Are you a partner in a business? You may have come across a situation that’s puzzling. In a given year, you may be taxed on more partnership income than was distributed to you from the partnership in which you’re a partner. Why does this happen? It’s due to the way partnerships and partners are taxed. […]

Digital transformation can’t wait until you’re ready! Going digital has been a buzz word in business for years. The trend to make everything digital was sped up by the COVID-19 pandemic when most businesses were forced to use digital means to continue working during the early days of the pandemic. Wherever you were on your […]

If you are a charitable minded person and you are at least 70½ you can make contributions from your IRA to a charity tax free. There are other incentives to making a distribution directly from your IRA to a charity. When distributions are taken directly out of traditional IRAs, federal income tax of up to […]

More and more people are using third party service providers to process credit card payments. Individuals who sell items online and process payments through third party providers may now receive a 1099-K due to the new $600 filing threshold. 1099-K’s are informational returns issued to individuals or businesses that received payments in settlement of reportable […]

As a business owner, is it hard at times to keep up with employment regulations and health care benefits? One potential solution for this would be engaging with a professional employer organization (PEO). They can help make sure you are in compliance with any changes that occur. PEOs employ experts who understand the minutiae of […]

If you decide to take in and care for an elderly parent or grandparent, you may be eligible for a tax break as well. Here are some possible tax breaks that you could take advantage of. 1. Medical expenses. If the individual qualifies as your “medical dependent,” and you itemize deductions on your tax return, […]

The IRS recently released the 2023 Health Savings Accounts (HSA) deduction limits for 2023. As expected, due to the inflation rates, the deduction limit has increased. The current increase is more than the IRS has increased it in recent years. HSA basics An HSA is a trust created or organized exclusively for the purpose of […]

While many economic indicators remain strong, the U.S. economy is still giving business owners plenty to think about. The nation’s gross domestic product unexpectedly contracted in the first quarter of 2022. Rising inflation is on everyone’s mind. And global supply chain issues persist, spurred on by events such as the COVID-19 lockdowns in China and […]

If you donate valuable items to charity, you may be required to get an appraisal. The IRS requires donors and charitable organizations to supply certain information to prove their right to deduct charitable contributions. If you donate an item of property (or a group of similar items) worth more than $5,000, certain appraisal requirements apply. […]

The IRS has begun mailing notices to businesses, financial institutions and other payers that filed certain returns with information that doesn’t match the agency’s records. If you receive one of these notices, you need to compare the accounts listed on the notice with your records and correct or update your records, if necessary. These CP2100 […]