘tech stack.’ IT experts love throwing it around, but here’s the truth: while it’s essential for smooth operations, an unmanaged tech stack can seriously drain your cash flow. So, what […]

Do you support a home for a qualifying child or relative for more than half the year, but normally file as a single taxpayer? You may be eligible for a hefty deduction. When we prepare your tax return, we’ll determine your filing status—single, married filing jointly, married filing separately, head of household, or qualifying widow(er).

Are you the owner of rental properties? This type of investment has become a popular choice for many, however, for federal income tax purposes, rental real estate losses usually count as passive activity losses or PALs. That means, you are unable to deduct the losses attributable to rental real estate, unless you have other passive […]