-
2013 Standard Mileage Rates Up 1 Cent per Mile for Business, Medical and Moving
IRS today issued the 2013 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes. Beginning on Jan. 1, 2013, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be: 56.5 cents per mile for business…
-
Bush-era Tax Cuts to expire at end of 2012
Reduced maximum capital gains rate expires Taxation of qualified dividends at capital gain rates will not apply Accumulated Earnings Tax increases to 39.6 (that is for “C” Corporations with lots of Retained Earnings–you know who you are) Personal holding company tax rate increases to 39.6 Additionally, social security being withheld for 2012 on payroll is…
-
2012 W2 Health Care Reporting
There is a great deal of confusion on whether an employer has to include Health Insurance on the W2 of employees. You will read in many places it is mandatory. On June 28, 2012, the U.S. Supreme Court upheld the constitutionality of the Patient Protection and Affordable care Act (PPAC). As part of its primary…
-
PENALTY ABATEMENT – FTA – A VERY BIG DEAL!
If you file or pay late… and you have been compliant for the last three years (that means you filed and paid on time), there is a little known program called FTA for First-Time Abate program. You must REQUEST this relief since the program is NOT mentioned in the tax return instructions NOR on the balance due notices! There…
-
2012 SUV Depreciation
If in 2012 you purchase and put into use a$60,000 SUV with a gross vehicle weight greater than 6,000 pounds, you can expense $25,000. Then, half of thre remaining $35,000 cost ($17,500) qualifies for 50% bonus depreciation. Finally, you can deduct 20% of the $17,500 balance. Thus, the first year write off is $46,000. All…