The United States employs a “pay as you go” tax system, requiring individuals and corporations to make regular payments to the IRS throughout the year based on their income. Failure to meet these obligations may result in an estimated tax penalty, a non-deductible interest charged on the underpaid amount for each quarter. This article explores… Read More
Embarking on the journey of becoming a landlord, whether in the commercial or residential real estate sector, is a promising venture. However, before you start reaping the benefits of rental income, it’s essential to understand the tax implications of the initial costs involved. In particular, start-up expenses play a crucial role in shaping the financial… Read More
As we usher in the new year, businesses in the United States are gearing up for a significant change—the implementation of the Corporate Transparency Act (CTA) on January 1, 2024. This federal mandate brings with it a fresh filing requirement for a broad spectrum of business entities, aiming to enhance transparency and curb illicit financial… Read More
As we approach the final stretch of 2023, individuals eager to optimize their tax savings are exploring strategic financial avenues. One particularly promising option gaining traction is making last-minute vehicle purchases. Acquiring a vehicle before the year concludes can yield substantial benefits, provided one navigates the process with a keen eye on tax implications and… Read More
The IRS has recently intensified its efforts to combat improper Employee Retention Credit (ERC) claims. In response to a surge in questionable claims, the IRS has taken several actions. In this article, we will delve into these actions and their implications for businesses seeking ERC relief. 1. Temporary Halt on New ERC Claims: On September… Read More
Tax season can be a stressful time, especially if you find yourself facing a hefty tax bill that you can’t pay in full. The good news is that the IRS offers solutions to help taxpayers manage their tax debt, including installment agreements and short-term extensions. In this article, we will explore these IRS payment plans… Read More
Two tax term that hold significant value are ‘safe harbor.’ Moreover, five more tax terms that bring great benefits are ‘tax-advantaged expensing without recapture.’ To establish and safeguard your safe-harbor expensing, you, your corporation, or your partnership must formally elect, on your tax return, to utilize the de minimis safe harbor for assets valued at… Read More
The Rise of Pass-Through Entity Tax (PTET) The pass-through entity tax (PTET) has emerged as a game-changing solution for owners of pass-through businesses, such as S corporations and multi-member LLCs. Previously an exception, PTET has now taken center stage in most states. This innovative approach allows businesses to circumvent the $10,000 annual limitation on state… Read More