Sharon Sledzik
More Time to Prepare or to Procrastinate?
The IRS has officially announced that the tax deadline for 2011 individual tax returns is Tuesday, April 17, 2012. The usual deadline of April 15 is on Sunday, and the 16th is Emancipation Day, an observed holiday in the District of Columbia. 2012 is also a leap year where February has 29 days in order [...]
‘Tis the Season to Give!
Holidays are coming, and at year end many of us are considering making gifts and charitable donations. Only those gifts to non-profit organizations classified as 501(c)3 qualify for a tax deduction. IRS Publication 78 is a list of organizations that qualify, and GuideStar is a website that gathers information on nonprofits. These sources should be [...]
Give consideration to Domestic Production Deduction in Tax Planning
Business taxpayers can claim a domestic production activities deduction under Code Sec. 199 to offset income from domestic manufacturing and other domestic production activities. The Code Sec. 199 deduction or DPD equals 9% of the smaller of— The taxpayer's “qualified production activities income” or QPAI, for the tax year, or The taxpayer's taxable income [...]
Intercompany Management Fees – The Need For Proper Documentation
The IRS had disallowed over half of the management fees paid between two related entities. Now the Tax Court has agreed per T.C. Memo 2011-236. A taxpayer owned trucks in a single member limited liability company (LLC) and leased them to his wholly owned corporations. The corporations paid a flat monthly fee to the LLC. [...]
The Latest on Ohio Use Tax Amnesty Program
The recent Ohio budget bill included provisions for Ohioans to come forward and resolve any use tax liabilities. The new program will start October 1, 2011, and end May 1, 2013. Previously this year, the Ohio Department of Taxation (ODT) began a campaign to educate consumers about the use tax and why they may owe. [...]
