Blogging Beyond the Numbers

The Tax Cuts and Jobs Act (TCJA) liberalized the eligibility rules for using the cash method of accounting, making this method — which is simpler than the accrual method — available to more businesses. Now the IRS has provided procedures a small business taxpayer can use to obtain automatic consent to change its method of accounting under the TCJA. If you have the option to use either accounting method,...

For those of you keeping up with this landmark sales and use tax case, changes are happening fast and furious across the country.  Since the end of June when the Wayfair decision was handed down by the Supreme Court (confirming South Dakota is right to require out of state online retailers who have no physical presence in South Dakota to register and collect South Dakota sales and use taxes) at least 12 o...

The Tax Cuts and Jobs Act (TCJA) provides a valuable new tax break to noncorporate owners of pass-through entities: a deduction for a portion of qualified business income (QBI). The deduction generally applies to income from sole proprietorships, partnerships, S corporations and, typically, limited liability companies (LLCs). It can equal as much as 20% of QBI. But once taxable income exceeds $315,000 for m...

There continues to be much uncertainty about the Affordable Care Act and how such uncertainty will impact health care costs. So it’s critical to leverage all tax-advantaged ways to fund these expenses, including HSAs, FSAs and HRAs. Here’s how to make sense of this alphabet soup of health care accounts. HSAs If you’re covered by a qualified high-deductible health plan (HDHP), you can contribute pre...

The US Supreme Court just handed down their decision on the Wayfair case.  This case sets a precedence for major changes in sales & use tax filing requirements by retailers.  Based on several previous court decisions, retailers had to have physical presence (employees or other agents, property owned or leased in the state, or other factors) in a state to be required to register and collect that state ...

Here are some of the key tax-related deadlines affecting businesses and other employers during the third quarter of 2018. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us to ensure you’re meeting all applicable deadlines and to learn more about the filing requirements. July 31 Report income tax withholding and FICA taxes for second...

Question: What is the new Family and Medical Leave tax credit and how does it benefit my business? Answer: The 2017 Tax Cuts and Jobs Act recently introduced a new credit for employers who provide paid family and medical leave to their employees. Eligible employers can claim a general business credit equal to 12.5% to 25% of the wages paid to qualifying employees on paid leave. The credit is available for ...

It’s not uncommon for businesses to sometimes generate tax losses. But the losses that can be deducted are limited by tax law in some situations. The Tax Cuts and Jobs Act (TCJA) further restricts the amount of losses that sole proprietors, partners, S corporation shareholders and, typically, limited liability company (LLC) members can currently deduct — beginning in 2018. This could negatively...

The Wisconsin Legislature recently passed a sales tax holiday for August 2018. What does this mean for the general consumer? A sales and use tax exemption is created for sales of certain items during a five-day period in August 2018. The temporary exemption period, referred to as a sales tax holiday, will begin at 12:01 AM on August 1, 2018, and continue through 11:59 PM on Sunday, August 5, 201...

You may have breathed a sigh of relief after filing your 2017 income tax return (or requesting an extension). But if your office is strewn with reams of paper consisting of years’ worth of tax returns, receipts, canceled checks and other financial records (or your computer desktop is filled with a multitude of digital tax-related files), you probably want to get rid of what you can. Follow these re...