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Estate Tax Planning Tips for Single People

Estate Tax

Single taxpayers with an estate plan may need to give extra attention to maximize how much they can transfer to loved ones tax-free during their lifetimes and beyond.

Estate planning is an important part of your overall wealth management strategy, especially if you’re unmarried. Single parents may worry about who will care for their minor children and whether their surviving kids’ financial needs will be met until adulthood. Likewise, wealthy single people have less flexibility when it comes to shielding transfers from gift and estate taxes.

Fortunately, under the Tax Cuts and Jobs Act (TCJA), estate tax issues are less of a concern. The exemption amounts have been temporarily raised, so you’re less likely to be hit with the federal estate tax. But you may need to update your existing estate plan to take advantage of the favorable changes.  Read more

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Own a CFC? Get Ready to be GILTI…

There have been many changes in the last 12 months for US taxation of foreign entities. US shareholders of controlled foreign corporations (CFCs) have already felt the pinch of transition tax for 2017. Unfortunately, the pinch of foreign taxation changes is going to continue in 2018 and onwards thanks in part to GILTI. As the acronyms connotation implies, it is a less than popular tax change. Let us look together at some significant points related to the ominous GILTI: Read more

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Fa La La Falling Afoul of Foreign Gift Rules…

Foreign Gift

If you plan to do any international gifting or donating this year, make sure you are aware of possible tax consequences that may be associated.

By Bethany Bouw, CPA

Tis the season when those far and wide give gifts to their loved ones and charities. While you may be giving purely for the benefit of others, this does not remove the need to be aware of IRS requirements and regulations. Though the recipients will appreciate your altruistic intent, the IRS still has expectations no matter the spirit of the season. So, lest you fall afoul of the reporting rules, here are three commonly asked questions to consider as you gift and donate internationally this holiday season. Read more

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Use Eight Strategies to Improve Self-Pay Patient Collections

Patient CollectionsWith the increase in health plans requiring members to pay for all or part of their office visits, practices are faced with the challenge of asking patients for full payment. This can be upsetting for the patients and uncomfortable for staff members. Here are eight strategies for improving collections, including preparing for time-of-service collections, setting up prompt-pay discounts and showing staff how to interact with patients. Read more

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Tax Court Sets Boundaries on Commuting Deductions

Commuting Deductions

Commuting between your residence and place of business are generally non-deductable, but there are a few exceptions.

Although you usually can’t deduct typical “commuting” expenses from home, you may qualify for a special exception if you’re away working on temporary assignments. But the IRS and the U.S. Tax Court won’t allow borderline deductions, as evidenced by one case involving a construction worker.

We’ll explain what happened in the case, but first, here is some background information. Read more

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Conduct an Effective Year-End Review

Year-End Review

Year-end meetings are a good time to evaluate organizational finances, structure, and operations.

Like any well-run business, a medical practice needs to step back periodically and try to get a bird’s-eye view of where it has been and where it is going. A good time to perform such a review is at the end of the calendar year. Go into the meeting with a plan, prepared to focus on three critical areas: corporate, financial and operational planning.

It is helpful to have a trusted adviser, such as your accountant, facilitate the meeting. An adviser who knows your practice can keep the agenda focused on the business issues, diffuse tense emotions and provide insight based on experience with other medical offices. Read more

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Tax Cheer for Holiday Gifts to Employees

Employee Gifts

Before you decide on year-end gifts for your employees, know the potential tax consequences that may be associeted.

With the holidays fast approaching, you might want to reward your employees for all their hard work in 2018. Gift-giving ideas include gift cards, holiday turkeys and achievement awards.

Although your intent may be essentially the same in all these situations, the tax outcome for recipients of your goodwill may be quite different. Typically, it depends on the value and type of gift or award.  Read more

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Estate Tax Planning Tips for Married Couples

Estate Plan

Under the new tax law, it is important to review your estate plan before the end of the year.

For married people with large estates, the Tax Cuts and Jobs Act (TCJA) brings welcome relief from federal estate and gift taxes, as well as the generation-skipping transfer (GST) tax. Here’s what you need to know and how to take advantage of the favorable changes. Read more