Tax Planning - CAPATA CPA

Tax Strategies for Crypto-Currency (Bitcoin) in Business and Investments

March 7, 2023January 9, 2018

Crypto-currency, such as the Bitcoin, has been increasing in popularity. Crypto-currency may be used to pay for goods or services, or held for investment. This crypto-currency is a digital representation of value that functions as a medium of exchange, a unit of account, and/or a store of value. In some environments, it operates like “real” currency, but it does not have legal tender status in any jurisdiction. For federal tax … Read more

Tax Cuts and Jobs Act: Key provisions affecting individuals

March 8, 2023December 27, 2017

On December 20, Congress completed passage of the largest federal tax reform law in more than 30 years. Commonly called the “Tax Cuts and Jobs Act” (TCJA), the new law means substantial changes for individual taxpayers. The following is a brief overview of some of the most significant provisions. Except where noted, these changes are effective for tax years beginning after December 31, 2017, and before January 1, 2026. Be … Read more

2018 Tax Reform | Last-minute year-end moves in light of Tax Cuts and Jobs Act

March 8, 2023December 20, 2017

Congress is enacting the biggest tax reform law in thirty years. One that will make fundamental changes in the way you, your family and your business calculate your federal income tax bill. Also the amount of federal tax you will pay. Since most of the changes will go into effect next year, there’s still a narrow window of time before year-end to soften or avoid the impact of crackdowns. Also to best … Read more

401(k) retirement plan contribution limit increases for 2018

March 8, 2023December 20, 2017

Retirement plan contribution limits are indexed for inflation, but with inflation remaining low, most of the limits remain unchanged. Good News for Taxpayers… But one piece of good news for taxpayers who’re already maxing out their contributions. The 401(k) limit has gone up by $500. The only other limit that has increased from the 2017 level is for contributions to defined contribution plans It has gone up by $1,000. [table id=4 /] … Read more

What you need to know about year-end charitable giving in 2017

March 8, 2023December 13, 2017

Charitable giving can be a powerful tax-saving strategy: Donations to qualified charities are generally fully deductible, and you have complete control over when and how much you give. Here are some important considerations to keep in mind this year to ensure you receive the tax benefits you desire. Delivery date To be deductible on your 2017 return, a charitable donation must be made by Dec. 31, 2017. According to the … Read more

2018 Q1 tax calendar: Key deadlines for businesses and other employers

March 8, 2023December 6, 2017

Here are some of the key tax-related deadlines affecting businesses and other employers during the first quarter of 2018. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us to ensure you’re meeting all applicable deadlines and to learn more about the filing requirements. January 31 February 28 File 2017 Forms 1099-MISC with the IRS if 1) they’re not required … Read more

How to benefit from the 0% long-term capital gains rate

March 8, 2023November 29, 2017

We’re entering the giving season, and if making financial gifts to your loved ones is part of your plans — or if you’d simply like to reduce your capital gains tax — consider giving appreciated stock instead of cash this year. Doing so might allow you to eliminate all federal tax liability on the appreciation, or at least significantly reduce it. Leveraging lower rates Investors generally are subject to a … Read more

You may need to add RMDs to your year-end to-do list

March 8, 2023November 21, 2017

As the end of the year approaches, most of us have a lot of things on our to-do lists, from gift shopping to donating to our favorite charities to making New Year’s Eve plans. For taxpayers “of a certain age” with a tax-advantaged retirement account, as well as younger taxpayers who’ve inherited such an account, there may be one more thing that’s critical to check off the to-do list before … Read more

Why you may want to accelerate your property tax payment into 2017

November 14, 2017

Accelerating deductible expenses, such as property taxes on your home, into the current year typically is a good idea. Why? It will defer tax, which usually is beneficial. Prepaying property taxes may be especially beneficial this year. This is because proposed tax legislation reduces or eliminates the benefit of the property taxes deduction beginning in 2018. Proposed changes The initial version of the House tax bill would cap the property … Read more

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