Podcasts about qualified business income

Today, Anderson Advisors attorneys Barley Bowler, CPA, and Eliot Thomas, Esq. discuss topics including how 401(k) funds can be borrowed up to $50,000 without tax penalties while confirming that backdoor Roth IRA contributions made in 2024 but converted in 2025 still allow for additional 2025 contributions. Eliot and Barley discuss why S-corporations cannot deduct wellness expenses through accountable plans unless medically prescribed, and confirm the 20% Qualified Business Income deduction applies across multiple businesses. For entity structures, they recommended against holding appreciating real estate in corporations, favoring disregarded LLCs for asset protection. Regarding trading partnerships with C-corporations, these need written contracts for guaranteed payments, and confirmed short-term rental owners can switch to self-management to claim material participation benefits and accelerated depreciation through cost segregation. Send your tax questions to taxtuesday@andersonadvisors.com. Highlights/Topics: "Are there ways to withdraw funds from a 401(k), a retirement account, without moving it into an IRA?" a sponsored plan versus an individual plan? "We're also starting a nonprofit business. And how can we avoid that 10% early withdrawal penalty?" - Take a loan from your 401(k) for up to $50,000 without tax/penalty. "I attempted to do a backdoor Roth IRA conversion. On December 24th, I did it at the end of the year. I'm a high-income earner, was not aware of the financial institution, and had made a temporary change. There was some hold time for the funds. We made a deposit contribution at the end of the year. The question here is, the $7000 post-tax contributed to the traditional IRA in December was not available to convert? We went over the past the end of the year to the 2025 tax year, and we're wondering how that's treated since the conversion was completed in 2025, but the contributed contribution occurred in 2024. Is another $7000 contribution allowed?" - Yes, you can make another $7000 contribution in 2025 for another conversion. "Can we use this to reimburse for gym membership, supplements, wellness plans, stuff like that?" - No, wellness plans aren't tax-deductible unless medically prescribed. "My S-corporation provides financial services." Another question. We're talking about the qualified business income deduction, that 199A. That's a pretty good deduction, 20%. Good chunk of deduction. "Can we take that if we have two different businesses? How does that work? What's that look like?" - Yes, you can take the 199A deduction for both businesses simultaneously. "I have two LLCs holding trading accounts, so a couple of different LLCs." We're going to talk about our trade structure a little bit differently. We also have just what we call a safe asset holding straight. If we have a brokerage account, high-value collectibles, or something like that. "Does putting a rental property into a disregarded LLC have any tax benefits?" "Can I transfer the interest of a disregarded to a holding company or to a living trust?" - Yes, with in-kind transfers; check with a broker; generally no tax consequences. "I have a trading partnership." "Do I need a contract?" We're talking about guaranteed payments here, a very unique payment to a partner. - Yes, need a written contract detailing services between a partnership and C-corp. "What are the pros and cons of holding real estate investments in a disregarded LLC, C-corp versus S-corp?"- Avoid S/C-corps for appreciating property; use disregarded LLCs with management entity. "We're buying our first short-term rental this year. Considering using a third-party property manager, can I manage the property next year with material participation?" - Yes, you can manage it yourself in year two and claim cost segregation benefits.   Resources: Schedule Your FREE Consultation https://andersonadvisors.com/strategy-session/?utm_source=how-to-use-401k-funds-to-start-a-nonprofit&utm_medium=podcast Tax and Asset Protection Events https://andersonadvisors.com/real-estate-asset-protection-workshop-training/?utm_source=how-to-use-401k-funds-to-start-a-nonprofit&utm_medium=podcast Anderson Advisors https://andersonadvisors.com/ Toby Mathis YouTube https://www.youtube.com/@TobyMathis Toby Mathis TikTok https://www.tiktok.com/@tobymathisesq Clint Coons YouTube https://www.youtube.com/@ClintCoons  

In this episode, Kyle Hunt breaks down the essentials of tax planning for remodelers, sharing insights and strategies to understand and optimize the taxes you pay. Using his practical tax planning worksheet as a guide, Kyle covers key topics like tax brackets, deductions, S-Corp benefits, and the Qualified Business Income deduction—arming you with the knowledge to manage your biggest expense with confidence. Download the worksheet here and start taking control of your tax strategy today! Today's episode is sponsored by Contractor Growth Network. Discover how to build a brand that stands out at contractorgrowthnetwork.com. -----  Explore the vast array of tools, training courses, a podcast, and a supportive community of over 2,000 remodelers. Visit RemodelersOnTheRise.com today and take your remodeling business to new heights! ---- Takeaways Understanding taxes is crucial for business owners. Regular meetings with your CPA are essential. You should not be surprised by your tax bill. Itemized deductions can significantly reduce taxable income. The tax bracket you fall into does not reflect your overall tax rate. Qualified Business Income (QBI) deductions can lower your tax burden. Planning for taxes should be a year-round activity. Keeping accurate financial records aids in tax preparation. Being informed about tax laws can lead to better financial decisions. Proactive tax planning can alleviate stress during tax season.

Get ready for a deep dive into tax reform and its potential impact on financial professionals, estate planning, and wealth transfer strategies in this episode of the Life Matters Podcast. Bill Bell, VP of Advanced Sales at Penn Mutual, sits down with Jen Fox, Vice President of Federal Affairs at Finseca, to explore the latest developments in financial services legislation.Key Topics Covered:• The upcoming tax reform and its possible effects on financial professionals and their clients. • Changes to federal transfer taxes and the Qualified Business Income deduction. • The increased regulatory scrutiny around Private Placement Life Insurance.• How bipartisan policy challenges are influencing estate planning strategies.• Finseca's role in advocating for financial security professionals and protecting life insurance policies.Whether you're a financial professional looking for practical tax strategies or interested in the future of wealth transfer and tax deductions for business owners, this episode offers valuable insights.Don't miss out on expert perspectives from someone at the heart of public policy on Capitol Hill. Subscribe now to stay informed on the latest tax reform and policy changes shaping the financial world.Have a question or comment for Bill?  Drop him an email at: LifeMatters@PennMutual.com Follow UsTwitter @pennmutualFacebook @PennMutualInstagram @pennmutualLinkedIn @Penn MutualPresented by Penn Mutualwww.PennMutual.comThis podcast is for informational purposes. Guests' views, comments, and opinions on products, services, or strategies do not necessarily represent the views of or imply endorsement by The Penn Mutual Life Insurance Company or its affiliates. Product availability, benefits and provisions vary by state. 7507495NS_JAN27

