Blog | WM. F. Horne & Company, PLLC

15Jan2018

1099 Filing Date Just Around the Corner

 

 

1099

 

Article Highlights:

  • Independent Contractors
  • 1099 Filing Requirement
  • Due Dates
  • Penalties
  • Form W-9 and 1099 Worksheet

If you operate a business and engage the services of an individual (independent contractor) other than one who meets the definition of an employee, and you pay him or her $600 or more for the calendar year, you are required to issue the individual a Form 1099-MISC soon after the end of the year to avoid penalties and the prospect of…

  • 15 Jan, 2018
  • Jacqueline Cran
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11Jan2018

2018 Standard Mileage Rates

 

2018 mileage

 

Article Highlights:

  • Standard Mileage Rates for 2018
  • Business, Charitable and Medical Rates
  • Important Considerations for 2018
  • Switching Between the Actual Expense and Standard Mileage Rate Methods
  • Employer Reimbursements
  • Employee Deductions Suspended
  • Special Allowances for SUVs

As it does every year, the Internal Revenue Service recently announced the inflation- adjusted 2018 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable or medical purposes.
Beginning on Jan. 1, 2018, the standard mileage rates…

  • 11 Jan, 2018
  • Jacqueline Cran
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04Jan2018

Tax Cuts and Job Act Summary

 

TaxReform

 

The recently enacted Tax Cuts and Jobs Act (TCJA) is a sweeping tax package. Here is a look at some of the more important elements of the new law.  This is not a comprehensive review, but rather a summary of those items that we feel are the most relevant to our individual and business clients.

 

Individual Provisions

 

While the TCJA will lower rates at many income levels, determining the overall impact on…

  • 4 Jan, 2018
  • Jacqueline Cran
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29Nov2017

When Business Meals and Entertainment Are Deductible

 

business meals

Article Highlights:

  • Ordinary and Necessary
  • Directly-Related Test
  • Associated-With Test
  • Lavish
  • Substantiation Requirements

An often asked question is: are meals and entertainment deductible in the course of one’s business, and if so, under what circumstances? This type of expense requires you to comply with some pretty complicated qualifications, and if you can jump through the hoops, the expenses may be deductible in certain cases.

But before we go too far, know that unreimbursed meal expenses incurred while…

  • 29 Nov, 2017
  • Jacqueline Cran
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22Nov2017

House Releases Tax Cuts & Jobs Act – See How It Might Affect Your Business

 

tax reform business

Article Highlights

  • Maximum Tax Rate on Business Income of Individuals
  • Business Expensing
  • Sec 179
  • Business Interest Expense Limitation
  • Business Entertainment
  • Sec 1031 Exchanges
  • Self-Created Property
  • Domestic Production Deduction
  • Business Credits
  • Corporate Tax Rate
  • Personal Service Corporation Tax Rate
  • Net Operating Loss

This is part 2 of a 2-part series on the proposed Tax Cuts & Jobs Act and generally covers the provisions applying to small businesses and self-employed taxpayers. Part 1 covered the individual taxpayer provisions

The House Ways and Means Committee…

  • 22 Nov, 2017
  • Jacqueline Cran
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09Nov2017

Tax Cuts and Jobs Act – See How It Would Affect You

 

tax reform

 

Article Highlights

  • Deductions
  • Exemptions
  • Tax Rates
  • Family and Child Tax Credits
  • Education Benefits
  • Plug-In Electric-Vehicle Credit
  • Alimony
  • Home-Sale Gain Exclusion
  • Moving Expenses
  • Estate Taxes

 

This is Part 1 of 2 in a series on the proposed Tax Cuts and Jobs Act. This part covers the provisions that apply to individual taxpayers. Part 2 covers the small-business provisions.

The House of Representatives Way and Means Committee has finally released their version of the long-promised tax-reform legislation. This is the first step…

  • 9 Nov, 2017
  • Jacqueline Cran
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30Oct2017

Convert Your Traditional IRA to a Roth IRA Too Soon?

 

ira convert

Article Highlight: 


  • Converting Traditional IRA Funds to a Roth IRA
  • Recharacterizations – Undoing the Conversion
  • Benefits of Recharacterizations
  • Recharacterization Timing

When you convert a traditional IRA to a Roth IRA, you have to pay the tax on the conversion.   However, individuals frequently do this so they can take advantage of future tax-free accumulations. Distributions from Roth IRAs are generally tax free, including any earnings (accumulations) while the account is a Roth account.

Are you considering…

  • 30 Oct, 2017
  • Jacqueline Cran
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26Oct2017

Ignoring Those IRS Notices Only Makes It Worse

ignoring IRS notice

Article Highlights: 


  • IRS Informational Forms
  • Computer Matching
  • IRS Correspondence
  • Procrastination
  • Need for Professional Review

Remember those 1099s, W-2s, K-1s and other informational forms you receive each year reporting your interest, dividends, sales, wages, retirement income, IRA withdrawals, health insurance forms and other items having to do with your tax return? Well, the IRS also gets this information and feeds it into its computers. Thanks to modern computer technology, the IRS is able to match…

  • 26 Oct, 2017
  • Jacqueline Cran
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16Oct2017

Hiring the Right Employee Can Get You a Big Tax Credit

 

hiring

 

Article Highlights: 

  • Potential Credit
  • Eligible Employees
  • Credit Determination
  • Certification Process
  • Other Issues

If you are an employer who is willing to help disadvantaged individuals, you could benefit from a substantial federal tax credit. Hiring certain new employees can qualify you for the work opportunity tax credit (WOTC).

The WOTC is typically worth up to $2,400 for each eligible employee, but it can be worth up to $9,600 for certain veterans and up to $9,000 for “long-term family…

  • 16 Oct, 2017
  • Jacqueline Cran
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12Oct2017

What is an RMD?

 

rmd

Article Highlights:

 

  • Required Minimum Distributions
  • When the Distributions Must Begin
  • RMD Distribution Tables
  • Figuring the Amount of the Distribution
  • Beneficiaries
  • IRA-to-Charity Transfers

Required minimum distributions (RMDs) are required distributions from qualified retirement plans. RMDs are commonly associated with traditional IRAs, but they also apply to 401(k)s and SEP IRAs. The tax code does not allow taxpayers to keep funds in their qualified retirement plans indefinitely. Eventually, assets must be distributed, and taxes must be paid on those…

  • 12 Oct, 2017
  • Jacqueline Cran
  • 0 Comments
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