Words Count

The Thomas Howell Ferguson Blog

Is Your Corporation Eligible For The Dividends-Received Deduction?

There’s a valuable tax deduction available to a C corporation when it receives dividends. The “dividends-received deduction” has a design to reduce or eliminate an extra level of tax on dividends received by a corporation. As a result, a corporation will typically receive taxation at a lower rate on dividends than on capital gains. Ordinarily, […]

Read More… from Is Your Corporation Eligible For The Dividends-Received Deduction?

Help When Needed: Apply The Research Credit Against Payroll Taxes

Here’s an interesting option if your small company or start-up business is planning to claim the research tax credit. You can elect to apply all or some of any research tax credits that you earn against your payroll taxes instead of your income tax. This payroll tax election may influence some businesses to undertake or […]

Read More… from Help When Needed: Apply The Research Credit Against Payroll Taxes

U.S. May CPI: Inflation Continues To Broaden Out On Higher Gas And Housing Costs

(authored by RSM US LLP) Inflation continued to broaden out across the American economy in May, rising by 8.6% annually and underscoring the urgency among central bankers to restore price stability through an increase in the federal funds rate and a drawdown in its $8.9 trillion balance sheet. […]

Read More… from U.S. May CPI: Inflation Continues To Broaden Out On Higher Gas And Housing Costs

How Inflation Could Affect Your Financial Statements

Business owners and investors are understandably concerned about skyrocketing inflation. Over the last year, consumer prices have increased 8.3%, according to the latest data from the U.S. Bureau of Labor Statistics. The Consumer Price Index (CPI) covers the prices of food, clothing, shelter, transportation, medical services, and other goods that people buy for day-to-day living. […]

Read More… from How Inflation Could Affect Your Financial Statements

Florida Businesses: New Requirement to Submit New Hire Information for Independent Contractors

A new requirement to submit new hire information for independent contractors has been passed in the State of Florida. Now, businesses must submit new hire information for their independent contractors to the Florida Department of Revenue. This is a significant change for businesses as previously reporting of independent contractors by a business was optional. Background […]

Read More… from Florida Businesses: New Requirement to Submit New Hire Information for Independent Contractors

Can You Deduct the Costs of a Spouse on a Business Trip?

If you own your own company and travel for business, you may wonder whether you can deduct the costs of having your spouse accompany you on trips. The rules for deducting a spouse’s travel costs are very restrictive. First of all, to qualify, your spouse must be your employee. This means you can’t deduct the […]

Read More… from Can You Deduct the Costs of a Spouse on a Business Trip?

Entrepreneurs and Taxes: How Expenses are Claimed on Tax Returns

It is difficult to determine which expenses to claim on tax returns. While some businesses have closed since the start of the COVID-19 crisis, many new ventures have launched. Entrepreneurs have cited a number of reasons why they decided to start a business in the midst of a pandemic. For example, they have more time, […]

Read More… from Entrepreneurs and Taxes: How Expenses are Claimed on Tax Returns

Numerous Tax Limits Affecting Businesses have Increased for 2022

Many tax limits that affect businesses are annually indexed for inflation, and a number of them have increased for 2022. Here’s a rundown of those that may be important to you and your business. Social Security Tax The amount of an employee’s earnings that are subject to Social Security tax is capped for 2022 at […]

Read More… from Numerous Tax Limits Affecting Businesses have Increased for 2022

Businesses with Employees Who Receive Tips may be Eligible for a Tax Credit

If you’re an employer with a business where tipping is customary for providing food and beverages, you may qualify for a federal tax credit involving the Social Security and Medicaid (FICA) taxes that you pay on your employees’ tip income. Basics of the Credit The FICA credit applies with respect to tips that your employees […]

Read More… from Businesses with Employees Who Receive Tips may be Eligible for a Tax Credit

Will the Standard Business Mileage Rate Go Up in 2022? Yes!

After two years of no increases, the optional standard business mileage rate used to calculate the deductible cost of operating an automobile for business will be going up in 2022 by 2.5 cents per mile. The IRS recently announced that the cents-per-mile rate for the business use of a car, van, pickup, or panel truck […]

Read More… from Will the Standard Business Mileage Rate Go Up in 2022? Yes!