In this episode of the Know Your Numbers REI Podcast! host Chris McCormack, a Certified Public Accountant and Certified Tax Planner, dives deep into the concept of the "real wealth gap" between business owners and W-2 earners. Chris discusses the significant advantages that business owners have when it comes to taxes, income potential, and wealth accumulation. He explores key topics such as: The limitless income potential of business owners compared to the capped salaries of W-2 earners. The various tax incentives available to business owners that are not accessible to traditional employees. The ability of business owners to exclude gains on the sale of their businesses and the benefits of the Qualified Business Income deduction. The numerous expenses that business owners can write off, which W-2 earners cannot. Join us as we unpack these critical insights and discuss why understanding this wealth gap is essential for anyone looking to improve their financial situation. If you find value in this episode, please give us a five-star rating and leave a review! We also welcome your comments and suggestions for future topics. Share this episode with anyone who could benefit from understanding the advantages of business ownership in today's economy. God bless you and keep moving forward! •••••••••••••••••••••••••••••••••••••••••••• ➤➤➤ To become a client, schedule a call with our team ➤➤ https://www.betterbooksaccounting.co/contact •••••••••••••••••••••••••••••••••••••••••••• Connect with Chris McCormack on Social Media Facebook: https://www.facebook.com/chrismccormackcpa LinkedIn: https://www.linkedin.com/in/chrismccormackcpa Instagram: https://www.instagram.com/chrismccormackcpa Join our Facebook Group: https://www.facebook.com/groups/6384369318328034 → → → SUBSCRIBE TO BETTER BOOKS' YOUTUBE CHANNEL NOW ← ← ←  https://www.youtube.com/@chrismccormackcpa The Know Your Numbers REI podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests.

In this episode of "Do More With Your Money," T.J. van Gerven is joined by John Briggs, CEO of Incite Tax. John shares his entrepreneurial journey and insights into tax planning, client relationships, and the importance of understanding actual profits. Key topics include the benefits of electing S Corporation status for tax savings, the Qualified Business Income deduction, and the importance of proactive tax planning. John also discusses the value of boredom for creativity, effective breaks for productivity, and practical financial tips like setting up a tax savings account and prioritizing high-interest debt repayment. The episode offers a holistic approach to financial and mental well-being.   Learn more about John's firm, Incite Tax here: https://incitetax.com/

This week, in episode 217, Laura Zander tells Shawn Busse and Jay Goltz about her approach to buying businesses. Laura says she simply recognizes that for a period of time, life will be miserable for her and for her team. That's what happened almost a year ago when she bought two businesses that were a challenge to integrate. And now, just as things have calmed down a bit, she expects it to happen again as she eyes another acquisition. It's also what she expects to happen as she and her husband Doug proceed with their ongoing migration to Shopify. “Our sales are going to go down,” says Laura. “SEO is going to be rough. My biggest concern, honestly, is Doug's mental health. This whole process has been so stressful for him.” Shawn, Jay, and Laura also discuss how they feel about the possibility that the 20-percent Qualified Business Income deduction could go away next year, when it's set to expire. You might be surprised by their answers.

As a CRNA, transitioning to 1099 work can be a game-changer for your career and financial future. Sharon made this move in recent years and is sharing the experience in a series along with Jeremy's insight on the financial side of the transition. This three-part discussion is aimed to help educate other CRNAs who are considering the move to 1099, and today's episode will be a bit more detailed with a focus on the tax concepts and strategies you need to know about.   Here's some of what we discuss in this episode: The three main health insurance options that 1099 workers typically choose from. What's so important about section 179 of your tax return? What deductions can you take and what can't you take? The retirement saving options you have and what's best. The Qualified Business Income deduction and why it's a hidden gem.   Listen to Preparing to Become a 1099 CRNA – NCANA Session 2: https://beyondthemaskpodcast.com/preparing-to-become-a-1099-crna-ncana-session-2/4918/  Listen to Does It Make Sense for CRNAs to Go 1099? – NCANA Session 1: https://beyondthemaskpodcast.com/does-it-make-sense-for-crnas-to-go-1099-ncana-session-1/4796/    Are you a Resident or CRNA looking to transition into independent practice? The AANA and Beyond the Mask are here to help you thrive as your own boss! Introducing the 1099 CRNA Institute – taught by 'Beyond the Mask' hosts Jeremy Stanley and Sharon Pearce. This comprehensive educational series provides detailed guidance on business structure, legal and tax implications, and financial management tailored specifically for 1099 CRNAs. Visit AANA.com/1099 to learn more and take the first step toward your new future.   Visit us online: https://beyondthemaskpodcast.com/ The 1099 CRNA Institute: https://aana.com/1099 ***Use coupon code BEYOND1999 to get 20% off through November 2024 Get the CE Certificate here: https://beyondthemaskpodcast.com/wp-content/uploads/2020/04/Beyond-the-Mask-CE-Cert-FILLABLE.pdf Help us grow by leaving a review: https://podcasts.apple.com/us/podcast/beyond-the-mask-innovation-opportunities-for-crnas/id1440309246 Donate to Our Heart Your Hands here: https://www.ourheartsyourhands.org/donate  Support Team Emma Kate: https://grouprev.com/haloswalk2024-shannon-shannon-brekken

