Insights
President's Economic Recovery Advisory Board (PERAB) Submits Tax Reform Report
By Ronald Kramer | Sep 08 2010 | Tax Advisors
On August 27, 2010, the President’s Economic Recovery Advisory Board (PERAB) adopted and submitted its Tax Reform Subcommittee Report to President ...
Dechert LLP v. Pennsylvania, Supreme Court of Pennsylvania - Ruling on Canned Computer Software
By Matthew Dodge | Aug 25 2010 | Tax Advisors
The Supreme Court of Pennsylvania, on July 20, 2010, in the case of Dechert LLP v. Pennsylvania affirmed the Commonwealth Court’s decision stating ...
President Obama Signs Teacher Funding Bill Paid for by Significant Changes to International Tax Rules
By Ronald Kramer | Aug 12 2010 | Tax Advisors
On August 10, 2010, President Obama signed legislation providing funding for teachers, emergency responders and state health insurance. The House was asked ...
Merger & Acquisition Costs - Tax Deductible?
By Evan Ogrodnik | Aug 11 2010 | Tax Advisors
Many U.S. businesses have used the recent economic downturn as a stimulus to revisit and revise their short- and long-term strategic plans. As such, many ...
Accumulated Earnings and Profits Inside an S Corporation
By Dennis Loughran | Aug 11 2010 | Tax Advisors
Many of our corporate clients here at Schneider Downs are Subchapter S corporations, or more commonly called S corporations. S corporations are incorporated ...
OSCPA and AICPA Involved in 1099 Reporting Dilemma
By Matthew McKinnon | Aug 04 2010 | Tax Advisors
A recent article by the Ohio Society of CPAs (click to view) addressed concerns with the new reporting requirement for 1099 forms included in the Patient ...
New W-2 Health Care Coverage Reporting Requirement
By Kathleen Myers | Aug 03 2010 | Tax Advisors
Employers that sponsor health care plans will need to take notice of a new W-2 reporting requirement that takes effect in 2011. As part of health care ...
House Efforts for Form 1099 Relief Fail (for the time being)
By Ronald Kramer | Aug 02 2010 | Tax Advisors
On Friday, July 30, the House failed to approve the Small Business Tax Relief Bill of 2010 (HR 5982). HR 5982, introduced by a Democratic member of the ...
Health Care Reform Legislation Codifies the "Economic Substance Doctrine" and Adds Harsh New Tax Penalties
By Ronald Kramer | Jul 29 2010 | Tax Advisors
As part of the Health Care and Education Reconciliation Act of 2010 (the Act), U.S. Congress enacted into law new Internal Revenue Code (IRC) Section 7701(o), ...
Can a Creditor Take Your Single-Member Limited Liability Company?
By Gregory Allison | Jul 19 2010 | Tax Advisors
On June 24, 2010, the Florida Supreme Court, in Olmstead v. FTC, ordered a debtor to surrender his interest in his single-member limited liability company (“LLC”) to satisfy an outstanding judgment against him individually. The debtor argued that the proper remedy is a charging order, which is an order whereby a creditor is entitled solely to distributions from the entity to satisfy his judgment and is not afforded management or control of the entity....
Senate Amendment to House Jobs Bill To Extend 50% Bonus Depreciation Through 2010
By Ronald Kramer | Jul 14 2010 | Tax Advisors
On June 29, the Senate agreed to take up the House’s Small Business Jobs and Credit Bill of 2010 (HR 5297). The Senate added a substitute amendment ...
Swiss Parliament Clears Way for UBS to Release Names of UBS Offshore Clients to IRS
By Ronald Kramer | Jun 21 2010 | Tax Advisors
On June 17, 2010, the Swiss parliament approved a law that will allow the Swiss government to turn over the names of possible U.S. tax evaders to the Internal ...
Tanning Beds and Donut Holes...These Are A Few of My Favorite Things
By Ronald Kramer | Jun 16 2010 | Tax Advisors
The passage of the new health care legislation was not one of my favorite things. So imagine my rage when I discovered that the legislation was about to ...
