One of the advantages of operating your own business is hiring family members. However, the employment tax requirements for family employees may vary from those that apply to other employees. Below, we point out some issues to consider when operating a business as a married couple. How spouses earn Social Security benefits A spouse is …
Month: August 2020
A Gift of Stock
You own some stock that has increased in value. To avoid a possible taxable gain by selling the stock, you wish to give it directly to a child or grandchild. This simple idea has some interesting tax consequences to consider. Value of the gift When you gift stock there are not one, but two values …
Don’t Rush Your PPP Loan Forgiveness Application
The Small Business Administration (SBA) has begun accepting forgiveness applications for Paycheck Protection Program (PPP) loans. While you may want to put the forgiveness application process behind you, here are four reasons to consider delaying your application submission: More changes are on the way. Congress is currently debating another COVID-19 relief package which could include more …
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State Taxing Authorities Are Coming After Your Money
States are creating laws that snag taxpayers everywhere New state tax laws are making more and more taxpayers tax cheats without them realizing it is happening. Think it can’t happen to you? Here are some examples. Your small business registers for sales tax in Texas and you receive a letter from some obscure Texas town …
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Be Prepared For Higher Taxes
"Tis impossible to be sure of anything but death and taxes." The Cobbler of Preston by Christopher Bullock (1716) This old adage by Christopher Bullock is still true today, but there's actually a third certain thing in life - fluctuating tax rates! The past 50 years includes a roller coaster of increasing and decreasing tax rates depending …
How to Protect Your Social Security Number From Theft
With the dramatic increase in identity theft, what can be done to protect your Social Security number (SSN) from these would-be thieves? Here are some ideas. Do not carry your Social Security card with you. Your parents were encouraged to do this, but times have changed. You will need to provide it to a new employer, …
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Tax-Free Roth IRA Withdrawal Options
What every Roth IRA account holder should know Withdrawing funds from your retirement accounts must be done carefully to avoid a potential 10% early withdrawal penalty. Unfortunately, each retirement account type has different rules. Here are some tips for Roth IRAs. Roth IRA basics Roth IRA accounts differ from other IRAs in that your contributions …
NEW Tax Rules for 2020!
Get started on your tax planning by reading about new laws that can help you in 2020. Also find out whether your business should incorporate and read about mortgage refinancing mistakes to avoid. Here are several new tax laws passed this year to consider as you start planning your 2020 tax obligation. Make up to …
4 key COVID-19 audit risks for 2020 year ends
Many auditors have begun to turn their sights to their next group of audits: clients with 2020 fiscal year ends. The World Health Organization declared a public health emergency on Jan. 30, 2020, meaning many of these clients will have been affected by the COVID-19 pandemic during the period under audit. Auditing these clients will carry unique …
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