How to Calculate Taxes on Your Social Security Benefits?
You might be surprised to learn that Social Security benefits aren’t completely tax-free. Based on your income, up to 85% of your Social Security benefits could be taxed. This applies to retirement, survivor, and disability benefits from the Social Security trust funds, but not Supplemental Security Income (SSI). You’re more likely to pay taxes on […]
Tax Planning 2024: How to Utilize Grantor Retained Annuity Trust (GRATs) for Tax Savings
At our company BSE Accounting, we have often witnessed clients seeking effective strategies to preserve and transfer their wealth efficiently. One powerful tool that I frequently recommend, especially in the current tax environment, is the Grantor Retained Annuity Trust (GRAT). Here, today we will share our insights and experiences on how to utilize GRATs for […]
Latest Tax Law Changes and How They Affect Your Tax Planning 2024
As we step into 2024, it’s crucial to stay abreast of the latest tax law changes that could significantly impact your financial planning. Navigating these adjustments can be daunting, but understanding the key changes can help optimize your tax strategy. Here’s a comprehensive overview from a tax expert’s perspective, presented as a personal narrative to […]
URGENT: Federal Reserve Cancels Recession, Prices Fall, Massive Pivot Ahead
Attention everyone! Just a few hours ago, a significant development occurred. The Federal Reserve has chosen to pause rate cuts indefinitely. Surprisingly, investors are now considering the possibility of an unexpected rate hike within the next year, assigning it a 20% probability due to rising inflation, falling stock prices, and global tensions. Today’s Federal Reserve […]
Ensuring Payroll Tax Compliance: A Cautionary Tale and Proactive Steps
When you own and operate a business, it’s imperative to exercise vigilant oversight, especially regarding payroll taxes. Failure to do so can lead to dire consequences, as illustrated by the unfortunate case of Rodney Taylor. The Case of Rodney Taylor and Robert Gard, CPA Rodney Taylor entrusted his corporation’s accounting and bookkeeping to Robert Gard, […]
Understanding Section 529 Plans and Overfunding Solutions
Are you considering a Section 529 savings plan for a child, grandchild, or other family member? These plans offer a great way to help pay for college education. While contributions are not federally tax-deductible, they grow tax-free and can be withdrawn tax-free to cover higher education expenses. What If Your Beneficiary Doesn’t Use All the […]
Partnership Dissolution: What to Expect Under Three Typical Scenarios
Winding down a partnership can be a complex and emotional process. As you navigate this transition, understanding the potential outcomes and tax implications is crucial. Here’s a detailed overview of what you might expect under three typical scenarios of partnership dissolution. Scenario 1: One Partner Buys Out the Others Overview In this scenario, one partner […]
Navigating the 2020 Employee Retention Credit (ERC) Adjustment: Compliance and Strategic Steps
The IRS mandates that anyone claiming the 2020 Employee Retention Credit (ERC) must adjust their 2020 wages on their tax returns accordingly. If you haven’t yet received your ERC funds and the IRS has not processed your claim, it’s essential to proceed with the necessary amendments to comply with tax laws and avoid potential penalties. […]
Maximising Tax Benefits: Selling Your Home to Your S-Corporation
Converting your home into a rental property can be a strategic financial move. One effective way to enhance the tax benefits of this conversion is by selling your home to your S corporation. This guide explores the benefits, addresses common doubts, and outlines the steps to implement this strategy successfully. Benefits of Selling Your Home […]
Beneficial Change in IRS Policy: The Partial Disposition Election
The IRS has introduced a significant change in its repair regulations, offering a partial disposition election that benefits property owners when replacing a structural component, such as a roof, on their office building or rental property. Previously, replacing a structural component like a roof meant the old roof’s remaining depreciation continued on your books, which […]