November 26, 2018
The Internal Revenue Service counts fringe benefits - goods, services, and experiences given to employees in addition to standard wages - as a form of taxable income. In most cases, time spent using your company car for personal use is considered a taxable fringe benefit, and if your small business pays you a salary, you would owe tax on the financial equivalent of that benefit. While...
November 5, 2018
401(k) contribution limit increases to $19,000 for 2019; IRA limit increases to $6,000
The contribution limit for employees who participate in 401(k), 403(b), most 457 plans, and the federal government’s Thrift Savings Plan is increased from $18,500 to $19,000.
The limit on annual contributions to an IRA, which last...
October 29, 2018
The Missouri Work Opportunity Tax Credit Program offers tax credits to businesses that hire employees from a variety of target groups. All new hires can fill out the described forms to determine if the employer is eligible for the credit. Below are the steps:
1. All hired employees may fill out IRS Form 8850 to determine if they answer yes...
August 24, 2018
The Social Security Administration (SSA) is warning Americans about scammers posing as employees of the agency in order to steal their personal information.
The SSA and its Office of the Inspector General (OIG) are sounding the alarm this week about two types of scams. In the first, an individual gets a phone call with an automated recording saying that his Social Security...
February 5, 2018
2018 Tax Changes for INDIVIDUALS
Effective date: 1/1/18 for most items. Most of it expires 1/1/26.
State & Local Income Taxes plus Real Estate Tax on primary home, plus Personal Property Tax capped at $10,000 ($5,000 for Married Filing...
AICPA website - guest blogger
January 23, 2018
1. Everybody needs to fully reevaluate their accounting.
To start with, after two years of delays, US GAAP is undergoing its biggest changes in decades with implementation of FASB’s new revenue recognition and lease accounting standards. Aside from the high-profile changes for software providers, virtually every business in America that...
January 15, 2018
If, as part of your trade or business, you made any of the following types of payments, you probably need to send a 1099-Misc:
- Services performed by independent contractors or others (not employees of your business) (Box 7)
- Prizes and awards and certain other payments (see Instructions for Form 1099-MISC, Box 3. Other Income, for more information)
- Rent (Box...
January 8, 2018
1. Find one problem and solve it more thoroughly than anyone else.
What will my company be known for? That's where I normally begin. I don't want to start like others; I want to start with specificity.
When people ask me how to do this, my answer is simple: Find a specific problem and know all you can about it. Become obsessed with that one problem,...
January 4, 2018
Alphabet Inc.’s Google moved 15.9 billion euros ($19.2 billion) to a Bermuda shell company in 2016, saving at least $3.7 billion in taxes that year, regulatory filings in the Netherlands show.
Google uses two structures, known as a “Double Irish” and a “Dutch Sandwich,” to shield the majority of its international profits from taxation. The setup involves...
January 2, 2018
Beginning on Jan. 1, 2018, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:
- 54.5 cents for every mile of business travel driven, up 1 cent from the rate for 2017.
- 18 cents per mile driven for medical or moving purposes, up 1 cent from the rate for 2017.
- 14 cents per mile driven in...
CPA Practice Advisor
January 1, 2018
On the Friday before Christmas, President Trump signed the new tax reform bill into law. The Tax Cuts and Jobs Act will take effect today, January 1, 2018, but when will most taxpayers see the effects? When will they see more money in their wallets?
How much will the new Tax Cuts and Jobs Act save you?
It depends on what your income level is, how much comes...
November 20, 2017
Thanksgiving Day facts:
- The first Thanksgiving was held in the autumn of 1621 and included 50 Pilgrims and 90 Wampanoag Indians and lasted three days
- Thanksgiving didn't become a national holiday until over 200 years later!
- No turkey on the menu at the first Thanksgiving
- No forks at the first Thanksgiving. The first Thanksgiving was...
November 16, 2017
Throughout the year, many taxpayers contribute money or gifts to qualified organizations eligible to receive tax-deductible charitable contributions. Taxpayers who plan to claim a charitable deduction on their tax return must do two things:
- Have a bank record or written communication from a charity for any monetary contributions.
