Archives for TCJA

CA Governor Signed Law to Conform to Federal Tax Law Changes

July 11, 2019 | by | Comments Off on CA Governor Signed Law to Conform to Federal Tax Law Changes

The California governor signed law AB 91, also known as the “Loophole Closure and Small Business and Working Families Tax Relief Act of 2019” which partially conforms to certain provisions of the Federal Tax Cuts and Jobs Act, some of the significant items are as follows: Small business accounting method reform and simplification Allow businesses with average gross receipts less than $25 million to adopt the cash method of accounting Net operating losses Only allow net operating loss carryforwards The new California law does not conform to: Opportunity zone gain deferrals and capital gain exclusions Fringe benefit federal deduction limitations
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Categories: Industry News and Newsletter and Updates.
Tags: ab 91, accountant, accountants, accounting, benefits, california, capital gain, cash methods, certified public accountants, cpa, cpa firm, deductions, gross receipts, law, Loophole Closure and Small Business and Working Families Tax Relief Act of 2019, nol, oc, opportunity zone, orange county, southern california, tax, tax firm, tax law, taxation, and TCJA.

Problems Faced Between You and Your Current CPA This Past Tax Season

May 1, 2019 | by | Comments Off on Problems Faced Between You and Your Current CPA This Past Tax Season

Once the corporate, individual and foundation tax reporting season is complete, there’s always an opportunity to evaluate and reassess the taxpayer’s level of satisfaction with their CPA relationship. Lack of communication, unwanted tax return extensions, incorrectly prepared Schedule K-1’s, and inability to accurately apply the qualified TCJA reform benefits  are just a few of the many frustrations that may have been experienced this past tax season. Situations can arise in a taxpayer-CPA relationship which makes a taxpayer to question whether or not their current accounting firm is the right fit for them.  Small to mid sized closely held companies and
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Categories: Newsletter and Updates.
Tags: accountant, accountants, accounting, audit, business, california, certified public accountants, company, cpa, erisa, estates, estates and trusts, irvine, issues, orange county, plan, problems, small business, southern california, tax, tax season, taxation, TCJA, trusts, and wfy.

New International Tax Laws Now in Effect Under TCJA

January 25, 2019 | by | Comments Off on New International Tax Laws Now in Effect Under TCJA

Under the new tax changes for The Tax Cuts and Job Act (TJCA) there were several new provisions that impact US companies performing business internationally.  Below are few selected key provisions. Under the Foreign Derived Intangible Income, or FDII, a deduction is created for certain foreign income earned by U.S. companies. This only applies to U.S. C-corporations with either a U.S. or foreign parent with an incentive to use U.S. workers.  In result, this creates a preferential rate of 13.125% on qualifying foreign income, or QFI.  QFI includes income derived from sale of property to foreign sources and, also, includes
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Categories: Industry News and Newsletter and Updates.
Tags: accountants, accounting, business, certified public accountant, corporation, cpa, fdii, foreign, foreign derived intangible income, gilti, global intangible low-taxed income, international, international business, international tax, profit, tax, tax firm, taxation, TCJA, territorial tax system, wfy, wirght ford young & co., and wright ford young.

Making Large Gifts Now Won’t Harm Estates After 2025

November 29, 2018 | by | Comments Off on Making Large Gifts Now Won’t Harm Estates After 2025

On November 20th, the IRS announced individuals taking advantage of the increased gift and estate tax exclusion amounts in effect from 2018 to 2025 will not be adversely impacted after 2025 when the exclusion amount is scheduled to drop to levels before 2018. The Treasury Department and the IRS issued proposed regulations which implement changes made by the 2017 Tax Cuts and Jobs Act (TCJA).  As a result, individuals planning to make large gifts between 2018 and 2025 can do so without concern that they will lose the tax benefit of the higher exclusion level once it decreases after 2025.
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Categories: Industry News and Newsletter and Updates.
Tags: accountant, accountants, accounting, audit, business, ca, california, certified public accountants, cpa, cpa firm, deduction, estate, estate and trusts, estates, exclusion, firm, IRS, tax, tax firm, tax reform, taxation, taxes, TCJA, trusts, wfy, wright ford young, and wright ford young & co.

How to Co-ordinate Cost Segregation with Like-kind Exchange

February 6, 2018 | by | Comments Off on How to Co-ordinate Cost Segregation with Like-kind Exchange

The Tax Cuts and Jobs Act (TCJA) was signed by the President on December 22, 2017. The TCJA is the most significant overhaul of Internal Revenue Tax code since the 1986 Tax Act under President Reagan. The Committee Report has over a thousand pages of modifications to many areas of the tax code. One piece of the new legislation (that concern most real estate investors) involves changes to the like-kind exchange rules. When certain conditions are met, no gain or loss is recognized when a taxpayer exchanges property of like-kind (used in a trade or business or for investment purposes).
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Categories: Industry News and Newsletter and Updates.
Tags: accountants, accounting, cost, exchange, federal, income, law, segregation, state, tax, tax bill, taxation, TCJA, wfy, and wright ford young.