Did you know thousands of lawyers lose their license each year because of IOLTA mismanagement? On top of that, studies show the average lawyer is spending 2.5 hours per day on billable work. We don't want you to become one of those lawyers, so tune in to learn how you can protect and scale your business through specialized tax services. In this episode of Cut to the Chase, Gregg is joined by Jayden Doyé, a best-selling author, international speaker, Certified CPA, and President of Prestige Accounting & Consulting. Jayden helps law firm owners reach new heights, catch more flights, and pay less to the IRS. He's also hosting a conference, Raise the Bar Live, on June 18th-21st in Atlanta, GA, where you can learn how to scale a seven-figure business without burning out and losing your soul. After seeing a huge gap in the market, Jayden realized how desperately law firms need specialized accounting services… including you! Lawyers have unique needs in tax planning, deductions, profitability, billing, IOLTA management, and so much more. Are there accounting mistakes you're making that are holding you back from success? Tune in to find out! In this episode of Cut to the Chase, Gregg and Jayden discuss:  - What is tax planning and how does it benefit law firm owners? - Why lawyers struggle with IOLTA management (Interest on Lawyers' Trust Accounts). - Are lawyers eligible for Qualified Business Income deductions (QBI)? - What you should know about claiming vehicle depreciation on your taxes. - Can a CPA amend my past tax returns? - What to do when you receive your tax return. - What you'll learn at the Raise the Bar Live Conference 2024 + Jayden reveals some exciting keynote speakers and panelists. - What you'll gain from a free consultation with Jayden.   Key Actionable Takeaways for Law Firms: - Tax planning benefits lawyers by helping them save money on taxes through strategies like hiring family members, medical reimbursement plans, identifying which vehicles have the greatest tax advantages, and much more. There are tons of ways to save money on taxes, you just have to talk to a professional. - Most of Jaydens clients are benefitting from QBI deductions, so don't forget to ask your accountant if you're eligible! - When you get your tax return, don't just sign it and move on. Review it with your tax professional and make sure the numbers in your accounting software reflect in your business tax return. You also want to have an explanation of the numbers on your personal tax return. - In order to reach the next level in your business, you have to have a plan. At Raise the Bar Live, Jayden is creating a space for law firm owners to mastermind with other like-minded lawyers and create a plan that they can implement in the next quarter. Plus, the conference is tax deductible!   *Disclaimer: This content is for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.   To learn more about Jayden Doyé, connect on LinkedIn: https://www.linkedin.com/in/jaydendoyecpa Follow him on Instagram: https://www.instagram.com/thegreatjayden Book a complimentary consultation with Prestige Accounting & Consulting: https://accounting-atlanta.com Don't Get Disbarred - 7 Financial Mistakes Law Firm Owners Make That Put Their License At Risk: https://lawofficecpa.com/7mistakes-home Buy his book, Raise the Bar: https://www.amazon.com/Raise-Bar-6-Figure-Revenues-Profits-ebook/dp/B0BPYX25YB Attend Raise the Bar Live 2024: https://raisethebaratl.com

On today's episode of the podcast, I explain how my S Corp ended up costing me more in tax last year. To check out my podcast set-up or watch a video version of my podcast, check out my YouTube channel. Long story short, I should not have formed my S Corp last year because I didn't end up making as much money as I thought I was going to. Unfortunately, we can't always predict these things. I talk to a lot of business owners who have accountants that get them set up with an S Corp from day one. This is usually a bad idea, unless you're bringing a whole book of business with you from elsewhere and are starting your business at six figures. To exemplify this, I will use my own numbers, especially since 2021's revenue was less than I anticipated. I was about $50,000 under the minimum revenue I projected when I started my S Corp and I was $100,000 under my goal. I ended u making about $95,000 last year, and $140,000 the year before. I thought I would continue to double year over year, or at least hit $200,00. I formed my S Corp in January 2021 and immediately got on payroll so I had an S Corp for effectively the whole year. When you have an S Corp, you pay yourself a salary, through a payroll provider that holds your taxes for you and divides them out to the various government agencies. Only your salary in an S Corp is subject to self-employment taxes. As business owners, we are required to pay both income taxes and full self-employment taxes which is our share of Medicare and social security. When we're employed, we pay half and our employer pays half. When we're self-employed, we pay both halves. The S Corp allows you to split your payment into two types - salaries and distributions - where only one of those is subject to 15.3% self-employment tax. This allows you to save 15.3% tax on any profit you have above and beyond your salary but your salary must be reasonable under law. For example, assume you have $100,000 in gross revenue and you operate at 80% gross profit meaning you only have $20,000 in business expenses. That would make your profit $80,000. You do research and determine your reasonable salary should be $60,000. In an S Corp, you pay this salary through payroll and it is technically an expense, but doesn't mean you don't pay taxes on it. This leaves you with $20,000, I call this profit after reasonable salary which is the amount of money you have after all your business expenses and your owner's salary. This is also your distribution amount. You save a 15.3% self-employment tax on the remainder, which leaves you with $3,060 in tax savings. As this relates to my S Corp last year, I had $95,000 in revenue, but a slightly negative profit on my tax return. How does this happen? Previously I've talked about profit on your books versus profit on your taxes. This is correct, and totally normal. A big example is home office. We should not pay our rent or mortgage out of our business bank account because it is a mix-use expense so it comes out of our personal account and then have our business reimburse us for the use of our home office if you have an S Corp. Mine was about $5 or 6,000 which combined with a few other examples like this, took me to a slight negative profit on my tax return. It's important to note this doesn't mean you didn't make any money from your business, we're just talking about business profit. A S Corp saves you money by having profit after reasonable salary, which I did not have. It cost me about $600, which is the cost of my payroll. The biggest issue for me was the QBI (Qualified Business Income) deduction. This allows business owners to deduct 20% of their QBI (see line 13 of the 1040 tax form). We can simply this to say it's basically net business income with some exceptions. This only identifies to passthroughs. Income phaseouts and the rules for phaseouts differ based on the kind of business. To see the Qualified Business Income decision tree to see the rules and break down the limitations, click here. What I want you to know is the QBI deduction gives you a 20% deduction on your qualified business income which is most of your income unless you hit certain phaseouts at different levels of income which is what we cover in the decision tree. When you have an S Corp. you have less QBI because your salary is treated as an expense. QBI in an S Corp is the net income after salary. We can calculate the tax savings by multiplying the deduction by the marginal tax rate. If you file your S Corp at the right time (which I did not) then the amount that you're going to save is going to offset the amount you're going to lose in the QBI deduction. This year I should be fine, I'm on track to make $140 to $180,000. As a sales person, it's easier for me to say an S Corp will sell you taxes and you can pay me $X to set it up for you, but I'm not going to sell you on that. I want you to understand the nuts and bolts which is I have Profit Rx. You can join beginning at $30/month, upgrade to a VIP tier to get group support, or join our seasonal membership to get 1:1 support.

