Uncategorized - CAPATA CPA

Start now thinking about “bunching” — miscellaneous itemized deductions

March 8, 2023August 26, 2016

Start now thinking about “bunching” — miscellaneous itemized deductions Many expenses that may qualify as miscellaneous itemized deductions are deductible only to the extent they exceed, in aggregate, 2% of your adjusted gross income (AGI). Bunching these expenses into a single year may allow you to exceed this “floor.” So now is a good time to add up your potential deductions to date to see if bunching is a smart … Read more

3 methods for tax-intelligent giving: Estate Tax

March 8, 2023August 12, 2016

3 methods for tax-intelligent giving: Estate Tax Giving away assets during your life will help reduce the size of your taxable estate, which is beneficial if you have a large estate that could be subject to estate taxes. For 2016, the lifetime gift and estate tax exemption is $5.45 million (twice that for married couples with proper estate planning strategies in place). Even if your estate tax isn’t large enough … Read more

How many employees does your business employee for ACA purposes?

March 8, 2023May 24, 2016

How many employees does your business employee for ACA purposes? It seems like a simple question: How many full-time workers does your business employ? But, when it comes to the Affordable Care Act (ACA), the answer can be complicated. The number of workers you employ determines whether your organization is an applicable large employer (ALE). Just because your business isn’t an ALE one year doesn’t mean it won’t be the … Read more

Save huge on taxes signing up for Summer day camp

March 8, 2023May 17, 2016

Save huge on taxes signing up for Summer day camp Although the kids might still be in school for a few more weeks, summer day camp is rapidly approaching for many families. If yours is among them, did you know that sending your child to day camp might make you eligible for a tax credit? The power of tax credits. Day camp (but not overnight camp) is a qualified expense … Read more

Putting your home on the market? Understand the tax consequences of a sale

March 8, 2023May 10, 2016

Putting your home on the market? Understand the tax consequences of a sale As the school year draws to a close and the days lengthen, you may be one of the many homeowners who are getting ready to put their home on the market. After all, in many locales, summer is the best time of year to sell a home. But it’s important to think not only about the potential … Read more

Why it’s time to start tax planning for 2016

March 8, 2023April 20, 2016

Why it’s time to start tax planning for 2016 Now that the April 18 income tax filing deadline has passed, it may be tempting to set aside any thought of taxes until year end is approaching. But don’t succumb. For maximum tax savings, now is the time to start tax planning for 2016. More opportunities. A tremendous number of variables affect your overall tax liability for the year. Starting to … Read more

What 2015 tax records can you toss once you’ve filed your return?

March 8, 2023April 12, 2016

What 2015 tax records can you toss once you’ve filed your return? The short answer is: none. You need to hold on to all of your 2015 tax records for now. But this is a great time to take a look at your records for previous tax years and determine what you can purge. The 3-year rule At minimum, keep tax records for as long as the IRS has the … Read more

Filing for an extension isn’t without perils

March 8, 2023April 8, 2016

Filing for an extension isn’t without perils Yes, the federal income tax filing deadline is slightly later than usual this year — April 18 — but it’s now nearly upon us. So, if you haven’t filed your return yet, you may be thinking about an extension. Extension deadlines Filing for an extension allows you to delay filing your return until the applicable extension deadline: Individuals — October 17, 2016 Trusts and … Read more

Tips for deducting losses from a disaster, fire or theft

March 8, 2023March 25, 2016

Tips for deducting losses from a disaster, fire or theft If you suffer damage to your home or personal property, you may be able to deduct these “casualty” losses on your federal income tax return. A casualty is a sudden, unexpected or unusual event, such as a natural disaster (hurricane, tornado, flood, earthquake, etc.), fire, accident, theft or vandalism. A casualty loss doesn’t include losses from normal wear and tear … Read more

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