Tax Articles
2020 Election Tax Watch: Comparing Candidates’ Potential Tax Policies
Posted by Cheryl A. Jankowski on September 28, 2020
The U.S. presidential election is just over a month away, yet neither candidate has released a formal, detailed plan addressing his vision for the tax code. We can, however, gain a sense of how their approaches differ through casual mentions of some aspects of tax policy on the campaign trail.
Ten Potential Mistakes to Avoid in Estate Planning
Posted by Robert Ingrasci on September 28, 2020
Sometimes people attempt to make an estate plan without consulting legal and financial professionals, but everyone is different and a boilerplate form isn't sufficient. Here is a list of 10 potential mistakes in estate planning that you can help avoid with professional counseling.
Year-End Payroll Tax Withholding Exposure
Posted by Mark Janulewicz on September 25, 2020
As the 2020 calendar year-end approaches, and much of the world continues to practice some form of sheltering in place, social distancing, and working remotely, companies should again assess their payroll tax reporting and withholding obligations across the U.S. and the globe. Many states have offered relief from withholding tax on employees working from home temporarily…but the key word is “temporarily.” How is that defined?
Tax Considerations of Collaboration Arrangements in the Life Sciences Sector
Posted by Cory Van Deusen V on September 25, 2020
While free-flowing collaboration and focused innovation have long been lofty ideals of biotech and pharma companies, because of the COVID-19 pandemic, they’re now imperatives to doing business. With new mandates come new funding pressures, a need to get even tougher on pipeline decisions, and a heightened risk environment.
Are First-Year Depreciation Write-Offs Right for You?
Posted by Megan Morris on September 23, 2020
Beware: It doesn't always make sense to claim 100% bonus depreciation and/or Section 179 deductions in the first year that qualifying business property is placed in service. Instead, there may be valid reasons to depreciate those assets over several years.
Tax Implications When Lenders Cancel Debts in the COVID-19 Era
Posted by Kerry Roets on September 23, 2020
Financial distress brought on by the COVID-19 crisis may cause some people to be unable to repay their debts. Debt forgiveness offered by lenders may provide some relief, but there can be a tax downside: If a creditor forgives all or part of a debt, it results in so-called “cancellation of debt” (COD) income.
Election 2020: Where Do the Candidates Stand on Business Tax Issues?
Posted by Michē Needham on September 10, 2020
Business taxes are a major issue in this year's presidential election. Here's a brief summary of how the 2020 tax platforms of Democrats and Republicans measure up on business-related issues, including corporate tax rates, the qualified business income (QBI) deduction, first-year depreciation deductions, manufacturing breaks, “green” tax credits, breaks for real estate ventures and more.
IRS Adds New FAQs on CARES Act Payroll Tax Deferrals
Posted by Cheryl A. Jankowski on August 28, 2020
Section 2302 of the CARES Act provides that, through December 31, 2020, employers may defer the deposit and payment of the employer's portion of Social Security tax and certain railroad retirement taxes. Half of the deferred amount is due on December 31, 2021, and the other half is due on December 31, 2022.
2020 Tax Planning Paradox – Accelerate Income to Lower Your Total Tax Liability
Posted by Robert Ingrasci on August 25, 2020
As 2020 winds down, it’s time to consider year-end planning. It’s an unusual year, with taxpayers experiencing losses due to the economic downturn and the possibility of higher income tax rates next year. Consequently, we need to rethink the traditional year-end advice of deferring income and accelerating deductions to minimize one’s total tax liability over the years. Accelerating income in 2020 has several advantages.
Beware: Retirement Plan Loan Defaults Can Be Costly
Posted by Bryan Staniszewski on August 24, 2020
The COVID-19 pandemic has resulted in many people borrowing from their companies' qualified retirement plans. If economic fallout from the pandemic causes you to default on one of these loans, it will cause negative tax and retirement-saving consequences.