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Returning Value Blog

The Standard Business Mileage Rate Will Be Going Up in 2024

Posted by Murry Guy, CPA on Jan 17, 2024

The optional standard mileage rate used to calculate the deductible cost of operating an automobile for business will be going up by 1.5 cents per mile in 2024. The IRS recently announced that the cents-per-mile rate for the business use of a car, van, pickup, or panel truck will be 67 cents (up from 65.5 cents for 2023).

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Posted in Business Tax

2023 Year-End Reminders Regarding Common Fringe Benefits

Posted by Murry Guy, CPA on Dec 14, 2023

As 2023 draws to a close, employers should review whether they have properly included the value of common fringe benefits in their employees’ and (if applicable) 2% S corporation shareholders’ taxable wages. This is especially true for 2023 and beyond, as many employers continue to deal with remote or hybrid workforces.

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Posted in Business Tax

Giving Gifts and Throwing Parties Can Help Show Gratitude and Provide Tax Breaks

Posted by Jessica L. Pagan, CPA on Dec 12, 2023

The holiday season is here. During this festive season, your business may want to show its gratitude to employees and customers by giving them gifts or hosting holiday parties. It’s a good time to review the tax rules associated with these expenses. Are they tax deductible by your business, and is the value taxable to the recipients?

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Posted in Business Tax

2023 Year-End Guide - Tax Accounting Methods

Posted by Lesley L. Price, CPA on Dec 06, 2023

A taxpayer’s tax accounting methods determine when income is recognized and costs are deducted for income tax purposes. Strategically adopting or changing tax accounting methods can provide opportunities to drive tax savings and increase cash flow. However, the rules covering the ability to use or change certain accounting methods are often complex, and the procedures for changing methods depend on the mechanism for receiving IRS consent — that is, whether the change is automatic or non-automatic. Many method changes require an application to be filed with the IRS prior to the end of the year for which the change is requested.

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Posted in Business Tax

A Company Car Is a Valuable Perk but Don't Forget About Taxes

Posted by Nick Wheeler, CPA on Dec 04, 2023

One of the most appreciated fringe benefits for owners and employees of small businesses is the use of a company car. This perk results in tax deductions for the employer as well as tax breaks for the owners and employees driving the cars. (And of course, they enjoy the nontax benefit of using a company car.) Even better, current federal tax rules make the benefit more valuable than it was in the past.

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Posted in Individual Tax, Business Tax

Key 2024 Inflation-Adjusted Tax Parameters for Small Businesses and Their Owners

Posted by Lesley L. Price, CPA on Dec 01, 2023

The IRS recently announced various inflation-adjusted federal income tax amounts. Here’s a rundown of the amounts that are most likely to affect small businesses and their owners.

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Posted in Business Tax

There Still May Be Time to Reduce Your Small Business 2023 Tax Bill

Posted by Jessica L. Pagan, CPA on Nov 29, 2023

In the midst of holiday parties and shopping for gifts, don’t forget to consider steps to cut the 2023 tax liability for your business. You still have time to take advantage of a few opportunities.

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Posted in Business Tax

FASB Finalizes New Crypto Standard in Record Time

Posted by Lesley L. Price, CPA on Nov 06, 2023

On September 6, the Financial Accounting Standards Board (FASB) unanimously voted to finalize new accounting rules on cryptocurrency assets — less than five months after the proposed standard was issued for public comment. Here’s what companies that hold these assets should know.

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Posted in Business Tax

Business Automobiles: How the Tax Depreciation Rules Work

Posted by Lesley L. Price, CPA on Oct 26, 2023

Do you use an automobile in your trade or business? If so, you may question how depreciation tax deductions are determined. The rules are complicated, and special limitations that apply to vehicles classified as passenger autos (which include many pickups and SUVs) can result in it taking longer than expected to fully depreciate a vehicle.

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Posted in Business Tax

The Social Security Wage Base for Employees and Self-Employed People Is Increasing In 2024

Posted by Nick Wheeler, CPA on Oct 25, 2023

The Social Security Administration recently announced that the wage base for computing Social Security tax will increase to $168,600 for 2024 (up from $160,200 for 2023). Wages and self-employment income above this threshold aren’t subject to Social Security tax.

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Posted in Business Tax

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