PBMares Accounting Blog

Kevin F. Reilly, J.D., CPA, CGMA

Kevin Reilly is a partner at PBMares, LLP. His areas of practice include hospitality consulting including clubs, hotels and restaurants, real estate consulting, individual and business tax planning and preparation, and business advisory services. He serves as a director of NCA and as secretary/treasurer of the NCA Foundation.

Recent Posts

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.

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

Could stronger governance benefit your business?

Posted by Kevin F. Reilly, J.D., CPA, CGMA on May 25, 2017 11:45:10 AM

Every company has at least one owner. And, in many cases, there exists leadership down through the organizational chart. But not every business has strong governance.

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Topics: Tax Bites, Tax Planning, Business Briefs

A brief overview of the President-elect’s tax plan for individuals

Posted by Kevin F. Reilly, J.D., CPA, CGMA on Nov 17, 2016 3:28:00 PM

Now that Donald Trump has been elected President of the United States and Republicans have retained control of both chambers of Congress, an overhaul of the U.S. tax code next year is likely. President-elect Trump’s tax reform plan, released earlier this year, includes the following changes that would affect individuals:

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Topics: Tax Bites, Tax Planning

A quick look at the President-elect’s tax plan for businesses

Posted by Kevin F. Reilly, J.D., CPA, CGMA on Nov 16, 2016 9:40:56 AM

The election of Donald Trump as President of the United States could result in major tax law changes in 2017. Proposed changes spelled out in Trump’s tax reform plan released earlier this year that would affect businesses include:

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Topics: Tax Bites, Tax Planning

Explaining the New FLSA Overtime Rule

Posted by Kevin F. Reilly, J.D., CPA, CGMA on Sep 15, 2016 2:33:18 PM

The Labor Department has issued a rule that doubles the salary threshold for overtime exemption, effective Dec. 1. This is a big change for business owners and workers alike. But why? And how big? Here’s an explanation.

What’s an overtime exemption? Is it good or bad?

It depends on which side of the payroll you’re on. Employers, generally speaking, like their workers “exempt.” Workers, by and large, prefer to be “nonexempt.” This is because to be “nonexempt” means to be protected under the minimum wage and overtime provisions of the Fair Labor Standards Act. Workers who are “nonexempt” are entitled to be paid a certain minimum wage (currently $7.25 per hour nationwide, but higher than that in most states), and are also entitled to be paid time-and-a-half for any time spent working beyond 40 hours in a week.

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Topics: Not-for-Profits, Club Industry, Tax Updates, NFP Board

Awards of RSUs can provide tax deferral opportunity

Posted by Kevin F. Reilly, J.D., CPA, CGMA on Jun 30, 2016 7:30:00 AM

Executives and other key employees are often compensated with more than just salary, fringe benefits and bonuses: They may also be awarded stock-based compensation, such as restricted stock or stock options. Another form that’s becoming more common is restricted stock units (RSUs). If RSUs are part of your compensation package, be sure you understand the tax consequences — and a valuable tax deferral opportunity.

RSUs vs. restricted stock

RSUs are contractual rights to receive stock (or its cash value) after the award has vested. Unlike restricted stock, RSUs aren’t eligible for the Section 83(b) election that can allow ordinary income to be converted into capital gains.

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Topics: Tax Bites, Tax Planning

Golf Course Conservation Easements Double-Bogey in Tax Court

Posted by Kevin F. Reilly, J.D., CPA, CGMA on Jan 7, 2016 8:58:00 AM

Two sections of St. James Plantation, The Members Club and The Reserve Club, were denied the ability to claim charitable contribution deductions for their conservation easements by the IRS.

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Topics: Club Industry

Selling rather than trading in business vehicles can save tax

Posted by Kevin F. Reilly, J.D., CPA, CGMA on Nov 24, 2015 8:50:00 AM

Selling_vehicle.jpgAlthough a vehicle’s value typically drops fairly rapidly, the tax rules limit the amount of annual depreciation that can be claimed on most cars and light trucks. Thus, when it’s time to replace a vehicle used in business, it’s not unusual for its tax basis to be higher than its value.

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Topics: Tax Bites, Tax Planning

How to determine if you need to worry about estate taxes

Posted by Kevin F. Reilly, J.D., CPA, CGMA on Nov 9, 2015 8:40:00 AM

Here’s a simplified way to project your estate tax exposure. Take the value of your estate, net of any debts. Also subtract any assets that will pass to charity on your death.

Then, if you’re married and your spouse is a U.S. citizen, subtract any assets you’ll pass to him or her. Those assets qualify for the marital deduction and avoid potential estate tax exposure until the surviving spouse dies. The net number represents your taxable estate.

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Topics: Tax Bites, Tax Planning

When will Congress pass “extenders” legislation to revive expired tax breaks for 2015?

Posted by Kevin F. Reilly, J.D., CPA, CGMA on Nov 5, 2015 10:45:17 AM

This is the question on tax-savvy Americans’ minds. Many valuable tax breaks aren’t permanent, so Congress has to pass legislation extending them to keep them in effect. Unfortunately, Congress often waits until the last minute to do so.

For example, Congress didn’t pass 2014 extenders until December 2014, making the legislation retroactive to January 1, 2014 — but not extending the breaks to 2015. So we’re again in a waiting game to see what will happen with extenders legislation. Some believe Congress will act soon, while others think we’ll again be waiting until December.

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Topics: Tax Bites, Tax Planning