Category: Tax
AMT and the Fiscal Cliff
One item that has not been talked about during the "fiscal cliff" discussions is the AMT and the affect that it could have on a significant number of people in 2012 if the "patch" isn't done. For the last number...
SR Client Question: Do I need to pay tax on money I give as a gift to someone?
If you gave money or property to someone as a gift, you might owe federal gift tax. Many gifts are not subject to the gift tax, but the following are eight ways to identify if you might owe a gift...
Changes Arising From the Patient Protection and Affordable Care Act
Many have been talking about The Patient Protection and Affordable Care Act, informally referred to as “Obamacare”. The question on everyone’s mind seems to be, “How will this affect my income taxes next year?” “Obamacare” will implement several tax changes. ...
Various Tax Benefits Increase Due to Inflation Adjustments for 2013
For tax year 2013, the Internal Revenue Service announced recently annual inflation adjustments for more tax provisions, including: The annual exclusion for gifts rises to $14,000 for 2013, up from $13,000 for 2012. The amount used to reduce the net...
SR Client Question: What is the “Fiscal Cliff”?
The term “fiscal cliff” has been all over the news lately. But what does it really mean? The fiscal cliff refers to a group of pending tax law changes and the effect it will have on the average household. For...
Happy Thanksgiving to our SR clients and friends!
We all have so many reasons to be thankful! But if you're struggling to count your blessings this year, you can always be thankful that you are not one of the people that has money on deposit with the IRS. ...
Watch out for reduced Section 179 Depreciation in 2013
Internal Revenue Code (IRC) Section 179 has provided businesses with the ability to substantially accelerate depreciation on qualified purchases for the last decade. The limitation on the available deduction grew to $500,000 during 2010 and 2011 as Congress intended for...
Social Security Wage Base for 2013
The Federal Insurance Contributions Act (FICA) tax is comprised of the Social Security Tax and the Medicare tax, employees and employers are each responsible for paying the FICA tax while the self-employed pay the entire tax themselves. In 2013, the...
SR Client Question: Can I deduct employees’ Business Travel and Entertainment Expenses?
Although the computer age and modern telecommunications have reduced the need for in-person contact, it is still sometimes necessary for businesses to send employees out of town on business, or to entertain clients and customers. How travel and entertainment expenses...
Self-Employed can now deduct Medicare premiums
The IRS has reversed its long standing position on self-employed individuals being able to deduct Medicare Premiums from self-employment income. Prior to 2010 you could not deduct these premiums as health insurance in arriving at self-employment income. IRS chief counsel...