June 2, 2022 - Qualified Business Income

In 2018, the corporation tax rate decreased from 35% to 21%. At the same time, the Qualified Business Deduction (QBI) was introduced. This podcast covers the Qualified Business Deduction, a tax deduction meant to even the playing field between corporations who pay their tax and businesses that pass their income to the shareholders or partners. Hawkins Ash CPAs is a full-service public accounting firm providing individuals, businesses and organizations the services they need to save taxes, preserve wealth and maintain compliance. We have offices in Wisconsin and Minnesota. Listen to more of the Tax Insights Podcast at hawkinsashcpas.com/cpa-hq/podcast/

Craig Cody is a Certified Public Accountant, Certified Tax Coach™, business owner and the host of The Progressive Dentist Podcast. Prior to his current work, Craig spent seventeen years with the NYPD, where he retired as a Lieutenant in September 2000. Craig is an expert in helping his clients legally reduce their tax liabilities and keep more of their money. Through his podcast, Craig helps dentists grow their practices through smart financial decisions and through financial education of the kind that isn't offered in dental school. What You Will Learn: The best legal options for dentists to keep more of what they make QBI and the deductions surrounding it What you can do to get your taxable income below the $315k mark as you plan for QBI How QBI will impact your financial planning in 2020 Why you should plan for QBI with your CPA Additional Resources: Website: www.theprogressivedentist.com Twitter: @CraigC2742 LinkedIn: www.linkedin.com/in/craigcodycpa

Dr. Friday 0:00 Good day. I’m Dr. Friday, president of Dr. Friday Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one minute moment. You know, we talked a lot, especially last year about QBI – Qualified Business Income. And some of the wonderful advantages of that 20% that you can get. Before the things, we did figure out is that the self-employed health insurance right off lowers that benefit. So basically, what we’re saying is, is that when you actually have to, and most of us as entrepreneurs, write off our self-employment. And if it’s $10,000 you could be losing 20% of that or $2,000 of your QBI. Still, a better deduction to take 100% of it off. But just keep in mind sometimes everything doesn’t seem as it appears on taxes, call me 615-367-0819. Announcer 0:52 You can catch the Dr. Friday Call-In Show live every Saturday afternoon from 2 pm to 3 pm right here on 99.7 WTN.

QBI is a new term for a lot of people, it stands for Qualified Business Income that may help you by 20% depending on if you can qualify. This podcasts talks about the QBI and how to qualify. If you have any questions, send me a text to 818.252.5682 www.lodge-co.com

QBI is a new term for a lot of people, it stands for Qualified Business Income that may help you by 20% depending on if you can qualify. This podcasts talks about the QBI and how to qualify. If you have any questions, send me a text to 818.252.5682 www.lodge-co.com

In this episode, we will look at the benefits of being an independent contractor and some of the tax challenges you might also run into. As an added bonus I’ll take a deep dive into the Qualified Business Income deduction (“QBI”) that came out last year with the new tax changes. We will go over the good, bad and what you can do to optimize the QBI for your taxes this year. Oh look! We've written a companion blog that can be found here: https://fitadvisors.com/tax-and-retirement-planning-for-independent-contractors/ 

In the tax and business entity series that I did with Peter Mcfarland, he touched on qualified business income (QBI). I wanted to do a deep dive to understand it myself! Scott Estill, a former IRS senior trial attorney, agreed to come on the podcast to educate us. QBI is part of section 199A of the 2017 Tax Cuts and Jobs Act. If you own rental properties or a business, you'll want to understand QBI as it can provide up to a 20% deduction of your qualified business income. Like most tax laws, it's complex. Scott does a great job of breaking down QBI.  

Craig Cody is a certified public accountant, Certified Tax Coach™, business owner and the host of the Progressive Dentist Podcast. Prior to his current work, Craig spent seventeen years with the NYPD, where he retired as a Lieutenant in September 2000. Craig is an expert in helping his clients legally reduce their tax liabilities and keep more of their money. Through his podcast, Craig helps dentists grow their practices through smart financial decisions and through financial education of the kind that isn't offered in dental school. What You Will Learn: Craig discusses the new Section 199 Qualified Business Income Deduction, and he explains how small business owners of S-Corps, LLCs, sole proprietorships and partnerships can use it to get a deduction of up to 20% of the business's net income. Craig explains the difference between Qualified Business Income and Specified Service Income, and he shares how the 20% deduction begins to phase out at $315,000 taxable income and vanishes at $415,000 for Specified Service businesses like dental practices. Craig shares how appropriate planning can allow practice owners to get additional deductions if they are on the $415,000 bubble, by looking for ways to minimize their taxable income to fall within the Specified Service Income threshold. Craig explains why it is important to speak to your CPA and look for ways to reduce your taxable income so that you can keep more of what you make. He explains other tax deductions that you may qualify for including Section 179. Craig shares how goodwill works, and he explains amortization (a non-cash expense). He describes how goodwill can be amortized over the course of 15 years, and he shares how not amortizing your goodwill can cost you thousands a year. Craig explains why hiring your children at age 7+ and paying them a reasonable wage that goes into a Roth IRA can be a smart financial decision that can help lower your taxable income. Craig shares how paying your child through Schedule C will allow you to avoid paying FICA tax on their income. Additional Resources: Website: www.theprogressivedentist.com

In this episode, Tyler breaks down in detail the essentials you need to know about the 20% Qualified Business Income deduction. Learn who qualifies for it, what to do if your income is above the threshold, and other important characteristics of this new "Tax Reform" law. --- Support this podcast: https://anchor.fm/taxsaversuniversity/support

There have been plenty of changes to the 2018 tax returns as a result of the Tax Cuts and Jobs Act. Today we go over some of the big changes that might affect you and your tax return. Tune in to find out some of the forms that are no longer utilized, how the tax brackets have shifted, the changes to standardized and itemized deductions and more. And if you have a question about the changes made and we don’t cover it today, please feel free to reach out to me and I’d be happy to get you the answers you are looking for. Don’t forget, unless you’re under an extension, your individual taxes must be filed by Monday, April 15th 2019!  What We Will Cover Some changes you will see when filing your 2018 tax returns Forms that are no longer available What the new Schedule 1 is used for The adjustments that have been made to the tax brackets (and income thresholds) An interesting twist for the new tax brackets for single filers What happened to the personal exemption Changes to the moving expense deduction and who is still eligible to utilize it What’s new with the standard and itemized deductions How state income tax is affected by the changes to itemized deductions Mortgage interest deduction changes and which mortgages are affected by the change Why we can no longer take advantage of the miscellaneous tax deductions (and what falls under this umbrella) Medical deduction adjustments that you can take advantage of A brief history of the alternative minimum tax (AMT) and the changes made to it this year How your child tax credits have changed The basics of the Qualified Business Income deduction (but the details can be found in Episode 4) Looking ahead and identifying things to watch for in 2019 Getting Connected With Anjali Website Click here if you want to read the transcript instead! 2018 Tax Return Changes Explained

