Sizing Up New Deduction for Pass-through Entities

Complicated new rules for business owners The new Tax Cuts and Jobs Act (TCJA) creates a brand-new deduction for pass-through entities, designed to provide a balance to corporations benefiting from tax rate cuts. But the deduction is not nearly as simple as the new flat 21% rate for corporations authorized by the TCJA. Although many
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Roth Recharacterizations: Back to the Future

How to undo a conversion to a Roth When it comes to taxes and finance, there is usually no going back in time. However, a notable exception may apply if you converted a traditional IRA into a Roth last year. In effect, you can undo a conversion as if it never happened. This “recharacterization” technique
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Five Prime Issues for Business Startups

Items for new owners to resolve Are you starting a new business venture or investing in potential opportunities in the marketplace? Before you make any commitments, be aware that there are numerous practical considerations from a business, tax and legal perspective. In other words, there is much more involved than just fronting the cash. Although
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New Law Revives Six Key Tax Breaks

Extensions retroactive to 2017 tax year The biggest news in tax circles is, of course, the Tax Cuts and Jobs Act (TCJA) enacted late last year. But the TCJA isn’t the only important new tax legislation. With little fanfare, the Bipartisan Budget Act (BBA), a government spending measure, extended about30 tax provisions that had expired
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Four Key Changes for Depreciation Deductions

New tax law revamps the rules The new Tax Cuts and Jobs Act (TCJA) of 2017 is designed to stimulate business growth by cutting corporate tax rates and enhancing tax benefits for acquiring business property. Under the TCJA, your company may be able to deduct the full cost of property placed in service in 2018
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Imposing Restraints on Top Employees

How a 15 works How can you stop one of the rising stars in your company from leaving for greener pastures? While you cannot permanently block a move, one technique employers often rely on is to use a noncompete agreement. Essentially, the employee may be barred from revealing trade secrets or pilfering clients for a
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Can You Afford to Retire Early?

Answer the key questions below If you are like many Americans, you may have visions of an early retirement. Although there are usually hurdles to overcome, the dream may become a reality, depending on your answers to the following questions. Q. Are you financially ready to retire? A. Some people begin planning for retirement when they
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This Tax Shelter Is Still Standing

Home sale exclusion remains intact Although Congress threatened to reduce the benefits of the home sale exclusion, the final version of the new Tax Cuts and Jobs Act (TCJA) did not include a crackdown. As a result, if you sell your home at a huge profit and qualify under the existing rules, you can still
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Compare the Two Types of IRAs

Distinguishing traditional IRAs from Roths There are two basic types of IRAs: the traditional IRA and the Roth IRA. With either one, the deadline for contributions for the 2017 tax year is April 17, 2018. There are no extensions for making IRA contributions for 2017, even if you obtain an extension for filing your return
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Pressing Needs for Corporate Minutes

Protection for your company Naturally, it takes some time to record corporate minutes in a business setting. But it is usually time well spent. Plus, it is now easier to have minutes prepared than it was years ago, due to improvements in computer software. Significantly, corporate minutes can serve as the proof you need in
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