News

From what we know, when lawmakers originally passed the Paycheck Protection Program (PPP), they thought that under its provisions, you did not pay taxes on the forgiveness amount, and you also could deduct the expenses that you paid with the PPP money. Fly in the Ointment  In late April,...

If you own your own business and operate as a proprietorship or partnership (wherein your spouse is not a partner), one of the smartest tax moves you can make is hiring your spouse to work as your employee.  But the tax savings may be a mirage if you don’t...

As you likely know by now, the Paycheck Protection Program (PPP) loan and its forgiveness process have been an ever-changing (and often confusing) ride so far.  With the new rules for PPP loans of $50,000 or less, you escape from the most difficult part of the loan forgiveness if...

Are you one of the millions of businesses that have an outstanding non-disaster Small Business Administration (SBA) loan? These include:  7(a) loans: general small business loans of up to $5 million, 504 loans: loans of up to $5.5 million to provide financing for major fixed assets such as equipment...

Have you established a 105-HRA, Qualified Small Employer Health Reimbursement Arrangement (QSEHRA), or Individual Coverage Health Reimbursement Arrangement (ICHRA) to reimburse your employees for medical expenses? If so, congratulations! These HRAs are a great way to pay your employees’ medical expenses and obtain a tax deduction. But all three...

Remember to consider your Section 199A deduction in your year-end tax planning.  If you don’t, you could end up with a big fat $0 for your deduction amount. We’ll review three year-end moves that (a) reduce your income taxes and (b) boost your Section 199A deduction at the same...

Wow, how time flies. Yes, December 31 is just around the corner.  That’s your last day to find tax deductions available from your existing business and personal (yes, personal) vehicles that you can use to cut your 2020 taxes. But don’t wait. Get on this now! 1. Take Your...

Here’s an easy question: Do you need more 2020 tax deductions? If yes, continue on.  Next easy question: Do you need a replacement business vehicle?  If yes, you can simultaneously solve or mitigate both the first problem (needing more deductions) and the second problem (needing a replacement vehicle), but...

The purpose of this letter is to get the IRS to owe you money. Of course, the IRS is not likely to cut you a check for this money (although in the right circumstances, that will happen), but you’ll realize the cash when you pay less in taxes. Here...

All small-business owners with one to 49 employees should have a medical plan in their business. Sure, the tax law does not require you to have a plan, but you should. Most of the tax rules that apply to medical plans are straightforward when you have fewer than 50...

If you are thinking of getting married or divorced, you need to consider December 31, 2020, in your tax planning.  Here’s another planning question: Do you give money to family or friends (other than your children, who are subject to the kiddie tax)? If so, you need to consider...

When you take advantage of the tax code’s offset game, your stock market portfolio can represent a little gold mine of opportunities to reduce your 2020 income taxes.  The tax code contains the basic rules for this game, and once you know the rules, you can apply the correct...