Tax Breaks for Businesses Hiring New Employees

Brian SingletonBlog, Watch Your Wallet

If you’re thinking about hiring new employees this this year you won’t want to miss out on tax breaks available to businesses with employees. 1. Payroll Tax Deduction for Startups As part of the Research & Development Tax Credit, for tax years 2016 and beyond, startup businesses (C-corps and S-corps) with little to no revenue that qualify for the research and development tax credit can apply the credit against employer-paid Social Security taxes instead of income tax owed. Sole proprietorships, … Read More

Energy Tax Credits Expire at the end of 2016

Brian SingletonBlog, Watch Your Wallet

Certain energy-efficient home improvements can cut your energy bills and save you money at tax time; however, these energy-related tax credits expire at the end of 2016. Here are some key facts that you should know about home energy tax credits: Nonbusiness Energy Property Credit Part of this credit is worth 10 percent of the cost of certain qualified energy-saving items you added to your main home last year. This may include items such as insulation, windows, doors, and roofs. … Read More

2016 Year-End Tax Planning for Businesses

Brian SingletonBlog, Watch Your Wallet

There are a number of end of year tax planning strategies that businesses can use to reduce their tax burden for 2016. Here are a few of them: Deferring Income Businesses using the cash method of accounting can defer income into 2017 by delaying end-of-year invoices so payment is not received until 2017. Businesses using the accrual method can defer income by postponing delivery of goods or services until January 2017. Purchase New Business Equipment Section 179 Expensing. Business should … Read More

What Employers Need To Know About The ACA

Brian SingletonBlog, Watch Your Wallet

The healthcare law contains tax provisions that affect employers. The size and structure of a workforce--small or large--helps determine which parts of the law apply to which employers. Calculating the number of employees is especially important for employers that have close to 50 employees or whose workforce fluctuates during the year. The number of employees an employer has during the current year determines whether it is an applicable large employer for the following year. Applicable large employers (ALEs) are generally ... Read More

2015 Year-End Business Tax Planning

Brian SingletonBlog, Watch Your Wallet

Business tax planning gets more important as the sun begins to set on 2015. While the fate of several business-related tax extenders that expired at the end of 2014 is uncertain, there are still year-end business tax planning strategies to reduce the tax burden for 2015.

Tax Benefits for Higher Education

Brian SingletonBlog, Watch Your Wallet

Many tax benefits are available to help you pay higher education costs, whether for your children or yourself. Let’s take a look at what’s available and how you can take advantage of these benefits to ease the financial burden of paying for education. Coverdell Education Savings Accounts (Section 530 Programs) Starting in 2013, you can contribute up to $2,000 to a Coverdell Education Savings account (a Section 530 program formerly known as an Education IRA) for a child under 18. … Read More