Without Adjusting your W-4, You May be Giving the Government an Interest-Free Loan
The "Money Talks" hosts discuss why it is important to discuss your withholding amounts with your Tax Adviser.
Tax Strategist: Changing from a C corporation to a S corporation
Changing from a C corporation setup to the S corporation setup can be beneficial, but there are numerous factors to consider. With the March 15 deadline for 2011 fast approaching, you should seek guidance for your situation.
Tax Strategist: Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010
The recently enacted Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 is a sweeping tax package that includes, among many other items, an extension of the Bush-era tax cuts for two years, estate tax relief, a two-year patch of the alternative minimum tax (AMT), a two-percentage-point cut in employee-paid payroll taxes and in self-employment tax for 2011, new incentives to invest in machinery and equipment, and a host of retroactively resuscitated and extended tax breaks for individuals and businesses.
Benefits of Budgeting
You can be in control of your money instead of letting it control you. This is one of the many benefits to having a budget. For more information on how a budget can help you organize, communicate and save time when dealing with your money, read this C.P.A. Insight.
Cost Segregation
If you own a residential rental or commercial building, you may be eligible for substantial tax breaks for depreciating your property through a cost segregation analysis. For more information on how different types of buildings are depreciated and what items may qualify for accelerated depreciation methods, read this C.P.A. Insight.
Estate Planning Tool—Qualified Personal Residence Trust
A Qualified Personal Residence Trust can be used as part of your overall estate plan to transfer the family home to your children or grandchildren, without incurring federal estate tax. However, there are some tax considerations for your heirs if they choose to sell the property in the future. For more information on Qualified Personal Residence Trusts, read this C.P.A. Insight.
Independent Contractors—How to Classify Workers
If you hire contractors for your business, you should review the list of determining factors provided by the IRS to help you classify workers either as employees or independent contractors. When reviewing the checklist, the IRS will make its decision on the whole picture of the professional relationship, not just a single factor. For more information on classifying workers, read this C.P.A. Insight.
Qualified Long-Term Care Insurance—An Available Option for Employer-Provided Health Plans
Those who are self-employed, partners in a partnership or LLC and 2% or more shareholders in an S corporation can likely add a tax deductible long-term care insurance policies to their health insurance benefits program. For more information on the IRS’ requirements for the policy to be qualified for favorable tax treatment, read this C.P.A. Insight.
Divorce Tax Issues
Taxes play a very important role in shaping a divorce settlement. Some items, like alimony or cash settlements, are taxable to the spouse who receives it, while child support payments are not. For more information on important divorce tax issues, read this C.P.A. Insight.
To Amend or Not to Amend
You filed your tax return, but you found an income statement you forgot to include. Your situation need not be a nightmare. You simply need to file a 1040x, Amended U.S. Individual Income Tax Return. This form will allow you to amend your both your income and deductions. For more information on when to file an amended return, read this C.P.A. Insight.