Business Owners

New Guidance Issued on Deductibility of PPP Loan Expenses by Andrew Leonard, CPA

Posted on December 01, 2020 by Andrew Leonard

The IRS and Treasury Department recently released guidance clarifying how Paycheck Protection Program (PPP) participants must treat loan expenses when they have not received loan forgiveness by the end of the 2020 tax year. Under Revenue Ruling 2020-27 and Revenue Procedure 2020-51, businesses that “reasonably believe” the SBA will forgive their PPP loans in the […]

IRS Confirms Annual Per Diem Rates for Business Travel Expense Reimbursement by Lewis Taub, CPA

Posted on November 13, 2020 by Lewis Taub

The IRS updated the per diem rates companies should use beginning Oct. 1, 2020, to reimburse employees for business-travel expenses, including lodging, meals, entertainment and other incidentals. The guidance also includes special rates for travel to high-cost localities and for meals and incidental expenses (M&IE) incurred by members of the transportation industry. The per diem […]

IRS Brings Back Old Form for Businesses to Report Non-Employee Compensation by Cherry Laufenberg, CPA

Posted on November 06, 2020 by Cherry Laufenberg

Businesses that usually file IRS Form 1099-MISC to report payments they make to independent contractors, gig-economy workers and outside consultants should prepare for change in the coming year. Effective for tax years beginning in 2020, the IRS requires businesses to report nonemployee compensation totaling $600 or more on Form 1099-NEC rather than including it on […]

Businesses Surprised to Receive ACA Penalties by Adam Cohen, CPA

Posted on October 26, 2020 by Adam Cohen

The Affordable Care Act (ACA), signed into law in 2010 and effective for tax years beginning in 2014, continues to be a source of political and legal contention. Today, amid the COVID-19 pandemic and resulting business closures and job losses, Republican lawmakers and business owners in 20 states prepare to argue before the Supreme Court […]

IRS Issues Final Regulations on the Business Interest Expense Deduction Limitation by Heath Standorf, CPA

Posted on October 20, 2020 by Heath Standorf

The IRS recently published final regulations regarding the business interest expense deduction limitations introduced in 2017 by the Tax Cuts and Jobs Act (TCJA) and recently updated by the CARES Act. Included in the final regulations are guidance to help taxpayers identify and calculate their interest deduction limitation and FAQs to help them understand if […]

IRS Grants Certain Deductions for Estates and Non-Grantor Trusts, Including Excess Deductions on Termination by Jeffrey M. Mutnik, CPA/PFS

Posted on October 13, 2020

The Internal Revenue Service (IRS) recently issued final regulations that allow decedents’ estates and non-grantor trusts to claim certain deductions that would otherwise have been disallowed under the 2017 overhaul of the tax code. The Tax Cuts and Jobs Act (TCJA) barred individuals, estates and non-grantor trusts from claiming miscellaneous itemized deductions for any taxable […]

Due Diligence Required for Cannabis Businesses and their Investors by Richard Fechter, JD, CAMS, CFE

Posted on October 10, 2020 by Richard Fechter

Although the U.S. government postponed its plan last week to vote on a bill that could legalize marijuana use at the federal level, the rapidly growing cannabis business remains alive and well at the state level. There are currently 33 states that have legalized marijuana for medical use, 11 of which have also legalized use […]

What You Need to Know about Income Taxes for Hobbies and Side Gigs by Jack Winter, CPA

Posted on September 29, 2020 by Jack Winter

Job losses and small-business closures are forcing Americans to reconsider the ways in which they earn income and provide for their families during and after the COVID-19 pandemic. Some are finding survival by entering the growing gig economy or turning their hobbies into businesses that can generate income in the current economic climate. However, it […]

What the Self-Employed Should Know About Taxes on Unemployment Benefits by Kevin McNally, JD

Posted on September 22, 2020 by Kevin McNally

Among the millions of American workers filing for unemployment compensation in the wake of the COVID-19 pandemic are self-employed individuals, independent contractors and part-time workers who otherwise would not qualify for these benefits. While the extension of unemployment assistance to these workers is good news, it is critical for out-of-work individuals to recognize that the […]

Taxing Challenges for the New Work-from-Home Labor Force by Karen A. Lake, CPA, CFST

Posted on September 08, 2020 by Karen Lake

The COVID-19 pandemic has forced a record number of taxpayers to work from home, creating a sea of new income tax challenges they had not previously been required to consider. Despite all the conveniences of work-from-home (WFH) policies, employees need to prepare themselves for how this new normal will impact their state and federal tax […]

Category: Business Owners