You may be trying to wrap your head around how to figure out basis of property that you receive as a gift. There are many things to consider including the adjusted cost basis to the donor just before they made the gift to you, the fair market value (FMV) at the time you were gifted, […]
Did you know that the Tax Cuts and Jobs Act made changes to deductions for business expensed meals? In fact, it eliminated the deduction for any expenses related to activities that formally could be considered entertainment, amusement or recreation. You’ll be happy to hear that under this revised rule, you may continue to deduct 50 […]
If you are either considering creating a trust to help manage your assets or if you don’t even know how a trust could help, this article can provides an overview into the world of trusts. A trust is created by you, the grantor. You write the rules governing how the trust will operate, including what […]
If you have a less-than-ideal credit score, you won’t be able to repair it overnight, however there are steps you can take to raise it over time. Watch your credit card balances How much revolving credit do you have versus how much you’re using? The smaller the percentage, the better your credit rating. You should […]
You’re looking for a loan. Your bank wants information to gauge if you have a healthy company. Therefore, the more a lender knows about your business and can see into its financial workings, the better your chances are for securing. Sufficient financial transparency can help obtain your loan. As you ask for more money, banks […]
When can you use bad debt to reduce business income? Even when you take the customer to court and you still don’t get your money, there’s a way to make lemonade from this lemon of a customer. If your business has already shown this amount as income for tax purposes, you may be able to reduce […]
You may be wondering whether the money you spent on a day care center, a babysitter, summer camp or other provider to care for your qualifying child under age 13 or a disabled dependent of any age can earn you tax credits. The child and dependent care credit provides a tax break for many parents […]
The tax reform passed at the end of 2017 runs to about 70,000 words. It’s a large and complicated piece of legislation, and we can look forward to additional guidance and clarifications. For now, here are summaries of some of the key provisions: Key changes for individuals Standard deduction amount increased. For 2018, the standard deduction […]
Running a business, or thinking of starting one? You may need investors. Here are the top suggestions for securing the interest of investors and eventually raising funds: Create a realistic budget to gain traction. To show investors you have what it takes, you’ll need a budget to get your first customers and to make sure that […]
Tax avoidance? Accelerating tax deductions, deferring income, changing one’s tax status through incorporation, and setting up a charitable trust or foundation. All of these are legal tax shelters. Tax evasion — that’s a different story. In tax evasion, you plan to reduce tax payable through illegal means. Abusive tax shelters reduce taxes, promoting the promise […]