- Get a
November 9, 2017
The IRS is sending due diligence letters to preparers who may be noncompliant in meeting due diligence requirements and who completed questionable refundable credit claims.
These letters are sent to raise awareness of questionable returns and assist preparers in meeting due diligence requirements. The IRS will continue to monitor the refundable credit returns prepared...
Tax Adviser - AICPA
November 2, 2017
The IRS updated its page on health care reporting requirements to inform taxpayers and tax practitioners that it will not accept electronically filed 2017 individual income tax returns unless taxpayers indicate that they and everyone on their return had health care coverage, qualified for an exemption from coverage, or will make a shared-responsibility payment (under Sec. 5000A)....
October 26, 2017
Highlights of Changes for 2018
The contribution limit for employees who participate in 401(k), 403(b), most 457 plans, and the federal government’s Thrift Savings Plan is increased from $18,000 to $18,500.
The income ranges for determining eligibility to make deductible contributions to traditional Individual Retirement Arrangements (IRAs), to contribute...
October 19, 2017
Taxpayers still have time to take these three actions that may affect the 2017 tax return they will file in 2018.
Charitable contributions. Taxpayers can deduct contributions that they make to charitable organizations only in the year the donation is made. There is still time for taxpayers to contribute to a charity before the end of 2017. After several storms...
September 13, 2017
For calendar year taxpayers (individuals and most small C Corps), the third installment of 2017 estimated taxes is due. You need to have the envelope post marked by 9/15/2017. Feel free to call us with any
August 28, 2017
One of the most delicious parts of summer’s bounty is all of the abundant fruits. From apricots and blackberries to plums and peaches, most summer fruits make great jam. Before you dismiss homemade jam as something you don’t have time to make, consider this
August 21, 2017
Years ago, achieving “millionaire status” was quite an audacious goal. From today’s perspective, while a million dollars is still a significant sum, it’s not a goal that is completely out of reach to the average person—if they really want to achieve it. What do you need to do to make your million? Lifehack.org’s Jonha Revesencio recently shared the...
August 14, 2017
If your kids are leaving for college, or finally getting out of your basement to start their first job, you may find the transition from full house to empty nest a little rough. Here are some ways to help make the changes to your family structure less challenging from experts at today.com.
August 7, 2017
Although cranking up the air conditioning at home and the office is a surefire way to find relief from the heat, it’s remiss not to consider the environmental and economic impacts of doing so. Check out these tips below from Consumer Reports magazine to help cool off your energy bills and keep your home and office energy-efficient this summer—and beyond.
August 2, 2017
Short-term rentals, often called vacation rentals, have exploded onto the travel scene, becoming hugely popular with homeowners and travelers alike. With the help of technology, it is incredibly simple for a property owner to broadcast their rental across the world. Though sometimes overlooked, sales and lodging taxes are an entire class of taxes that expose you to a significant...
July 3, 2017
Is your family’s money mantra, “Easy come, easy go?” Does your family ever talk about saving money or setting financial goals? No matter where your family is on the financial literacy spectrum, it’s important to help your kids learn the value and wise management of money so they grow up to be financially responsible. While you may not need (or want) to discuss...
Andrew Ky Haynes w/Haynes Benefits
June 30, 2017
Haynes Benefits is a nationally recognized firm here in the Midwest. They primarily focus on employee benefits and human resources law. Do you use flash drives, cloud computing/software, rental cars, and bluetooth? Enjoy this very informative article written by Andy Haynes..
June 28, 2017
Financial experts estimate that raising a child to age 18 costs $250,000 or more. For parents with children that have disabilities and special needs, that cost can be as much as 10 times greater. So how can you make sure that a family member with Down syndrome, cerebral palsy, spina bifida or another condition that impacts their financial independence is taken care of? These tips from...
June 23, 2017
Fortify your company with these tips to reduce unnecessary staff turnover [LINK TO EMPLOYEE RETENTION
June 20, 2017
June 18, 2017
Happy Father's Day! What I learned from my father...
- School is important, including writing, which I hated.
- Give more than you get. Dad always volunteered for something, and always took his kids with him. Optimist Club fundraisers, Special Olympics track meets and bowling tournaments, cleaning trails at local parks, you name it we did it. Now...