Tax Extenders Bill Expands PayrollTaxes to Professional Service S Corporations
By Ronald Kramer | Jun 08 2010 | Tax Advisors
On May 28, 2010, the House passed H.R. 4213, the American Jobs and Closing Tax Loopholes Act, which extends many temporary individual, business, energy ...
FBAR Deadline Quickly Approaching
By Ronald Kramer | Jun 03 2010 | Tax Advisors
Don't Miss the June 30, 2010 Filing Deadline for the Foreign Bank and Financial Account Report (FBAR) FBAR Filing Requirement All U.S. persons that have ...
S-Corp vs. C-Corp - Time for Ohio Businesses to Reconsider
By Mark Cobetto | May 28 2010 | Tax Advisors
For years, the recommended choice of entity for most family-owned businesses has been the S-corporation or the LLC/partnership (“pass-through entity”), because the income of the business is taxed only once, directly to the individual owners....
Pennsylvania and Federal Extension Deadlines for Fiduciary and Partnership Returns are Unified
By Melanie LaSota | May 12 2010 | Tax Advisors
In the past year, the Pennsylvania Department of Revenue and the Internal Revenue Service have not been on the same page with respect to the time granted pursuant to an application for an extension. While individual and corporate filers have consistently been granted an automatic six (6) month extension upon application, fiduciary and partnership filers had to mark another date on their calendars....
Effective Immediately - Employers With Cafeteria Plans Can Allow Employees To Make Pre-tax Contributions for Adult Children
By Kathleen Petrucci | Apr 29 2010 | Tax Advisors
According to an IRS news release, as a result of changes made by the recently enacted Affordable Care Act, health coverage provided for an employee's children under 27 years of age is now generally tax-free to the employee, effective March 30, 2010....
The Tax Code May Catch Up with Technology - 21 Years Later
By Martin DiGiovine | Apr 23 2010 | Tax Advisors
On April 14, 2010, The U.S. House of Representatives passed H.R. 4994 (The Taxpayer Assistance Act of 2010). Included in the legislation is a provision that would eliminate the strict substantiation rules that are currently in place for employer-provided cell phones and similar devices. Martin DiGiovine explains what this could mean....
Treasury Announces Electronic Requirements for Payroll Taxes
By Barbara Balcita | Apr 21 2010 | Tax Advisors
The U.S. Department of Treasury announced on April 19, 2010 that it will be eliminating Form 8109, Federal Tax Deposit coupons, paper checks for government benefits, and paper option for payroll deduction for U.S. Saving bonds starting in 2011. What does that mean? Barb Balcita explains....
New Restrictions on Cafeteria Plans and Reimbursements
By Ronald Kramer | Apr 14 2010 | Tax Advisors
Beginning in 2013, the Act imposes a limit of $2,500 per taxable year on employee salary reductions for coverage under a cafeteria plan Flexible Spending Arrangement....
Health Care Reform Includes Safe Harbor Cafeteria Plan for Small Employers
By Martin DiGiovine | Apr 13 2010 | Tax Advisors
Under the new healthcare reform package, and effective for taxable years beginning after December 31, 2010, small employers will be allowed to adopt new “SIMPLE cafeteria plans.” Under the new law, SIMPLE cafeteria plans will be treated as meeting nondiscrimination requirements as long as certain eligibility, participation and minimum contribution requirements are met by the plans....
Health Care Reform: Expansion of Information Reporting Requirements on Form 1099
By Ronald Kramer | Apr 08 2010 | Tax Advisors
Beginning in 2012, “Big Brother” will be watching you a little closer. The new health care legislation contains a provision that expands the information reporting requirements by businesses. The new provision has nothing to do with health care and everything to do with raising revenue to pay for health care. The new reporting requirements will significantly raise paperwork requirements for businesses of all sizes....
Health Care Reform: 2010 Tax Benefits
By Ronald Kramer | Apr 05 2010 | Tax Advisors
The latest in a series of Insights focusing on the tax provisions of The Patient Protection and Affordable Care Act. Ron Kramer explains the tax credit for small businesses that provide health care coverage to their employees....
Health Care Reform: Is your plan a Cadillac or a Chevy?