In this podcast, actuary Neil Shore joins attorney David O’Leary. Mr. O’Leary is a tax and benefits partner at Lavelle Law. Mr. Shore is an actuary and partner at Shore Tompkins Actuarial Resources, LLC. They discuss the new qualified business income (QBI) deduction for business owners and the use of a cash balance plan as a strategy to maximize the owner’s QBI deduction.     

Taxes can be a challenge for a lot of people. There’s an added level of complexity if you are or are thinking about becoming an independent contractor. The tax rules and planning differs from a W-2 employee. But what are they? Today on the episode we will dig into what those differences are. We will look at the benefits of being an independent contractor and some of the tax challenges you might also run into. As an added bonus I’ll take a deep dive into the Qualified Business Income deduction (“QBI”) that came out last year with the new tax changes. We will go over the good, bad and what you can do to optimize the QBI for your taxes this year. What We Will Cover The difference between an independent contractor and an employee An explanation of tax withholding Who’s required to send in estimated tax payments and how frequently What it means to “safe harbor” your estimated taxes How Social Security and Medicare differ for employees and contractors The tax rates and income thresholds for Social Security and Medicare taxes The deduction for paying self-employment tax (and the definition of self-employment tax) How a 1099 independent contractor can offset business expenses What to expect for health care plans for an independent contractor The difference in retirement savings for an employee vs. an independent contractor Retirement plans for employees vs. retirement plans for independent contractors When and if someone should make the S Corp election The main different between and LLC and an C Corp The biggest benefit of an S Corp election What if you’re an employee AND an independent contractor The Qualified Business Income (QBI) deduction explained The limitations on the QBI The types of businesses that fall into the “specified service trade or business” The math behind the QBI deduction The phase-in ranges for the QBI deduction An explanation of unadjusted basis and it’s role in the QBI deduction Getting Connected With Anjali Website Click here if you want to read the transcript instead! Tax Planning for 1099_Independent Contractors

Discussion regarding Department of Treasury and the Internal Revenue Service’s proposed regulations under Section 199A regarding 20% deduction for qualified business income. The American College of Trust and Estate Counsel, ACTEC, is a professional society of peer-elected trust and estate lawyers in the United States and around the globe. This series offers professionals best practice advice, insights, and commentary on subjects that affect the profession and clients. Learn more in this podcast.     

New tax rules have created a QBI rule, which stands for Qualified Business Income deduction. Some companies are considering changing their business entities because of QBI. This is a discussion you should have with your tax accountant. Also, I have a new book out on Amazon.com called, "Ethically Thinking, It's Not That Difficult". You can also order it by going to www.wbtpod.com

New tax rules have created a QBI rule, which stands for Qualified Business Income deduction. Some companies are considering changing their business entities because of QBI. This is a discussion you should have with your tax accountant. Also, I have a new book out on Amazon.com called, "Ethically Thinking, It's Not That Difficult". You can also order it by going to www.wbtpod.com

As the holidays near, visions of new tax savings dance in our heads.  But knowing how to spot them is what really matters. With all the new tax law changes, Will Holt joins us again to guide you through seven tax opportunities you can take advantage of before year-end. Some of these tips can save you thousands of dollars, so listen in to see how you they may benefit your personal situation. 7 Tax Opportunities to Take Advantage Of 1. Tax Harvesting (Loss or Gain) – This hasn’t changed with the new tax law, but depending on your tax bracket, that percentage of tax you pay may have. If you’re facing a significant amount of capital gains or expect large capital gain distributions, with the rough October performance, you may want to consider tax loss harvesting. This allows you to offset some of those gains and even go a step further, by using $3,000 of net losses against your income. It may seem counterintuitive to sell at a loss, but it could be an opportunity to offset high taxes. If you are in the new 12% federal tax bracket and lower, realizing more gains could be an opportunity instead, as these could be realized at 0%. But knowing your tax rate and all expected income is required. Discuss with a professional to know for sure. 2. Max Retirement Contributions – Understanding how close you are to the max of your retirement accounts, could present extra tax-advantaged savings at the end of the year. Maxing your 401K contribution is the first place to check. If you get a big year-end bonus, this could be a good trigger. Don’t forget your HSA, as this account provides a triple threat of tax savings (tax deduction, tax deferral, tax-free withdrawals). 3. Convert a Roth IRA? – Doing a Roth conversion can help you stay in your tax bracket by moving an IRA into a Roth. With the new lower tax rates, this could be an opportunity to lower the inevitable tax you were going to pay on this savings. Additionally, you will be taking money out of a tax-deferred account and moving it into a tax-free account. This is a good option for early retirees with large taxable accounts. But you’ll need to be more precise going forward, as the opportunity to recharacterize if you overshoot is gone. 4. Bunching Charitable Contributions – The new tax law has increased the standard deduction for individuals to $12,000 and for married couples from $12,000 to $24,000. This means around 90% of people will now be taking the standard deduction according to the Tax Policy Center. If you forecast your itemized deductions could be higher than the standard amount, consider bunching your charitable contributions into 2-year bundles. One way to do that is by using a bunching tool called a donor-advised fund.  The donor-advised fund allows for more flexibility in taking the deduction now, but still allowing for spreading contributions throughout the year. For more information about donor-advised funds, refer to episode 59 for more details. 5. Look at a Qualified Charitable Distribution Early in the Year – One of the opportunities, that hasn’t changed but is getting more attention, is the QCD or qualified charitable distribution. To enjoy this opportunity you are required to be age 70.5 and older as you can designate a portion of your required annual distribution directly to a charity. This takes some precision and should be targeted for earlier in the year when the RMD still needs to be taken as it must come directly out of an IRA and go directly to the charity of your choice. 6. 20% Deduction for Qualified Business Income – If you are a small business owner or entrepreneur the qualified business income deduction will be of interest. What’s come to be called the QBI deduction, or 199A deduction, is used for any business that is not a C corporation. If you have self-employed income or are an S Corporation, you can receive a deduction of 20% on your profit. However, there are income limitations. After you listen to this tip you’ll want to sit down with your tax professional and plan your taxes. We wrote a more detailed article on potential savings with QBI here. 7. Watch the Tax Torpedos – To truly understand your own tax planning, you have to watch specific income thresholds. We refer to these as tax torpedos. For example, if receiving a premium tax credit for health insurance, you could lose your entire subsidy if you surpass the income limitations by even $1. These are set according to the amount of family members (up to 4). A great example of why tax planning matters throughout the year as well. We discuss other important income thresholds dealing with the medicare premium surcharges, child tax credit cutoffs, and roth IRA limits. As you prepare for the holiday season, make sure you take a second look at your tax planning. By watching out for these financial opportunities, you could end up saving yourself thousands of dollars in taxes. It’s important to have a multi-year tax strategy and always consider the big picture, not just what is happening now.  Being financially smart means considering all aspects of your financial life.  This time of  year, that begins with looking for ways take advantage of new tax laws for your personal situation. Outline of This Episode [2:47] Tax loss harvesting [6:51] Retirement accounts tax savings [9:00] The Roth conversion [12:09] The new tax law increased the standard deduction [15:36] Qualified charitable distribution [19:43] The qualified business income deduction [22:37] Specific thresholds to look out for Resources & People Mentioned Episode 59 Tax Solutions for Charitable Giving Episode 63 – QCD’s Qualified Business Income Flowchart Connect with Will Holt wholt@financialsymmetry.com Connect With Chad and Mike https://www.financialsymmetry.com/podcast-archive/ Connect on Twitter @csmithraleigh@TeamFSINC Follow Financial Symmetry on Facebook Subscribe To This Podcast Apple Podcasts  Stitcher  Google Play Podcasts Stitcher Google Play