THF Named One Of “America’s Top Recommended Tax and Accounting Firms” by Forbes Magazine

THF has been named one of “America’s Top Recommended Tax and Accounting Firms” by Forbes Magazine for the third year in a row! For the third year, Forbes partnered with the market research company Statista to create the award list through an independent survey of tax and accounting professionals who provided thousands of recommendations. Respondents […]

Read More… from THF Named One Of “America’s Top Recommended Tax and Accounting Firms” by Forbes Magazine

There Still May be Time for Your Small Business to Cut 2021 Taxes

Don’t let the holiday rush keep your small business from considering some important steps to reduce your 2021 tax liability. You still have time to execute a few strategies. Purchase Assets Thinking about buying new or used equipment, machinery, or office equipment in the new year? First, you must buy them and place them in […]

Read More… from There Still May be Time for Your Small Business to Cut 2021 Taxes

THF Congratulates Matthew Warren, Ryan Cummings, Christie Giovannone, and Megan Chen on Their Promotion to Senior in the Assurance Services Department

THF congratulates Matthew Warren, Ryan Cummings, Christie Giovannone, and Megan Chen on their promotion to Senior in the Assurance Services Department. Matthew Warren joined THF in September 2018 and has over three years of experience in public accounting providing assurance services. He received his Bachelor of Arts degree in Accounting from Flagler College. Matthew operates […]

Read More… from THF Congratulates Matthew Warren, Ryan Cummings, Christie Giovannone, and Megan Chen on Their Promotion to Senior in the Assurance Services Department

Businesses Can Show Appreciation — and Gain Tax Breaks — with Holiday Gifts and Parties

With Thanksgiving just around the corner, the holiday season will soon be here. This time of year, your business may want to show its gratitude to employees and customers. Giving them gifts or hosting holiday parties after a year of forgoing them due to the pandemic can show them this gratitude. It’s a good time […]

Read More… from Businesses Can Show Appreciation — and Gain Tax Breaks — with Holiday Gifts and Parties

Get Your Piece of the Depreciation Pie Now With a Cost Segregation Study

Has your business experienced depreciation? Is your business depreciating over a 30-year period the entire cost of constructing the building that houses your operation? If so, you should consider a cost segregation study. It might allow you to accelerate depreciation deductions on certain items, thereby reducing taxes and boosting cash flow. Under current law, the […]

Read More… from Get Your Piece of the Depreciation Pie Now With a Cost Segregation Study

THF Congratulates Lorelle Chapman and Alexander Frey on their Promotion to Manager

THF congratulates Lorelle Chapman and Alexander Frey on their promotion to Manager in the Assurance Services Department. Lorelle Chapman joined THF in January 2017 and has over four years of experience in public accounting providing assurance and accounting services. She received her Bachelor of Science degree in accounting from Florida State University. Lorelle operates out […]

Read More… from THF Congratulates Lorelle Chapman and Alexander Frey on their Promotion to Manager

New Per Diem Business Travel Rates Became Effective on October 1

Are employees at your business traveling again after months of virtual meetings? In Notice 2021-52, the IRS announced the fiscal 2022 “per diem” rates that became effective October 1, 2021. Taxpayers can use these rates to substantiate the amount of expenses for lodging, meals, and incidental expenses when traveling away from home. (Taxpayers in the transportation […]

Read More… from New Per Diem Business Travel Rates Became Effective on October 1

THF Congratulates Micah Kunkel and Paola Arbulu on their Promotion to Senior Manager

THF congratulates Micah Kunkel and Paola Arbulu on their promotion to Senior Manager in the Tax Services Department. Micah Kunkel joined THF in 2009 and has over 12 years of experience providing tax compliance and consulting services. He received his Bachelor of Science degree in accounting and finance from Valdosta State University. Micah previously served […]

Read More… from THF Congratulates Micah Kunkel and Paola Arbulu on their Promotion to Senior Manager

