Home Equity Loans May Still Be Deductible
According to the IRS, interest on home equity loans and similar products still can be deducted under the new tax law, even though early readings of the law suggested otherwise.
News
What Every Employer Should Know About State Unemployment Tax
Most employers in the United States must pay state unemployment tax, the collection of which is authorized by the State Unemployment Tax Act (SUTA). Although most wages are subject to SUTA tax, certain wages may be exempt.
Scott T. Wallace, CPA | FASB New Lease Accounting | Guidance | Planning
On May 18, 2018, Scott T. Wallace, CPA presented to the Accounting & Financial Women’s Alliance (AFWA) on new lease accounting and revenue recognition standards. Scott provided details about upcoming changes and offered guidance for planning. According to the Financial Accounting Standards Board (FASB), the new standard will require organizations that lease assets, referred to as “lessees,” to recognize on the balance sheet assets and liabilities for the rights and obligations created by those leases.
Charity as a Part of Your Legacy
How do you effectively make charity a part of your legacy? You want to donate with your head as well as your heart, making sure a charity is legitimate, well-run and aligns with your values. This article discusses evaluating charity legitimacy, performing smart research, and tax planning.
Did You Receive an Audit Notification?
Every audit notification may not be legitimate and it is important to make sure it is official. The IRS will notify you either by letter or phone. The IRS does not notify taxpayers about audits through email. If you received an email stating you have been selected for an audit, it is probably fraudulent. If you determine that you are definitely getting audited, your next step is to learn what is involved.
Fraud Alert | Synthetic Identities
The most common identify theft is synthetic. By combining some factual stolen information with completely fake information, thieves convince banks and credit monitoring companies that a fake identity is real. The “bad guy” is not pretending to be the person whose information was stolen or acquired; rather, the data is being used to create a brand-new identity. Thus, synthetic identity theft is born.
Managing 529 Plans in 2018
The cost of college continues to increase and saving takes planning. This article offers insights into saving for higher education and methods aligning with the new tax law.
WP+D Official Spelling Bee | March 30, 2018
On March 30, 2018, WP+D held its first official Spelling Bee at both offices in Chandler and Scottsdale. The top spellers and champions were Christina Henning and Danielle Jennings.
Estimated Taxes
You may need to pay estimated taxes if you are self-employed or have income other than a salary. This article explains estimated tax payments that are due every quarter.
International Tax Provisions | Tax Cuts and Jobs Act of 2017
All U.S. owners, who own 10% or more of a foreign company, must include their pro-rata share of the accumulated earnings of the foreign company as income in 2017. This is effectively requiring the U.S. owner to pay a transition tax on the untaxed foreign earnings.
Ballot Measure to Amend Arizona Constitution Prohibiting Taxation of Services
A ballot measure was filed with the Secretary of State to amend Arizona’s Constitution to protect taxpayers from sales tax on services. The measure is supported by the Citizens for Fair Tax Policy, Arizona Retailers Association, and Arizona Association of Realtors. For the proposition to make it to the November ballot, at least 225,963 signatures are required by July 5, 2018.
Voted No. 1 Accounting Firm | 2018 | Ranking Arizona
Wallace, Plese + Dreher (WP+D) proudly announces its recognition as the No. 1 Accounting Firm by Ranking Arizona.
Selecting the Right Tax Professional
The Arizona Department of Revenue (ADOR) shared recommendations for selecting the right tax professional this filing season. When choosing your tax professional, consider their formal training; current training; professional licenses; years of experience; availability of e-file services; and security measures for protecting clients’ tax records.
Sara B. Nance, CPA | ICAN | Board of Directors
Sara B. Nance, CPA added to ICAN: Positive Programs for Youth’s Board of Directors. The Firm’s commitment to the nonprofit sector is demonstrated by our involvement in community projects and participation on boards.
Business Interruption Insurance
Most business owners do not have interruption insurance, which could be a critical mistake. See how rising numbers of natural disasters may factor into today’s decisions.
New Tax Law | Charitable Giving
Important new tax changes may mean charitably-minded individuals might consider new giving strategies and evaluate appreciated stock and donor-advised funds. Insights into giving strategies are included in this article.
Patrick Rae, CPA Receives CCIFP Designation
Wallace, Plese + Dreher congratulates Patrick Rae, CPA on receiving his Certified Construction Industry Financial Professional (CCIFP) designation.