Taxes: We all hate them but we all have to pay them. In December 2017, the Republicans in Congress rushed major changes to our tax policy into law. In this episode, host Jen Briney and her accountant friend, Alexis Claypool, explain the most significant changes to how our tax payments are going to be calculated and how these changes are likely to affect us. You will also learn about a major dingleberry that hitchhiked its way into law attached to this bill. Joe Briney joins Jen for the Thank Yous. Please Support Congressional Dish - Quick Links Click here to contribute a lump sum or set up a monthly contribution via PayPal Click here to support Congressional Dish for each episode via Patreon Send Zelle payments to: Donation@congressionaldish.com Send Venmo payments to: @Jennifer-Briney Use your bank’s online bill pay function to mail contributions to: 5753 Hwy 85 North Number 4576 Crestview, FL 32536 Please make checks payable to Congressional Dish Thank you for supporting truly independent media! H.R. 1: An Act to provide for reconciliation pursuant to titles II and V of the concurrent resolution on the budget for fiscal year 2018.   Subtitle A - Individual Tax Reform Part I - Tax Rate Reform Sec. 11001. Modification of Rates Married Individuals Filing Joint Returns Heads of Households Unmarried Individuals Inflation Adjustment Part II - Deduction for Qualified Business Income of Pass-Thru Entities Sec. 11011. Deduction for Qualified Business Income Phase-In of Limit for Certain Taxpayers Qualified Business Income Exception for specified service businesses based on taxpayer's income Threshold Amount Application to partnerships and S Corporations Part III - Tax Benefits for Families and Individuals Sec. 11021. Increase in Standard Deduction Sec. 11022. Increase in and Modification of Child Tax Credit. Sec. 11027. Temporary Reduction in Medical Expense Deduction Floor. Special Rules for Use of Retirement Funds with Respect to Areas Damaged by 2016 Disasters Part IV - Education Part V - Deductions and Exclusions Sec. 11042. Limitation on Deduction for State and Local, etc. Taxes Sec. 11043. Limitation on Deduction for Qualified Residence Interest Sec. 11045. Suspension of Miscellaneous Itemized Deductions Sec. 11047. Suspension of Exclusion for Qualified Bicycle Commuting Reimbursement Sec. 11048. Suspension of Exclusion for Qualified Moving Expense Reimbursement Sec. 11049. Suspension of Deduction for Moving Expenses Sec. 11051. Repeal of Deduction for Alimony Payments Part VI - Increase in Estate and Gift Tax Exemption Sec. 11061. Increase in Estate and Gift Tax Exemption Part VII - Extension of Time Limit for Contesting IRS Levy Part VIII - Individual Mandate Sec. 11081. Elimination of Shared Responsibility of Payment for Individuals Failing to Maintain Minimum Essential Coverage Subtitle B - Alternative Minimum Tax Sec. 12001. Repeal of Tax for Corporations Sec. 12003. Increased Exemption for Individuals Subtitle C - Business-related Provisions Part I - Corporate Provisions Sec. 13001. 21-Percent Corporate Tax Rate Part II - Small Business Reforms Sec. 1301. Modifications of Rules for Expensing Depreciable Business Assets Part III - Cost Recovery and Accounting Methods Sec. 13201. Temporary 100-Percent Expensing for Certain Business Assets Sec. 13202. Modifications to Depreciation Limitations on Luxury Automobiles and Personal Use Property Part IV - Business-Related Exclusions and Deductions Sec. 13301. Limitation on Deduction for Interest Sec. 13304. Limitation on Deduction by Employers of Expenses for Fringe Benefits Qualified Transportation Fringes Transportation and Commuting Benefits Sec. 13306. Denial of Deduction for Certain Fines, Penalties, and Other Amounts Sec. 13307. Denial of Deduction for Settlements Subject to Nondisclosure Agreements Paid in Connection with Sexual Harassment or Sexual Abuse Sec. 13308. Repeal of Deduction for Local Lobbying Expenses Sec. 13311. Elimination of Deduction for Living Expenses Incurred by Members of Congress Part V - Business Credits Sec. 13403. Employer Credit for Paid Family and Medical Leave Termination Part VI - Provisions Related to Specific Entities and Industries Sec. 13531. Limitation on Deduction for FDIC Premiums Part VII - Employment Sec. 13602. Excise Tax on Excess Tax-Exempt Organization Executive Compensation Part VII - Exempt Organizations Sec. 13702. Excise Tax Based on Investment Income of Private Colleges and Universities Part IX - Other Provisions Sec. 13802. Reduced Rate of Excise Tax on Beer Sec. 13804. Reduced Rate of Excise Tax on Wine Sec. 13807. Reduced Rate of Excise Tax on Certain Distilled Spirits Subtitle D - International Tax Provisions Part 1 - Outbound Transactions Sec. 14101. Deduction for Foreign-Source Portion of Dividends Received by Domestic Corporations from Specified 10-Percent Owned Foreign Corporations Sec. 14202. Deduction for Foreign-Derived Intangible Income and Global Intangible Low-Taxed Income Sec. 14211. Elimination of Inclusion of Foreign Base Company Oil Related Income Part II - Inbound Transactions Part III - Other Provisions Title II Sec. 20001. Oil and Gas Program Sec. 20003. Strategic Petroleum Reserve Drawdown and Sale Additional Reading Article: Tax reform eliminates deduction for moving expenses by Brittany Benson, H&R Block, October 24, 2018. Article: What are political or lobbying expenses and are they deductible? by Jean Murray, The Balances MB, October 23, 2018. Article: What changes has the IRS made to moving expense reimbursement? by Terry Sheridan, Accounting Web, October 3, 2018. Article: How the Trump tax law passed: GOP adds sweeteners by The Hill Staff, The Hill, September 28, 2018. Article: Repatriated profits total $465 billion after Trump tax cuts - leaving $2.5 trillion overseas by Jeffry Bartash, MarketWatch, September 19, 2018. Article: Foreign-derived intangible income deduction: Tax reform's overlooked new benefit for U.S. corporate exporters by Frank J. Vari, The Tax Adviser, August 2, 2018. Article: Will the Tax Act set back private equity? by David Dayen, The American Prospect, July 2, 2018. Article: The new tax form is postcard-size, but more complicated than ever by Jim Tankersley, The New York Times, June 25, 2018. Article: Four key changes for depreciation deductions by Bobby M. Bragg, Jamison Money Farmer PC, May 29, 2018. Article: New: IRS announces 2018 tax rates, standard deductions, exemption amounts and more by Kelly Phillips Erb, Forbes, March 7, 2018. Article: New excise tax on excess executive compensation by tax-exempt organizations by Christine Faris and Stephen Sutten, Baker Tilly, January 29, 2018. Article: Tax credit aims to boost availability of paid family leave, but will it work? by Michelle Andrews, NPR, January 23, 2018. Article: Corporate America celebrated tax cuts by laying off workers by David Dayen, Vice, January 10, 2018. Article: Andy Blunt joining in lobbying venture wtih long-time confidant of his father by Chuck Raasch, St. Louis Post-Dispatch, January 10, 2018. Article: Bonus tucked into GOP tax bill for those aiming to deduct medical expenses by Michelle Andrews, Kaiser Health News, December 22, 2017. Article: Final tax bill includes huge estate tax win for the rich: The $22.4 million exemption by Ashlea Ebeling, Forbes, December 21, 2017. Article: Newly passed Tax Cuts and Jobs Act eliminates employers' commuter benefits deductions by Matt Gerard, NBS, December 21, 2017. Article: Beer, wine, and spirits industries toast passage of GOP tax bill by Victor I. Nava, Washington Examiner, December 20, 2017. Article: A quick guide to the GOP tax plan, Bloomberg News, December 18, 2017. Article: CEOs aren't waiting for the tax bill to pass - they've already started pocketing the windfall by David Dayen, The Intercept, December 18, 2017. Article: Have you ever felt sorry for the I.R.S.? Now might be the time by Patricia Cohen, The New York Times, December 18, 2017. Article: File your taxes on a postcard? A G.O.P. promise marked undeliverable by Jim Tankersley, The New York Times, December 16, 2017. Article: Special giveaways in tax cut bill benefit family members and colleagues of key GOP senators by Lee Fang, The Intercept, December 1, 2017. Article: CBO: Senate tax bill would hurt poor by Mallory Shelbourne, The Hill, November 27, 2017. Article: Republican plan delivers permanent corporate tax cut by Jim Tankersley, Thomas Kaplan, and Alan Rappeport, The New York Times, November 2, 2017. Article: The GOP Tax Bill is out - and now we know why it was secret for so long by David Dayen, The Nation, November 2, 2017. Article: BP's $20.8 billion gulf spill settlement nets $15.3 billion tax write-off by Robert W. Wood, Forbes, October 6, 2015. Resources CDC: Alcohol and Public Health Govtrack: H.R. 1: Tax Cuts and Jobs Act Institute on Taxation and Economic Policy: Who Pays? Joint Committee on Taxation Publication: JX-67-17 OpenSecrets.org: Dan Sullivan OpenSecrets.org: Don Young OpenSecrets.org: Lisa Murkowski OpenSecrets.org: Rep. Mike Kelly OpenSecrets.org: Rep. Peter DeFazio OpenSecrets.org: Sen. Rob Portman OpenSecrets.org: Sen. Roy Blunt Treasury.gov: Unified Framework for Fixing Our Broken Tax Code Turbo Tax: What Are Standard Tax Deductions? USGS: ANWR Maps Sound Clip Sources Congressional Record of the 115th Congress; House of Representatives, Wednesday, September 27, 2017. Congressional Record of the 115th Congress; House of Representatives, Thursday, September 28, 2017. Congressional Record of the 115th Congress; House of Representatives, Wednesday, October 4, 2017. Congressional Record of the 115th Congress; House of Representatives, Monday, December 18, 2017. Congressional Record of teh 115th Congress; House of Representatives, Tuesday, December 19, 2017. Community Suggestions See more Community Suggestions HERE. Cover Art Design by Only Child Imaginations Music Presented in This Episode Intro & Exit: Tired of Being Lied To by David Ippolito (found on Music Alley by mevio)

