Tax & Financial Planning Blog

CPA vs. EA: What’s the difference, and which one do you need?
When you’re looking for tax help, you’ll often see two sets of letters: CPA and EA. Both CPAs (Certified Public Accountants) and EAs (Enrolled Agents) are licensed professionals who can handle taxes. But the credentials mean different things, and the level of service they provide can vary.  Here’s a clear breakdown to help you decide […]
13 essential documents needed for tax return preparation
Tax season is rarely anyone’s favorite time of year, but being prepared can make it a whole lot easier. For small business owners and managers of larger operations alike, having the right paperwork in place means fewer headaches, less last-minute scrambling, and a smoother process for everyone involved. The last thing you want is to […]
Don’t fear increased IRS enforcement–be prepared
The IRS has ramped up its enforcement efforts. If you’ve heard the buzz about new agents, AI-driven audits, and an increased focus on higher earners and small businesses, you might feel a little uneasy. But no need to panic—just plan and prepare. Here’s what’s happening and what you can do to stay ahead. You may […]
Tips to improve profitability and performance with proper inventory checks
Do you have a clear picture of your business’s inventory? Business owners will often go far too long without reviewing their inventory, only to find out it’s in desperate need of cleanup.  The problem with keeping accurate inventory records is that it can take significant time and resources. This is why many small businesses put […]
New overtime rules for 2024 struck down
Earlier this year, the Department of Labor (DOL) announced a rule intending to significantly raise the salary thresholds for overtime eligibility under the Fair Labor Standards Act (FLSA). However, on November 15, 2024, a Texas federal court struck down the rule, invalidating it nationwide effective immediately. UPDATE ON 2024 OVERTIME RULES: KEY TAKEAWAYS – A […]
The latest retirement savings plan contribution limits 
Planning for retirement involves strategic financial decisions, which is why it’s important to understand the latest retirement savings plan contribution limits and what they mean for you and your ability to maximize your savings. Every year, the IRS sets new limits on how much you can contribute to different types of retirement plans. These limits […]
The Power of Accounting Automation for Nonprofits: Streamline, save, and serve
Nonprofit organizations, especially tax-exempt 501(c)(3) organizations, face unique accounting needs. Unlike for-profit entities that focus on maximizing profits, nonprofits prioritize fulfilling their missions and ensuring responsible stewardship of funds.  Accounting automation helps nonprofits focus on their mission-driven goals while keeping their financials in check. Lift Jax, an organization dedicated to eradicating generational poverty in Jacksonville, […]
What every business needs to know about 1099 requirements
For many businesses, one of the biggest year-end tasks is sending and filing 1099 forms by the January 31st deadline. Depending on how many contractors your business has used this year, and how organized you’ve been about keeping good records, 1099 requirements can become a big project that you don’t want to leave until the […]
How to prepare your business accounting for sale or acquisition
Even if selling your business isn’t on your radar right now, it’s important to remember that circumstances can change quickly. Having your financials in order before an opportunity or challenge arises can position you for success. Whether you’re selling your company, merging, or acquiring another, ensuring your business is financially prepared will help you get […]
IRS Releases Digital Asset Draft Form 1099-DA: What you need to know
The IRS is taking steps to bring more clarity and compliance to digital asset reporting by releasing the draft Form 1099-DA. Set to be used by brokers to report certain sale and exchange transactions starting in 2025, this form aims to simplify tax reporting for digital assets and enhance transparency in an often opaque market.  […]
Building a hurricane preparedness plan that keeps your business afloat
When it comes to having a hurricane preparedness plan for your business, you’ve probably seen all the lists of supplies to stock and ways to prepare your property to minimize damage. But most people don’t think about the implications for their business and finances until after the storm has passed.  As we navigate an unpredictable […]
A quick Q&A with our FSU finance intern 
We take pride in nurturing the next generation of finance professionals through our comprehensive internship program. This summer, we had the pleasure of welcoming Chloe Shaw, a senior finance student from Florida State University (FSU). Over the years FSU has consistently brought us talented and motivated individuals like Chloe, so we appreciate our continued partnership […]
What’s a reasonable wage for an S-Corp in Florida? 
