Some people who begin claiming social security benefits are surprised to find out they are taxed by the federal government on the amounts they receive. If you are wondering whether you will be taxed on your social security benefits, the answer is: it depends. The taxation of Social Security benefits depends on your other income. […]
Business owners and investors are understandably concerned about skyrocketing inflation. Over the last year, consumer prices have increased 8.3%, according to the latest data from the U.S. Bureau of Labor Statistics. The Consumer Price Index (CPI) covers the prices of food, clothing, shelter, fuels, transportation, doctors’ and dentists’ services, drugs, and other goods and services […]
If you are an investor in mutual funds or you are interested in putting some money into them, you are not alone. According to the Investment Company Institute, a survey found 58.7 million households owned mutual funds in mid-2020. However despite their popularity, the tax rules involved in selling mutual fund shares can be complex. […]
Financial statements are an important source of data for valuing a business. However they tell only part of the story. An accurate business valuation hinges on a comprehensive understanding of the subject company’s relative performance and its future earnings power. To help clarify matters, experts often make various adjustments to the financials. Here are some […]
Like many people, you may have dreamed of turning a hobby into a regular business. You would not have any tax headaches if your new business is profitable. However what if the new enterprise consistently generates losses (your deductions exceed income) and you claim them on your tax return? You can generally deduct losses for […]
Maintaining the status quo in today’s volatile marketplace can be risky. To succeed, businesses need to “level up” by being proactive and adaptable. However some managers may be unsure where to start or they are simply out of new ideas. Fortunately, when audited financial statements are delivered, they are accompanied by a management letter that […]
The IRS is reminding owners of foreign bank and financial accounts that the deadline for filing a 2021 Report of Foreign Bank and Financial Accounts (FBAR) is April 18, 2022. The IRS has also issued a fact sheet containing information to help U.S. individuals file their FBARs. Who needs to file an FBAR? The Bank […]
Your business needs financial statements so management can monitor performance, attract investment capital and borrow money from a bank or other lender. However, not all financial statements are created equal. Audited statements are considered the “gold standard” in financial reporting. While public companies are required to issue audited statements, smaller, privately held organizations have options. […]
If you are married, you may wonder whether you should file joint or separate tax returns. The answer depends on your individual tax situation. In general, it depends on which filing status results in the lowest tax. However keep in mind that, if you and your spouse file a joint return, each of you is […]
If you donated to charity last year, letters from the charities may have appeared in your mailbox recently acknowledging the donations. However, what happens if you have not received such a letter — can you still claim a deduction for the gift on your 2021 income tax return? It depends. The requirements To prove a […]