The Section 199 deduction is often referred to as the “manufacturers’ deduction” because it’s intended to encourage domestic manufacturing. But construction, engineering, architecture, computer software production and agricultural processing businesses also may be eligible. Learn more about eligibility in this blog post.
The investment interest expense deduction may be less beneficial than you thought. Interest on debt used to buy assets held for investment, such as margin debt used to buy securities, generally is deductible for both regular tax and alternative minimum tax purposes. But interest you incurred to produce tax-exempt income, such as from municipal bonds, isn’t deductible. Learn more about this tax break in this blog post.
If you live in a locale with no or low income taxes or you purchased a major item (such as a car or boat) in 2016, you might save more tax by deducting state and local sales taxes in lieu of state and local income taxes. Learn more about how this tax break works and whether it can benefit you in this blog post.
Do you start thinking about filing your tax return when it gets close to the April deadline? You might even want to file for an extension so you don’t have to send your return in until October. But filing early can help protect you from tax identity theft, a growing scam in which thieves file bogus returns using victims’ Social Security numbers. Learn more in this blog post.
Stay on top of your taxes in 2017. This blog post details a few key tax-related deadlines for businesses and other employers during the first quarter of 2017.
Retirement plan contribution limits are indexed for inflation, but with inflation remaining low, most of the limits remain unchanged for 2017. If you aren't maxing out your contributions already, though, you still have the opportunity to save more in 2017. Learn more in this blog post.
The 21st Century Cures Act, signed into law on December 13, 2016, includes good news for small businesses that have been prohibited in recent years from providing their employees with HRAs. Specifically, beginning January 1, 2017, qualified small employers can use HRAs to reimburse employees who purchase individual insurance coverage, rather than providing employees with costly group health plans. This article explains why small employers were unable to offer “standalone” HRAs to employees and details the new QSEHRAs.
If you don’t make a 2016 Coverdell Education Savings Account (ESA) contribution by December 31, the opportunity will be lost forever. Contributions aren’t deductible, but ESAs can grow tax-deferred and withdrawals used for qualified education expenses (not just for college, but also for elementary and secondary school) are tax-free. Learn more about the rules surrounding ESA contributions and how they can help you save for education in our latest blog post.
The 2016 gift tax annual exclusion allows you to give up to $14,000 per recipient tax-free without using up any of your lifetime gift tax exemption. The assets, including any future appreciation, are removed from your taxable estate. But you need to use your 2016 exclusion by Dec. 31 or you’ll lose it. Learn more in this blog post.
The year is quickly drawing to a close, but there’s still time to take steps to reduce your 2016 tax liability — you just must act by December 31. This article details six actions to take before year's end.