* SOCIAL SECURITY- taxable wage limit increases from 2012 limit of $110,100 to $113,700 for 2013. Retirees under full retirement age can earn up to $15,120 without losing benefits. * 401(k) MAXIMUM salary deferral increases from 2012 limit of $17,000 to $17,500. The...
It's likely to be a daily occurrence. We've all seen the too-good-to-be-true offers in our e-mail inbox. Bill Gates wants to share his fortune with you! But what do you do when the e-mail has the Internal Revenue Service web address in the FROM box and a subject line...
If you convert a traditional IRA to a Roth, you will pay a price! Converted amounts attribute to tax deductions from contributions. Plus all of the earnings are taxable at ordinary income rates. You may lessen the tax hit by choosing to convert only part of your IRA...
Tick- tock, time is almost up on that six- month extension you filed back in April for your 2011 individual income tax return. If you fail to file your return by October 15th, unless a disaster- relief exception or you have a valid reason, you may be charged...
Many sole proprietors and small business owners agree on the following two issues: they pay too much in taxes and they have difficulty attracting and retaining good employees. 1) Have your business sponsor address a retirement savings plan 2) Consider setting- up a...
If the current job market has you thinking about starting a business of your own, take some steps to increase the odds that your business will succeed. Opening a business is the dream for many people. For guidance to help improve your chance of success, give us a...
There are many reasons why the Internal Revenue Service could be contacting you. Some contacts involve very minor corrections; some are for serious changes that could involve a lot of money. Sometimes the IRS is correct in what they are seeking; sometimes they are...
On June 28, the Supreme Court ruled that the "PatientProtection and Affordable Care Act of 2010" was constitutional, includingthe provision in the law requiring individuals to have health insurancecoverage starting in 2014. Several provisions in the health care law...
Are you thinking of purchasing a vehicle for your business and wondering what type of tax deduction you will receive? The IRS has published depreciation limits for business vehicles first placed in service this year. Because 50% bonus depreciation is allowed only for...
Did you get a tax refund this year? I'm sure you've already heard that you should not be giving the government an interest-free loan. Maybe you've decided to change things for 2012 by revising your withholding or estimated tax payments to reduce the amount of next...
Last December, the 4.2% social security tax rate that workers pay on wages was extended through February 29, 2012. Now a Congressional conference is being held to find a way to extend the lower tax rate through the end of 2012. The sticking point is lack of agreement...
The IRS recently announced that the mileage rate for business driving in 2012 will be 55.5¢ a mile. The rate can be used for cars, vans, pickups, and panel trucks. Companies that don't want to keep track of the actual costs of using a vehicle for business purposes may...
As year-end approaches, take a closer look at your investment portfolio. There may be some tax-saving strategies worth considering. For example * Wash sales. Thinking of selling a security before December 31 to take advantage of a capital loss? To make sure the loss...
How you account for meals can affect your business tax return. One reason why: While you can generally deduct only half the cost of meals related to your business activities, the tax code includes specific exceptions that allow a deduction of 100% of what you spend...
Succession planning is very important for any business owner. Before you sit down with your tax and legal advisors to draw up a succession plan, you should think through three key issues: who do you want to succeed you, when do you want the transition to take place,...
On August 2, President Obama signed the Budget Control Act of 2011. The act plans to: Eliminate waste, fraud and abuse with health insurance and social security Provide an emergency spending reform Provide a balanced budget amendment for Congress to vote on Cut $1...
Staying out of debt is simple, but it's not easy. It means foregoing impulsive purchases in exchange for long-term financial freedom. Staying out of debt requires that you deny cravings, at least temporarily, for the "must-have" stuff that beckons from every mall,...
Are you looking for ways to save $1,000 off your income tax bill? If married, would your spouse be interested in the tax savings of up to $2,000 on a joint return? In order to achieve this kind of tax savings you must contribute to a retirement plan and you might...
If you provide care for stray or feral animals in your home for an IRS-approved charity, you may be able to take a tax deduction for your out-of-pocket expenses. A recent U.S. Tax Court judge ruled that a taxpayer who fostered feral and stray cats in her home could...
Are you looking for ways to save $1,000 off your income tax bill? If married, would your spouse be interested in the tax savings of up to $2,000 on a joint return? In order to achieve this kind of tax savings you must contribute to a retirement plan and you might...
As a business owner you are often faced with the decision whether to buy or lease new business equipment. Many business owners first thought is to buy the equipment, but possibly leasing is preferable. * Conserving cash can be important. Purchases normally require a...
New law repeals the expanded Form 1099 reporting rules On April 14, 2011, President Obama signed legislation - the "Comprehensive 1099 Taxpayer Protection and Replacement of Exchange Subsidy Overpayments Act of 2011" - repealing expanded reporting rules for businesses...
There's a new tax break this year, and you'll want to update your budget to accommodate it. The compromise tax legislation passed in December included a payroll tax cut for 2011. * How it works when you're an employee: Your employer will deduct less social security...
Our firm has been preaching doom and gloom all year regarding higher tax brackets, alternative minimum tax affecting 20 million people, and tax credits being cut back. We can breathe a sigh of relief as President Obama decided to grant us an early Christmas gift...
The best time for tax planning is now, right before the end of the year. The reason why is there is still time to make changes that will impact how much taxes you pay. Several things with regards to the tax laws have changed this year, so it's...
In a down economy making good decisions is critical. These informed decisions should come from accurate financial numbers. Numbers determine which levers to pull to increase your profits. Businesses need to review and analyze their numbers periodically. Many business...
When it comes to income taxes it is crucial to find someone who you can trust and will do a good job. How should you start by going about finding a tax professional? It’s easier to ask for referrals first before leafing through the yellow pages. I would suggest by...
Who needs a buy-sell agreement? A buy-sell agreement is needed for every co-owned business. Every day that value is added to the business increases the financial risk when this agreement isn’t in place. Business owners often ask CPAs about how useful buy-sell...
Business Entity Selection When starting a business you must decide what type of business entity you are going to establish. It is important to consider the legal and tax implications for the different types of entities before you make this decision. Listed below...
