Taxpayers who are in business to make a profit can generally deduct related expenses. The burden of proving a profit motive is on the taxpayer. Otherwise, the IRS might deem the activity to be a hobby and deductions may be limited. One married couple reported large losses year after year on their tax returns, based […]
Read More Horses, Pecans, and Crabs — But No Profit?A major tax change is here for businesses with research and experimental (R&E) expenses. On July 4, 2025, the One Big Beautiful Bill Act (OBBBA) reinstated the immediate deduction for U.S.-based R&E expenses, reversing rules under the Tax Cuts and Jobs Act (TCJA) that required businesses to capitalize and amortize these costs over five years (15 years […]
Read More New rules could boost your R&E tax savings in 2025The IRS has released new 2025–2026 special per diem rates for ordinary and necessary business expenses incurred when traveling away from home. The guidance includes: 1) special transportation industry meals and incidental expenses (M&IE) rates, 2) the incidental expenses only deduction, and 3) a list of high-cost localities used in the high-low substantiation method. Although […]
Read More IRS Updates Per Diem Rates for Meals, Travel, and High-Cost AreasOne tax provision made permanent by the One Big Beautiful Bill Act (OBBBA) is the availability of the Low-Income Housing Tax Credit (LIHTC). According to the U.S. Dept. of Housing and Urban Development, this credit is “the most important resource for creating affordable housing in the United States today.” The OBBBA permanently increased 9% LIHTC […]
Read More Permanent Expansion of Low-Income Housing Tax Credit Under OBBBAToday, many organizations rely on cloud-based tools to store and manage data. However, the costs to set up cloud computing services can be significant, and many business owners are unsure whether the implementation costs must be immediately expensed or capitalized. Changes made in recent years provide some much-needed clarity to the rules. Advantages of cloud […]
Read More How do businesses report cloud computing implementation costs?On Sept. 22, 2025, the U.S. Treasury Dept. updated the public on its IRS IT modernization initiatives. The goals are to improve taxpayer services, enhance cybersecurity, and strengthen compliance and filing season operations. To improve taxpayer services, the IRS has contracted with Salesforce to upgrade individual and business online accounts, various services, and customer contact […]
Read More Paper’s Out, Digital’s In: IRS Takes Big Steps Toward ModernizationWhere sales tax takes the greatest toll
Read More Where sales tax takes the greatest tollThe IRS is providing tax relief to farmers and ranchers in applicable states and regions who sold or exchanged livestock because of drought conditions. Under the relief, eligible taxpayers may take more time to replace their livestock and defer tax on any gains from the forced sales or exchanges. Generally, livestock must be replaced within […]
Read More Drought-Driven Livestock Sales? IRS Offers Extended Tax DeferralAs the fall season begins, thoughts turn to year-end tax planning. An overlooked area of the tax code is the “kiddie tax.” It generally applies to most unearned income of children under age 19 and of full-time students under age 24 (unless the students provide more than half of their own support from earned income). […]
Read More Don’t Overlook the Kiddie Tax in Your Year-End Planning2026 Tax Calculator: How the One Big Beautiful Bill Act’s Tax Changes Will Affect You https://bit.ly/3VNOavi
Read More 2026 Tax Calculator: How the One Big Beautiful Bill Act’s Tax Changes Will Affect You
Our Blog 