June 16, 2017
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An official from the American Institute of CPAs testified Wednesday before the Senate’s Small Business and Entrepreneurship Committee in favoring of lowering taxes for small businesses as much as corporations.
“Tax relief should not mean a rate reduction for C...
June 16, 2017
Many taxpayers have not yet received their Missouri refunds, even though they filed over 60 days ago.
Go to the Missouri Return Inquiry System to track your refund.
For refund-related questions, contact the Missouri Department of Revenue.
Note: If you haven't...
June 15, 2017
IRS Warns of New Phone Scam Involving Bogus Certified Letters; Reminds People to Remain Vigilant Against Scams, Schemes this Summer
WASHINGTON – The Internal Revenue Service today warned people to beware of a new scam linked to the Electronic Federal Tax Payment System (EFTPS), where fraudsters call to demand an immediate tax payment through a prepaid debit card. This scam is...
June 14, 2017
Now that the 2016 tax return is behind you, it’s an ideal time to look at your finances from a mid-year perspective and make any necessary changes for the rest of 2017 [LINK TO MID YEAR PLANNING FOR...
June 14, 2017
From the Firm: Mid-Year is Here!
It’s hard to believe that we’re already approaching the midpoint of the year. Where does the time go?
Now that tax season is behind you, it’s time to look at your finances from a mid-year perspective and make any necessary changes for the rest of 2017. If you have kids of any age, part of your mid-year planning might...
January 31, 2017
Even with the most comprehensive cyber liability insurance coverage, your business still has the responsibility to improve your internal privacy and security measures. Here are some tips to help: Reduce Cyber Liability...
January 27, 2017
See the latest issue of our client magazine now available on our website: "Advantage"
January 23, 2017
The calendar has turned to another year and we’re welcoming the chance to take a fresh look at finances, fitness and some fun, too.
Now that the year has started, it’s time to tackle your taxes. The sooner you can check them off of your to-do list, the better because you’ll not only breathe easier, but you’ll be able to avoid the stress of a last-minute rush....
January 20, 2017
The filing season next year will start on January 23 and continue until Tuesday, April 18 (unless you file for extension). The IRS expects 153 million electronic returns to be filed. If you are obtaining a refund for the earned income tax credit (EITC) or the additional child tax credit (ACTC), Congress requires the IRS to hold the refund until at least February
January 15, 2017
Taxpayers who moved should notify the IRS using Form 8822. Those who have name changes should notify the Social Security Administration. You will want to be certain that your Social Security records are updated so you receive appropriate credit for your
January 1, 2017
Mileage for 2017 – The 2017 business rates will be down by one half cent to 53.5 cents per mile. Medical and moving mileage rates will be 17 cents per mile. The charitable rate is unchanged at 14 cents per mile. You also have the option as a taxpayer to calculate actual costs for your vehicle
IRS & Truman Heartland Comm. Foundation
December 21, 2016
Before December 31 – You may make your charitable contributions this month. Credit card gifts are valid if made by December 31, even if you pay the bill next year. Checks are also deductible if postmarked by U.S. Mail by December 31. IRA charitable rollovers may fulfill the 2016 required minimum distribution (RMD). These are permitted for IRA owners age 70½ or older and have a...
December 17, 2016
All employers must complete and retain a Form I-9 for each employee at the time of hire. The form is used to verify a new hire's identity and work authorization. In November 2016, the U.S. Citizenship and Immigration Services (USCIS) released a revised version of the I-9. The new version includes several changes designed to reduce errors and make it easier for employers to complete it.
November 30, 2016
In veterinary school, they don’t often tell you that running your own practice means you’ll be time impoverished and constantly dividing your time between seeing furry patients and managing admin. It’s a lot to juggle, even for the savviest of multitaskers.
Fortunately, technology has come up with helpful tools to make the process of managing it all...
Scott Fullerton, CPA
October 20, 2016
Apps to Tame Timekeeping Troubles
If your small business is going to remain productive and profitable, you need to have a solid system for tracking employee hours as well as your own billable hours. While this may seem overwhelming at first, tapping into technology can ease the time-tracking burden. In our Read More...
