Why you should be an Accounting Star

What I want to share in this article, is my perhaps radical perspective for young accounts, not necessarily young in age, but young in their careers. Those just out of school, or maybe in the first few years of their careers, particularly entrepreneurial accounts. These accountants are working for entrepreneurs or for growth organizations and…

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Tax Deductible Meals

After the tax law change in December of 2017, I think the questions that have been on everyone’s mind are, “At what point would a meal expense be considered an entertainment expense? And is it possible that under this new law that we might lose deductiblity of some business meals because they might be considered…

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What is Partnership Taxable Income?

Partnerships or LLCs taxed as partnerships, don’t pay federal income tax.  Instead we say they “flow through,” the income to their owners.  So what do we mean, when we use the phrase, “Partnership Taxable Income?”  There is a statutory definition to this phrase, but that definition is generally not what we are talking about.  I…

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Old trick, new rule – The end of Bottom Dollar Guarantee

Tax basis is important for partners in a partnership because: It determines if a distribution is taxable It determines if there is a gain on selling your partnership interest It determines if a partner can deduct “flow-through” losses For all of the above reasons, partners would generally prefer to have a higher tax basis in…

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Don’t let your foreign sub invest in US property

…that is, unless you don’t mind picking up US taxable income that may otherwise be deferred. If you have a Controlled Foreign Corporation (CFC), then you may be benefiting from some income deferral.  Generally the income earned by a CFC is not taxable in the US until it is paid to the US owner as…

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