2021 Q4 Tax Calendar: Key Deadlines for Businesses and Other Employers

Here are some of the key Q4 tax-related deadlines affecting businesses and other employers during the fourth quarter of 2021. To clarify, keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. In addition, contact us to ensure you’re meeting all applicable deadlines and to learn more […]

Read More… from 2021 Q4 Tax Calendar: Key Deadlines for Businesses and Other Employers

THF Congratulates Matthew Walker and Catherine Stout on Their Promotion to Director

THF congratulates Matthew Walker and Catherine Stout on their promotion to Director in the Assurance Services Department. Matthew joined THF in January 2013 and has over eight years of experience in public accounting providing assurance and accounting services. He received his bachelor’s degree in accounting from Florida State University. Matthew is very involved in the […]

Read More… from THF Congratulates Matthew Walker and Catherine Stout on Their Promotion to Director

THF Congratulates Anna Dean for Earning Her CPA License

THF congratulates Anna Dean for earning her Certified Public Accountant (CPA) license. Anna Dean received her Bachelor of Business Administration in Accounting and Master of Accountancy from Georgia College & State University. She operates out of the THF Bainbridge office and works as a staff accountant in the tax services department. Anna joined the firm […]

Read More… from THF Congratulates Anna Dean for Earning Her CPA License

Merger and Acquisition Transactions: Be Careful When Reporting to the IRS

Are you currently involved with a merger and acquisition (M&A) transaction? Low-interest rates and other factors have caused global merger and acquisition activity to reach new highs in 2021. Refinitiv, a provider of financial data reports that 2021 is set to be the biggest in M&A history, with the United States accounting for $2.14 trillion […]

Read More… from Merger and Acquisition Transactions: Be Careful When Reporting to the IRS

Tax Breaks to Consider During National Small Business Week

The week of September 13-17 has been declared National Small Business Week by the Small Business Administration. To commemorate the week, here are three tax breaks to consider. 1. Claim Bonus Depreciation or a Section 179 Deduction for Asset Additions Under current law, 100% first-year bonus depreciation is available for qualified new and used property […]

Read More… from Tax Breaks to Consider During National Small Business Week

Claiming a Theft Loss Deduction if Your Business is the Victim of Embezzlement

A business may be able to claim a federal income tax deduction for a theft loss. But does embezzlement count as theft? In most cases it does but you’ll have to substantiate the loss. A recent U.S. Tax Court decision illustrates how that’s sometimes difficult to do. Basic Rules for Theft Losses  The tax code […]

Read More… from Claiming a Theft Loss Deduction if Your Business is the Victim of Embezzlement

Want to Find Out What IRS Auditors Know About Your Business Industry?

How does the IRS prepare for a business audit? Generally, an IRS examiner does research about the specific industry and issues on the taxpayer’s return. Examiners may use IRS “Audit Techniques Guides (ATGs).” A little-known secret is that these guides are available to the public on the IRS website. In other words, your business can […]

Read More… from Want to Find Out What IRS Auditors Know About Your Business Industry?

THF Congratulates Lorelle Chapman and Phillip Bealor for Passing Their CPA Exam

THF congratulates Lorelle Chapman and Phillip Bealor for passing their Certified Public Accountant (CPA) exam. Lorelle Chapman received her bachelor’s degree in accounting from Florida State University. She operates out of the THF Tallahassee office and works as a senior accountant in the assurance services department. Lorelle joined the firm in January 2017. Phillip Bealor […]

Read More… from THF Congratulates Lorelle Chapman and Phillip Bealor for Passing Their CPA Exam

Getting a Divorce? Be Aware of Tax Implications if You Own a Business

If you’re a business owner and you’re getting a divorce, tax issues can complicate matters. Your business ownership interest is one of your biggest personal assets and in many cases, your marital property will include all or part of it. Tax-Free Property Transfers You can generally divide most assets, including cash and business ownership interests, […]

Read More… from Getting a Divorce? Be Aware of Tax Implications if You Own a Business

THF Congratulates Megan Keplinger Townsend on Being Inducted into the United Way Suncoast Campaign Coordinator Hall of Fame