By Ronald Kramer | Mar 30 2010 | Tax Advisors
President Obama signed The Patient Protection and Affordable Care Act (“the Act”) into law on March 23, 2010. Separately, on March 25, 2010, the Senate and House passed the Health Care and Education Reconciliation Act of 2010 (“the Reconciliation Act”) amending many provisions of the Act. The Reconciliation Act is awaiting President Obama’s signature....
Tax Provisions in the Patient Protection and Affordable Care Act - What Will They Mean to You?
By Ronald Kramer | Mar 24 2010 | Tax Advisors
President Obama has signed the Patient Protection and Affordable Care Act (“the Act”) passed by the House of Representatives late Sunday, March 21. Now, the separate package of modifications to the Act contained in the Health Care and Education Tax Credits Reconciliation Act of 2010 (“the House Reconciliation Act”) heads to the Senate to face the reconciliation process that could allow it to pass by a simple majority vote....
Deadline to Claim First - Time Homebuyer Tax Credit Rapidly Approaching
By Tod Wilson | Mar 22 2010 | Tax Advisors
The tax credit for first-time homebuyers, as expanded and updated by The Worker, Homeownership, and Business Assistance Act of 2009, will expire soon. To qualify for the credit, taxpayers have until April 30, 2010 to purchase a new home or enter into a binding contact....
Senate Sends HIRE Bill to President's Desk
By Martin DiGiovine | Mar 17 2010 | Tax Advisors
The U.S. Senate approved the final version of the Hiring Incentives to Restore Employment (HIRE) Bill, on March 17, 2010. The Jobs bill, as it has been ...
Who Bears the Personal Federal Income Tax Burden?
By Gennaro DiBello | Mar 15 2010 | Tax Advisors
Gennaro DiBello shares a few intriguing tax statistics from the IRS. As 2010 shapes up to be a fascinating year with expiring tax laws and proposed legislation, it will be important to stay current on any changes that may affect you or your business....
IRS Survey on Tax Cheating
By Ronald Kramer | Mar 02 2010 | Tax Advisors
The Internal Revenue Service Oversight Board's annual Taxpayer Attitude Survey revealed some startling changes in attitude toward tax compliance. Ron Kramer shares some of the more suprising results....
IRS Issues Additional Guidance on Filing of Form TD F 90-22.1, FBAR for 2009 and Earlier Calendar Years
By Ronald Kramer | Mar 01 2010 | Tax Advisors
On February 26, 2010, the Internal Revenue Service (IRS) issued the long awaited additional guidance to certain filers of FBARs who had been granted an ...
February 28, 2010 is the last day to make deductible 2009 charitable contributions for Haiti relief
By Ronald Kramer | Feb 22 2010 | Tax Advisors
February 28, 2010, is the last day for individuals who itemize their deductions and for corporations to make cash contributions to charities providing ...
More Tax Law Changes on the Horizon? - Obama Unveils Fiscal 2011 Plan
By Nishant Patel | Feb 10 2010 | Tax Advisors
On February 1, President Barak Obama shared his plans with Congress on federal government budget proposals for the 2011 fiscal year. As a part of the $3.8 ...
Multistate Employment Tax Update
By Barbara Balcita | Feb 09 2010 | Tax Advisors
Many employers question in which states the must have their employee's income taxes withheld, and to which states they must pay unemployment taxes. Barbara Balcita provides a comprehensive overview....
Haiti Relief Donation Deductible on 2009 Return
By Martin DiGiovine | Feb 04 2010 | Tax Advisors
Cash contributions made to charities providing earthquake relief to Haiti, made before March 1, 2010, may be deducted on your 2009 tax return. The new ...
Pennsylvania's 2010 Contribution Rates Increase for Many Companies
By Jeffrey Wlahofsky | Feb 02 2010 | Tax Advisors
The PA Department of Labor & Industry mailed the 2010 contribution rate notices to Pennsylvania employers recently. Jeff Wlahofsky explains why many employers will see tax increases this year....
IRS Issues Guidance on New Homebuyer Tax Credit for 2009 Returns
By Matthew McKinnon | Jan 25 2010 | Tax Advisors
On January 15, 2010, the Internal Revenue Service issued Information Release 2010-6, providing filing guidance for eligible homebuyers claiming the first-time ...
