Now is time to make tax-saving, year-end moves

As the holidays approach, it’s time to consider tax planning moves that will help lower this year’s tax bill, as well as set you up for tax savings in future years. The good news is that it appears there won’t be any significant unfavorable federal tax changes that will take effect next year. Assuming that’s an …
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Selling your company? Stock swap might avoid a taxable gain

Selling the stock or selling the assets are the two basic ways owners typically sell their businesses. For two good tax reasons, sellers usually prefer stock sales: Assuming you have owned the shares for more than a year, your profits will generally be taxed at a maximum federal rate of 20 percent. This applies equally to C …
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Tax credits available for new, energy-efficient homes

Eligible contractors may qualify for up to $5,000 credit per home under expanded credit Good news for contractors: Those who construct or substantially reconstruct qualified new energy-efficient homes located in the United States may qualify for a tax credit of up to $5,000 per home under Section 45L of the tax code. Congress expanded the credit …
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Foreign tax credits: IRS provides temporary relief

Final regulations applicable to foreign tax credits took effect in 2022. In the months following, the IRS received various questions about their application and, indeed, requests to modify the regs. In Notice 2023-55, the IRS recently provided temporary relief for taxpayers who need to determine whether a foreign tax they paid is eligible for a foreign …
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Large cash transactions? Reporting requirements are changing

Does your business receive large amounts of cash or cash equivalents? If so, you’re generally required to report these transactions to the IRS — and not just on your tax return. Beginning January 1, 2024, this reporting will have to be done electronically. Here are some answers to questions about the requirements and what’s changing. What …
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How to max out your Social Security benefits

If you ‘semi-retire,’ know the effects of part-time income on your SS payout Get the most from Social Security. Younger retirees face a harsh penalty for working part-time. For every $2 earned over $21,240 in 2023 (up from $19,560 in 2022), you lose $1 in Social Security benefits. In the year you reach full retirement …
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For builders and developers, UNICAP tax rules are complex

Print this page Section 263A is an often misunderstood and misapplied part of the Internal Revenue Code. And it’s one that many construction businesses — particularly homebuilders — and real estate developers should get a handle on to avoid unexpected tax issues and unwanted attention from the IRS. Let’s review the basics. UNICAP Rules Sec. 263A, …
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The wealth-transfer question: Now or later?

It’s never an easy question — transfer your wealth during your lifetime or transfer it to heirs after your death. A variety of factors can complicate the decision. For example, you might want to take advantage of the inflation-adjusted $12.06-million gift and estate tax exemption now, since the exemption amount is scheduled to be cut …
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Businesses: Time to think about cutting your 2023 taxes

Barbecues? Check. Baseball games? Check. Tax reduction opportunities? Check. Summer can be full of fun and relaxation but it’s also a good time to think about ways to cut your 2023 business tax bill if you can put down that grilled burger for a few moments. Here are four planning ideas for small business owners …
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A silver lining on inflation: Estate & gift tax adjustments

Inflation can have negative effects, but it also has a positive side when it comes to federal tax breaks. For the 2023 tax year, many federal tax parameters have been adjusted upwards by about 7 percent compared to 2022. This article provides the details of these adjustments and also gives estimated inflation-adjusted amounts for the …
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