THF congratulates Megan Keplinger Townsend on being inducted into the United Way Suncoast Campaign Coordinator Hall of Fame. Megan served as the United Way Suncoast Campaign Coordinator for THF in 2020 and is serving again for 2021. Megan was nominated by the United Way Suncoast for going above and beyond to run a best practice […]

Read More… from THF Congratulates Megan Keplinger Townsend on Being Inducted into the United Way Suncoast Campaign Coordinator Hall of Fame

The Deductibility of Corporate Expenses Covered by Officers or Shareholders

It is often difficult to determine the deductibility of corporate expenses covered by officers or shareholders. Do you play a major role in a closely held corporation and sometimes spend money on corporate expenses personally? These costs may wind up being non-deductible both by an officer and the corporation unless proper steps are taken. This […]

Read More… from The Deductibility of Corporate Expenses Covered by Officers or Shareholders

Getting a New Business Off The Ground: How Start-Up Expenses Are Handled On Your Tax Return

Despite the COVID-19 pandemic, government officials are seeing a large increase in the number of new businesses being launched. From June 2020 through June 2021, the U.S. Census Bureau reports that business applications are up 18.6%. The Bureau measures this by the number of businesses applying for an Employer Identification Number. Entrepreneurs often don’t know […]

Read More… from Getting a New Business Off The Ground: How Start-Up Expenses Are Handled On Your Tax Return

Who in a Small Business Can Be Hit With the “Trust Fund Recovery Penalty?”

Do you own or manage a business with employees? There’s a harsh tax penalty that you could be at risk for paying personally. It’s called the “Trust Fund Recovery Penalty.” This penalty applies to the Social Security and income taxes required to be withheld by a business from its employees’ wages. Because taxes are considered […]

Read More… from Who in a Small Business Can Be Hit With the “Trust Fund Recovery Penalty?”

Eligible Businesses: Claim the Employee Retention Tax Credit

The Employee Retention Tax Credit (ERTC) is a valuable tax break. It was extended and modified by the American Rescue Plan Act (ARPA). The ERTC was enacted in March of 2021. Here’s a rundown of the rules. Background Back in March of 2020, Congress originally enacted the ERTC in the CARES Act to encourage employers […]

Read More… from Eligible Businesses: Claim the Employee Retention Tax Credit

THF Wins Working Well Weight Loss Challenge

THF won the Working Well 12-week weight loss Jackpot Challenge through Healthy Wage. Working Well is a not-for-profit organization whose mission is to provide resources, information, education, and events to improve the well-being of the community’s workforce. Working Well, Inc. partnered with Healthy Wage to provide a 12-week weight loss Jackpot Challenge. 15 teams of […]

Read More… from THF Wins Working Well Weight Loss Challenge

Traveling for Business Again? What Can You Deduct?

As we continue to come out of the COVID-19 pandemic, you may be traveling again for business. There are a number of rules for deducting the cost of your out-of-town business travel within the United States. These rules apply if the business conducted out of town reasonably requires an overnight stay. Under the Tax Cuts […]

Read More… from Traveling for Business Again? What Can You Deduct?

THF Congratulates Christie Battles on joining the Board of Directors and Finance Committee of the Second Harvest of the Big Bend

THF congratulates Christie Battles on joining the Board of Directors and the Finance Committee of the Second Harvest of the Big Bend.Second Harvest of the Big Bend’s mission is to feed the hungry in the Big Bend through the network of partner agencies. Furthermore, they strive to educate and engage the community in the fight […]

Read More… from THF Congratulates Christie Battles on joining the Board of Directors and Finance Committee of the Second Harvest of the Big Bend

2021 Q3 Tax Calendar: Key Deadlines for Businesses and Other Employers

Stay up to date with the 2021 Q3 tax calendar! Here are some of the key tax-related deadlines affecting businesses and other employers during the third quarter of 2021. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Certainly contact us to ensure you’re meeting all […]

Read More… from 2021 Q3 Tax Calendar: Key Deadlines for Businesses and Other Employers