Business Deductions

Premiums for Medicare health insurance can add up to a substantial sum. That’s especially true if   you have high income, and you’re married and both you and your spouse are paying premiums.   Fortunately, the premiums can potentially help your tax situation. The dollar benefit of Medicare...

Reduce S Corporation Owner’s Wages   As the owner of an S Corporation, you can legitimately cut payroll taxes by thousands of dollars by paying yourself a lower salary and allocating the remainder of your income as distributions. However, be sure to make your salary commensurate to...

  As a self-employed individual, you can feel overwhelmed when you search for strategies to reduce your taxes.   I searched one of our tax services and found more than 263 articles with the words “self-employed” or “self-employment.” That’s a lot.   Where do we start?   Let’s start with the following...

June 2019   Combine Home Sale with the 1031 Exchange You don’t often get the opportunity to even consider making a tax-saving double play. But your personal residence combined with a desire for a rental property can provide just such an opportunity.   The tax-saving strategy is to combine the...

  Do you claim your business miles at the IRS optional rate?   If so, imagine you are now being audited by the IRS for your business mileage. The IRS has requested odometer readings for your vehicle. You might wonder if the IRS can do this.   The answer is...

On April 11, likely after you filed your tax return, the IRS updated its Section 199A frequently asked questions (FAQs) by increasing the number of questions and answers from 12 to 33.   The IRS often publishes FAQs on its website to help educate you on various...

There’s a lot of confusion out there around your rental activity and Section 199A.   Your Section 199A considerations multiply when you have multiple rental activities. Here’s what you need to consider:   Are your rental activities multiple trades or businesses, or one trade or business? Can you...

Before the Tax Cuts and Jobs Act (TCJA), your purchase of the vehicle you were leasing did not qualify for either Section 179 expensing or bonus depreciation.   But times have changed.   The TCJA made two changes that mean 100 percent bonus depreciation is available on the vehicle...