In its 2018 decision in South Dakota v. Wayfair, the U.S. Supreme Court upheld South Dakota’s “economic nexus” statute, expanding the power of states to collect sales tax from remote sellers. Today, nearly every state with a sales tax...
While you were celebrating the holidays, you may not have noticed that Congress passed a law with a grab bag of provisions that provide tax relief to businesses and employers. The “Further Consolidated Appropriations Act, 2020” was signed into...
Here are some of the key tax-related deadlines affecting businesses and other employers during the first quarter of 2020. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us...
Do you want to withdraw cash from your closely held corporation at a low tax cost? The easiest way is to distribute cash as a dividend. However, a dividend distribution isn’t tax-efficient, since it’s taxable to you to the...
If you are considering buying or selling a business — or are in the process of a merger or acquisition — it is important that both parties report the transaction to the IRS in the same way. Otherwise, you may increase your...
With summer upon us, vacations are at the top of everyone’s mind. If you’re self-employed or a business owner, you have a golden opportunity to combine a business trip with a few extra days of vacation and offset some...
If you’re a business owner, there are tax breaks (and other nontax benefits) on the table if you hire your children or grandchildren this summer. They can gain on-the-job experience, save for college and learn how to manage money. And you...
With summer racing by in a whirlwind of vacations, BBQ’s, and celebrations, it is easy to let tax deadlines slip to the bottom of our to-do lists. Here are some of the key tax-related deadlines affecting businesses and other...
One of the most popular fringe benefits for employees at many organizations isn’t an insurance plan or a health club membership; it’s shiny chrome and steel — a vehicle. Providing a car, van or truck that an employee can...
Roth 401(k) accounts have been around for 13 years now, and they are gaining popularity as more employers are offering them each year. A recent study by the Plan Sponsor Council of America (PSCA) found that Roth 401(k)s are now...
If you read the Internal Revenue Code (and you probably don’t want to!), you may be surprised to find that most business deductions aren’t specifically listed. For example, nowehre does the Code explicitly state that you can deduct office...
Many business owners use a calendar year as their company’s tax year. It’s intuitive and aligns with most owners’ personal returns, making it about as simple as anything involving taxes can be. Not all businesses are able to fit their primary...
Businesses that acquire, construct, or substantially improve a building – or did so in previous years – should consider a cost segregation study. These studies combine accounting and engineering techniques to identify building costs that are properly allocable to...
The year isn’t over yet, but if your Company is off to a rough start, know that a silver lining may exist in the net operating loss (NOL) deduction. The rules A net operating loss occurs when a business’s...
There is a great deal of speculation about the potential tax changes that will come from the Trump administration. The current proposals are, of course, subject to the legislative process and potential negotiation. The most recent proposals are summarized...
As tax planning season rolls around once more, many of our clients are taking advantage of provisions in the tax law relating to equipment purchases in order to enhance their operations while reducing their annual tax liability. In recent...
There seems to be quite a bit of momentum behind the reduction in corporate tax rates. This is one thing both the White House and Congress seem to agree on. This may happen in 2014 even though big changes...
I recently wrote a letter to clients regarding the IRS issuing long-awaited Regulations on the tax treatment of amounts paid to acquire, produce, or improve tangible property. The Regulations explain when payments can be deducted, which payments confer an...
This week my blog includes two articles written by Michael Deering, our Director of Taxes at Mowery & Schoenfeld. The articles cover information regarding two important deadlines in 2014. The first article covers the estate tax return extension to...
My colleague Jonathan Sniegowski provided the following summary on the very recent announcement of the IRS concerning the implementation of the tangible personal property regulations. We have been actively addressing compliance with these regulations with our clients: On Friday,...
On February 18, 2015, the IRS issued Notice 2015-17 provides transition relief from the assessment of excise tax under section 4980D for small employers (in particular, employers who are not applicable large employers) who reimburse or pay a premium...
If your company wants to acquire another business, you will need to anticipate many challenges. To improve your chances of success, it is important to devote resources to intensive tax planning before your transaction closes. During the purchase negotiations,...
Year-end tax planning for businesses often focuses on acquiring equipment, machinery, vehicles, or other qualifying assets to take advantage of enhanced depreciation tax breaks. Unfortunately, two “classic” depreciation breaks expired on December 31, 2014. Enhanced §179 expensing election- Before...
The Protecting Americans from Tax Hikes (PATH) Act of 2015 was signed by the President on December 18, 2015. One of the most significant provisions of the law was to make the Research and Development tax credit permanent. Although...
For much of this year, uncertainty surrounded whether Congress would extend relief in the area of depreciation-related tax breaks. On December 18, clarity finally arrived with the passage of the Protecting Americans from Tax Hikes Act of 2015 (the...
Wayfair may bring to mind peppy commercials filled with bright throw pillows. But, it is also a complex and changing tax topic, relevant to nearly all businesses today. A little legal background In 1992, the U.S. Supreme...
