For a PDF of this Year-End Tax Planning Letter, click here. Dear JMF Clients and Friends: As this tumultuous year draws to a close and a new administration begins to take shape in our nation’s capital, both individuals and small business owners may benefit from tax strategies designed to reduce tax liability for 2024. [...]
Alabama House Bill 230, signed into law on May 7, 2024 and became effective on October 1, 2024 (last month) eliminates the requirement for businesses to file annual reports with the Secretary of State. The Business Privilege Tax Return is still a required filing with the Alabama Department of Revenue. The Alabama Business Privilege Tax [...]
In April 2024, the US Department of Labor announced significant updates to overtime rules which is ushering in changes that impact workers. These changes will redefine how employers compensate their employees for extra hours worked. Understanding the intricacies of these regulations is crucial for both employers and employees alike to navigate the evolving landscape [...]
Time is running out on a tax planning technique that can reduce 2023 tax return liability. If a taxpayer qualifies, they can deduct their contributions to a traditional IRA, but the rules are tricky. Background: The maximum amount you can contribute to a traditional IRA for the 2023 tax year is the lesser of 100% [...]
The popularity of electric vehicles (EVs) continues to grow. According to the Energy Information Administration, it is estimated that EVs will have comprised 16.3% of all U.S. new car purchases in 2023 (up from 12.5% in 2022). Hybrid, plug-in hybrid and battery-electric vehicles reached 17.9% of all new light-duty vehicle sales in the second half [...]
We mentioned the new Alabama Overtime Reporting Requirements in an December 18, 2023 email, but we wanted to follow up (and include on this blog) with some updates from QuickBooks since so many of you use QB for your payroll. Act 2023-421 passed by the Alabama legislature exempts overtime wages from Alabama income tax for overtime [...]
As part of the IRS's service improvement initiative, the Internal Revenue Service has launched the second phase of a new online self-service tool for businesses that expands the business tax account capabilities and eligible entity types. The new expansion will help businesses download transcripts and sole proprietors will be able to view certain notices [...]
Congress enacted the Corporate Transparency Act in 2021. This law created a beneficial ownership reporting requirement as part of the government’s efforts to make it more difficult for criminals to hide or benefit from ill-gotten gains through shell companies or other complicated ownership structures. Beginning on January 1, 2024, many companies will have to report information about their [...]
NOVEMBER 2023 Dear Clients and Friends: The end of the year is often an optimal time for tax planning, but you must be careful to avoid potential pitfalls along the way. Notably, any year-end tax strategies you implement should take all the latest tax developments into account. Congress has enacted significant tax legislation in [...]
If there is one question we get more than any other it's, "How do I lower my taxes?" So, we did a #podcast on that exact topic. This week's episode focuses on maximizing tax deductions, which can potentially lower your tax bill. The topics include recent rule changes for meals and entertainment, dues, and automobile deductions. We also [...]