October 5, 2016
a Next Generation Accounting Firm
We proudly serve you with innovative financial management services, powered by advanced cloud-based technologies. It’s the foundation of our relationship as your most trusted advisor. Experience the difference of working with a Next Generation Accounting Firm.
Intuit - QuickBooks Online
September 20, 2016
Reciept Bank - Key Benefits
+ Eliminate the need for manual data entry of accounts payable transactions. Every year by law, businesses have to report their expenses. Using Receipt Bank makes this process as easy as taking a photo.
+ Submit items on the go using a mobile app, via email and on Dropbox. Gain real-time visibility over the...
Scott Fullerton, CPA
September 10, 2016
529 Plan Tips
If you’re not familiar with 529 plans, you will be by the time you
finish this article. First, a quick definition: 529 plans are a savings
vehicle specifically designed to help you save money to cover
the costs of higher education. 529 plans also offer the added
benefit of significant tax benefits, which we outline here in...
September 5, 2016
Featured app: Fathom measures the metrics that matter
Fathom converts your QuickBooks data into useful business intelligence so you can see exactly how well your business is performing and take action when needed. When you connect Fathom to your...
June 25, 2016
Here are a few recent improvements to QuickBooks banking....QuickBooks
June 10, 2016
You asked and Intuit listened. QuickBooks Online has made several improvements to their inventory tracking system, making it easier to input, track, and update inventory. Because QuickBooks Online focused on service industries, its inventory module was left a bit lacking when compared to the QuickBooks Desktop version.
Thankfully, Intuit is committed to closing the gap...
President Obama, declaring that “Americans have spent too long working more and getting less in return,” ordered the Labor Department to revise federal rules on overtime pay for salaried workers that log more than 40 hours a week. The long-awaited rule change will extend overtime pay to an estimated 4.2M workers.
Under current federal regulations, only salaried employees...
May 8, 2016
Need QuickBooks help? We are certified QuickBooks advisors who can help you manage your accounting needs, train your staff, or take over the whole function so you can focus on the business of running a business. Call Scott at 816.224.4195 for more information.
Here is a QuickBooks Blog to help you get quick answers to everyday issues in your...
April 16, 2016
Growing businesses often reach a point where they need professional financial advice, but can’t afford a full-time CFO or controller.
If you’re fortunate enough to be in this position then we have the perfect solution for you. Our Part-Time CFO service gives you a professional financial manager who works with you to help guide your business to success.
The cost of...
April 1, 2016
The job market in the Kansas City area is strong and active. It is no secret that we have a popular place to live and work.
It seems as though that is especially the case for Chief Financial Officers and other key accounting personnel. The market for those individuals is very good right now, and that is certainly the case in this area.
In addition to those positions...
March 17, 2016
1. When Setting Up Your Chart Of Accounts, Less Is More
Your chart of accounts is the complete list of all of the items you need to categorize your business activities and is there to help you understand where your company’s money goes and where it comes from. You can get very detailed when setting up the chart of accounts, but remember, the more time...
CPA Site Solutions
March 1, 2016
More than 50 tax provisions, including the tax rate schedules, and other tax changes are adjusted for inflation in 2016. Let's take a look at the ones most likely to affect taxpayers like you.
The tax rate of 39.6 percent affects singles whose income exceeds $415,050 ($466,950 for married taxpayers filing a joint return), up from $413,200 and $464,850, respectively. The other marginal...
February 20, 2016
For qualified energy property placed in service before Jan. 1, 2015, a taxpayer could claim a credit up to a $500 lifetime limit (with no more than $200 from windows and skylights) over the aggregate of the credits allowed to the taxpayer for all earlier tax years ending after Dec. 31, 2005. The credit equalled the sum of: (1) 10% of the amount paid or incurred by...
February 11, 2016
Many valuable tax breaks expired December 31, 2014. For them to be available for 2015, Congress had to pass legislation extending them — which it now has done, with the Protecting Americans from Tax Hikes Act of 2015 (PATH Act), signed into law by the President on December 18. The PATH Act not only revives expired breaks for 2015 but also makes many breaks permanent, generally extends...
