When a lender decides to cancel a debt (most likely because it is deemed uncollectable) it usually is a benefit to the consumer despite the negative effect on his or her credit rating. Nevertheless, the cancellation of a debt could have important tax implications.
Who knew that when the Atlanta Falcons led the New England Patriots 28-3 midway through the third quarter in Super Bowl LI that the Patriots would prevail? Ask any Patriots fan and they believed. Indeed, they probably put their faith in their team with their wallets before the game by placing bets.
For many businesses, January is the start of a new fiscal year. It definitely begins with promise and optimism especially if the previous year ended strong. But there are also substantial responsibilities when it comes to preparing a federal income tax return. Indeed, there is a duty to ensure that you provide accurate information to the federal government, but as more electronic information is passed between businesses, it is increasingly important to guard against scams.
We want to begin this post by wishing our readers a Happy New Year, and a happy and prosperous 2018. Part of achieving that goal involves the proper preparation of business tax returns. While the April 15 federal income tax filing deadline is months away, tax season can be very busy for tax attorneys, accountants and business owners alike. So it is important to plan diligently. In doing so, it is important to maximize the deductions afforded by the U.S. Tax Code. With this post, we will highlight the importance of properly writing off furniture and technology used in a business.
While we all would like to enjoy the holiday season, we understand that our clients have much more going on than just holiday parties and end-of-year celebrations. Of course, there are timesheet and vacation expenditures, annual reports that must be prepared and, of course, tax preparation tasks.
While many individuals and businesses look to charitable giving as an end-of-year tax planning strategy, not everyone (or every business) is in a charitable mood. Indeed, it is easy to be viewed as a “Scrooge” if you don’t get into charitable giving, but there may be genuine reasons for not donating this year.
The "gig economy" works in large part by employing independent contractors instead of employees in order to keep costs down. That has led to some headaches -- whether or not a worker is an employee or a contractor is a legal determination under the Fair Labor Standards Act. It's not strictly the choice of the employer.
Many of us have, if we’re curious about a particular tax-related issue, consulted the IRS website (www.irs.gov), especially now as the tax year is winding down. We assume that since the content on the site is put out and endorsed by a government agency, it is valid, factual and reliable.
The final stretch to the end of the year is upon us. There are important decisions to make between now and December 31, about such issues as insurance coverage and health savings accounts for 2018, for example. It’s also the time to handle last-minute tax issues that could save you big bucks.
Recently, President Donald Trump released an overview of his proposal for sweeping tax reform. Among the key provisions are: