Velisa Bookkeeping Services, a dedicated and reliable Accounting and Tax firm, serving Maryland since 2017.
The IRS on Monday issued 34 questions and answers on new Sec. 45S, which was added by the law known as the Tax Cuts and Jobs Act, P.L. 115-97, to provide a general business credit for employers who provide paid family and medical leave to their employees (Notice 2018-71). The credit equals a percentage of …
Continue reading Rules issued on paid family and medical leave credit
The IRS issued proposed regulations on Aug. 1 (REG-104226-18) on the Sec. 965 transition tax, which was added to the Code by P.L. 115-97, the law known as the Tax Cuts and Jobs Act. Sec. 965 applies to the last tax year of a deferred foreign income corporation (DFIC) that begins before Jan. 1, 2018. …
The IRS on Wednesday issued guidance clarifying that taxpayers may generally continue to deduct 50% of the food and beverage expenses associated with operating their trade or business, despite changes to the meal and entertainment expense deduction under Sec. 274 made by the tax law known as the Tax Cuts and Jobs Act (TCJA), P.L. …
Continue reading Meals continue to be deductible under new IRS guidance
Business travelers who incur expenses while traveling away from home have new per-diem rates to use in substantiating certain of those expenses (Notice 2018-77). The new rates are in effect from Oct. 1, 2018, to Sept. 30, 2019. The IRS on Wednesday provided the 2018–2019 special per-diem rates, including the transportation industry meal and incidental …
The IRS on Tuesday announced that it plans to issue regulations providing that the reduction in the personal exemption amount to zero for tax years 2018 through 2025 will not be taken into account in determining whether a person is a qualifying relative under Sec. 152(d)(1)(B) (Notice 2018-70). Accordingly, in defining a qualifying relative for …
Continue reading Deemed personal exemption amount introduced for various tax benefits
Under proposed regulations issued by the IRS on Thursday, transfers to a state agency or charitable organization in lieu of paying state and local taxes would be deductible as a charitable contribution only to the extent that the taxpayer making the donation did not receive a quid pro quo (REG-112176-18). Contributions that result in a …
Continue reading Proposed rules would curb avoidance of SALT deduction limit
The IRS issued proposed regulations (REG-104397-18) providing guidance on Sec. 168(k), which was amended by P.L. 115-97, known as the Tax Cuts and Jobs Act (TCJA), to increase the allowable first-year depreciation deduction for qualified property from 50% to 100%. The TCJA extended and modified bonus depreciation, allowing businesses to immediately deduct 100% of the …
Continue reading IRS issues proposed regs. on 100% bonus depreciation
The IRS issued proposed regulations on Wednesday regarding the qualified trade or business income deduction under Sec. 199A, which was enacted by P.L. 115-97, the law known as the Tax Cuts and Jobs Act (TCJA) (REG-107892-18). At the same time, it issued Notice 2018-64, which provides guidance on how to compute W-2 wages for purposes …
Continue reading Qualified business income deduction regs. proposed
The IRS published final regulations that implement changes made by the American Jobs Creation Act of 2004, P.L. 108-357, and the Pension Protection Act of 2006, P.L. 109-280, to the substantiation and reporting rules for charitable contributions under Sec. 170 (T.D. 9836). The final regulations set forth the substantiation requirements for contributions of more than …
Continue reading Final rules govern adequate substantiation for charitable contributions
To alleviate the burden on tax-exempt organizations and the IRS, the Service announced, with the issuance of Rev. Proc. 2018-38, that it will no longer require most tax-exempt organizations to report the names and addresses of substantial donors. The change does not apply to purely public charities exempt under Sec. 501(c)(3) because they are required …
Continue reading Many tax-exempt organizations no longer need to list donor information
Velisa Bookkeeping Services LLC 