February 1, 2016
Retirement plan contribution limits are indexed for inflation, but with inflation remaining low, the limits remain unchanged for 2016:
Type of limit 2016 limit
Elective deferrals to 401(k), 403(b), 457(b)(2) and 457(c)(1) plans $18,000
Contributions to defined contribution plans $53,000
Contributions to SIMPLEs $12,500
Contributions to IRAs $5,500
January 28, 2016
On January 26, the White House released a Fact Sheet in which it announced proposals that would expand access to workplace retirement savings opportunities and increase the portability of retirement savings. The proposals will be detailed further in President Obama's fiscal year 2017 budget. FACT SHEET: Building a 21st Century Retirement System, issued by the White House...
January 25, 2016
In an ongoing effort to keep you informed of IRS changes, we have a new and important one to report. And this time, the change eases your filing burden.
Within the last month, the IRS significantly simplified the paperwork and recordkeeping requirements for small business by raising the safe harbor threshold for deducting certain capital items from $500 to $2,500. This applies to...
Per Ninth Circuit Court
January 22, 2016
The Court of Appeals for the Ninth Circuit, affirming the Tax Court, has determined that a dental practice wasn't entitled to deduct purported management fees paid to a related entity. The fees weren't ordinary and necessary within the meaning of Code Sec. 162; there was no indication that the entity actually performed any services in exchange for the fees. The Court also upheld the...
January 19, 2016
On January 13, Rep. Devin Nunes (R-CA) introduced H.R. 4377, the “American Business Competitiveness Act” (ABC Act). Key features of the ABC Act are that it would lower the tax rates on business income to 25% or less (with a surtax of up to $5,000 for a corporation with annual net business income over $100,000); allow 100% expensing in the year of purchase; eliminate all business...
January 17, 2016
Beginning on Jan. 1, 2016, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:
54 cents per mile for business miles driven, down from 57.5 cents for 2015
19 cents per mile driven for medical or moving purposes, down from 23 cents for 2015
14 cents per mile driven in service of charitable organizations
The business mileage rate...
November 30, 2015
Planning for 2015 Tax Increases and Potential Expiration of Tax Relief Provisions
S Corporation Built-In Gains Tax: An S corporation generally is not subject to tax; instead, it passes through its income or loss items to its shareholders, who are taxed on their pro-rata shares of the S corporation's income. However, if a business that was formed as a C corporation...
November 23, 2015
Subnormal Goods: You should check for subnormal goods in your inventory. Subnormal goods are goods that are unsalable at normal prices or unusable in the normal way due to damage, imperfections, shop wear, changes of style, odd or broken lots, or other similar causes, including second-hand goods taken in exchange. If your business has subnormal inventory...
November 19, 2015
Small Employer Pension Plan Startup Cost Credit: Certain small business employers that did not have a pension plan for the preceding three years may claim a nonrefundable income tax credit for expenses of establishing and administering a new retirement plan for employees. The credit applies to 50% of qualified administrative and retirement-education...
November 17, 2015
SHOP Exchanges: In 2016, the Small Business Health Options Program is available for employers with 100 or fewer full-time equivalent employees. Coverage must be offered to all full-time employees working 30 or more hours per week. Each exchange will offer its own SHOP marketplace. Self-employed persons with no employees cannot use the SHOP Exchange.
Premium Health Care Credits: Small...
November 16, 2015
Self-Employed Health Insurance Premiums: Self-employed individuals are allowed to claim 100% of the amount paid during the taxable year for insurance that constitutes medical care for themselves, their spouses, and their dependents as an above-the-line deduction, without regard to the general 10%-of-AGI floor. Self Employed Health Insurance...
November 13, 2015
Deferring Income into 2016
Deferring income to the next taxable year is a time-honored year-end planning tool. If you expect your taxable income to be higher in 2015 than in 2016, or if you anticipate being in the same or a higher tax bracket in 2015 than in 2016, you may benefit by deferring income into 2016. Of course, in the case of an individual exposure to the...
It's a New Brand Day at Fullerton CPAs! We are excited to announce the recent launch of our firm’s new brand. We’ve been working very hard to enhance our website, develop helpful new client communications, and give our firm a facelift. We’ve also continued to research and identify the latest and greatest technologies to improve the services we provide and ensure we continue...