Many business owners do not think about ownership succession until they are ready to retire. This is a mistake. Transferring ownership of the business takes time and planning. In this article, we will review your options and the tax ramifications so you can make the best decision and start planning ahead.
Now that you have become a realtor, you are considered self- employed for tax purposes and you should approach this like any business venture. This means that it is now time to keep track of your income and expenses to track the monetary success (and failures) of your new business.
Have you been looking for ways to save your company money on income taxes? Working with your CPA’s at Harris to conform to the new eligibility requirements of the Tax Cuts & Jobs Act (TCJA) could help you save up to 20 percent! This savings sounds great, but qualifying for these deductions has become complex with TCJA.
FASB has given NFP’s the option to use private company treatment of goodwill. This means that NFP’s can elect to Amortize goodwill over a 10 year period (or less if the entity can justify the accelerated schedule). If NFP’s elect this method, they get the benefit of only having to test for impairment of goodwill during “triggering events” as opposed to annually. This saves NFP’s both time and money as goodwill impairment tests usually require the contracting of a specialist.
The IRS has released new requirements regarding plan documents for 403(b) plans that will likely result in amending your current plan document or restating your plan entirely. Now is the time to make sure your 403(b) plan is compliant before the remedial period ends March 31, 2020. Let us help you determine if changes need to be made or if you are already in the clear!
In August 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2016-14 (ASU 2016-14) with the stated purpose of improving financial reporting by not-for-profit entities (NFP). The update is effective for annual financial statements issued for fiscal years beginning after December 15, 2017. One area has presented challenges to nonprofits is the presentation of the analysis of expenses by function and natural classifications. This article provides some great guidance on options available under the ASU for the presentation of expenses.
The IRS just released a new set of proposed regulations on April 17, 2019 regarding investments in Opportunity Zones. The newly minted Section 1400Z-2 of the IRC allows for deferral of capital gains if they are subsequently invested in a designated “Opportunity Zone” and these proposed regulations provide additional guidance for taxpayers on how to decipher the code.
At the beginning of 2019 Harris CPAs, in conjunction with CICPAC and PAS, Inc., published a survey reporting the 2018 national salary levels for 3 key positions in the construction industry. The salaries for these positions, which were Senior Project Managers, Senior Estimators, and Controllers, were further categorized by revenue thresholds for the companies surveyed. Finally, mean and median averages were calculated/identified for each revenue category.
Missing deadlines for deposits on employee benefit plan participants retirement accounts—even by a couple of days—can carry significant penalties. Our latest blog more clearly defines the requirements and how to avoid significant penalties
As we enter 2019, a variety of forces are at play. The IRS will continue to release additional guidance on provisions introduced via tax reform, the future of U.S. trade policy is uncertain and interest rates will likely rise again.