• Did you get a letter from the IRS?

    Receiving a letter from the IRS may make you go weak in the knees. Don’t panic, but do read the letter, the tax agency says. The IRS may simply have a question about your return or inform you of a change to your account or the letter may request payment. Don’t ignore it. Instead, read it carefully, right away. Most IRS communication deals with a [...]

    Published On: May 10, 2024Categories: Federal Tax Posts
  • When partners pay expenses related to the business

    It’s not unusual for a partner to incur expenses related to the partnership’s business. This is especially likely to occur in service partnerships such as an architecture or law firm. For example, partners in service partnerships may incur entertainment expenses in developing new client relationships. They may also incur expenses for: transportation to get to and from client meetings, professional publications, continuing education and home [...]

    Published On: May 10, 2024Categories: Featured, Small Business Tax
  • Data Security Breach?? What you should do!

    Could your business become a victim of a data security breach? Most businesses store sensitive data about employees and customers, including names, addresses and Social Security numbers (SSNs). If lost or stolen, this data could put individuals at risk for identity theft and other types of damage. Depending on the situation, the IRS advises: 1) If a breach could pose harm to a person or [...]

    Published On: May 9, 2024Categories: Federal Tax Posts
  • Disaster relief charities: Know the rules before providing aid

    The United States is entering the most natural-disaster-prone time of the year. Tornadoes are most likely to occur in May, and the Atlantic hurricane season starts on June 1. Not-for-profits that provide aid to disaster victims — whether it’s medical care, food, clothing, shelter, cash or rebuilding assistance — are gearing up for potential emergencies. But if your organization operates in this space, know that when [...]

    Published On: May 9, 2024Categories: Featured, Not for Profit
  • Nonprofits don’t lose as much to fraud, but risk requires action

    According to the Association of Certified Fraud Examiners’ (ACFE’s) Occupational Fraud 2024: A Report to the Nations, not-for-profits suffer roughly half the median loss per fraud scheme of for-profit businesses and government entities — $76,000 vs. $150,000. That may sound like good news, except for the fact that most nonprofits are on tight budgets and can’t afford to lose anything. To help keep your nonprofit’s [...]

    Published On: May 8, 2024Categories: Featured, Not for Profit
  • Don’t have a tax-favored retirement plan? Set one up now

    If your business doesn’t already have a retirement plan, it might be a good time to take the plunge. Current retirement plan rules allow for significant tax-deductible contributions. For example, if you’re self-employed and set up a SEP-IRA, you can contribute up to 20% of your self-employment earnings, with a maximum contribution of $69,000 for 2024 (up from $66,000 for 2023). If you’re employed by [...]

    Published On: May 7, 2024Categories: Featured, Small Business Tax
  • Board committees can help members make time for critical work

    For many not-for-profit organizations, maintaining a full and active board of directors is challenging. If your board holds frequent meetings, has high attendance expectations and requires members to do considerable “homework,” you may have trouble recruiting and retaining people. Qualified individuals generally are busy with work, family and other activities and may not have spare time to dedicate to all the duties expected of board [...]

    Published On: May 7, 2024Categories: Featured, Not for Profit
  • When businesses may want to take a contrary approach with income and deductions

    Businesses usually want to delay recognition of taxable income into future years and accelerate deductions into the current year. But when is it wise to do the opposite? And why would you want to? One reason might be tax law changes that raise tax rates. The Biden administration has proposed raising the corporate federal income tax rate from its current flat 21% to 28%. Another [...]

    Published On: May 6, 2024Categories: Featured, Small Business Tax
  • Don’t be surprised by a sudden influx of support

    When a Category 5 hurricane struck a coastal community, its most prominent health and human services charity was prepared to act with rescue plans, supplies, emergency shelters and well-trained staffers. What the not-for-profit wasn’t prepared for was a sudden influx of support, including donations. Too much support may not sound like a problem, but for nonprofits that aren’t prepared for a flood of attention and new [...]

    Published On: May 6, 2024Categories: Featured, Not for Profit
  • Did you get a larger refund?

    Taxpayers received more refund dollars in fiscal year (FY) 2023 than they did the previous year, according to the latest IRS Data Book. The IRS issued approximately $659 million in refunds, a 2.7% increase over FY 2022. Overall, individuals and estates and trusts paid close to $2.6 trillion, which is down from $2.9 trillion in FY 2022. Total business taxes declined from $476 billion in [...]

    Published On: May 5, 2024Categories: Federal Tax Posts
  • 2023 Data Book

    The IRS has issued its annual Data Book detailing its activities during fiscal year 2023. As the publication’s name implies, it’s packed with statistics. For example, during FY 2023, the IRS collected approximately $4.7 trillion in gross taxes. This amount accounts for about 96% of the funding that supports the federal government’s operations. In addition, in FY 2023, the IRS processed more than 271.4 million [...]

    Published On: May 4, 2024Categories: Federal Tax Posts
  • Watch out for “income in respect of a decedent” issues when receiving an inheritance

    Most people are genuinely appreciative of inheritances, and who wouldn’t enjoy some unexpected money? But in some cases, it may turn out to be too good to be true. While most inherited property is tax-free to the recipient, this isn’t always the case with property that’s considered income in respect of a decedent (IRD). If you have large balances in an IRA or other retirement [...]

    Published On: May 3, 2024Categories: Featured, Individual Tax
  • How to communicate accounting information to laypeople

    Accurate, timely financial information is key to making good decisions for executives, board members, investors and other stakeholders. But not everyone who reads your financial statements will really understand the numbers they receive and what they mean to your organization. Here are some ways to present your financial results in a reader friendly manner. Consider your audience The people who rely on your organization’s financial [...]

    Published On: May 3, 2024Categories: Business, Featured
  • Getting a handle on inventory

    Inventory is a key balance sheet item for many companies. Depending on the nature of your operations, inventory may include raw materials, work-in-progress (WIP) inventory and finished goods. While you need to have enough inventory on hand to meet your customers’ needs, carrying excessive amounts can be costly. Here are some smart ways to manage inventory more efficiently — without compromising revenue and customer service.  [...]

    Published On: May 2, 2024Categories: Business, Featured