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Assets

Intangible assets: How must the costs incurred be capitalized?

Assets, Business Income Tax, Income Tax, Intangible Assets, Small Business, Tax /

These days, most businesses have some intangible assets. The tax treatment of these assets can be complex. What makes intangibles so complicated? IRS regulations require the capitalization of costs to: Acquire or create an intangible asset, Create or enhance a separate, distinct intangible asset, Create or enhance a “future benefit” identified in IRS guidance as […]

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Separating your business from its real estate

Assets, Business Income Tax, C Corporation, Capital Gains, Estate Planning, Income Tax, LLC, Partnerships, Past-Through Entities, Real Estate, Small Business Owners /

Does your business need real estate to conduct operations? Or does it otherwise hold property and put the title in the name of the business? You may want to rethink this approach. Any short-term benefits may be outweighed by the tax, liability, and estate planning advantages of separating real estate ownership from the business. Tax

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How do taxes factor into an M&A transaction?

Assets, C Corporation, Federal Taxes, Income Tax, LLC, Merger & Acquisition, Partnerships, S Corporation, Small Business, Stocks /

Although merger and acquisition activity has been down in 2022, according to various reports, there are still companies being bought and sold. If your business is considering merging with or acquiring another business, it’s important to understand how the transaction will be taxed under current law. Stocks vs. assets. From a tax standpoint, a transaction

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Taking the opposite approach: Ways your business can accelerate taxable income and defer deductions

Assets, Business Income Tax, Deductions, Federal Income Tax, LLC, Partnerships, Past-Through Entities, S Corporation, Small Business, Small Business Owners /

Typically, businesses want to delay recognition of taxable income into future years and accelerate deductions into the current year. But when is it prudent to do the opposite? And why would you want to? One reason might be tax law changes that raise tax rates. There have been discussions in Washington about raising the corporate

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Stock market investors: Year-end tax strategies to consider

AGI (Adjustable Gross Income), Assets, Capital Gains, Federal Taxes, Investment, Stocks, Year End Planning /

Year-end is a good time to plan to save taxes by carefully structuring your capital gains and losses. Consider some possibilities if you have losses on certain investments to date. For example, suppose you lost money this year on some stock and have other stock that has appreciated. Consider selling appreciated assets before December 31

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Small businesses: There still may be time to cut your 2021 taxes

(CARES ACT), Accrual-Basis Taxpayers, Assets, Business Deductions, Income Tax, Small Business, Tax Cuts and Job Acts (TCJA), Tax Savings, Year End Planning /

Don’t let the holiday rush keep you from considering some important steps to reduce your 2021 tax liability. You still have time to execute a few strategies. Purchase assets. Thinking about buying new or used equipment, machinery or office equipment in the new year? Buy them and place them in service by December 31, and

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Feeling generous at year end? Strategies for donating to charity or gifting to loved ones

Assets, Charitable, Deductions, IRA, Itemized Deduction, Qualified Charitable Distribution (QCD), Securities, Tax Return /

As we approach the holidays, many people plan to donate to their favorite charities or give money or assets to their loved ones. Here are the basic tax rules involved in these transactions. Donating to charity. Normally, if you take the standard deduction and don’t itemize, you can’t claim a deduction for charitable contributions. But

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M&A transactions: Be careful when reporting to the IRS

Amortization Assets, Assets, Depreciation, Internal Revenue Service (IRS), Merger & Acquisition, Small Business, Tax, Tax Planning /

Low interest rates and other factors have caused global merger and acquisition (M&A) activity to reach new highs in 2021, according to Refinitiv, a provider of financial data. It reports that 2021 is set to be the biggest in M&A history, with the United States accounting for $2.14 trillion worth of transactions already this year.

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Getting a divorce? Be aware of tax implications if you own a business

Assets, Divorce, Federal Income Tax, Federal Taxes, Gift and Estate Tax, Small Business /

If you’re a business owner and you’re getting a divorce, tax issues can complicate matters. Your business ownership interest is one of your biggest personal assets and in many cases, your marital property will include all or part of it. Tax-free property transfers. You can generally divide most assets, including cash and business ownership interests,

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Is an LLC the right choice for your small business?

Assets, Limited Liability Company, LLC, Partnerships, S Corporation, Tax Deduction, Tax Savings /

Perhaps you operate your small business as a sole proprietorship and want to form a limited liability company (LLC) to protect your assets. Or maybe you are launching a new business and want to know your options for setting it up. Here are the basics of operating as an LLC and why it might be

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