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When can you deduct business meals and entertainment?

You’re not alone if you’re confused about the federal tax treatment of business-related meal and entertainment expenses. The rules have changed in recent years. Let’s take a look at what you can deduct in 2024. Current law The Tax Cuts and Jobs Act eliminated deductions…

Get tax breaks for energy-saving purchases this year because they may disappear.

The Inflation Reduction Act (IRA), enacted in 2022, created several tax credits aimed at promoting clean energy. You may want to take advantage of them before it’s too late. On the campaign trail, President-Elect Donald Trump pledged to “terminate” the law and “rescind all unspent funds.”…

Unlocking the mystery of taxes on employer-issued nonqualified stock options.

Employee stock options remain a potentially valuable asset for employees who receive them. For example, many Silicon Valley millionaires got rich (or semi-rich) from exercising stock options when they worked for start-up companies or fast-growing enterprises. We’ll explain what you need to know about the…

From flights to meals: A guide to business travel tax deductions.

As a business owner, you may travel to visit customers, attend conferences, check on vendors and for other purposes. Understanding which travel expenses are tax deductible can significantly affect your bottom line. Properly managing travel costs can help ensure compliance and maximize your tax savings….

Hobby or business? The blurred line.

Sometimes, it can be challenging to determine whether an activity constitutes a business or a hobby in the eyes of the IRS. This article discusses distinguishing factors between hobbies and businesses and applicable IRS rules to be aware of. How do I determine if my…

You don’t have to be in business to deduct certain vehicle expenses.

When you think about tax deductions for vehicle-related expenses, business driving may come to mind. However, businesses aren’t the only taxpayers that can deduct driving expenses on their returns. Individuals may also be able to deduct them in certain circumstances. Unfortunately, under current law, you…

Maximize your year-end giving with gifts that offer tax benefits.

As the end of the year approaches, many people start to think about their finances and tax strategies. One effective way to reduce potential estate taxes and show generosity to loved ones is by giving cash gifts before December 31. Under tax law, you can gift…

Is your money-losing activity a hobby or a business?

Let’s say you have an unincorporated sideline activity that you consider a business. Perhaps you offer photography services, create custom artwork or sell handmade items online. Will the IRS agree that your venture is a business, not a hobby? It’s an essential question for tax…

Are You Approaching Retirement Age and Thought About Your Retirement Minimum Distributions?

After contributing for many years to your retirement there becomes a point when you are required to take distributions on that money saved. This article will provide you with a brief, not all-inclusive, explanation of RMDs, the type of accounts applicable, starting age and withdrawal…

Unlock your child’s potential by investing in a 529 plan.

If you have a child or grandchild planning to attend college, you’ve probably heard about qualified tuition programs, also known as 529 plans. These plans, named for the Internal Revenue Code section that provides for them, allow prepayment of higher education costs on a tax-favored basis….