The American Institute of CPAs (AICPA) issued a letter to the United States Treasury and the IRS in February requesting immediate guidance on new Internal Revenue Code Section 199A. Guest Amy Wang, AICPA tax policy and advocacy senior manager, joins host Damien Martin to talk about this request and the AICPA’s Qualified Business Income Task Force. Here’s some of what’s covered: Why was the task force formed? @ 4:57 How were the areas and recommendations from the letter identified? @ 7:20 What was the process for developing the letter? @ 12:06 What’s next for the task force? @ 13:46 When do we expect a response from the Treasury and IRS? @ 15:38 What are some of the pressing challenges taxpayers face? @ 16:32 What area is Amy most hoping for Treasury and IRS guidance on? @ 19:29 BIO FOR GUEST Amy Wang is a member of the AICPA Tax Policy & Advocacy Team, whose mission is to serve the public interest by helping AICPA members to be the most trusted professional providers of tax services while also advocating sound tax policy and effective administration. She plays a key role in the development of AICPA testimony for tax-related congressional hearings. Follow Amy on Twitter Connect with Amy on LinkedIn ADDITIONAL RESOURCES Request for Immediate Guidance Regarding IRC Section 199A – Deduction for Qualified Business Income of Pass-Through Entities (Pub. L. No. 115-97, Sec. 11011) AICPA's Tax Reform Resource Center

