Vernoia, Enterline + Brewer, CPA LLC

Archive for November, 2015

Small businesses score victory with PACE Act

Small businesses received some welcomed news in October with passage of the Protecting Affordable Coverage for Employees (PACE) Act. The new law revises the definition of small employer for purposes of market reforms under the Affordable Care Act (ACA). The PACE Act is intended to help protect small businesses from potential health care premium increases. (more…)

IRS releases 2016 inflation adjustments to retirement-related amounts SSA publishes 2016 wage base

The IRS recently issued a long list of cost of living adjustments (COLAs) for various Tax Code provisions that are required to be adjusted annually for inflation, including many related to retirement savings. These COLAs are for the 2016 tax year. (more…)

FAQ: When is Equipment Placed in Service?

For a business to start writing off the cost of depreciable equipment and property, it is necessary that the equipment be placed in service. To write off costs in 2015, the equipment must be placed in service by December 31, 2015. The “placed-in-service” requirement applies, for example, for taking depreciation, especially first-year bonus depreciation, under Code Sec. 168, expensing of the cost of property under Code Sec. 179, and other write-offs such as the investment tax credit under Code Sec. 46. (more…)

How Do I Shift Taxable Income into 2016?

As the calendar approaches the end of 2015, it is helpful to think about ways to shift income and deductions into the following year. For example, spikes in income from selling investments or other property may push a taxpayer into a higher income tax bracket for 2015, including a top bracket of 39.6 percent for ordinary income and short-term capital gains, and a top bracket of 20 percent for dividends and long-term capital gains. (more…)

IRS promises more identity theft protections in 2016 filing season

After acknowledging earlier this year that hackers breached one of its popular online apps, the IRS has promised more identity theft protections in the 2016 filing season. The IRS, along with partners in the tax preparation community, has identified and tested more than 20 new data elements on returns to help detect and prevent identity-theft related filings. The agency is also working to prevent criminals from accessing tax-time financial products. (more…)