Author Archives: Cordasco
PPP Funds Taxable in 2020
IRS Issues Guidance Stating Expenses Paid with PPP Funds are NOT Deductible for 2020 Tax Year As this unprecedented year draws to a close, the administration has again issued late guidance regarding the proper treatment of Paycheck Protection Plan loans. Late … Continue reading
2020 Tax Planning Overviews are Here!
As in prior years, we are proud to provide you with our detailed tax planning ideas for the 2020 tax year. This year, in light of the pandemic and legislation passed to combat its economic impacts, it is more important … Continue reading
Why it’s important to plan for income taxes as part of your estate plan
As a result of the current estate tax exemption amount ($11.58 million in 2020), many estates no longer need to be concerned with federal estate tax. Before 2011, a much smaller amount resulted in estate plans attempting to avoid it. … Continue reading
Understanding the passive activity loss rules
Are you wondering if the passive activity loss rules affect business ventures you’re engaged in — or might engage in? If the ventures are passive activities, the passive activity loss rules prevent you from deducting expenses that are generated by … Continue reading
The easiest way to survive an IRS audit is to get ready in advance
IRS audit rates are historically low, according to the latest data, but that’s little consolation if your return is among those selected to be examined. But with proper preparation and planning, you should fare well. In fiscal year 2019, the … Continue reading
Reviewing your disaster plan in a tumultuous year
It’s been a year like no other. The sudden impact of the COVID-19 pandemic in March forced every business owner — ready or not — to execute his or her disaster response plan. So, how did yours do? Although it … Continue reading
Inventory management is especially important this year
As year-end draws near, many businesses will be not only be generating their fourth quarter financial statements, but also looking back on the entire year’s financials. And what a year it’s been. The COVID-19 pandemic and resulting economic fallout have … Continue reading
How to report COVID-19-related debt restructuring
Today, many banks are working with struggling borrowers on loan modifications. Recent guidance from the Financial Accounting Standards Board (FASB) confirms that short-term modifications due to the COVID-19 pandemic won’t be subject to the complex accounting rules for troubled debt … Continue reading
PPP Funds Taxable in 2020
IRS Issues Guidance Stating Expenses Paid with PPP Funds are NOT Deductible for 2020 Tax Year As this unprecedented year draws to a close, the administration has again issued late guidance regarding the proper treatment of Paycheck Protection Plan loans. Late … Continue reading
Buying and selling mutual fund shares: Avoid these tax pitfalls
If you invest in mutual funds, be aware of some potential pitfalls involved in buying and selling shares. Surprise sales You may already have made taxable “sales” of part of your mutual fund investment without knowing it. One way this … Continue reading