2021-05-03T11:37:45-04:00

May 2021

Upcoming dates: May 17 - Individual income tax returns for 2020 are due Tax day is finally here! Please call if you would like to discuss how this information could impact your situation. If you know someone who could benefit from this newsletter, feel free to send it to them. Building a Fortress Balance Sheet The best way to weather a storm is often by being prepared before the storm hits. In the case of small businesses, this means building a fortress balance sheet. What is a fortress balance sheet? This long-standing idea means taking steps to make your balance sheet shockproof by building liquidity. Like a frontier outpost or an ancient walled city, businesses that prepare for a siege—in the form of a recession, natural disaster, pandemic, or adverse regulatory change—can often hold out until the crisis passes or the cavalry arrives. Building a fortress balance sheet isn’t just a good idea [...]

2021-04-07T12:37:36-04:00

April 2021

Upcoming dates: May 17 - Individual income tax returns for 2020 are due Because the IRS is still playing catch-up from last year, in addition to new tax laws passed in the middle of this year's tax filing season, the April 15 individual tax return deadline was moved to May 17. Read about how these new tax laws affect both your 2020 and 2021 tax returns. Also read about extended tax breaks for businesses. ALERT! Late Tax Legislation Creating Havoc Individual tax return deadline moved to May 17 Congress' recent move to retroactively make a portion of 2020 unemployment income tax-free is creating havoc during this year's tax filing season. Here is what you need to know. Background Unemployment compensation was received by millions of Americans during 2020 because of the pandemic. While unemployment income was necessary for many who lost a job, it’s also normally classified as taxable income to be reported [...]

2021-03-02T10:52:16-05:00

March 2021

Upcoming dates: March 15 - Due date for partnership and S corporation tax returns (Forms 1065, 1120S) Reminders - Daylight saving time begins Sunday, March 14 Spring is almost here! With April 15th right around the corner, get answers to common tax questions in this month’s newsletter. Also included is a look at how bank reconciliations still play an important part of your financial health and a reminder to every small business owner to classify their workers correctly or pay a heavy price with the tax authorities. Please call if you would like to discuss how this information could impact your situation. If you know someone who can benefit from this newsletter, feel free to send it to them. Answers to Common Tax Questions With the April 15 tax filing deadline right around the corner, here are answers to some common tax questions. When will I get my refund? The pandemic and additional [...]

2021-02-05T10:10:42-05:00

February 2021

Upcoming dates: February 15 - Presidents' Day Reminders - Organize filing records (1099s, 1098s, W-2s, etc.) - Schedule tax appointment for drop off or meeting - Begin tax planning for 2021 As the tax filing season gets underway, now is a great time to review some tips to help ensure your tax return is processed without a delay. Also included are reminders of some surprising tax situations this year because of the pandemic. For small businesses there are some organizational hints that seem to work and a thoughtful article for all of us to consider about how we tend to undervalue the worth of our personal identities. Please call if you would like to discuss how this information could impact your situation. If you know someone who can benefit from this newsletter, feel free to send it to them. 4 Ways to Make Sure Your Tax Return Doesn’t Get Stuck Here are four [...]

2021-01-12T10:29:45-05:00

January 2021

Upcoming dates: January 15 - 4th Quarter Estimated Payments Due Start tax filing for 2020 - Organize filing records (W-2s, 1099s, 1098s, etc.) - Schedule tax appointment for drop off or meeting Start tax planning for 2021 - Create simple budget - Adjust withholdings - Rebalance investment portfolio The new year begins with more stimulus payments and other financial assistance courtesy of the latest COVID relief legislation. Read about how the new bill affects your tax and financial outlook. Also in this month's edition is good news for business owners regarding the tax deductibility of expenses paid for using PPP loan funds that are forgiven. You can also determine how much to contribute to your retirement fund in 2021 and see what Uncle Sam came up with for his New Year’s resolutions. Please call if you would like to discuss how this information could impact your situation. If you know someone who can [...]

