Safe Harbor Benefits Restaurant and Retail Industry

There has been a lot of discussion surrounding Tangible Property Regulations—from implementing the new regulations to developing the best possible strategy upon implementation, not to mention integrating some of the regulation changes that have occurred after the fact. Recently, the IRS released Revenue Procedure 2015-56, which offers a safe harbor in the retail and restaurant…

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Reporting Requirements When Hiring Independent Contractors

Does your business hire independent contractors? If so, are you filing all that you need to with the State of California to avoid penalties? You probably already know that you must file a Form 1099-MISC with the IRS for services performed by an independent contractor, but have you filed form DE 542 Report of Independent…

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California Franchise Tax Board Launches New Version of MyFTB

This January the California Franchise Tax Board (FTB) launched a new and improved version of MyFTB. The enhanced version is designed to allow users to view account information, communicate with the FTB via secure email and a live chat, and use the new self-service tools. Users will be able to access information 24/7 without having…

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Moving Forward with SSARS 21

December 15, 2015 marked an important date in accounting and review standards history. One of the biggest changes in over 35 years went into effect—a standard that now provides distinction between reviews, compilations and engagements to prepare financial statement for clients. The Statement on Standards for Accounting and Review Services (SSARS) 21 includes four additional…

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The Risks of Debt-Forgiveness Programs

With the ever-rising cost of education, students are forced to take on more and more debt. Some students may get through their undergrad nearly debt free, but if they want to continue their education, loans are often required to obtain a higher degree. Rising debt and a limited job market upon graduation have encouraged recent…

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IRS Announces Various Tax Benefit Increases for 2016

For tax year 2016, the IRS recently announced many annual inflation adjustments. IRS Revenue Procedure 2015-53 provides details about these amounts. Because inflation is low, many of the amounts for 2016 will not change from 2015. For example, the elective deferrals to 401(k) and 403(b) plans will remain $18,000 next year. Other retirement plan contribution…

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2015 Tax Extenders Passed

On December 18, the Senate passed — and the President signed into law — the Protecting Americans from Tax Hikes Act of 2015 (PATH Act), which the House had passed on December 17. The act extends certain tax relief provisions that expired at the end of 2014. In many cases, it makes the breaks permanent.…

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IRS Increases Tangible Property Expensing Threshold for Small Businesses

Good news for small businesses: On November 24, 2015, the IRS announced an increase in the safe harbor threshold for deducting certain capital items, raising it from $500 to $2,500, for qualified small businesses. The $2,500 threshold will take effect for taxable years beginning on or after January 1, 2016. Additionally, the IRS announced that…

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Tax Benefits of Vacation Rentals

In light of recent news on the regulation of vacation rentals, it is important to know about their taxability—why they are beneficial for both revenue and losses and how to remain compliant with tax laws while taking advantage of these benefits. Since Airbnb began in 2008, there are now over 1,130 vacation rentals available in…

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