Blogging Beyond the Numbers

It’s not just businesses that can deduct vehicle-related expenses. Individuals can also deduct them on their tax returns in certain circumstances. Unfortunately, the Tax Cuts and Jobs Act (TCJA) might reduce the deduction in comparison to what could have been claimed on prior years’ tax returns. For 2017, miles driven for business, moving, medical and charitable purposes were deductible depending on...

Be aware of March 15th! If you have historically struggled to remember the due date of your tax return, this year will be no different. The new due date for calendar year pass-through entities (partnerships and S Corporations) is March 15th. When did this change happen? Until the 2016 tax year, partnerships shared the April 15th deadline with individual taxpayers. One of the primary reasons for movin...

The IRS announced that it will waive the estimated tax penalty for Farmers and Fisherman if they file their 2018 income tax return and pay the tax due by April 15, 2019 instead of the normal due date of March 1.  Wisconsin announced it will follow the IRS extension.  For more information on this last minute extension, please contact us. ...

Commercial buildings and improvements are generally depreciated over 39 years.  Depreciation means that you can deduct a portion of the building and improvement cost every year over the building’s depreciation period (1/39 every year).   That may seem like a long time but there are special tax breaks that allow depreciation deductions to be taken more quickly for certain real estate investments. Some ...

So you’re in charge or your company’s retirement plan… what does this mean for you? The Employee Retirement Income Security Act (ERISA) protects your plan’s assets by subjecting those in charge of the plan with fiduciary responsibilities. Plan fiduciaries may include plan trustees, plan administrators, and members of a plan’s investment committee. Your primary responsibility as the fiduciary i...

Even though the government is currently shut down, that won’t stop the upcoming 2018 income tax filing season.  Business owners may, therefore, want to shift their focus to assessing whether they’ll likely owe taxes or get a refund when they file their returns this spring. With the biggest tax law change since 1986 —the Tax Cuts and Jobs Act (TCJA) — generally going into effect beginning in 2018, m...

On Friday, December 14, Governor Scott Walker signed legislation that allows S corporations to elect to be taxed at the entity level for taxable years beginning on or after January 1, 2018, and partnerships and LLCs elected to be treated as partnerships to elect to be taxed at the entity level for taxable years beginning on or after January 1, 2019.  These entities are commonly referred to as pass-through ...

Are you a US citizen or resident and have a relationship (either as a shareholder, officer or director) or own 10% or more in a foreign corporation?  If yes, then you might be obligated to file Form 5471 along with your tax return.  Form 5471 is annual informational form that generally does not result in any tax due for the taxpayer. If you are a partner in a foreign partnership, you would file a Form 886...

The Tax Cuts and Jobs Act (TCJA) has enhanced two depreciation-related breaks that are popular year-end tax planning tools for businesses. To take advantage of these breaks, you must purchase qualifying assets and place them in service by the end of the tax year. That means there’s still time to reduce your 2018 tax liability with these breaks, but you need to act soon. Section 179 expensing Sec. 179 ex...

The legal battle is over for the parties in South Dakota v. Wayfair, Inc.  The Supreme Court’s decision that South Dakota was correct in requiring remote sellers to collect South Dakota sales taxes was decided June 21, 2018.  However, the Justices decided that the lower court handle the specific settlement terms. The November 1, 2018 Wayfair settlement agreement terms are as follows: Removes the i...