[et_pb_section fb_built=”1″ _builder_version=”3.26.3″][et_pb_row _builder_version=”3.26.3″][et_pb_column _builder_version=”3.26.3″ type=”4_4″][et_pb_text _builder_version=”3.26.3″] The 2% tax cut on the Employee portion of Social Security withholdings has expired. That means that employees will see an extra 2% withheld for Social Security this year as compared to last year. Employers are urged to implement the change as soon as possible and are required… Read More

[et_pb_section fb_built=”1″ _builder_version=”3.26.3″][et_pb_row _builder_version=”3.26.3″][et_pb_column _builder_version=”3.26.3″ type=”4_4″][et_pb_text _builder_version=”3.26.3″] Expense Deferral with Related Parties Facts Taxpayer is a 10% owner of an accrual basis S-corporation.  The Taxpayer sold inventory to the S-corporation, but plans to defer receipt of income until after year end.  The S-corporation accrued an expense for the receipt of inventory. Issue Can the Taxpayer… Read More

[et_pb_section fb_built=”1″ _builder_version=”3.26.3″][et_pb_row _builder_version=”3.26.3″][et_pb_column _builder_version=”3.26.3″ type=”4_4″][et_pb_text _builder_version=”3.26.3″] Tax File Memo Reasonable S-Corporation Wage Facts The taxpayer is a medical professional engaging independently in profit-generating activities within his S-corporation.  The S-corporation does not employ any other individuals, and all cash inflows are related to his activities. Issues What constitutes a reasonable wage? Conclusion The taxpayer will… Read More