Tag Archives: Tax Planning
If You Are “Rich” Obama Wants Your Money
If you were taking a wait and see approach to assessing the Obama presidency you might want to read this article by Bill Carlino of Accounting Today. In his article he describes all of the changes implemented by the Obama administration so far and several of the proposed changes. If you are “rich” according to Obama’s definition be prepared! Continue reading
Roth Conversions – Should You Wait For 2010, If At All?
There are a number of advantages for starting a Roth IRA account, the most important being that all the investment earnings grow tax-free, and qualified distributions are tax-free. Additionally, you can continue to make contributions to your Roth after you turn 70 1/2 and are not subject to the required minimum distribution rules. Currently, only individuals who have a modified adjusted gross income (AGI) of less than $100,000 and/or who do not file their return as “married filing separately” can contribute to a Roth IRA, or convert their traditional IRA to a Roth. Continue reading
Posted in Tax, Tax Planning, Wealth Management
Tagged Individual Tax, ROTH IRA, Tax, Tax Planning
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How Business Can Leverage The Tax Benefits Of Recent Stimulus Package
I found a great analysis of the American Reinvestment and Recovery Act of 2009 published by the AICPA this week. The analysis is titled “ARRA Part 1: How Business Can Leverage the Tax Benefits of ARRA 2009″ and it covers some key planning opportunities available for businesses. Please read the analysis and let me know your thoughts.
Posted in Tax, Tax Planning
Tagged ARRA, Business Tax, Small Business, Tax, Tax Planning
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President Obama releases details about tax incentives for individuals
Just over 100 days into his administration, President Barack Obama is releasing more details about his tax policies. The Treasury Department’s recently published “Green Book” (which is called green for the color of its cover) describes the president’s tax proposals. As expected, many of the proposals build on the president’s campaign promises to cut taxes for middle-income individuals. Congress has already begun drafting legislation and debating the president’s proposals, which could be enacted into law later this year.
Posted in Tax, Tax Planning, Wealth Management
Tagged Tax, Tax Planning, Tax Proposals
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How Will Obama’s Tax Proposals Affect You?
CCH recently published their Tax Briefing on the Obama Administrations “Green Book” of tax proposals.
The Obama administration released much-anticipated details about its proposed tax cuts and revenue raisers on May 11. The Treasury Department’s General Explanations of the Administration’s Fiscal Year 2010 Revenue Proposals (also known as the “Green Book”) describes the administration’s tax agenda. Continue reading
Posted in Community Banking, Employee Benefits, Tax, Tax Alerts, Tax Planning
Tagged Green Book, Tax, Tax Alert, Tax Planning
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How Do I? Figure the first-time homebuyer tax credit?
The Housing Assistance Tax Act of 2008 (2008 Housing Act) gave a boost to individuals purchasing a home for the first time with a $7,500 first-time homebuyer tax credit. The credit was enhanced from $7,500 to $8,000 and extended for certain purchases under the American Recovery and Reinvestment Act of 2009 (2009 Recovery Act). This article explains how to determine the credit for eligible first-time homebuyers.
Posted in Tax, Tax Planning
Tagged 2008 Housing Act, Individual Tax, Tax, Tax Planning
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President’s Tax Proposals Stir Controversy
Several tax provisions in President Obama’s proposed federal budget for fiscal year (FY) 2010 have garnered significant criticism on Capitol Hill since the Obama administration released the budget. Obama’s proposed budget would cost $3.5 trillion, make major long-term changes to individual and business tax, and includes proposals to limit tax deductions for mortgage interest and charitable contributions for higher-income taxpayers, in addition to long-term plans that raise tax rates from their current level for higher-income individuals Continue reading
The growing AMT threat: What is it, and how to avoid it?
You may have heard people who talk about money or politics for a living mention something about the Alternative Minimum Tax, or AMT, as it is often called. Mention of the AMT has become more frequent of late because millions more taxpayers will be forced to calculate and pay this tax in the next few years. Dubbed “the stealth tax,” the AMT has been blindsiding many “ordinary” taxpayers who count on taking what have become “ordinary” deductions. The AMT has been made even more dangerous by the labyrinth of rules for calculating the tax, which are complicated enough to give seasoned tax professionals fits. There are two questions that taxpayers want answered when it comes to the AMT: “What is it?” and “What can I do to avoid it?”
Am I overpaying in withholding and estimated tax?
Although an annual review of your form W-4 (Employee’s Withholding Allowance Certificate) or estimated tax payments is always important, it may be particularly imperative to do so in 2009. The current economic recession and other changes to your personal and financial situation may have had, and will continue to have, a significant impact on your income. Moreover, recent changes in the tax law, including extensions of certain deductions and credits through 2009, make accurately estimating your tax and ensuring you are not overpaying in withholding all the more important. Changes in the latest stimulus tax package likely will require further adjustments to withholding and estimated tax for many taxpayers.
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Posted in Tax, Tax Planning
Tagged Estimated Taxes, Making Work Pay, Payroll Taxes, Tax, Tax Planning, W-4
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“Reasonable” compensation: Hot button for IRS auditors
In order to be tax deductible, compensation must be a reasonable payment for services. Smaller companies, whose employees frequently hold significant ownership interests, are particularly vulnerable to IRS attack on their compensation deductions.
Posted in Tax, Tax Planning
Tagged Reasonable Compensation, Sub S, Tax, Tax Planning
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