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.
Each year the Virginia Legislature passes changes to the Virginia Tax Code that impacts residents and those doing business in Virginia. While many of the changes can seem mundane or minor, there are two that will have a significant impact on two segments of Virginia Business, automotive service centers and retailers and contractors selling and installing tangible personal property. Both will likely require changes to POS retail and accounting systems in order to administer properly.
Adequate insurance coverage is, in many cases, a legal requirement for a business. Even if it’s not for your company, proper coverage remains a risk management imperative. But that doesn’t mean you have to take high insurance costs sitting down.
When it comes to preparing individual tax returns, many individuals wonder what kind of documentation they need to support their charitable contributions. First and foremost, to qualify for a charitable contribution deduction, a contribution must have been given to a qualified charitable organization. The Internal Revenue Service (IRS) website contains a link in to search for exempt organizations (https://www.irs.gov/charities-non-profits/search-for-charities). Donations given to directly to an individual in need are not considered a deductible contribution but instead are considered by the IRS to be personal gifts. Secondly, an individual can only deduct contributions if they are itemizing their individual tax return. Generally an individual may be able to deduct up to 50 percent of their adjusted gross income, however, there are limitations. Seek advice regarding your individual deduction limitations from a tax professional.
As a business evolves, so must its compensation strategy. Hopefully, your company is growing — perhaps adding employees or promoting staff members who are key to your success. But other things can spur the need to fine-tune your compensation strategy as well, such as economic changes or the rise of an intense competitor. A goal for many businesses is to provide equitable compensation.
In 2007, President George Bush signed into law the Public Student Loan Forgiveness Program. This program allows people working in certain industries to have their student loans forgiven, tax-free, after 10 years. Usually people believe this program only applies to governmental employees. However, the law allows for employees of a 501(c)(3) not-for-profit to also qualify for student loan forgiveness. This is a great way to attract employees who may otherwise require a larger salary and a great way to keep employees at your not-for-profit.
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.
I’m looking forward to tax day. No, I’m not in a time warp. I do know that April 15th is behind us, and most people I talk to are relieved that they don’t have to think about taxes for another year (or in the case of those who extended their returns, until that last piece of paperwork shows up). Often that sense of relief is due not just to the sense of getting through the process of the paperwork, but the whole thought process of dealing with the topic.
But right now, now that it’s all over, is the best time to think about taxes, while the effects of this last filing season are fresh in the mind. In sports, the coach looks at the team’s performance after each game and studies the strategies for weaknesses while the results are still fresh and the team has time to prepare for the next game. Here we are with almost eight months left in 2017 to improve our game.