If you have a profitable S-Corporation (S-Corp), it’s worth taking a moment to remind you about reasonable S-Corp wages… before the State of Florida does!  How S-Corp payroll works  S-Corporations are unique because they provide the limited liability of a corporation and the pass-through taxation of a partnership. In an S-Corp, you typically pay yourself […]
3 simple ways to cut your S-Corp flow-through taxes
Tax accounting generally follows straightforward principles: you earn income, pay expenses, and then pay taxes on the net income. However, S-Corp flow-through taxes can be complex and often require extra attention to detail. Following proper procedures can significantly reduce your tax liability. Three key areas where S-Corp shareholders can save on taxes are health insurance, […]
Tax & market updates from our Q2 2024 Webinar
As we progressed through the second quarter of 2024, several factors continued to influence market dynamics—and your financial plan. We recently hosted a webinar to delve into these pressing issues and offer insights pertinent to the current economic climate. Here are some of the key takeaways from the session. What’s next for inflation and interest […]
What is a recharacterization of an IRA?
Individual Retirement Accounts (IRAs) are very useful tools for retirement savings. They offer tax advantages that encourage people to save for their future. There are two core types of IRAs that most people are familiar with: traditional and Roth. While they share many similarities, they offer different tax treatments. If you have both types, you […]
How to convert an LLC to an S-Corporation
Converting a Limited Liability Company (LLC) to an S-Corporation (S-Corp) can offer several advantages for business owners, including tax savings. However, before you make any permanent changes, you’ll need a careful understanding of the legal and financial implications. In this article, we’ll explore the key aspects of converting an LLC to an S-Corp, including the […]
Florida introduces new childcare tax credit for businesses
Florida has introduced a new tax credit initiative (p111) aimed at assisting businesses that help cover the costs of childcare for their employees, effective for the 2024-2025 fiscal year. This move is designed to alleviate the financial burden of childcare, enabling more parents to participate fully in the workforce. Here’s a detailed look at what […]
2024 Update: What property owners need to know about the reduced sales tax rate on commercial leases in Duval County
Commercial property owners in Duval County, Florida, who manage rentals are all too familiar with the sales taxes associated with commercial property leases—especially since Florida is the only state that imposes sales tax on commercial rent. As of June 1, 2024, there are significant updates to the commercial rental sales tax rate in Florida. Property […]
Facing a high business tax burden? State entity-level taxation may help
State entity-level taxation has become a hot topic due to the significant limits individuals face when deducting state and local taxes on their individual returns. Under current tax law, these deductions are capped at $10,000. This cap includes real estate taxes, property taxes, sales taxes, and state income taxes. For many taxpayers, particularly those in […]
How are trusts taxed? Understanding income, distributions, and gains
Trusts are a powerful estate planning tool, offering flexibility, control, and potential tax benefits. Understanding how trusts are taxed is essential for effective tax planning. Trust taxation can be complex, as it varies depending on the type of trust and its activities. We’ll explore how irrevocable trusts and revocable trusts are taxed, how trust distributions […]
S corporation Owners Can Get Health Insurance Premium Deductions. Here’s how.
When it comes to health insurance expenses for certain categories of employees, the tax rules get a little complicated. IRS Notice 2008-1 addresses one of these specific groups: 2-percent shareholders of S corporations. These individuals have unique considerations regarding health insurance costs. Reporting health insurance premium payments incorrectly can impact both the company and the […]
Tax & market updates from our Q1 2024 Webinar
As we step into the second quarter of 2024, investors are grappling with a host of uncertainties, from the trajectory of interest rates to the impact of inflation on the economy. Our recent Tax and Market Update shed light on these pressing issues and provided clarity amid economic uncertainty.  Here are some of the key […]
The 10 most common bookkeeping mistakes we fix for our clients
For small business owners, bookkeeping can be a struggle. Many aren’t in a position to add accounting staff, or they see bookkeeping as an area to cut costs by doing it themselves. Almost inevitably, whether it’s because the business grows or there’s just too much else to do, the books fall behind.  Below are the […]
A guide to Form W-8BEN for U.S. employers with international contractors
Today’s interconnected world has opened the windows of the World Wide Web to allow businesses to collaborate with talent from across the globe. If you’re a U.S. employer engaging foreign contractors, you need to ensure the proper completion of Form W-8BEN: the Certificate of Foreign Status of Beneficial Owners for United States Tax Withholding and […]
Investing in an Election Year: Should I be concerned?
