Archive for the 'Tax Law' Category


Taking your R&D Credit: Offsetting Payroll Tax

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The Research and Development Tax credit has taken a lot of criticism for being un-impactful. One reason is the business generating the credit had to have income to use the credit.

Since the PATH act, small businesses in their first 5 years with less than $5 million of gross revenue can use what once was only a federal income tax credit as a payroll tax credit. See my previous blog about the details and how to maximize the credit.

Since my article,

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Your Unicorn has Arrived, Tech Startup

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Everyone knows the Research and Development Tax Credit has changed in a big way for startups. (OK, not everyone, but everyone should — especially tech startups, and Utah County is full of them). So listen up…

In the past, tech startups have never had an appetite to try to scrape together a Research and Development Tax Credit calculation because doing so didn’t save them any money, at least not in the current year. That’s because, in the past, the credit would only

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New Nevada Commerce Tax

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Benjamin Franklin was right when he wrote that nothing in this world is certain except death and taxes.  The Silver State has long been regarded as a favorable jurisdiction for businesses due to its tax-friendly nature.  Business owners enjoyed this tax haven in that their revenue generated in Nevada was not subject to tax.  Unfortunately, this has come to an end.

The Nevada legislature introduced the new Nevada Commerce Tax (SB 483) for the privilege of “engaging in a business” in

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Are you missing out on the Research and Development Credit?

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On December 17th 2015, the President signed the tax extenders deal that had a tremendous impact on the Research and Development tax credit. The three main changes are:

After years of going back and forth, the tax credit has finally been made permanentFor the first time, you can potentially offset up to $250,000 of payroll taxesNo Alternative Minimum Tax restriction for eligible small businesses

The R&D Credit is a federal and state tax credit available to innovative companies with new product development

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Solar panels with tax credits from the government. That easy.

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Solar Panels with tax credits are heating up

Get solar panels with tax credits

More and more people are installing solar panels to get electricity to their home. Did you know that not only are there cost savings on your utility bill, but you can also get a substantial tax credit when you install the solar panels? Below we will explain how you can get solar panels with tax credits from the govrenment.

Motivated by the long-term cost savings, John Doe decides it

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How will the PATH Act provisions of 2015 affect you?

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The PATH Act extended some tax provisions and made others permanent.  How will these changes affect you?Congress recently completed its annual tax law tug-of-war game and this time it resulted in some wins for the American taxpayers.  Some important tax provisions have been made permanent and many other provisions were extended beyond at least one year so that we can have some consistency for future tax planning.  Some of the key highlights of the Protecting Americans from Tax Hikes (PATH)

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IRS Offers Small Businesses Limited Relief for Health Coverage Reimbursement Arrangements with Notice 2015-17

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Some health coverage reimbursement arrangements offered by small employers (those with less than 50 full-time employees) are considered by the IRS to be non-compliant with the health coverage plan requirements set forth in the Affordable Care Act (ACA). Beginning January 1, 2014, employers who offer such plans were facing a significant penalty: an excise tax of $100 per employee per day, up to an annual maximum of $36,500 per employee. Employers should breathe a sigh of relief, however, because on

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Obama 2016 Budget Attacks Retirement Plans

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President Obama’s 2016 budget proposal revealed a number of proposals which would negatively affect retirement plans and provided insight into risks for future retirement planning. The budget is a wish list of tax increases, spending programs, and other policy initiatives, many of which Congress has already pronounced “dead on arrival”.

While these provisions are unlikely to pass now, that could change if Democrats regain control of both houses.  Below is a partial list of the most onerous proposals:

Tax benefits for retirement contributions limited
The

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Why Do I Still Owe More Taxes for 2014?

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After the problems encountered in 2013, most Americans expected or at least hoped for a respite from tax time worries.  Unfortunately, that is not the case.  The Affordable Care Act (aka Obamacare) reprises its role as the “gift that keeps on taking” by creating havoc in tax returns everywhere.  The Washington Times warned the Obamacare penalty might come as a surprise to uninsured .  To make matters worse, taxpayers will largely be left on their own to sort it out. 

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New program for tax-free accounts supporting people with disabilities

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The recently enacted Tax Increase Prevention Act of 2014 contains a provision encouraging individuals and families to create tax-free accounts to save for disability-related expenses. The program, known as “Achieve a Better Living Experience” (ABLE), applies for tax years beginning after December 31, 2014.

The features of ABLE accounts include:

Eligible individuals may use the accounts to support themselves, or families can use them to support eligible dependents.
Eligible individuals must be blind or disabled, with the onset of disability or blindness occurring

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