Data Protection | Arizona Income Tax Filings
The Arizona Department of Revenue (ADOR) reminds taxpayers to stay alert in protecting their confidential information from getting in the wrong hands. Be cautious of companies or individuals who contact you offering free incentives or asking to receive money.
Multistate Taxes | Nexus
No matter where your company is headquartered, you probably conduct business across other state borders. How do taxes work across state borders? Read further for guidance on compliance and multistate taxes.
Real Estate in Your IRA
Traditionally, IRAs contain funds or individual securities, but it is possible to put other kinds of investments into these accounts, including real estate. There are rewards and potential risks with this strategy.
Tax Cuts and Jobs Act | TCJA
In 2018, changes to individual and corporate income tax rates become effective under the new tax legislation called the Tax Cuts and Jobs Act (TCJA). For example, TCJA drops the corporate income tax rate to 21% and modifies individual rate brackets. Read further for full details.
Written Acknowledgments | Tax-Deductible Charitable Contributions
If you offer gifts or money to qualified organizations eligible to receive tax-deductible charitable contributions, you must do two things: (1) have a bank record or written communication from the charity for any monetary contributions and (2) obtain a written acknowledgment from the charity for any single donation of $250 or more.
Managing Form 1099
One of the most important tax and payroll issues a company has to address is who is an actual employee and who is an independent contractor. Once you have that worked out, your next step is making sure each category of workers gets the right forms.
2017 Phoenix Fit Company Challenge
Wallace, Plese + Dreher (WP+D) is serious about team building and having fun. For the second year, WP+D participated in the Phoenix Fit Company Challenge, on Saturday, November 17, 2017, at Kiwanis Park, Tempe, Arizona.
Keep Your Homeowners Insurance Current
Homeowners insurance is not about buying it once and then forgetting about it. You have to repeatedly check it to make sure you are fully protected. Homeowners insurance is meant to protect against disasters ranging from fire to theft to lawsuits, encompassing most injuries and damage that members of your family might cause to other people. This article discusses how to protect your property and your loved ones.
Changes in Social Security and Retirement Plans for 2018
Every year, the IRS and Social Security Administration modify essential numbers for Social Security and retirement plans. From 401(k) plans to individual retirement accounts to Social Security, the federal government has been busy in recent weeks adjusting numbers for 2018. Whether you are an employee or business owner, senior management or nonexempt staff, these changes may affect how you approach retirement in the coming months and years.
Building a Successful Company Morale
Positive morale can unleash a company’s success. How do you build a positive company morale? Implementing a few easy tactics can create a positive workplace that attracts and retains employees.
Is Your Business Data at Risk?
Security measures by federal and state tax agencies have decreased cyberattacks against individual taxpayers. However, business data thefts are rising. There are simple, effective ways that businesses can minimize their risk of tax-related identity theft.
WP+D Team – AZAGC Bowling Tournament
Wallace, Plese + Dreher (WP+D) showed support for the Associated General Contractors of America, Arizona Chapter (AZAGC), by participating in its annual 2017 AZAGC Inaugural Bowling Tournament, on September 15, 2017, Phoenix, Arizona.
Business Succession Planning | Scottsdale | Chandler | Arizona
Succession planning is important for all Arizona businesses and frequently overlooked in family-owned operations. There are numerous family-run companies that no longer exist due to poor or no succession plan.
The plan needs to be well-designed and discussed with everyone affected. Do not assume that a son or daughter will want to carry on the family business. Even if your children say they will take over, they may not have the true desire required to continue a successful operation.
We Care | Disaster Relief Support | American Red Cross
As Hurricane Harvey approached and descended on Texas, our hearts and thoughts went out to people frantically leaving their homes and businesses. As we watched social media, listened to radio broadcasts, and spoke with family members in the path of Hurricane Harvey, we wanted to help in some way. Photos of people clinging to trees, flood waters rising in homes, and families in shelters moved us into action. Without hesitation, our employees donated directly to the American Red Cross and WP+D matched their donations by 50 percent. This is a small example of our Firm’s caring culture and willingness to help those in need.
FMLA: Stay Informed
The Family and Medical Leave Act (FMLA) is constantly modified and reinterpreted, and courts are frequently asked to weigh in. Employers should remain watchful and ensure they are compliant with this dynamic law. This is a summary of three recent settled cases.
