If you use an automobile in your trade or business, you may wonder 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. Cents-per-mile vs. […]
Democrats’ tax plan kills backdoor Roths, sharply curbs founder stock loophole
Cordasco weighs in on the current “great tax debate” through Accounting Today article. Follow Cordasco’s view and opinion as current tax law makes it way through Congress. https://bit.ly/3EBKXVU […]
Scholarships are usually tax free but they may result in taxable income
If your child is fortunate enough to be awarded a scholarship, you may wonder about the tax implications. Fortunately, scholarships (and fellowships) are generally tax free for students at elementary, middle and high schools, as well as those attending college, graduate school or accredited vocational schools. It doesn’t matter if the scholarship makes a direct […]
Is your business underusing its accounting software?
Someone might have once told you that human beings use only 10% of our brains. The implication is that we have vast, untapped stores of cerebral power waiting to be discovered. In truth, this is a myth widely debunked by neurologists. What you may be underusing, as a business owner, is your accounting software. Much […]
Democrats’ tax plan kills backdoor Roths, sharply curbs founder stock loophole
Cordasco weighs in on the current “great tax debate” through Accounting Today article. Follow Cordasco’s view and opinion as current tax law makes it way through Congress. https://bit.ly/3EBKXVU […]
5 possible tax aspects of a parent moving into a nursing home
If you have a parent entering a nursing home, you may not be thinking about taxes. But there are a number of possible tax implications. Here are five. 1. Long-term medical care The costs of qualified long-term care, including nursing home care, are deductible as medical expenses to the extent they, along with other medical […]
Expanding succession planning beyond ownership
Business owners are regularly urged to create and update their succession plans. And rightfully so — in the event of an ownership change, a solid succession plan can help prevent conflicts and preserve the legacy you’ve spent years or decades building. But if you want to take your succession plan to the next level, consider […]
What’s the future of 2021 tax legislation and impact on tax planning?
If you have been following the news, Congress is on a collision course with passing sweeping tax legislation before year end. As the House of Representatives begins to draft the outline of a $3.5 trillion spending bill all eyes are on the provisions which will be contained in this bill. Although there is significant speculation […]
What will happen with Capital Gains Tax?
This has been one of the major topics of discussion in 2021. President Biden proposed that the current capital gains rate be increase from a preference 20% rate to ordinary income tax rates at a maximum rate of 39.6%. This would apply to married individuals with earnings over $1 million (presumably including all income including […]
There’s currently a “stepped-up basis” if you inherit property — but will it last?
If you’re planning your estate, or you’ve recently inherited assets, you may be unsure of the “cost” (or “basis”) for tax purposes. The current rules Under the current fair market value basis rules (also known as the “step-up and step-down” rules), an heir receives a basis in inherited property equal to its date-of-death value. So, […]
