Resources – AP Group Inc

Defer a current tax bill with a like-kind exchange

The real estate market has been tough recently. But there are still large profits being made on some business property. In these cases, a “like-kind” exchange may be attractive when selling commercial or investment real estate.

The standard business mileage rate will be going up slightly in 2024

The price of gas is about the same as it was a year ago. Will this affect the amount your business can deduct for business driving in 2024?

Is your business subject to the new BOI reporting rules?

Many businesses, including small ones, may be subject to new beneficial ownership information reporting rules under the Corporate Transparency Act. Here’s what you need to know.

Update on depreciating business assets

Inflation has some beneficial side effects. One is that the amount of depreciation tax breaks your business can claim has increased for 2023. Here are the rules.

Inheriting stock or other assets? You’ll receive a favorable “stepped-up-basis”

When planning your estate or inheriting assets, it’s essential to understand the “step-up” basis rules. They can affect the taxes due on the sale of the assets.

Reduce the impact of the 3.8% net investment income tax

In addition to regular income tax, high-income taxpayers may face the 3.8% net investment income tax. This article explains who the tax applies to, as well as some strategies to minimize it.

Benefits of a living trust for your estate

You’ve probably heard that you should avoid probate in estate planning. But what does that mean and how is it done?

Choosing an entity for your business? How about an S corporation?

There are several choices of entities for a new business venture. What about an S corporation? Here are the advantages.

Changes in Sec. 174 make it a good time to review R&E strategy of your business

A tax law that passed in 2017 makes a major change to Section 174 research and experimental (R&E) expenses. Here’s what it might mean for your 2022 business tax return being filed this year.

IRS extends deadline until Oct. 16 in some disaster areas

The Internal Revenue Service has extended the tax deadline for disaster area taxpayers in most of California, and parts of Alabama and Georgia as well, until Oct. 16.

2023 Q1 tax calendar: Key deadlines for businesses and other employers

Businesses face a variety of tax-related deadlines in the first quarter of 2023. Here are some of them.

The standard business mileage rate is going up in 2023

The price of gas is lower than it was a year ago. How does this affect the amount your business can deduct for business driving in 2023? You might be surprised.

Work Opportunity Tax Credit provides help to employers

Many small businesses are in need of new employees and may get creative in their hiring. The Work Opportunity Tax Credit can help if you hire from certain targeted groups.

Separating your business from its real estate

Does your business need real estate to conduct operations? Or does it hold property and put the title in its name? You may want to separate real estate ownership from the business.

Is your income high enough to owe two extra taxes?

There are two special taxes that may have a significant effect on the tax bills of high-income folks: the 3.8% net investment income tax and a 0.9% additional Medicare tax on wage and self-employment income. Here are the basic rules.

Inflation Reduction Act provisions of interest to small businesses

The new Inflation Reduction Act provides small businesses with an incentive to increase their investments in research.

Three tax breaks for small businesses

You don’t have to be a large business to benefit from tax breaks. Here are 3 ways that eligible small businesses can save on taxes.

The kiddie tax: Does it affect your family?

Do your children have investment income? They may owe “kiddie tax.” Here are the basic rules.

Important considerations when engaging in a like-kind exchange

A business or individual might be able to dispose of appreciated real property without being taxed on the gain by exchanging it rather than selling it. You can defer tax on your gain through a “like-kind” or Sec. 1031 exchange. A like-kind exchange is a swap of real property held for investment or for productive use in your trade or business for like-kind investment real property or business real property.

Interested in an EV? How to qualify for a powerful tax credit

Many people are thinking about buying electric vehicles because of their advanced technology, high gas prices and the fact there are more models available today. Along with factors like acceleration and the battery range, check out the federal tax break that may be available.

How do taxes factor into an M&A transaction?

Buying or selling a business may be the most critical transaction you ever make. If your business is considering merging with or acquiring another business, it’s important to understand how the transaction will be taxed under current law. Here are some considerations.

Partners may have to report more income on tax returns than they receive in cash

If you’re involved in a partnership, you likely know it’s taxed differently than a C corporation. In some cases, partners may be taxed on more partnership income than was distributed to them from their partnerships. Here’s why.

Thinking about converting your home into a rental property?

It’s home selling (and buying) season. What are the tax consequences if you buy another home but decide to keep your current home and rent it out?

The tax rules of renting out a vacation property

A vacation home is more than just a place to relax. It also may provide tax breaks. Here are the rules if you rent it out for part of the year.

Pass-through entity (PTE) elective tax

For taxable years beginning on or after January 1, 2021, qualifying pass-through entities (partnerships and S corporations) may annually elect to pay an entity level state tax on income. Qualified taxpayers receive a credit for their share of the entity level tax, reducing their California personal income tax.

AICPA, NASBA outline 2024 CPA exam transition policy

The National Association of State Boards of Accountancy and the American Institute of CPAs have released a notice updating candidates on the transition policy that will impact the 2024 Uniform CPA Examination.

The Ins and Outs of IRAs

Traditional or Roth IRA? Here are the differences in these retirement savings accounts.

