Important changes to retirement plan tax rules are once again moving through Congress. The details are subject to revision and ultimate passage of the proposed new rules is still far from certain. Nevertheless, employers who are planning to introduce new retirement benefits or modify their existing plans should be alert to possible rule changes that could emerge over the coming months. (more…)
Cryptocurrency: Tax Treatment of Digital Assets
Despite their volatility, cryptocurrencies such as bitcoin and Ethereum continue to attract investors and users. To accommodate these customers, a growing number of businesses have begun accepting digital currencies as payment for their products or services. If your company is among them, it is important to understand the tax treatment of such digital assets and to stay abreast of the changing tax and reporting requirements. (more…)
Tax-Deferred Benefits - Using Retirement Plans as a Recruiting Tool
With unemployment at its lowest level in decades, many businesses are struggling to retain employees and fill vacancies. An attractive retirement or profit-sharing plan can help meet this challenge while also reducing a company’s tax liability. It can also help company owners accumulate wealth for their own retirement. (more…)
The Importance of an Insurance Coverage Audit
Insurance is a fact of life for real estate investors. From start to finish, each project needs to have the proper insurance. The time to wonder whether you’re properly insured is before there’s an issue. To be safe, hiring a qualified professional to help you conduct an insurance coverage audit may be necessary. Coverage audits can reduce the odds of an uncovered incident undermining the project’s profitability — or worse. (more…)
ASU 2016-13: Accounting for Current Expected Credit Loss (CECL)
By Deepa Bhat, CPA, CFE, ACA, Principal
Starting in January 2023, businesses must conform to a new accounting standard for measuring expected credit loss. It’s perhaps one of the biggest accounting changes for financial institutions in a decade – but they’re not the only ones affected. Nonfinancial institutions may still have financial instruments and other assets that will require a different accounting approach and new internal controls. Implementing the current expected credit loss (CECL) accounting methodology takes a forward-looking approach to risk modeling and will be a significant undertaking for many. (more…)
Selling a Business? Consider Tax Questions Early
As businesses adjust to the post-pandemic economy and private equity firms increase their searches for new acquisitions, a growing number of business owners may find themselves facing intriguing but unnerving questions about whether now is the time to sell—and if so, how to structure the deal. Among the many factors to consider is the tax consequences of the transaction. (more…)
Proposed Regs Clarify Rehabilitation Credit
The IRS has released proposed regulations regarding changes made to the Internal Revenue Code’s Section 47 rehabilitation tax credit under the Tax Cuts and Jobs Act (TCJA). The regulations address several taxpayer concerns that have arisen in the wake of the law’s passage, including how the credit should be allocated. (more…)
Recent California Tax Law Changes Can Benefit Business Owners and Employees
Recently enacted California tax legislation included both good news and bad news for business owners. Senate Bill 113 (SB 113) contained a number of key and favorable changes made retro-active for the 2021 tax year. California Senate Bill 114 (SB 114) reinstated a mandatory COVID-19 supplemental sick leave requirement for employers. (more…)
Consolidated Appropriations Act - 3 Provisions for the Real Estate World
Late 2020 saw the enactment of a massive new federal spending law. Much of the media attention focused on the relief related to COVID-19, but the Consolidated Appropriations Act (CAA) also includes some tax-related provisions of particular interest to real estate owners and developers. Here are some tax law changes you should know about. (more…)