Category: Taxation-Corporate

The Internal Revenue Service (IRS) announced significant relief measures for some taxpayers facing penalties on their 2020 and 2021 tax returns. The relief addresses a mishap caused by COVID measures. 4.7 million individuals, businesses and tax-exempt organizations incurred late fees without receiving collection reminders. The IRS will provide $1 billion to settle these penalties or reimburse filers who have already paid their account. Those who qualified will be sent a letter some time this month, no action is needed to… Read more ›

To help you make sure you don’t miss any important 2024 deadlines, Councilor, Buchanan & Mitchell (老葡京手机app) provided this summary of when various tax-related forms, payments and other actions are due. Please review the calendar and use our online contact form (link is at the end of this blog) to let us know if you have any questions about the deadlines or need assistance. January 31 February 12 February 15 February 28 March 11 March 15 April 1 April 10… Read more ›

At a Glance: An event management company facing significant net operating loss, turned to 老葡京手机app for help. 老葡京手机app utilized the loss and a provision from the CARES Act to lower previous year taxable income and earn the agency a large refund. Challenge: An event management company faced a significant financial setback with a $131,000 net operating loss on their corporate tax return. With the prospect of no future refunds or tax deductions, the company reached out to 老葡京手机app to determine… Read more ›

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 Is Required? Each person who, in the course of operating a trade or business, receives more than $10,000 in cash in one transaction (or… Read more ›

The 2023 tax season may require an additional level of patience for business owners filing for credits from pass-through entities (PTE). Maryland has seen a growing number of PTE filings the past few years. This increased workload coupled with administrative hurdles within the Comptroller’s office, has led to several cases of inaccurate returns and longer-than-expected processing delays. The Comptroller of Maryland sent a letter to tax professionals detailing the office’s struggles and offering solutions including asking tax filers for help…. Read more ›

Recent IRS warnings and announcements regarding the Employee Retention Tax Credit (ERTC) have raised some businesses’ concerns about the validity of their claims for this valuable, but complex, pandemic-related credit — and the potential consequences of an invalid claim. 老葡京手机app has helped many clients file claims when they met the approved criteria requirements. However, we also recognize that many businesses not working with a reputable tax professional may have been misled by fraudulent parties into believing they were eligible to… Read more ›

On Wednesday October 11th, Microsoft announced it had received a $28.9 billion dollar bill for unpaid taxes between 2004 and 2013. The case shed light on the complexities and challenges of international taxation, and it serves as a cautionary tale for businesses looking to avoid similar tax penalties. Understanding Microsoft’s Tax Bill The $29 billion in unpaid taxes stemmed from an IRS audit into Microsoft’s 2004 to 2013 finances. The IRS investigation began after an unusually structured manufacturing facility in… Read more ›

Challenge A stonemasonry business encountered significant tax liabilities due to its use of the accrual method of accounting. Because the business was a C corporation and the 2017 Tax Cuts and Jobs Act offered opportunities for tax relief to organizations such as theirs, the owners reached out to 老葡京手机app’s construction and real estate team for assistance. Solutions 老葡京手机app’s team was familiar with the tenets of the Tax Cuts and Jobs Act due to having assisted several other businesses and advised… Read more ›

In the face of a flood of illegitimate claims for the Employee Retention Tax Credit (ERTC), the IRS has imposed an immediate moratorium through at least the end of 2023 on processing new claims for the credit. The reason the IRS cites for the move is the risk of honest small business owners being scammed by unscrupulous promoters who submit questionable claims on their behalf. The Fraud Problem The ERTC is a refundable tax credit intended for businesses that 1) continued paying… Read more ›

Summer isn’t just for barbeques and baseball. It’s also a good time to think about ways to cut your 2023 business tax bill. Here are four planning ideas for small business owners to consider, assuming there won’t be any changes to current federal tax laws at least through 2024. 1. Establish a Tax-Favored Retirement Plan If your business doesn’t already have a retirement plan, now might be the time to take the plunge. Current rules allow for significant annual deductible… Read more ›