Returning Value Blog

On September 22, 2016, the Internal Revenue Service and its Security Summit partners issued an alert to taxpayers and tax professionals to be on guard against fake emails purporting to contain an IRS tax bill related to the Affordable Care Act.

Many manufacturers aren’t aware that activities they perform in the daily course of their work fall under the classification of research and development activities and could, therefore, be eligible for valuable federal and state tax credits. In 1981, the federal government implemented the Research and Experimentation tax credits to create jobs and spur technological innovation. Familiarly known as research and development (R&D) tax credits, the program was intended as a temporary measure that lawmakers hoped would give the economy a boost.

A key component of estate planning

Most of us lead hectic lives, but as part of an estate plan, it is important to take the time to designate or update beneficiaries for all of your assets. Notably, you should be aware that designations for retirement plans and life insurance policies supersede beneficiary dispositions in your will. Keeping that in mind, here are several practical suggestions.

Comparing C corporations with S corporations

If you are organizing a new business or considering a switch from one to the other for an existing business structure, you may prefer to elect S corporation status for tax purposes rather than a traditional C corporation.

Make these elections on your 1040 tax return.

Owners of rental property may be surprised to learn that they may take a tax deduction on their 1040 tax returns. Tangible property regulations, issued by the IRS in 2013, address a wide variety of topics, including materials and supplies; repairs and maintenance; capital expenditures; and amounts paid for the acquisition and improvement of tangible property. 

Choose one of three tax-savers

Now that your children are back in school, you might consider the available tax breaks for higher education expenses. Following extensions and modifications under the Protecting Americans from Tax Hikes (PATH) Act of 2015, there are three primary tax provisions that may benefit parents: the American Opportunity Tax Credit (AOTC), the Lifetime Learning Credit (LLC) and the tuition deduction.

If you have been hoping or planning on taking valuation discounts when transferring ownership interests in privately held businesses to family members, the time to do so may be coming to an abrupt end.

Understanding How Present Value Works in the Context of Business Valuation

Consider the following scenario: You and a friend are taking in a ballgame one lovely evening at the old ballpark. All is well until that friend of yours mentions that he forgot his wallet. Said friend, then sheepishly asks if he can borrow $50 to fund his consumption of requisite ballpark goodies—a hot dog, a frosty beer, peanuts (what would a ballgame be without peanuts?) and ice cream.

Understanding the Differences Can Help Voters Make Informed Choices

As we near the home stretch of this year’s presidential campaign, the din of July’s Republican and Democratic national campaigns seems like a distant memory. Indeed, the presidential race has taken so many unexpected twists and turns in the weeks since those two conventions, even jaded veteran political journalists are shaking their heads in disbelief.

Tax rules may affect your donations

Do you own shares of stock that you want to contribute to charity? Before you pull the trigger on the donation, make sure that you give away the “right kind” of securities instead of the “wrong kind.” It can make a big difference on your tax return.