The Tax Cuts and Jobs Act, signed into law this past December, has brought great changes to estate planning. In doing so, it bolstered the potential value of dynasty trusts. This article explains why these trusts are well worth considering for tax purposes, while a...
The domestic production activities deduction provides a tax break for certain “domestic production activities.” Unfortunately, many businesses tend to overlook it because they believe the tax break applies only to a few industries. This article points out that the deduction remains available to a wide...
The clock is ticking down to the tax filing deadline. The good news is that individuals may still be able to save on their impending 2017 tax bills by making contributions to certain retirement plans. This article looks at deadlines, limits and phaseout ranges for...
They say one person’s trash is another person’s treasure. This may hold true when it comes to collectibles — those various objects d’art for which many people will pay good money. This article touches on some of the important points regarding how the sale or...
It’s not uncommon for adult children to help support their aging parents. Those in this position might qualify for an adult-dependent exemption on their 2017 tax returns. This article explores the basic qualifications and some important factors related to this tax break....
With conference calls and Web meetings increasingly prevalent, business travel isn’t what it used to be. But many companies still send employees out on the road. This article describes important concepts related to travel, such as travel expenses as a fringe benefit, establishing an accountable...
Many people might not start thinking about filing a tax return until close to this year’s April 17 deadline. But there’s another date to keep in mind: the day the IRS begins accepting 2017 returns in 2018. As this article explains, filing as close to...
Keeping up with the complexity of the Internal Revenue Code is challenging enough for employed individuals. But for owner-employees, the difficulty level is particularly high. This article explains how your business structure determines the rules you must abide by....
Every year, a substantial percentage of weddings aren’t first-time nuptials but second (or subsequent) marriages. This brief article offers four tips to help such partners better manage the situation....
Businesses with employees headed for retirement can provide a helpful service by educating these workers on rules regarding required minimum distributions (RMDs). If violated, these rules could trigger hefty penalties. This article explains RMD requirements for IRAs and 401(k)s. A sidebar looks at other RMD...
The most effective way to protect assets from future creditors is to transfer them to children or other family members with no strings attached. But, understandably, many wealthier individuals want to retain some control over their wealth. This article looks at one potential option of...
Given the astronomical cost of college, even well-off parents should consider applying for financial aid. A single misstep, however, can harm a child’s eligibility. This article looks at five common mistakes....
Many people decide to make donations at the end of the year. When doing so, it’s important to know the rules about whether such contributions will be considered tax deductible for 2017. This brief article discusses two important concepts: delivery dates and qualified charities....
Many people overlook tax considerations when planning their mutual fund investments. This article offers some tax-savvy tips, including avoiding year-end investments and watching out for reinvested distributions. A sidebar explains why tax-inefficient funds should be directed to nontaxable accounts....
No business owner goes out of his or her way to acquire a bad debt. But they’re not always bad news. This article discusses how a company may be able to write off the noncollectable amount for tax purposes....
What, if any, role life insurance should play in one’s financial plan depends on a variety of factors. This article examines some of those factors, including whether a person has dependents and his or her net worth....
Many people who accumulate frequent flyer miles assume that these valuable rewards aren’t taxable. This brief article explores the validity of this assumption....
A well-crafted, up-to-date estate plan is an imperative for everyone. It can truly help ease the burdens on your family during a difficult time. This article looks at wills, living trusts and other important documents....
Estimated tax payments are required by self-employed individuals and sometimes those with income from interest, rent or dividends. Mishandling these payments could trigger penalties. This brief article offers three strategies for getting it right....
This calendar notes important tax deadlines for the fourth quarter of 2017....
Owners occasionally borrow funds from their businesses. This article explains the importance of treating these transactions as bona fide loans and charging an “adequate” rate of interest. It also provides a list of factors the IRS considers when evaluating corporate advances to shareholders....
Tax-friendly ways to pay for health care are very much in play for many people. The three primary players are Health Savings Accounts (HSAs), Flexible Spending Arrangements (FSAs) and Health Reimbursement Arrangements (HRAs). This article offers a brief overview of each one....
Independent contractors are playing a bigger and bigger role in our economy. But the federal government still has a vested interest in ensuring workers aren’t misclassified as independent contractors when they’re really bona fide employees. This article reviews the key factors used by the IRS...
If you’re an investor looking to save tax dollars, your kids might be able to help you out. Giving appreciated stock or other investments to your children can minimize the impact of capital gains taxes. For this strategy to work best, however, your child must not...
Many private business owners elect to incorporate, turning their companies into C corporations. But, at some point, you may consider converting to an S corporation. This isn’t necessarily a bad idea, but it’s important to know the ramifications involved. Similarities and differences S and C corporations use...
Like so many aspects of the national and global economies, merger and acquisition (M&A) activity tends to wax and wane. Nonetheless, billions of dollars continue to change hands annually, and an acquisition can be a great way to grow a business. So if one of...
July 17 — If the monthly deposit rule applies, employers must deposit the tax for payments in June for Social Security, Medicare, withheld income tax and nonpayroll withholding. July 31 — If you have employees, a federal unemployment tax (FUTA) deposit is due if the FUTA liability through...
From time to time, a business may find that its operating expenses and other deductions for a particular year exceed its income. This is known as incurring a net operating loss (NOL). In such cases, companies (or their owners) may be able to snatch some tax...
Married couples don’t always agree — and taxes are no exception. In certain cases, an “innocent” spouse can apply for relief from the responsibility of paying tax, interest and penalties arising from a spouse’s (or former spouse’s) improperly handled tax return. Although it isn’t easy...
Someone who’s terminally or chronically ill may lack the funds to cover significant medical costs. Although insurance policies have historically been held for the death benefits, it may be possible to sell a policy to a viatical settlement provider. This way, the individual can secure...