2021-01-12T10:26:31-05:00

December 2020

DECEMBER 2020 Take final year-end actions - Deductible gifts - Capital gains/losses - Charitable giving - Dividend income Working from a home office has become a reality for many of us this year. But what, exactly, are the rules to be able to deduct your home office expenses on your tax return? Read about some ideas to help you qualify for the deduction. Also in this month’s edition is an article outlining common tax surprises, and some ideas for small businesses to build strong, banking relationships during these uncertain times. Please call if you would like to discuss how this information could impact your situation. If you know someone who can benefit from this newsletter, feel free to send it to them. Turn Your Home Office Into a Tax Deduction If you are working from home for the first time in 2020, you may be wondering if your home office is tax deductible. [...]

2020-11-04T13:45:06-05:00

November 2020

How to Walk the Tightrope When Raising Prices Raising prices can be fraught with risk during good economic times. So what happens if you try to raise prices during bad economic times? As Hamlet would say, "Ah, there's the rub." If you raise prices, you risk losing clients to competitors. If you don't, decreasing revenue or rising costs can capsize your company. So what's a small business supposed to do? The Art of Pricing Raising (and, sometimes, even lowering) prices can be a balancing act. As with any major business decision, pricing should take into account various factors. Here are several to consider. Analyze costs. First, you need to carefully analyze the costs needed to bring your products or services to market. Such expenses might include raw materials, storage, personnel, advertising, delivery, rent, equipment, taxes and insurance. Failure to cover all these costs in your price will inevitably lead to shrinking profits. Establish [...]

2020-10-13T15:48:44-04:00

October 2020

This month: October 15 Extension deadline for individual and C corporation tax returns Does your monthly income seem a little higher than normal? If so, that may actually be a sign of trouble ahead. Find out how a tax trap could be lurking in your paycheck. Also read about your options for what to do with your 401(k) when switching jobs and common mistakes that businesses make with their websites. Is a Tax Trap Lurking in Your Paycheck? Does your paycheck look a little higher than normal? If so, it could be a tax trap. The Problem A payroll tax holiday effective September 1 was recently signed via a presidential executive order. Payroll tax holidays typically provide forgiveness of Social Security and Medicare taxes that are normally withheld from your paycheck. This year’s tax holiday, however, is NOT necessarily a forgiveness of Social Security and Medicare taxes because the order is not yet [...]

2020-09-01T15:58:04-04:00

September 2020

This Month: September 15 Extension deadline for 2019 S corporation and partnership tax returns 3rd quarter 2020 estimated income tax is due (individuals, corporations, trusts & estates) Fall is right around the corner! As summer is winding down, the IRS wants you to be aware of common scams being encountered during the pandemic. Also included are tips to improve your credit score. Please call if you would like to discuss how this information could impact your situation. IRS Announces Common Tax Scams The IRS recently announced its 2020 edition of its annual Dirty Dozen list of tax scams with a special emphasis on aggressive and evolving schemes related to COVID-19 tax relief, including Economic Impact Payments. Here are six of the more common scams. Phishing. Phishing refers to potential fake emails or websites looking to steal your personal information. Remember the IRS will never initiate contact with you via email about an outstanding [...]

2020-07-23T12:02:39-04:00

July 2020

This month: July 15 - Individual income tax returns for 2019 are due - C corporation tax returns for 2019 are due - 1st and 2nd quarter 2020 estimated tax payments due Other July 15 Deadlines - Gift tax returns - 2019 IRA contributions - 2019 HSA contributions Remember, July 15 is now the tax filing due date because of the pandemic! It also means you may have a tax payment due on or before July 15. And if you have not yet received your federal stimulus check, this month's newsletter tells you what you should do. Also included is a recap of recent news that gives business owners more flexibility for getting your PPP loan forgiven. Also included in the newsletter are some ideas for fun, summertime activities for the entire family. Please call if you would like to discuss how this information could impact your situation. If you know someone who [...]