Strategic Tax Articles
Welcome to the Philadelphia CPA insights blog, brought to you by Mark S. Fineberg CPA. Every time a new tax ruling, pronouncement, or tax change occurs, stop by this blog to learn more. Here you can find and explore the most advanced legal, ethical, and moral tax saving strategies allowed by the U.S. Tax Code. Enjoy.
Recent Insights
Buy Vehicle Before 12/31/26!!
Do you need a new business vehicle? Buying one before December 31, 2026, could deliver substantial tax savings, thanks to permanent 100 percent bonus depreciation and generous Section 179 deductions. But not all vehicles qualify for the same tax benefits. Here’s what you need to ... (continued)
Year Tax Reduction Strategies for Your Business
The clock ticks on your 2026 tax deductions. Fortunately, six straightforward year-end business strategies can help you reduce taxable income and keep more money in your pocket. 1. Prepay business expenses. If you use cash-basis accounting, IRS safe-harbor rules generally allow you to deduct qualifying ... (continued)
Sold Your Home-Please Read the Potential Tax Consequences
When you sell your home, the tax on your gain depends on your basis, which is what you paid for the home plus the cost of improvements. But improvements count only if you can prove them. Basis Matters More Every Year The home sale exclusion of ... (continued)
Home Office Again Revisited
If you are self-employed and also have access to an office elsewhere, you may assume you cannot deduct a home office. Many people believe this, and IRS auditors sometimes raise it. But the law says otherwise, and the IRS’s own guidance backs you up. Your ... (continued)
S Corporations + Reasonable Salary Requirement
If you own an S corporation and work in the business, the IRS expects you to pay yourself a reasonable salary before taking the rest of your profits as distributions. With wages subject to a combined 15.3 percent payroll tax up to the $184,500 ... (continued)
Self Employed Health Insurance Rules Update
The self-employed health insurance deduction is one of the most valuable adjustments available to you. It reduces adjusted gross income dollar for dollar; you get it whether or not you itemize, and the lower adjusted gross income can preserve other benefits that phase out ... (continued)
Drive Time Added In Real Estate Professional Case
If you own rental properties, you know the frustration: your losses do you no good until you qualify as a tax law–defined real estate professional and materially participate in the properties. Both of these tests turn on hours, and the real estate professional test ... (continued)
Hiring your Children Got Better in 2026!!
If you have children and you own a business, here is a strategy worth your attention: hire them. Consider one example: A business owner pays her 13-year-old $16,100 in 2026 to work in her Schedule C business. The child owes zero federal income tax because ... (continued)
S Corporation Section 199 Deduction Advantage-Must Read!
If you operate as a sole proprietor or single-member LLC, earn a good income, and have no payroll and little depreciable property, you may be losing most of the Section 199A 20 percent deduction. Switching to an S corporation can fix that. Here is the ... (continued)
S Corporation Dental Deduction!
If you own more than 2 percent of an S corporation, your dental, vision, and Medicare premiums can qualify for the same valuable tax treatment as your major medical insurance premiums. To secure the deductions, follow the same three-step process for all qualifying premiums. First, your ... (continued)
S Corporation - Health Insurance Update
If you own more than 2 percent of an S corporation, the good news is that the rules for deducting your health insurance remain unchanged for 2026. By following a few important steps, you can continue to deduct the cost of coverage for yourself, ... (continued)
RMD- Potential Penalty Abatement Strategies
If you own a traditional IRA, failing to take your required minimum distribution (RMD) can cost you far more than taking it and paying the associated income tax. Owners of traditional IRAs, SEP IRAs, and SIMPLE IRAs generally must begin taking RMDs the year they ... (continued)
Here's How To Reimburse Partnership Expenses
Partners in partnerships and members of LLCs taxed as partnerships often pay business-related expenses out of their own pocket. Common examples include meals with prospective clients, vehicle expenses, professional education, subscriptions, and home-office costs. In many cases, these unreimbursed expenses may be deductible on the ... (continued)
Augusta Rule-Potential Huge Deductions for Renting Your Residence
The so-called Augusta Rule can create a valuable tax-saving opportunity for business owners who operate through an S corporation, a C corporation, or a partnership. Under this rule, you may rent your personal residence to your business for up to 14 days per year and ... (continued)
This May Be The Best Way to Structure Payments to Your Children!
Here’s an often-overlooked tax strategy that can generate substantial family tax savings when handled correctly. If you pay a family member (or even a non-relative) for a one-time project, the tax treatment can be highly favorable—but only if you follow the proper reporting rules. For ... (continued)
Here's a Potential $21,000 Deduction You Probably are NOT Aware of!
Here’s a valuable tax strategy, commonly known as the Augusta rule, that can help you generate tax-free income while claiming a legitimate business deduction. If you own a business structured as an S corporation, a C corporation, or a partnership, you may rent your personal ... (continued)
Ways to Change Charitable Donations Into Business Expenses!
Recent tax law changes make it more challenging to receive meaningful tax benefits from charitable giving. Under the current 2026 rules, higher standard deductions and new limitations mean many taxpayers receive little or no benefit from itemizing charitable contributions. Additionally, personal donations are made ... (continued)
Affordable Healthcare Marketplace Alert!
If you purchase health insurance through the Affordable Care Act (ACA) marketplace and receive premium tax credits, a major rule change begins in 2026—and it could create a painful surprise. Under prior rules, if your income came in higher than expected, the amount of excess ... (continued)
Goodwill Deductions--Beware of This Trap!!
If you donate clothing or household goods to charity, there’s an IRS trap you need to know about. In a recent Tax Court case, a taxpayer lost a $6,760 charitable deduction—not because the donations were improper, but because his documentation failed to meet strict technical ... (continued)
Employer Child Care Credit enhanced!
Beginning in 2026, the One Big Beautiful Bill Act increases the employer childcare credit for small businesses to 50 percent of qualified expenses, up to $600,000 per year. Even one-owner businesses can benefit—and the savings are substantial. If you operate as a sole proprietor, you ... (continued)