The American Institute of CPAs (AICPA) issued a letter to the United States Treasury and the IRS in February requesting immediate guidance on new Internal Revenue Code Section 199A. Guest Amy Wang, AICPA tax policy and advocacy senior manager, joins host Damien Martin to talk about this request and the AICPA's Qualified Business Income Task Force. Here's some of what's covered: Why was the task force formed? @ 4:57 How were the areas and recommendations from the letter identified? @ 7:20 What was the process for developing the letter? @ 12:06 What's next for the task force? @ 13:46 When do we expect a response from the Treasury and IRS? @ 15:38 What are some of the pressing challenges taxpayers face? @ 16:32 What area is Amy most hoping for Treasury and IRS guidance on? @ 19:29 BIO FOR GUEST Amy Wang is a member of the AICPA Tax Policy & Advocacy Team, whose mission is to serve the public interest by helping AICPA members to be the most trusted professional providers of tax services while also advocating sound tax policy and effective administration. She plays a key role in the development of AICPA testimony for tax-related congressional hearings. Follow Amy on Twitter Connect with Amy on LinkedIn ADDITIONAL RESOURCES Request for Immediate Guidance Regarding IRC Section 199A – Deduction for Qualified Business Income of Pass-Through Entities (Pub. L. No. 115-97, Sec. 11011) AICPA's Tax Reform Resource Center

Lynn Nichols Federal Tax Update Podcast March 5, 2018, edition   Listen as Lynn Nichols provides commentary on 6 Items pertaining to current developments in U.S. tax law. This week’s topics include:   Formula-Driven Tax Law Provisions Cause Havoc for Businesses Businesses are challenging the efficacy and burden of the formulaic approach that taxwriters adopted in structuring several provisions of the Tax Cuts and Jobs Act. [Tax Notes Today; 2/20/2018; Article by Emily Foster]   Second Circuit Upholds New York’s Donor Disclosure Requirement The Second Circuit, partially affirming a district court, held that a New York state requirement that registered charities disclose donor information doesn’t violate the First Amendment and is not preempted by federal tax law, finding that the requirement doesn’t impermissibly chill speech or act as a prior restraint on donation solicitation. [Citizens United et al. v. Eric T. Schneiderman; CA 2; No. 16‐3310; 2/15/2018  ]   No Debt Cancellation Reporting Required for Write-offs The IRS ruled that a taxpayer is not required to file Forms 1099-C, "Cancellation of Debt," to report discharge of indebtedness because none of the identifiable events listed in reg. section 1.6050P-1(b)(2) occurred. [Letter Ruling 201807008; 11/14/2017]   Interest Expense Deduction Notice Expected in Coming Weeks The Treasury Department plans to issue a notice in the coming weeks tackling some of the biggest issues with business interest expense deductions under the Tax Cuts and Jobs Act. [Tax Notes Today; 2/21/2018; Article by Emily Foster]   Unadjusted Basis Rule Raises Like-Kind Exchange Questions The Tax Cuts and Jobs Act has both raised questions about how the newly restricted like-kind exchange provision will interact with the other changes and placed pressure on definitions connected to the new restriction. [Tax Notes Today; 2/21/2018; Article by Nathan Richman]   Gauging the Height of the Specified Service Business Guardrail Daniel L. Mellor examines the limited guidance available on the key definitional element of the new 20 percent deduction for passthrough income under the Tax Cuts and Jobs Act, specifically, the incorporation of section 1202(e)(3)(A) in defining a “specified service business.” [Tax Notes Today; 2/21/2018; Article by Daniel L. Mellor, JD, LLM]       AICPA Seeks Guidance on Qualified Business Income of Passthroughs Annette Nellen of the American Institute of CPAs has asked for guidance on the section 199A deduction for qualified business income of passthrough entities, asserting that taxpayers and practitioners need clarity to comply with their 2018 tax obligations and to make informed decisions on tax planning issues. [Tax Notes Today; Letter from AICPA to Treasury Officials; 2/21/2018   IRS Set to Accept Returns Claiming Retroactively Renewed Tax Benefits The IRS has announced it is ready to process 2017 tax returns claiming three tax benefits that were renewed retroactively under the Bipartisan Budget Act, but taxpayers who filed earlier in the season and want to claim one of the benefits must use an amended return, which can’t be filed electronically and can take up to 16 weeks to process. [IR-2018-33; 2/22/2018]   IRA Distribution Wasn’t Excludable as Transfer Incident to Divorce The Tax Court held that distributions an individual received from his IRA to make payments to his estranged wife were not excludable from his gross income under section 408(d)(6) as transfers incident to divorce because he did not make a nontaxable transfer of the funds to an IRA in his wife’s name as he was ordered to do by a state court. [Kirkpatrick, John R; T.C. Memo. 2018-20; 2/22/2018   AICPA Offers TCJA Technical Corrections to Taxwriting Committees In a February 22 letter to Senate Finance Committee and House Ways and Means Committee leaders, the American Institute of CPAs suggested technical corrections for the Tax Cuts and Jobs Act, such as changes to the effective date of the net operating loss provision, to the property class life of qualified improvement property, and to the charitable deduction limitation. [Tax Notes Today; AICPA letter; 2/22/2018]