It’s finally official—President Barack Obama signed H.R. 5771, The Tax Increase Prevention Act Friday, December 19, 2014.
Businesses will enjoy the one-year extension of the research and development credit and bonus depreciation
Business Tax Provisions:
In this issue:
The Month of May:October 1st:
In this issue:
The Month of May:
With the end of tax filing and the start of summer why not focus on new beginnings? Included in this month's newsletter are some ideas to help find summer employment and some suggestions on the benefits of creating a good accounting system for your small businesses.
Wonder what the IRS has in store for audits? Consider reviewing the article on audit statistics and a new area of focus within the agency on alimony reporting compliance.
Should you know of someone who may benefit from this information please feel free to forward this newsletter to them.
Camarillo Award Program Honors the Achievement
CAMARILLO June 20, 2014 -- DiSabatino CPA has been selected for the 2014 Best of Camarillo Award in the Certified Public Accountants category by the Camarillo Award Program - the second consecutive year!
Small Businesses: Plan for Lower Section 179 Expense
Top-line: In 2014, the annual expense limit for Section 179 is now $25,000, down from $500,000 in 2013. You will need to plan accordingly.
Section 179 of the tax code allows businesses to immediately expense qualified capital purchases versus depreciating (recovering) their cost over time. Qualified purchases can be new or used equipment and certain software placed in service during the year. This benefit can be maximized as long as total qualified asset purchases by your business do not exceed $200,000 (formerly $2 million) during your 2014 tax year.
Too many taxpayers assume they are not required to file a tax return and end up losing a potential refund. To help ensure this does not happen to you, here are some common things to help you decide whether a review of your situation is in order.
Phone: 805-389-7300 • Fax: 805-435-7498 •
Flexible spending accounts (FSAs) allow taxpayers to set aside pre-tax dollars to pay for out-of-pocket medical expenses. The drawback has been the fact that unused amounts each year are forfeited. Plans could provide a 2½ month grace period to use up unspent set-asides.
Now a change announced by the IRS adds more flexibility to these accounts. Plans can be modified by employers to allow up to $500 of unused amounts to be carried over into the following year. Health FSAs cannot have both the old 2½ month grace period and the $500 carryover; they can have one or the other (or neither).
As part of your planning for next year, now is the time to review funding your retirement accounts. By establishing your contribution amounts at the beginning of each year, the financial impact of saving for your future should be more manageable. Here are annual contribution limits for the more popular programs:
Phone: 805-389-7300 • Fax: 805-435-7498 •
January 2014 Monthly Client Newsletter
Every year,the General Services Administration (GSA) establishes per diem rates for government employees in the 48 states in the continental U.S. and the District of Columbia ("CONUS" rates); in areas outside the continental United States (Hawaii, Puerto Rico and U.S. possessions ("OCONUS" rates); and in foreign countries.
The IRS says that private employers may use these "per diem" rates as a record keeping shortcut to reimburse employees for business travel with no hassles.
Everyone wants to save taxes. Well here is a solution to defer taxes, which in the long run may save you taxes - feel free to contact us to learn more about the basic strategy of retirement planning.
Strategy: Set up a solo 401(k) plan. Due to special tax rules, you can contribute more to this type of plan than other comparable retirement plans. In fact, a solo 401(k) offers an unprecedented tax-saving opportunity for a married couple working together.