We are pleased to announce several recent promotions within the firm! In the Tax Advisory Services group, Chris Cook, CPA and Andrew Labosier, CPA, MAcc, MBA have been promoted to Supervisor. In the Audit & Assurance group, LeAnne Goode, MBA has been promoted to Supervisor and Rachel Bray, CPA, MBA has been promoted to Senior. In the ARSA Solutions group, Alex Marino, MAcc, Elena Miller, MBA and Caroline Rhodes have been promoted to Senior.
Tax Advisory Services
Audit & Assurance
As the year draws to a close, tax reform remains a priority of both President Trump and Congressional Republicans. With the introduction of H.R. 1, both the President and leaders in Congress have made clear their intent to enact broad individual income tax reforms. Read what the bill will impact here.
As you may be aware, major tax reform legislation may be passed this year and could mean sweeping changes to the tax code for the first time in about 30 years. Although the bill has only recently been proposed and the timing of its passage is uncertain, businesses should be aware of the bill that has been released.
The corporate rate cuts would be significant. The bill proposes a 20% corporate tax rate for most corporations with a 25% corporate tax rate for personal service corporations. The bill also significantly alters the treatment of income from passthrough entities. Businesses conducted as sole proprietorships, partnerships, or S corporations would be subject to a special passthrough maximum rate of 25% for business income. The bill includes methods to combat classification of compensation into business income. Read the full article here.
Important Dates to Keep in Mind
- 11/15/17 – 990 Extended Return due for 12/31 Year-ends (Non-Profits)
- 11/20/17 – Monthly Sales Tax Reporting Due – AL
- 12/20/17 – Monthly Sales Tax Reporting Due – AL
- 12/31/17 – Personal Property Returns Due – AL
2018 will be here before we know it and it is important to proactively plan for it! Gathering information and implementing a budget process for your company can provide goals and targets that help with growth and strategic direction. A budget provides a road map for how you intend and expect your business to perform, which then can be compared to what you actually experience during 2018. It is a useful tool for managing performance, developing a specific niche in your business, projecting net income, and tax planning and projection, to name a few. Your forward pricing budget should always be your starting point for proposal pricing and cost impact analysis.
If you need guidance or assistance in establishing your budget for 2018, please contact Brandon Smith at 256-489-7246 or Michelle Jenkins at 256-489-7143. We look forward to helping you!
There are certain taxable fringe benefits that should be added into an employee’s compensation (and therefore included on their W-2) before the end of each calendar year:
Here are some common examples:
- Personal use of a Company-owned Vehicle (required for all businesses)
- Group-term life insurance over $50,000 paid by the Company on behalf of employees (required for all businesses)
- Health Insurance Premiums for Shareholders of an S Corporation (required for S Corps only)
- Tuition reimbursement (required for all businesses – with applied threshold of $5,250)
These “W-2 add-on’s” should be included in the last paycheck dated in December 2017 (or prior).
If you have any of these add-ons and have questions or need assistance with adding to your payroll records, please feel free to call Deborah Jacobs or Caroline Rhodes at 256-533-1040. We are happy to help!