2009 and Beyond: A Challenging Time for Tax Planning
By Matthew McKinnon | Dec 17 2009 | Tax Advisors
Given the unprecedented state of the economy since mid 2008 and the recent administration change in Washington, tax planning will become even more critical, especially this year....
House Introduces Tax Extenders Act of 2009
By Ronald Kramer | Dec 09 2009 | Tax Advisors
HR 4213, the Tax Extenders Act of 2009 is proposed legislation thatextends through 2010, $32 billion of tax provisions that are due to expire at the end of 2009....
Still No Guidance From the IRS On Filing Requirements for Extended FBAR Filing Deadline
By Ronald Kramer | Dec 08 2009 | Tax Advisors
The IRS indicated that the Treasury Department intended to issue further guidance prior to June 30, 2010 clarifying the FBAR filing requirements pertaining to these specified persons. To date, this guidance has not been forthcoming from the IRS....
House Vote on 2010 Estate Tax Expected Today
By Martin DiGiovine | Dec 03 2009 | Tax Advisors
As part of the Economic Growth Tax Revenue Reconciliation Act of 2001 (EGTRRA), Congress enacted a gradual decrease in the estate tax until 2010 when it would be completely repealed for one year. Under that law, the estate tax would return in 2011 at the original 55% rate and $1 million exemption amount in effect in 2001....
New Tax Bill Mandates Increased Use of Electronic Filing by Paid Tax Return Preparers
By Barbara Balcita | Nov 23 2009 | Tax Advisors
The Worker, Homeownership, and Business Assistance Act of 2009 mandates paid tax return preparers who prepare more than 10 returns to electronically file (e-File) all individual, estate and trust returns they prepare after December 31, 2010. Here's what you should know about the e-File mandate....
2009 Ohio Tax Update
By Kathleen Myers | Nov 16 2009 | Tax Advisors
Franchise Tax Returns - With the phase-out of the personal property tax and franchise tax that began 4 years ago, 2009 marked the final returns for many filers. The final Forms FT-1120 for corporations were due on October 15, 2009 (if extended), and the final Forms FT-1120S for S corporations were due in June....
New Law Extends Homebuyer Credit, Unemployment Benefits and NOL Carrybacks
By Martin DiGiovine | Nov 10 2009 | Tax Advisors
The Worker, Homeownership and Business Assistance Act of 2009 (the Act) was signed into law on November 6, 2009. In addition to extending benefits to unemployed workers, the Act extends and expands some of the stimulative tax measures contained in the American Recovery and Reinvestment Act of 2009 (ARRA) passed last February....
The Internal Revenue Service Extends Deadline for Disclosing Offshore Accounts
By Ronald Kramer | Sep 21 2009 | Tax Advisors
Today, the Internal Revenue Service (IRS) announced a one-time extension of the deadline for special voluntary disclosures by taxpayers with unreported ...
Beware of E-Mail Scam Posing as IRS Correspondence
By Mark DiPietrantonio | Sep 18 2009 | Tax Advisors
Beware of any email that you receive posing as correspondence from the Internal Revenue Service (IRS) as our firm has seen an increase in the number of these phony e-mails. Mark DiPietrantonio explains. ...
IRS Settles Offshore Account Information Dispute with UBS AG and Swiss Government
By Ronald Kramer | Aug 24 2009 | Tax Advisors
On August 19, the Internal Revenue Service (IRS), Swiss bank UBS AG and the Swiss government reached an agreement to settle a tax dispute in which the ...
The IRS Again Extends the FBAR Filing Deadline for Specified Persons
By Ronald Kramer | Aug 10 2009 | Tax Advisors
Late on Friday, August 7, 2007, the Internal Revenue Service (IRS) issued Notice 2009-62, again extending the due date for 2008 and earlier calendar-year ...
Cause and Effect
By Ronald Kramer | Jul 08 2009 | Tax Advisors
In a Sunday interview with ABC News’ “This Week,” Vice President Biden said the Obama administration misread how bad the economy was and didn’t foresee the potentially double-digit unemployment levels. Biden’s comments already have some economists and politicians clamoring for another round of stimulus spending on top of the $787 billion recovery bill passed in February of this year. This merits more debate. Ron Kramer explains....
