PBMares Accounting Blog

State and Local Tax Compliance: What Government Contractors Need to Know

Posted by Neena Shukla, CPA, CFE, CGMA, FCPA on Sep 19, 2017 2:13:06 PM

The federal government is, by law, exempt from paying state and local taxes. However, this exemption does not apply to organizations with federal or state government contracts, which are designated as agents of the government. In fact, government contractors are subject to specific state and local taxes simply because they are government contractors.

Contractors must be aware of the tax laws specific to the states they operate in, and any localities that impose taxes as well.

Read More

Topics: Government Contracts, SALT

The Equifax Data Breach: Protect You and Your Company from Identity Theft

Posted by Harvey Johnson, CPA, CGMA on Sep 13, 2017 2:17:34 PM

Read More

Topics: Tax Planning, Cybersecurity Threat

How to Recreate the Country and City Club Lifestyle

Posted by Kevin F. Reilly, J.D., CPA, CGMA on Sep 12, 2017 8:01:00 AM

Although many private golf and country clubs turned a corner in 2016 and began to attract more members, overall membership and revenue have still not recovered the ground they lost since the onset of the Great Recession. The economic downturn accelerated demographic and lifestyle factors that were already impacting clubs.

Read More

Topics: Club Industry, Tax Updates, hospitality, CiT&C

Renting Dorm Rooms for Additional Funding

Posted by Nick Preusch, JD, LLM, MSA, CPA on Sep 11, 2017 10:59:25 AM

Fox Business recently ran an article on a creative way non-for-profit universities have been raising funds. (See the article here). As a basic summary, universities have started renting out dorm rooms to people in order to raise additional funds to support the university. These creative ways to raise additional revenues come as enrollment numbers and state financing have been declining. With these creative fund raising ideas, non-for-profits need to be aware of unrelated business income and what effects these rules could have on their non-for-profit.

Read More

Topics: Not-for-Profits, Tax Updates

Now Is the Time to Pay Back Taxes to Virginia!

Posted by Lori Roberts, CPA on Sep 6, 2017 4:47:13 PM

Read More

Topics: Tax Planning, SALT

Do 401(k) Deposit Classifications Really Matter?

Posted by Anna Hunter, CPA, CPC, QPA on Sep 5, 2017 4:44:33 PM

Question:  Our payroll person remitted our employee retirement plan “safe harbor” money into the profit sharing accounts of participants.  Does it really matter or can we just leave it?

Read More

Topics: Retirement Planning

Look-Back Interest on Long-Term Construction Contracts

Posted by Daniel L. Chenoweth, MPA, CPA on Aug 29, 2017 8:59:45 AM

If you are a construction contractor reporting long-term contracts on the percentage of completion method (§460(b)(1)) you may be required to calculate look-back interest (§460(b)(2)) on your long term contracts.

Read More

Topics: Tax Planning, Construction

When Do I Need a HIPAA Business Associate Agreement?

Posted by Barbara Sukramani on Aug 17, 2017 2:46:50 PM

Your medical practice has responsibility for protecting the privacy of health information under the HIPAA Privacy Rule while carrying out health care activities. In order to focus on health care delivery, you might utilize non-employee service professionals for functions such as claims processing, data analysis, quality assurance or billing.

Read More

Topics: Medical Practice, Medical Practice Consulting, Professional and Technical Services

Identifying Unallowable Costs – Executive Compensation

Posted by Neena Shukla, CPA, CFE, CGMA, FCPA on Aug 15, 2017 2:29:15 PM

A large number of small companies and even some considered large have historically not concerned themselves with the allowability of their executive’s compensation.  With annual allowability limits approaching and even exceeding $1,000,000 it was not something that presented an issue in the past.  Executive compensation would never reach that high.  Time to take another look.

The new limit on allowability of annual executive compensation applicable to contracts awarded on and after June 24, 2014 is $487,000 and is applicable to all employees, not just the top five highest paid employees in executive positions.  Employee annual compensation exceeding $487,000 is now a very real potential.

Read More

Topics: Government Contracts

Virginia Enterprise Zones: Are You in the Zone?

Posted by Bronach Branan, ACMA, CPA on Aug 14, 2017 1:57:53 PM

Were you aware that the Commonwealth of Virginia appropriates grant funding for Companies that invest in certain areas in the state?  The Commonwealth of Virginia wants to encourage rejuvenation of certain towns and cities and is willing to award funding for the rehabilitation, expansion or new  construction of real estate and/or creation of higher wage jobs. In 2016, approximately $12m was set aside for this purpose, and in 2017 the General Assembly has approved a total of approximately $13m to be awarded to Companies who meet the specific criteria. 

Read More

Topics: Construction, Virginia Enterprise Zone