Articles From Lumsden McCormick

Businesses that accept large cash payments have strict IRS reporting obligations. Transactions over $10,000 must be reported using Form 8300, and failure to comply can lead to steep penalties. Understanding what counts as cash, electronic filing rules, and proper recordkeeping is essential to stay compliant and avoid costly mistakes.

Local government leaders across the country are consistently tasked with finding ways to stretch shrinking budgets and dwindling staff. Here are just a few of the benefits Lumsden McCormick can offer government entities looking to maximize resources. 

With the passing of the One Big Beautiful Bill Act (OBBB), a number of the tax incentives created or strengthened by the Inflation Reduction Act (IRA) of 2022 have been repealed. Learn about the credits that will be expiring early under the new tax legislation and consider taking advantage of them before the window to do so closes.

A quiet trust, also known as a silent trust, is an estate planning tool that keeps beneficiaries unaware of the trust’s existence until a specified age or milestone. While it can preserve motivation and protect heirs from external pressures, it may also lead to missed opportunities or resentment. For some families, an incentive trust, which rewards responsible behavior may offer a more balanced approach.

Creating an effective nonprofit budget requires more than adjusting last year’s numbers. A collaborative approach, accurate forecasting, and scenario planning can help organizations stay agile and prepared for uncertainty. Building reserves and aligning budgets with strategic goals ensures long-term sustainability and mission success.

The One Big Beautiful Bill makes the Section 199A qualified business income (QBI) deduction permanent and expands income phase-in ranges starting in 2026, allowing many service-oriented businesses to claim larger deductions. It also introduces a minimum QBI deduction for eligible taxpayers and adjusts thresholds for inflation. Strategic planning, such as managing taxable income and increasing W-2 wages, can help maximize these benefits.

Owning a business with your spouse can be rewarding, but it also brings unique tax challenges that can impact your bottom line. From self-employment tax surprises to IRS partnership rules, understanding your options like electing joint venture status, forming an S corporation, or restructuring roles can help you minimize taxes and simplify compliance.

Executive Order 14247 requires the IRS to transition all tax-related payments and refunds to electronic methods starting September 30, 2025, eliminating paper checks except in limited cases. Taxpayers will need to use direct deposit, prepaid debit cards, or digital platforms for refunds and make payments through approved electronic systems, with support available for those lacking access to traditional banking.

Custodial accounts offer a flexible way for adults to manage investments on behalf of minors, allowing the assets to legally belong to the child while controlled by a custodian until adulthood. These accounts support various asset types and provide tax benefits but come with considerations regarding control and financial aid impact.

A well-planned nonprofit board retreat starts with a meaningful topic. This article explores how choosing a central theme such as risk management, financial reporting, or donor engagement can lead to focused discussions and actionable outcomes that strengthen your organization’s strategy.