20 FAQs about Required Minimum Distributions

As people near age 70 1/2, they’re often surprised to discover that they’ll generally be required to withdraw a specific minimum amount from their retirement accounts each year, whether they need the cash or not. The required minimum distribution (RMD) rules are complicated and can result in significant tax obligations. Here’s some guidance to help … Continued

Highway Trust Fund Extension Results in Tax Law Changes

A new law provides a three-month extension of the Highway Trust Fund. Its fine print contains several tax law changes to help generate revenue to fund federal infrastructure projects until a long-term bill is passed. Here we cover changes to tax and information return filing deadlines, the statute of limitations on basis overstatements and other … Continued

EMV Compliance: Are You Ready for the October 1 Deadline?

Many U.S. merchants and banks still use payment cards with magnetic strip technology that’s more than 50 years old. On October 1, a liability shift goes into effect that may entice businesses to adopt modern “chip” technologies and reduce the risk of counterfeit card fraud. Here’s critical information that merchants and consumers should know about … Continued

Exporters and others: Save taxes with an IC-DISC

If your business exports American-made goods or performs architectural or engineering services for foreign construction projects, an interest-charge domestic international sales corporation (IC-DISC) can help slash your tax bill. An IC-DISC is a “paper” corporation you set up to receive commissions on export sales, up to the greater of 50% of net income or 4% … Continued

What you need to know before donating collectibles

If you’re a collector, donating from your collection instead of your bank account or investment portfolio can be tax-smart. When you donate appreciated property rather than selling it, you avoid the capital gains tax you would have incurred on a sale. And long-term gains on collectibles are subject to a higher maximum rate (28%) than … Continued

Court Dismisses Tribe’s Case Seeking Exemption from ACA Penalties

An Indian tribe wanted employees of its businesses to buy health coverage on the federal health insurance exchange. The tribe found that exchange coverage was better and less expensive than what it could provide employees. So it sought to be exempt from the penalties under the Affordable Care Act’s shared responsibility provisions. This article explains … Continued

Who is considered a foreign partner?

Author:  Gabriela Mandiuc, CPA Email:  gam@ssacpa.com “A foreign partner is any partner who is not a U.S. person. As such, a foreign person includes a nonresident alien individual (NRA), foreign corporation, foreign partnership, foreign trust or estate, or a foreign organization described in section 501(c).” SEC. 1446: WITHHOLDING TAX ON FOREIGN PARTNERS’ SHARE OF EFFECTIVELY … Continued