How do you feel about investing in an election year? As frequently happens, election season is stirring up a lot of emotions. Some of the things keeping Americans up at night are questions like, “How will this election affect the stock market? My child’s college savings fund? My retirement fund?” These are valid concerns, especially […]
Annual tax deadlines in 2024 
Whether you’re a salaried employee, a freelancer, a small business owner, or a corporation, understanding and adhering to tax deadlines will help you effectively manage your tax obligations throughout the year, ensure compliance with tax laws, and avoid unnecessary penalties. But we know you have plenty going on in your life, and keeping track of […]
Retirement Plan Options for the Self-Employed 
According to figures from the US Bureau of Labor Statistics (BLS), the number of self-employed people in the US was 10.01 million in December 2023. So, how are those 10 million Americans saving for retirement? Many people who leave the corporate world in favor of self-employment also leave their company retirement benefits behind, but that […]
What homeowners need to know about PMI tax deduction 
After months of searching, countless open houses, and endless deliberation, you’ve finally found your dream home. Like many homebuyers, your mortgage requires Private Mortgage Insurance (PMI). The premium will most likely be included in your monthly payment, and you may be wondering whether PMI is tax deductible.  Key points: Mortgage Insurance Premiums (MIP) or Private […]
How to finance a small business purchase the smart way
You’ve always dreamt of being your own boss. You’ve spent nights crafting business plans and plotting your success. But, let’s get real—the thought of starting from ground zero is nothing short of terrifying! What if you could step into an existing business, one with a proven track record and a loyal customer base? Buying an […]
A Beginner’s Guide to Tax-Efficient Investing 
Let’s be honest: none of us enjoys handing hard-earned money over to the IRS, but we’re all responsible for paying taxes. The good news is that taking advantage of tax-efficient investing and using tax-advantaged accounts allows you to retain more of your earnings and defer tax liabilities.  Why is tax-efficient investment important?  Taxes can eat […]
Quick Cheat Sheet: Instructions for forms 1099-MISC and 1099-NEC 
Hiring independent contractors for your business can reduce paperwork and tax payments, but it does require using 1099 forms for reporting purposes. There are numerous 1099s to report different types of non-employment income to the IRS during the tax year. In this quick cheat sheet, we’ll break down the differences between Forms 1099-MISC and 1099-NEC […]
Is 1099-K income taxable? Here’s what you need to know 
Don’t forget: some big changes are coming for anyone earning more than $600 through a third-party settlement organization (TPSO). Whether you’ve generated income from Etsy, Airbnb, eBay, VRBO, Uber, or Amazon, you can soon expect to receive a Form 1099-K, which is also filed with the IRS. So, is 1099-K income taxable? And how will […]
Tax & market updates from our 2024 Financial Planning Webinar 
Held in January 2024, our 2023 wrap-up and 2024 financial planning webinar covered a number of key topics to ensure that our clients are well informed and equipped for the year ahead. Here are some of the key takeaways from the session:  New tax credits for energy efficiency Homeowners eyeing energy-efficient upgrades, such as air-conditioning […]
What you need to know about the IRS penalty waiver on 2020 and 2021 tax returns
In a significant move aimed at alleviating the financial burden on taxpayers, the Internal Revenue Service (IRS) has announced a waiver of nearly $1 billion in late-payment penalties for millions of individuals, businesses, trusts, estates, and tax-exempt organizations that were not sent automated collection reminder notices during the pandemic. Understanding the tax relief measures The […]
Mitigate the impact of changes to the expensing of R&D costs
Research & development (R&D) drives innovation, competitiveness, and job creation in many industries. But in case you missed it, the Tax Cuts and Jobs Act (TCJA) altered Section 174 of the tax code that allowed companies to fully expense R&D costs in the year incurred. R&D costs are now amortized over five years for domestic […]
The power of proactive accounting
There’s a reason your car’s windshield is so much bigger than its rearview mirror. Sure, both can save you from having an accident, but there’s no doubt which piece of glass plays a bigger role in your safety. In the same way, you can panic when the tax deadline arrives, rush to take out a […]
10 essential steps to prepare your business for year-end
As the year draws to a close, businesses need to gear up for the year-end financial flurry and ensure a smooth transition into the new year. We all know that January will be here before we know it, so we have put a year-end prep list together to help your business out. Here are 10 […]