Deduction – New 20% Pass-Through Tax Break

New Tax Laws for 2018
New Tax Deduction

We are reaching out to you to let you know about one of the many changes in 2018 due to the new tax law.  If you own a business, this deduction will more than likely apply to you.

Bottom Line:  Because of the new tax law, tax planning for business owners will be especially crucial this year.  We are still expecting regulations from the IRS regarding the new pass-through business deduction (hopefully by the end of the summer), but we wanted to notify you of what’s coming.

We also understand that taxes – especially business taxes – can be confusing.  Please feel free to contact us at 770-478-7424 or at to setup a consultation with a CPA.

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New Withholding Tables Issued

The IRS has issued new income tax withholding tables for 2018 due to major changes in the new tax law.  Everyone should take a look at your withholding to make sure you’re deducting the correct amount of taxes under the new legislation. [Read more…]

Beyond the Fiscal Cliff — Tax Seminar in Jonesboro, GA

Ben TeachingWe are pleased to announce a seminar entitled “Beyond the Fiscal Cliff” presented by Ben Loggins, CPA, open to the public regarding the new tax laws that were recently passed by Congress.

This seminar will be held on Thursday, January 10, 2013 from 8:00 to 10:00am at Arts Clayton in Jonesboro.  Refreshments will be served. Arts Clayton is located at 136 S. Main St. in Jonesboro.

There will be a nominal $10 per person charge to reserve your spot with all net proceeds donated to Arts Clayton.

Please contact Pam at our office at 770-478-7424 to reserve your spot.

Seminar Topics include:

  • The new Healthcare regulations on Medicare surtax
  • How to avoid the Individual Mandate Penalty
  • Employer Mandate strategies
  • A Discussion of the Affordable Care Act
  • Extenders Bill
  • 2013 Planning Strategies
  • Ideas to implement to lower your total tax liability
  • How to redirect your state tax dollars to help private schools in Georgia.

If you are unable to make this seminar, we’ll be presenting it again in Fayetteville on January 17th from 7:00 to 8:30pm.

2013 Standard Mileage Rates

The IRS recently announced adjustments for the 2013 standard mileage rates which are used to calculate deductable costs for using a car, van, pickup, or panel truck for business, charitable, medical, or moving purposes. The standard mileage rate is optional and the actual costs of using a vehicle can also be used. These new rates will be:

  •  56.5 cents per mile for business miles driven (1 cent more than last year)
  •  24 cents per mile driven for medical or moving purposes (1 cent more than last year)
  •  14 cents per mile driven in service of charitable organizations

These rates are based on an annual study from the IRS and may not be used if Modified Accelerated Cost Recovery System (MACRS) depreciation or Section 179 deduction was used for the vehicle. Additionally, only up to four vehicles can simultaneously use the business standard mileage rate. Under this plan, the standard automobile cost for a car may not exceed $28,100 and the maximum standard cost for a truck or van may not exceed $29,900. These rate changes begin on January 1, 2013.

AMT Changes

What is AMT?

The Alternative Minimum Tax (AMT) is a near flat tax rate imposed on individuals, corporations, estates, and trusts. Getting taxed under AMT usually requires fairly high income levels. The end result ensures that most high income earners have to pay some income tax. Although the AMT exemption amount is not adjusted to inflation, it is usually “patched” by congress at the end of each year with legislation.


The IRS is currently tentatively waiting for congress to pass the 2013 patch. A patch before year-end could be implemented with minimal delays to most taxpayers. A patch after year-end, according to IRS Commissioner Steven Miller, could have serious repercussions for tax payers. The IRS would have to instruct over 60 million taxpayers that they can’t file or process their tax return until system changes are done.

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Attention employers! Medicare withholding tax going up (maybe)….

Don’tcha just love the uncertainty in the title?  Here you are, trying to grow your business and you need to worry about a .9% payroll tax that may or may not happen just 6 months from now.

Use this article as a heads up — this may be coming down the road in 2013, and so you need to be aware of the additional 0.9% Medicare tax that is scheduled to go into effect in 2013.

(I love how they make it 0.9%  It reminds me of a car salesman trying to sell you a car for under $50K when the price tag is $49,999.) [Read more…]

Save Those 1099’s

It’s that time again!  Individuals and businesses throughout the United States have started receiving various tax-related documents.  This year it is very important to save all of these documents and forward them to your accountant.  Even if you are a corporation and don’t usually give the 1099s you receive to your accountant, you should do so this year.  Be on the lookout for a new form, Form 1099-K. [Read more…]

New Hire Retention Credit – FAQs

What is the new hire retention credit and what does it apply to?
This is a general business credit to encourage retention of new hires (retained workers). The employer may claim the credit for each retained worker. A retained worker is a qualified employee (as defined for purposes of the payroll tax exemption) who remains an employee for at least 52 consecutive weeks, and whose wages (as defined for income tax withholding purposes) for the last 26 weeks equal at least 80% of the wages for the first 26 weeks. The amount of the credit is the lesser of $1,000 or 6.2% of wages (as defined for income tax withholding purposes) paid by the employer to the retained worker during the 52 consecutive week period.  Here is a worksheet to aid you in providing information to us.

If an employer chooses to claim the WOTC for a qualified employee, can the employer still claim the new hire retention credit for that qualified employee?
Yes, an employer may claim the retention credit for a qualified employee even if the employer has also claimed the WOTC for the same employee. [Read more…]

Credit for Small Employer Health Insurance Premiums

Again for the 2011 tax year, the IRS is allowing up to a 35% tax credit to eligible small employers for health insurance premiums paid for employees.  Below is a general summary of who would qualify for this credit.  These are general requirements to let you know if you might possibly qualify and the specific requirements can be found in the attached instructions for Form 8941.

You are an eligible small employer for the tax year if you meet the following requirements: [Read more…]

Recent Developments – That May Affect Your Tax Situation

The following is a summary of the most important tax developments that have occurred in the past three months that may affect you, your family, your investments, and your livelihood. Please call us for more information about any of these developments and what steps you should implement to take advantage of favorable developments and to minimize the impact of those that are unfavorable. [Read more…]