PPP loans have reopened: Let’s review the tax consequences

Businesses that have been hit hard by COVID-19 may be able to obtain help with PPP loans. Here are the basic rules, as well as the tax implications.

Need another PPP loan for your small business? Here are the new rules

Could your small business use another cash infusion from the Paycheck Protection Program? The new COVID-19 relief law makes this a distinct possibility if you qualify.

SBA reopens EIDL program to small businesses and nonprofits

Small business owners: More COVID-19 relief now available! The SBA has reopened its Economic Injury Disaster Loan (EIDL) and EIDL Advance program.

PPP Flexibility Act eases rules for borrowers coping with COVID-19

Has your business applied for a PPP loan or already acquired funds from this program? If so, the recently passed PPP Flexibility Act has made important changes to the rules.

Hiring independent contractors? Make sure they’re properly classified

During these tough times, your business may be saving money by using independent contractors, rather than hiring employees. Make sure to follow all the rules or you could hear from the IRS.

Answers to questions you may have about Economic Impact Payments

As the Economic Impact Payments (EIPs) continue to go out, the IRS has released information about why you might not have gotten a payment. There’s also a new tool to check the status of your EIP

New COVID-19 law makes favorable changes to “qualified improvement property”

A drafting error by Congress meant that some improvements to interior parts of nonresidential buildings had to be deducted over 39 years. But a new law that provides COVID-19 relief fixes the error and may result in revenue for eligible businesses.

What are the key distinctions between layoffs and furloughs?

COVID-19 has forced many business owners to re-evaluate the size of their workforces. The choice between layoffs and furloughs brings up a variety of compliance issues.

COVID-19: IRS announces more relief and details

Expecting an Economic Impact Payment from the IRS? The tax agency has made a few new announcements about the financial relief the government is providing.

Relief from not making employment tax deposits due to COVID-19 tax credits

The coronavirus (COVID-19) crisis has resulted in unprecedented challenges for employers. Here are the details of some relief from the federal government.

CARES ACT changes retirement plan and charitable contribution rules

During the COVID-19 crisis, many people and charitable organizations need cash. The CARES Act contains a range of relief, notably the “economic impact payments” that will be made to people under a certain income threshold. But the law also makes some changes to retirement plan rules.

Just launched: The SBA’s Paycheck Protection Program

Retaining employees and maintaining payroll has become difficult for many small businesses across the country. The SBA’s Payroll Protection Program offers relief for some.

Cash payments and tax relief for individuals in new law

You’ve probably heard about the cash payments the government is sending out due to the coronavirus (COVID-19) pandemic. Do you qualify?

Answers to questions about the CARES Act employee retention tax credit

The recently enacted Coronavirus Aid, Relief, and Economic Security (CARES) Act provides a refundable payroll tax credit for 50% of wages paid by eligible employers to certain employees during the COVID-19 pandemic. As a business with employees, you may have questions about the new employee retention tax credit. Here are some answers.

The new COVID-19 law provides businesses with more relief

Another coronavirus (COVID-19) law has been enacted and it provides some relief to businesses and employers that are suffering. This article provides some highlights.

Coronavirus (COVID-19): Tax relief for small businesses

In response to the coronavirus (COVID-19), Congress and the IRS have recently provided tax relief to businesses. Here’s a brief rundown.

Work Opportunity Tax Credit extended through 2020

The Work Opportunity Tax credit was set to expire on Dec. 31, 2019. But a law passed late last year extends it through Dec. 31, 2020. Here’s how employers can benefit.

4 new law changes that may affect your retirement plan

A new law might provide you with tax-saving opportunities related to your IRA or retirement plan.

Your home office expenses may be tax deductible

These days, many people work from home. But they don’t all qualify to deduct the expenses of a home office on their tax returns. Here are the basic rules.

Defer tax with a Section 1031 exchange, but new limits apply this year

There had been some concern that tax reform would include the elimination of tax-deferred like-kind exchanges. The good news is that the TCJA still generally allows them for real estate. But there are limits you need to be aware of.

Make sure repairs to tangible property were actually repairs before you deduct the cost

If your business made building or equipment repairs last year, the cost might be fully deductible on your 2017 tax return. But it might not be…

Tax Cuts and Jobs Act: Key provisions affecting you and your business

Most provisions of the Tax Cuts and Jobs Act go into effect in 2018. Which ones will affect you? Which ones will affect your business?

Timing strategies could become more powerful in 2017, depending on what happens with tax reform

The timing of a business’s income and deductible expenses can have a big impact on tax liability. And timing really may be everything for businesses when it comes to 2017 year-end tax planning.

Why you may want to accelerate your property tax payment into 2017

Smart timing of deductible expenses can reduce your tax liability, and poor timing can unnecessarily increase it. Should you prepay property tax on your home to accelerate your deduction into 2017?

Larger deduction might be available to businesses providing meals to their employees

While many business expenses benefiting employees are 100% deductible, often meals are only 50% deductible. But a recent Tax Court ruling involving a hockey team could lead to a 100% deduction for more meals.

Ensuring a peaceful succession with a buy-sell agreement

What can go wrong when a business owner must (or decides to) leave the company? Plenty! Here’s how a buy-sell agreement can help keep the peace.