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The Indiana College Credit
The Tax Cuts and Jobs Act (TCJA) passed on December 20, 2017 was the biggest tax bill since the Tax Reform Act of 1986. As a CPA, this new act has greatly impacted my profession. One area of impact is on form Schedule A, where itemized deductions are reported. State, Local and Real Estate Taxes…
Read MoreAccounting Lease Standard Soon to Take Effect
We have been talking (since 2013) about changes to lease accounting standards and now they are here! Approved by the Financial Accounting Standards Board, Accounting Standards Codification Topic 842 (ASC 842) Leases presents dramatic changes to how lease transactions are accounted for in your financial statements. This standard is effective beginning with 2020 calendar year-ends for…
Read MoreIRA Contribution to Charity
With the filing season now complete for the 2018 tax year, many taxpayers may have noticed that the standard deduction pretty much doubled. The standard deduction was increased to $24,000 per married couple ($12,000 for single tax payers) with the new TCJA tax legislation beginning in 2018, which in turn created a much lower number of taxpayers…
Read MoreLLCs Electing S Corporation Status
Limited Liability Companies (LLCs) are a popular choice of business entity among small business owners. This is because a multi-member LLC combines the limited liability of a corporation with the tax flexibility of a partnership. There may be times, however, when LLC members choose to make an S Corporation election. Before that happens, it is…
Read MoreNew Indiana Depreciation Rules
On May 5, 2019, Governor Holcomb signed into law Senate Enrolled Act #565 updating numerous tax provisions including updates to both Section 179 and bonus depreciation when property is acquired in a trade. We now have two separate Section 179 limitations. The Section 179 limit for property acquired in a trade is generally limited to…
Read MoreLate in 2018, the Internal Revenue Service announced the 2019 official estate and gift tax limits
2019 Individual Estate and Gift Tax Exemption The 2019 estate and gift tax exemption is $11.4 million per individual, up from $11.18 million in 2018. What does this mean? An individual can leave $11.4 million to heirs and pay no federal estate or gift tax while married couples will be able to shield $22.8 million. This shield…
Read MoreIndirect Roth IRA Strategy
Lincoln Perkins, CPA Mr. and Mrs. Roth want to accumulate monies in individual Roth IRA’s so they will have an income tax free source of cash during their future retirement. Unfortunately, their adjusted gross income is higher than the IRS limits and they are prohibited from making direct contributions to a Roth IRA. The…
Read MoreChanges to the Department of Workforce Development Reporting Requirements
Beginning in spring 2019, the Indiana Department of Workforce Development (DWD) has rolled out a new platform in which state unemployment tax must now be submitted by all employers. The new platform will allow employers full online access to Unemployment Insurance account information, including report submission, tax payments and information on account issues. Updates to…
Read MoreThe Tax Cuts and Jobs Act and Nonprofit Entities
The “Tax Cuts and Jobs Act” (TCJA) has a far-reaching impact to nonprofit entities that was not publicized until December 2018. Embedded in the TCJA were items regarding non-deductible parking fringes. In this verbiage, nonprofits were mentioned and on December 10, 2018 the IRS provided guidance to assess the impact on nonprofits that provide parking…
Read MoreWhat Do You Love?
What do you love? Each year on Valentine’s Day it’s nearly impossible to avoid the barrage of hearts and hues of red and pink that flood the world over. Candy and flowers and chocolates suddenly appear in every retailer from the grocery store to the gas station. The signs of love are everywhere. For the…
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