IRS Encourages Taxpayers to Check Withholding

June 28, 2018

Many taxpayers are unsure whether their current 2018 withholding and estimated quarterly payments will be sufficient in light of the Tax Cuts and Jobs Act

Are you having enough money withheld from your regular paychecks? The Tax Cuts and Jobs Act (TCJA) has made several significant changes to the tax rules for individuals for 2018 through 2025. As a result, many taxpayers who previously itemized deductions are expected to claim the standard deduction, starting in 2018. Read more

Sales Tax: Supreme Court Ruling Affects Retailers and Consumers

June 27, 2018
Sales Tax

The U.S. Supreme Court recently issued a ruling overturning a 1992 precedent that had barred states from requiring online retailers without a “physical presence” there to collect sales taxes.

A new U.S. Supreme Court ruling paves the way for states to require Internet sellers to collect sales tax from consumers — even if they don’t have a physical presence in the state. (South Dakota v. Wayfair, No. 17-494, June 21, 2018) In doing so, the Court has reversed the long-standing, but controversial, precedent in Quill v. North Dakota. (504 U.S. 298, May 26, 1992)

This landmark decision, reached by a narrow 5-4 vote, puts online retailers on the same virtual sales tax footing as brick-and-mortar stores. Read more

International Tax Technical Update- June 2018

June 21, 2018

IRS Offers Limited Relief to Certain Taxpayers Subject to the Section 965 Transition Tax

June 2018


On June 4, 2018, the Internal Revenue Service (IRS) announced that it will provide penalty relief to certain taxpayers subject to the Section 965 transition tax, and provided additional information for individuals subject to the Section 965 transition tax regarding the due date for relevant elections. Read more

The Basics of Form 3520

June 21, 2018
Form 3520

Form 3520 is required for many U.S. taxpayers with international activity. However, there is still a lot of confusion regarding the basics of the form.

By Bethany Bouw, CPA

Many taxpayers with international activity are becoming more familiar with informational reporting on foreign bank accounts, foreign corporations, and foreign financial assets. However, many still struggle with certainty when it comes to reporting transactions with foreign trusts or receipt of foreign gifts/bequests on Form 3520. As with most foreign informational reporting, this is not a form to be ignored or taken lightly as it carries significant penalties. Read more

Foreign Reporting: Changing Landscape for Forgetful Filers

June 21, 2018
Foreign Reporting

Changes are on the way for anyone who misses a foreign tax filing deadline.

By Bethany Bouw, CPA

Big changes are coming for those who have missed a foreign filing requirement. As we have previously noted, there are a variety of procedures for becoming compliant. One of those methods will soon be closing, and this may signal additional changes on the horizon. Read more

Tax Reform: What’s Changing for Individuals?

June 18, 2018
Tax Reform

Here’s a list of 30 major tax issues to consider as you plan for the 2018 tax year.

The Tax Cuts and Jobs Act makes sweeping changes to the tax rules for individuals. But some of the new provisions won’t necessarily be relevant to your situation. Here’s a quick reference guide to the major issues under the new law to help you understand what’s changing.

In general, the changes for individual taxpayers are effective for 2018 through 2025, unless otherwise noted. Read more

Will States Conform to the New Tax Rules?

June 14, 2018
State Tax Rules

Federal tax laws traditionally serve as the basis for many state tax laws. Here are some key provisions of the new law that must be addressed and how each change might affect your state tax bill.

Many state legislatures are now in session. A major issue that state lawmakers may currently face is whether to conform their state income tax systems to all the changes included in the Tax Cuts and Jobs Act (TCJA). Some states are considering or have adopted legislation to address the following key provisions of the new tax law. Read more

Tax Issues To Watch for When Planning for Your Business in 2018

June 14, 2018
Tax Issues

Although many businesses and owners expect to owe less federal income tax in 2018, the impact of the new law depends on your specific circumstances.

The Tax Cuts and Jobs Act makes sweeping changes. But some of the new provisions won’t necessarily be relevant to your situation. Here’s a quick reference guide to the major changes under the new law to help you understand what’s changing.

In general, these changes are effective for tax years beginning after December 31, 2017. For businesses, these changes are permanent, unless otherwise noted. Read more

How Does a Hold Harmless Clause Work in the Construction Industry?

June 13, 2018
Hold Harmless

General contractors and owners commonly use hold harmless clauses to reduce their exposure to risk, thereby helping them maintain lower insurance premiums.

Construction work, by its very nature, is a high-risk type of business. It usually isn’t a matter of if a loss occurs, but when and how much. When a loss does occur, such as an electrical wiring fire, all the parties involved with the project generally point the finger at the other parties. Read more

Four Ways to Keep Cash Flow High During Busy Season

June 13, 2018
Cash Flow

How do you keep ahead of the costs of starting a new job while you wait to be paid for the last one?

Everyone struggles to keep up when business really takes off. Projects come all at once. You may hire additional field workers to meet the demand. Payroll is stretched because payments which come in on your new projects lag months behind the large sums you lay out weekly to pay your workers. Read more