-
Scholarships are usually tax free but they may result in taxable income
- Aug 12, 2021
- By Dukhon Tax
- In Business, Student Taxes, Tax Advice, Tax Tips
If your child is fortunate enough to be awarded a scholarship, you may wonder about the tax implications. Fortunately, scholarships (and fellowships) are generally tax-free for students at the elementary, middle, and high schools, as well as those attending college, graduate school or accredited vocational schools. It doesn’t matter if the scholarship makes a direct payment to the individual or…
-
Large cash transactions with your business must be reported to the IRS
- Aug 12, 2021
- By Dukhon Tax
- In Business, Business Taxes, Financial Planning, Tax Tips
If your business receives large amounts of cash or cash equivalents, you may be required to report these transactions to the IRS. What are the requirements? Each person who, in the course of operating a trade or business, receives more than $10,000 in cash in one transaction (or two or more related transactions), must file Form 8300. What is considered…
-
DEI programs are good for business
- Aug 12, 2021
- By Dukhon Tax
- In Business, Business Taxes, Financial Planning, Tax Tips
Many businesses are spending more time and resources on supporting the well-being of their employees. This includes recognizing and addressing issues related to diversity, equity and inclusion (DEI). A thoughtfully designed DEI program can do more than just head off potential conflicts and disruptions among coworkers; it can help you attract good job candidates, retain your best employees and create…
-
5 possible tax aspects of a parent moving into a nursing home
- Aug 10, 2021
- By Dukhon Tax
- In Business, Financial Planning, Retirement, Tax Planning, Tax Tips
If you have a parent entering a nursing home, you may not be thinking about taxes. But there are a number of possible tax implications. Here are five. 1. Long-term medical care The costs of qualified long-term care, including nursing home care, are deductible as medical expenses to the extent they, along with other medical expenses, exceed 7.5% of adjusted…
-
Can taxpayers who manage their own investment portfolios deduct related expenses? It depends
- Jul 15, 2021
- By Dukhon Tax
- In Business, Individual Tax, Tax Advice, Tax Cuts, Tax Tips
Do you have significant investment-related expenses, including the cost of subscriptions to financial services, home office expenses, and clerical costs? Under current tax law, these expenses aren’t deductible through 2025 if they’re considered investment expenses for the production of income. But they’re deductible if they’re considered trade or business expenses. For years before 2018, production-of-income expenses were deductible, but they…
-
Traveling for business again? What can you deduct?
- Jun 30, 2021
- By Dukhon Tax
- In Business, Business Taxes, Tax Planning, Tax Tips
As we continue to come out of the COVID-19 pandemic, you may be traveling again for business. Under tax law, there are several rules for deducting the cost of your out-of-town business travel within the United States. These rules apply if the business conducted out of town reasonably requires an overnight stay. Note that under the Tax Cuts and Jobs…
-
Don’t assume your profitable company has strong cash flow
- Jun 29, 2021
- By Dukhon Tax
- In Business, Student Taxes, Tax Advice, Tax Planning, Tax Tips
Most of us are taught from a young age never to assume anything. Why? Well, when you assume you make an … you probably know how the rest of the expression goes. Many business owners make a dangerous assumption that if their companies are profitable, their cash flow must also be strong. But this isn’t always the case. Taking a…
-
Tax-favored ways to build up a college fund
- Jun 28, 2021
- By Dukhon Tax
- In Business, Student Taxes, Tax Advice, Tax Planning, Tax Tips
If you’re a parent with a college-bound child, you may be concerned about being able to fund future tuition and other higher education costs. You want to take maximum advantage of tax benefits to minimize your expenses. Here are some possible options. Savings bonds Series EE U.S. savings bonds offer two tax-saving opportunities for eligible families when used to finance…
-
2021 Q3 tax calendar: Key deadlines for businesses and other employers
- Jun 25, 2021
- By Dukhon Tax
- In Business, Quarterly Tax Reminder, Tax Advice, Tax Planning, Tax Tips
Here are some key tax-related deadlines affecting businesses and other employers during the third quarter of 2021. Keep in mind that this list isn’t all-inclusive, so that additional deadlines may apply to you. Contact us to ensure you’re meeting all applicable deadlines and to learn more about the filing requirements. Monday, August 2 Employers report income tax withholding and FICA…
-
Recordkeeping DOs and DON’Ts for business meal and vehicle expenses
- Jun 22, 2021
- By Dukhon Tax
- In Business, Tax Tips
If you’re claiming deductions for business meals or auto expenses, expect the IRS to review them closely. In some cases, taxpayers have incomplete documentation or try to create records months (or years) later. In doing so, they fail to meet the strict substantiation requirements set forth under tax law. Tax auditors are adept at rooting out inconsistencies, omissions, and errors…
Category “Tax Tips”
Dukhon Tax and Accounting. All Rights Reserved.
Proudly serving Brighton, Allston, Boston, Massachusetts & International tax clients around the world