IRS Allows September 23, 2009 Deadline for Some FBAR Filings
By Ronald Kramer | Jun 29 2009 | Tax Advisors
The Internal Revenue Service (IRS) has announced that it will permit taxpayers who meet certain requirements to file Form TD F 90-22.1, the Report of Foreign ...
Manufacturers With Export Sales Should Consider a DISC
By Mark Cobetto | Jun 24 2009 | Tax Advisors
One of the often overlooked federal income tax incentives for U.S. manufacturers with export sales involves the use of a Domestic International Sales Corporation ...
Place Assets in Service by December 31, 2009 for Enhanced Expensing
By Robert Bandi | Jun 24 2009 | Tax Advisors
The stimulus package signed by President Obama earlier this year provides businesses with two valuable tax incentives in the form of enhanced expensing and bonus depreciation for fixed asset additions. These accelerated depreciation expenses are only available to offset federal taxable income in 2009....
ALERT: Expanded Reporting Requirements for Foreign Bank Account Reports (FBAR)
By Ronald Kramer | Jun 24 2009 | Tax Advisors
U.S. persons with an interest in a private investment fund organized outside the United States during 2008 must report ownership to the U.S. Treasury on Form TD F 90-221.1, Report of Foreign Bank and Financial Accounts (FBAR) by June 30, 2009....
PA Governor Proposes Individual State Income Tax Increase
By Jeffrey Wlahofsky | Jun 19 2009 | Tax Advisors
Pennsylvania Governor Ed Rendell proposed an increase in the state personal income tax. Jeff Wlahofksy provides insight into what may happen next....
Is Cap and Trade Legislation a Disguised Tax Increase?
By Martin DiGiovine | May 15 2009 | Tax Advisors
On March 31, 2009, Reps. Henry Waxman (D-CA) and Edward Markey (D-MA) released a discussion draft of the American Clean Energy and Security Act of 2009 in the U.S. House Committee on Energy and Commerce. The proposed bill includes a “cap and trade” program in which the government will set a steadily declining ceiling on greenhouse gas emissions, then sell “credits” to energy producers in order to limit their greenhouse gas emissions...
Have You Benefited from the Stimulus Package?
By Ronald Kramer | Apr 10 2009 | Tax Advisors
President Obama’s Stimulus Package (The American Recovery and Reinvestment Act of 2009, ARRA) has been law now for almost 60 days. Have any of the stimulus measures had an impact on you or your business? ...
IRS Cracking Down on Offshore Bank Accounts
By Ronald Kramer | Apr 10 2009 | Tax Advisors
The IRS recently announced new steps to encourage U.S. taxpayers with previously undisclosed foreign bank accounts to voluntarily come forward. In return for paying back taxes for the past six years, plus interest and stiff penalties, the IRS will promise not to bring criminal charges or to assess the 75-percent fraud penalty....
Home Sales Surge Due to First Time Homebuyer Credit
By Martin DiGiovine | Mar 25 2009 | Tax Advisors
In what seems a rare instance of encouraging news about the economy, the Wall Street Journal reported on March 24 that existing home sales were up 5.1% ...
Landlords, Including Colleges and Universities, Are Subject to City of Pittsburgh Rental Registration Program
By Jennifer Koehler | Mar 12 2009 | Tax Advisors
The City of Pittsburgh is moving forward with its Rental Registration Program ("RRP"). The program requires all "landlords" to register with the City's Bureau of Building Inspection, which will administer the program, prior to renting out their housing units. The purpose of the program is to ensure all rental units meet standard code requirements. Jennifer Koehler provides analysis....
IRS Releases New Withholding Tables for Implementation of Making Work Pay Credit
By Ronald Kramer | Mar 05 2009 | Tax Advisors
The IRS issued new payroll tax withholding tables that will provide the Making Work Pay credit through larger paychecks for eligible individuals. ...
President Obama Unveils His Fiscal 2010 Budget
By Ronald Kramer | Feb 27 2009 | Tax Advisors
Many Tax Changes Proposed Yesterday, President Obama rolled out his proposed spending plan for fiscal 2010 that includes numerous tax changes for individuals ...
