Q: What is the Additional Medicare Tax? A: Additional Medicare Tax went into effect in 2013 and applies to wages, compensation, and self-employment income above a threshold amount received in taxable years beginning after Dec. 31, 2012. An employer must withhold Additional…
Introduction Last month, we went over the good side of creating an FLP or Family Limited Partnership. This month, the Disadvantages and Conclusion to the article are discussed. Disadvantages Along with the advantages, there is a substantial downside, that downside…
How much did your home increase in value last year? Depending on where you live, it may have gone up by 5 – 10% or more. How much did your stock portfolio increase over the last 12 months? By way…
S Compensation/Withholding The IRS has issued a fact sheet as a reminder for taxpayers concerning the compensation of S corporation officers. S corporations must remember compensation to its officers must be reasonable. The fact sheet also highlighted the fact that…
Q: I am planning on buying a large piece of equipment, is there any way I could deduct the cost of this equipment rapidly? A: Right now, no. Unfortunately, Congress has failed to act in passing a new tax law for…
Introduction Many people who own small businesses have heard the term “Family Limited Partnership” (FLP) at least once or twice and have some grasp of what the idea concerns. The amazing thing, the terms Family Limited Partnership and FLP do…
A business owner who is thinking about selling his business sometime in the next few years recently asked me: “How soon should I begin working with a business broker?” My response was: “Probably a lot sooner than you think!” The…
Interesting Appraisal A Court of Appeals reversed and remanded a Tax Court ruling that was favorable to the IRS. In the case, the taxpayer donated a façade conservation easement to The National Architectural Trust. In order to get the deduction,…
Q: As an employer, am I required to pay my employees sick time, vacation, and otherwise supply them with paid time off? A: Under the Fair Labor Standards Act, there is no employer requirement to give employees paid time off. …
Introduction Does your company have a policy handbook outlining the expectations of the company and employee conduct? Whether your company is large or small, policy handbooks are a necessary instrument to your business. Policy handbooks save management time in resolving…