Federal Taxes

Home/Federal Taxes

Employee Retention Credit Could Help Your Business

Businesses that have been impacted financially by COVID-19 may be able to take advantage of a new, refundable tax credit called the Employee Retention Credit. The credit is designed to encourage businesses to keep employees on their payroll and is worth 50 percent of qualifying wages up to $10,000 that are paid by an [...]

Employee Retention Credit Could Help Your Business2020-06-24T15:06:33+00:00

Retirement Provisions of the Coronavirus Relief Bill

The Senate’s $2 trillion coronavirus-relief bill that passed on March 25 includes benefits for Americans whose retirement accounts have been battered by the stock-market meltdown. Hardship distributions from IRAs and 401(k)s “Hardship withdrawals” of up to $100,000 are available. The withdrawals would still be taxable, but account owners can pay the income tax due [...]

Retirement Provisions of the Coronavirus Relief Bill2020-03-27T13:27:48+00:00

FAQ re Coronavirus Stimulus Checks

The massive coronavirus stimulus bill is expected to clear Congress today.  Courtesy of the Wall Street Journal, here is a FAQ regarding the stimulus checks for individuals: How much money is it? The plan provides $1,200 for each adult and $500 for each child under 17. A married couple with two children would get [...]

FAQ re Coronavirus Stimulus Checks2020-03-27T12:40:43+00:00

Coronavirus Update–Financial Remedies

Update: We have added additional blogs on key topics: FAQ re Coronavirus Stimulus Checks FAQ re Coronavirus Loans for Small Businesses Retirement Provisions of the Coronavirus Relief Bill We hope that you and your family are safe and healthy.  As economic losses continue from the coronavirus pandemic, South Carolina and the federal government have [...]

Coronavirus Update–Financial Remedies2020-03-27T13:18:15+00:00

The IRS Is Using AI to Identify Tax Cheats

Businesses have been using deep learning, neural networks, and other forms of artificial intelligence (AI) for several years to track and predict consumer behavior—so-called “big data.”  The government also uses AI to identify trends in data and draw inferences from that data.  For instance, Terrorist A and Terrorist B both have a close connection [...]

The IRS Is Using AI to Identify Tax Cheats2020-03-03T19:54:47+00:00

Expanded Section 179 Rules for Commercial Rental Properties

In general, real property and improvements to real property are depreciated over either 27.5 years (residential property) or 39 years (commercial property).  In the past, major improvements such as HVAC replacements and roofs were caught by this rule. However, the tax law that went into effect in 2018 expanded the depreciation rules for non [...]

Expanded Section 179 Rules for Commercial Rental Properties2020-02-23T23:15:40+00:00

The New Form W-4 For Employees

Form W-4, Employee's Withholding Certificate, has been redesigned for 2020. Previously, income tax withholding was based on an employee's marital status and withholding allowances or tied to the value of the personal exemption. With the revised Form W-4, however, income tax withholding is generally based on the worker's expected filing status and standard deduction for [...]

The New Form W-4 For Employees2020-02-12T12:29:58+00:00

Should Your Business Deduct Unpaid Customer Invoices?

A common question that clients ask us is this: "May my business claim a deduction when a customer fails to pay us?"  The answer is, "It depends." Every business must adopt a "method of accounting" in its first tax year.  This is the method by which it reports its income and expenses on its [...]

Should Your Business Deduct Unpaid Customer Invoices?2020-01-31T22:53:17+00:00

Your Canceled Debt Could Be Taxable

Generally, debt that is forgiven or canceled by a lender is considered taxable income by the IRS and must be included as income on your tax return. When that debt is forgiven, negotiated down (when you pay less than you owe), or canceled you will receive a Form 1099-C, Cancellation of Debt, from your [...]

Your Canceled Debt Could Be Taxable2019-12-28T20:54:42+00:00