New Tax Provisions from the American Recovery and Reinvestment Act
By Martin DiGiovine | Feb 18 2009 | Tax Advisors
The nearly 1,100 pages of the American Recovery and Reinvestment Act draws us to conclude that the greatest beneficiaries of the stimulus legislation are ...
Stimulus Package Passes House and Senate
By Ronald Kramer | Feb 13 2009 | Tax Advisors
Friday, a jubilant House passed the stimulus bill with a vote of 246-183....
The President's Stimulus Plan Keeps Getting Bigger
By Ronald Kramer | Jan 29 2009 | Tax Advisors
This is another post in a series of Insights focusing on the economic stimulus package proposed by President Barack Obama and Congress. To receive all ...
The Obama Stimulus Package Moves Along
By Ronald Kramer | Jan 27 2009 | Tax Advisors
This is another post in a series of Insights focusing on the economic stimulus package proposed by President Barack Obama and Congress. To receive all ...
Still Waiting for Change in Washington
By Martin DiGiovine | Jan 23 2009 | Tax Advisors
This is another post in a series of Insights focusing on the economic stimulus package proposed by President Barack Obama and Congress. To receive all ...
House Ways and Means Committee Releases Details of the Economic Recovery Package
By Ronald Kramer | Jan 20 2009 | Tax Advisors
This is another post in a series of Insights focusing on the economic stimulus package proposed by President Barack Obama and Congress. To receive all ...
$825 Billion House Version of Stimulus Bill Unveiled
By Martin DiGiovine | Jan 16 2009 | Tax Advisors
This is the sixth in a series of Insights focusing on the economic stimulus package proposed by President-elect Barack Obama. To receive all future updates ...
President-elect Obama's Proposed Plan for the Estate Tax
By Martin DiGiovine | Jan 13 2009 | Tax Advisors
Will Rogers once said, "The only difference between death and taxes is that death doesn&'t get worse every time Congress meets.” However, ...
Report On the Job Impact of the American Recovery and Reinvestment Plan
By Ronald Kramer | Jan 12 2009 | Tax Advisors
The rollout of President-elect Obama’s stimulus package, the American Recovery and Reinvestment Plan, over the past several days reminds me of the fairy tales of my youth. ...
Job Losses Emphasize Need for Quick Stimulus Package
By Ronald Kramer | Jan 09 2009 | Tax Advisors
This is the fourth in a series of Insights focusing on the economic stimulus package proposed by President-elect Barack Obama. To receive all future updates ...
President-elect Obama Stimulus Package Update Two
By Ronald Kramer | Jan 08 2009 | Tax Advisors
This is the second in a series of Insights focusing on the economic stimulus package proposed by President-elect Barack Obama. To receive all future updates ...
Kicking yourself for taking early social security?
By Laura Fernan | Dec 17 2008 | Tax Advisors
HOW TO UNDO REDUCED BENEFITS AND TAKE ADVANTAGE OF AN INTEREST-FREE GOVERNMENT LOAN If you are regretting taking early Social Security, there is an easy ...
Exempt Entities May be Required to Collect PA Sales Tax
By Matthew Dodge | Dec 05 2008 | Tax Advisors
In a recent letter ruling, the Pennsylvania Department of Revenue determined that a parent-teacher organization’s sale of items for fundraising purposes ...
Bonus Depreciation
By Dennis Loughran | Nov 03 2008 | Tax Advisors
In preparation for year end tax planning we are advising our clients on various tax law changes that have been triggered for the 2008 tax year. One that ...
Kiddie Tax is Expanded in 2008
By Ronald Kramer | Aug 29 2008 | Tax Advisors
The “kiddie tax” has been expanded by Congress in the Small Business Act of 2007. If you have children under age 24 as of 2008, this is of ...
2008 Housing Act - Homebuyer Credit
By Mark DiPietrantonio | Aug 15 2008 | Tax Advisors
The Housing Assistance Tax Act of 2008 contains a new first-time homebuyer credit of up to $7,500 that is principally designed to assist struggling homeowners ...
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