Filing a joint tax return for the year of a spouse’s death can be beneficial
When a person dies, his or her personal representative (called an executor in some states) is responsible for filing an income tax return for the year of death. In some cases, filing jointly can provide tax savings, such as from a lower tax rate, larger tax credits and higher IRA contribution limits. Contact the CPAs and tax advisors at SEK for more information.
Fundamental differences between nonprofit and for-profit accounting
Your not-for-profit’s new board members and staffers may not necessarily know the differences between for-profit and nonprofit accounting systems, particularly if they come from a corporate background. Contact the advisors at SEK for help explaining nonprofit accounting concepts to your stakeholders.
Are you liable for two additional taxes on your income?
High-income taxpayers may face two extra taxes: the 3.8% net investment income tax (NIIT) and a 0.9% additional Medicare tax. Income subject to the NIIT includes interest, dividends, annuities, royalties, rents, passive business income, and net gains from property sales. Wage income and income from an active trade or business aren’t included. Contact the CPAs and tax advisors at SEK to discuss extra taxes and how their impact may be reduced.
Navigating tax complexities: Craft partnership agreements and LLC operating agreements with precision
Often multi-member LLCs that are treated as partnerships for tax purposes. A major reason is that these entities offer federal income tax advantages. They also must follow special, sometimes complicated federal tax rules. Contact the CPAs and business tax advisors at SEK to be involved in the creation process.
5 ways to see who owes you in QuickBooks Online
If you micromanage one thing in QuickBooks Online, let it be your accounts receivable. Here’s an overview of the tools available.
Working remotely is convenient, but it may have tax consequences
While there are lots of advantages to working remotely, it may also lead to some tax surprises, especially if a job crosses state lines. If you live in one state and work remotely for an employer in another state, you may need to file income tax returns in both states. Contact the CPAs and business tax advisors at SEK with questions about your tax situation.
Undoing an irrevocable life insurance trust is possible
An irrevocable life insurance trust (ILIT) shields life insurance proceeds from estate tax because the trust, rather than the insured, owns the policy. But what if you have an ILIT that you no longer need? Does its irrevocable nature mean you’re stuck with it forever? Not necessarily. Contact the CPAs and estate planning advisors at SEK for details.
Member of the Firm Evan Wabrick named Forty Under 40 honoree
Central Penn Business Journal has selected Evan Wabrick, CPA, MBA, Member of the Firm at SEK, CPAs & Advisors as a Forty Under 40 recipient for 2024.
Restricted gifts for your nonprofit: What to do when strings are attached
Restricted gifts to nonprofits require greater care than unrestricted ones. If a donor attaches strings to a gift, your staffers should follow procedures designed to ensure the restrictions are honored. Because of this you may need to decline some restricted gifts if they’ll be more trouble than they’re worth. Contact the CPAs and advisors at SEK to learn more.
FTC noncompete ban struck down
A federal court in Texas struck down the Federal Trade Commission’s (FTC) proposed rule banning noncompete agreements which was to go into effect on September 4, 2024.