Maybe you are considering starting a family business or preparing to transfer one you started to the next generation. You may also be learning to manage a business your great-great-grandfather started long before you were born. Whatever the case,...
The Employee Retention Credit was part of the CARES Act designed to encourage businesses to retain employees. The credit is fully refundable against payroll taxes for those businesses “significantly impacted by COVID-19.” Previously there were several limitations based on...
Update 12/27/2024:: Mowery & Schoenfeld is following the recent legal developments regarding the Corporate Transparency Act (CTA) and its impact on the FinCEN’s filing of beneficial ownership information. Please see this article for the most up-to-date information. In...
In our era of ever-increasing globalization of commerce, businesses enjoy substantial opportunities to reach new markets and customers beyond their domestic borders. Buying a foreign business presents a promising avenue for expansion, offering access to new markets, diverse customer...
After numerous attempts to caution taxpayers about the fraud surrounding the Employee Retention Credit (ERC), the IRS declared a moratorium on all new ERC claims until at least December 31, 2023. Any existing claims submitted prior to the moratorium...
Content Provided by Damian Stanislaw Ponicki, Senior International Tax Associate In an increasingly globalized world, international business transactions have become the norm rather than the exception. For businesses in the United States engaged in cross-border commerce, understanding the nuances...
Beginning October 19, 2023, US taxpayers must use multifactor authentication (MFA) in order to access the Electronic Federal Tax Payment System (EFTPS), which primarily facilitates the payment of federal taxes, including income, employment, and excise taxes, by both individuals...
Every business owner should have an exit strategy that helps recoup the maximum amount for their investment. Understanding the tax implications of a business sale will help you plan for—and, in some cases, reduce—the tax impact. One option is...
You may be familiar with the rule that permits a business to deduct employee bonuses this year if it pays them within 2½ months after the end of the tax year. It’s an attractive year-end planning technique that benefits...
If your business completes minor repairs by December 31, you can deduct those costs on your 2023 tax return. But different tax rules apply to improvements. As opposed to repairs, improvements are capital expenditures that must be written off...
The Treasury Department’s Financial Crimes Enforcement Network (FinCEN) finalized a rule last month to extend the deadline for companies created or registered in 2024 to file their initial beneficial ownership information reports. The rule will require most U.S. corporations,...
When starting a business, one critical decision every entrepreneur must make is choosing the most suitable entity structure. The entity structure you choose will not only lay the foundation for legal and operational aspects, but it will also play...
As you begin to compile your information for the 2023 tax filing season, consider some of the following steps you can take to ensure your tax return and refund don’t face delays. Organize your tax docs early Getting your...
In September of 2022, the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN) issued a new beneficial owner reporting requirement for certain U.S. entities in an effort to clamp down on illicit finance and money laundering, pursuant to Congress’ Corporate...
Navigating the complexities of transfer pricing is a critical aspect of managing a multinational business. This practice involves determining the prices at which goods, services, and intellectual property are exchanged between affiliated entities within the same company. In this...
Written by: Michael Szewc, Senior State & Local Tax Manager In the midst of managing day-to-day operations, sales and use taxes often slip under the radar for business owners and management. However, overlooking these tax obligations can lead to...
Hiring a Certified Professional Accountant (CPA) is a strategic move that brings numerous benefits when navigating tax laws and regulations. In this comprehensive guide, we'll explore the role of a CPA, the circumstances that warrant their expertise, the cost...
Leverage Your Playing Field A business’ playing field can be as small as a town or as large as the globe. The playing field is the area in which a business serves clients, faces competition, and in which it...
Considering the global nature of businesses and the large and diversified U.S. market, foreign businesses have successfully penetrated the U.S. market with their goods and services. A fair amount of these successful foreign businesses sell to U.S. customers through...
Update 12/26/2024:: Mowery & Schoenfeld is following the recent legal developments regarding the Corporate Transparency Act (CTA) and its impact on the FinCEN’s filing of beneficial ownership information. Please see this article for the most up-to-date information. What Businesses...
Update 12/27/2024:: Mowery & Schoenfeld is following the recent legal developments regarding the Corporate Transparency Act (CTA) and its impact on the FinCEN’s filing of beneficial ownership information. Please see this article for the most up-to-date information. What...
Update 12/27/24: On December 26, 2024, the Fifth Circuit Court of Appeals reversed its own stay on the District Court’s preliminary injunction, which had blocked enforcement of the January 1, 2025 compliance reporting deadline under the Corporate Transparency Act...
Running a business can be stressful—but filing your tax return doesn’t have to be. Taking steps to prepare early will make the process run more smoothly and avoid any surprises when it’s time to file. Keep thorough records—all year...
As of February 17, 2025, the U.S. District Court for the Eastern District of Texas has ruled that the Corporate Transparency Act’s (CTA) beneficial ownership information (BOI) reporting requirements are back in effect. The Department of the Treasury understands...
Following the release of a new interim final rule by the U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN), there are significant changes to the Beneficial Ownership Information (BOI) reporting requirements under the Corporate Transparency Act (CTA). The new...