WP+D Announces New Partner, Jason A. Mattina, CPA
Wallace, Plese + Dreher (WP+D) elected Jason A. Mattina, CPA, to partner, effective July 1, 2017. Jason joined the Firm in 2002 and previously was an Audit Senior Manager.
WP+D Announces Promotions | Scottsdale | Chandler | Arizona
Wallace Plese + Dreher promotes nine professionals in a variety of different roles.
Taxes | Sharing, Gig, and On-Demand Economy
Are you part of the sharing, Gig, or on-demand economy? Examples are providing rides via mobile app, renting out a spare room using an online platform, or repairing computers for local businesses on demand. Participation in this emerging method of distributing services can be a good way to earn money in your down time, pursue a flexible lifestyle, and provide cash to offset expenses associated with owning a vehicle or home.
Can Employers Monitor Employee Communications?
As an employer, you have authority to monitor employee communications. Of course, that power is not unlimited and depends on the level of privacy you have led employees to expect, whether explicitly or implicitly.
2018 Health Savings Account Limits
The IRS announced inflation-adjusted amounts that individuals and families can contribute to Health Savings Accounts (HSAs) in 2018. The tax agency also announced the minimum required deductibles and out-of-pocket maximums for high-deductible health plans.
Randy G. Brammer, CPA | 40 Under 40 Nominee
As a nominee, Randy G. Brammer, CPA attended the Phoenix Business Journal’s 40 Under 40 Class of 2017 kick-off party in Scottsdale. Every year, the Phoenix Business Journal honors 40 individuals under the age of 40 that contribute to their company and community.
Arizona Proposition 206 | Earned Paid Sick Time
Effective July 1, 2017, Proposition 206 entitles employees to accrue earned paid sick time. Arizona voters approved Proposition 206, the Fair Wages and Healthy Families Act, which established a new state minimum wage and entitled employees to accrue earned paid sick time.
Reducing Taxes | Recent College Graduate
This article is the ninth of ten tips for reducing taxes during the summer. Has your child recently graduated from college? This is probably the last year you can claim a dependency exemption.
Reducing Taxes | Primary Residence Rental
This article is the seventh of ten tips for reducing taxes during the summer. By renting out your primary residence, you may not need to comply with the usual tax rules. Read further for details.
Reducing Taxes | Vacation Home Use
This article is the sixth of ten tips for reducing taxes during the summer. Federal tax law allows deductible expenses relating to renting out a vacation home to offset rental income.
Reducing Taxes | Summer Day Camp
This article is the fourth of ten tips for reducing taxes during the summer. Working parents should consider sending their young children to day camp while school is out.
Reducing Taxes | Charity Donations
For summer tax planning, this article is the third of ten tips for reducing taxes. Take this time to donate items to charity that are no longer being used.
Reducing Taxes | Company Events
For summer tax planning, this article is the second of ten tips for reducing taxes. Generally, costs for company picnics, barbecues, or similar events can be deducted.
Reducing Taxes | Entertaining Business Clients
For summer tax planning, this article is the first of ten tips for reducing taxes. When entertaining clients, you may be eligible to write off 50% of the cost of business meals and entertainment.
Moving and Establishing Residency
Considering moving to another state? Moving could lower your state tax bill; however, you need to establish the new state is your place of legal residence, also known as your domicile, for state tax purposes. Otherwise, the old state could come after you for taxes after moving. In the worst-case scenario, your new state could expect to get paid, too.
Home Mortgage Interest Deductions
Homeowners that itemize “qualified residence” interest should be aware of the IRS rules and new Form 1098 reporting requirements. The allowed deduction may not match what the bank reports on Form 1098 and the IRS can target this deduction in tax return audits.
Recruiting | February 2017 | Northern Arizona University (NAU)
Recruiting teams engage students and prospective employees at a variety of universities throughout Arizona.
New FBAR Filing Deadline | April 18, 2017
The IRS requires taxpayers that have an interest in or authority over foreign financial accounts to provide information about the account by filing a form called the Report of Foreign Bank and Financial Accounts (FBAR). For accounts held in 2016, the annual deadline filing for FBARs has changed to April 18, 2017, which now coincides with individual tax filing deadlines under the Surface Transportation and Veterans Health Care Choice Improvement Act of 2015. Previously, the deadline was June 30, excluding weekends and holidays.