Blog and Insights

Entertainment and Travel Expenses

Proposed Regs Address Deductibility of Entertainment and Food or Beverage Expenses The IRS issued proposed regulations which (1) address the elimination of the deduction under Code Sec. 274 for expenditures...
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Qualified Business Income

Section 199A Qualified Business Income Deduction The Code Sec. 199A qualified business income (QBI) deduction is another potentially big deduction for clients with a qualified trade or business. The deduction is available...
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2019-Last Minute Tax Planning

IntroductionAs the year winds to a close, it’s time to start thinking of any last-minute strategies that could benefit clients. While there was no new tax legislation of note this...
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Casualty Loss and Flood Damage

No Casualty Loss Deduction for Stigmatization Resulting from Flood Damage The Tax Court held that a taxpayer was not entitled to a casualty loss deduction under Code Sec. 165 for...
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IRS Offers Bonus Depreciation Relief

Under the Tax Cut and Jobs Act, bonus depreciation was increased from 50 to 100 percent for property acquired after September 27, 2017. Unfortunately, the IRS did not provide explanation...
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No “Away from Home” Travel Deductions Allowed for Contract Employee

The Tax Court held that a taxpayer who worked at various locations in the United States during 2014 and 2015 as a contract employee was not entitled to unreimbursed employee...
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Changes to Luxury Autos: New Depreciation Schedule and Lease Inclusion

IRS Provides Luxury Auto Depreciation Limits and Lease Inclusion Amounts for Autos Placed in Service in 2019 The IRS issued its annual guidance providing (1) tables of limitations on depreciation...
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CPEOs Cannot Treat Self-Employed Individuals and Partners as Employees

CPEOs Can’t Be Used to Transform Self-employed Individuals and Partners into Employees The Chief Counsel’s Office advised that payments made to an individual by a CPEO for services the individual’s...
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Penalty Relief for Underpayment of 2018 Estimated Taxes

The IRS modified previous guidance, which had waived the penalty under Code Sec. 6654 for the underpayment of 2018 estimated individual income tax. Notice 2019-25 supersedes Notice 2019-11and (1) reduces the percentage threshold for penalty...
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