Our WFY Tax Partner, Richard Huffman, has created a 15-minute video presentation to illustrate the benefits your business may qualify for under the CARES Act. Included are the Paycheck Protection Program Loans, Employee Retention Credit and deferral and income tax benefits. Watch the video to learn which benefits apply to you. Please contact your WFY advisor to discuss how your business can benefit from these programs or you can contact us here.
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Archives for Industry News
IRS Launches Economic Impact Payment Direct Deposit Portal
Today, the IRS launched a portal specifically focusing around the Economic Impact Payment. The portal is designed for taxpayers to check the status of their stimulus payment, set up direct deposit, and more. Click here to visit the Economic Impact Payment Direct Deposit portal. When clicking the “Get My Payment” button, taxpayers will be able to: Get their payment status Confirm their payment type (direct deposit or check) Other information if needed, such as their bank account information Taxpayers who want to accelerate the process of receiving their payment must add their bank account information and provide the following information:
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Disaster Relief Payment Tax Assistance to Employees Affected by COVID-19
Richard A. Huffman, CPA, MST Tax Partner The national emergency declaration on March 13 triggered a tax benefit which allows employers to make non-taxable qualified disaster relief payments to employees for reasonable and necessary expenses resulting from the coronavirus pandemic. Reimbursable expenses excludable from employee taxable income are as follows: Unreimbursed medical expenses including co-pays, deductibles, vitamins and supplements Increased expenses associated with being quarantined at home (e.g., increased utilities and home office expenses) Home office expenses include expenses associated with setting up or maintaining a home office such as enhanced internet connections, computer monitors, laptops, printers, office supplies,
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The Senate and House Passes CARES Act of 2020
Richard A. Huffman, CPA, MST Tax Partner On March 27th, 2020, the House passed an amended version of the Senate’s Coronavirus Aid, Relief, and Economic Security (CARES) Act sending to the President to sign into law. The Act provides a wide sweeping infusion of cash into the economy helping individuals and businesses during these extraordinary times. Below is a summarized version of the Act explaining all the key details for individuals and businesses including the various loan programs. Direct financial help to individuals: Rebates of up to $1,200 for individuals and $2,400 for married couples. People with children can
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Changes with 2020 Payroll Tax and Standard Auto Mileage Rate
Bonnie Thompson Accountant Beginning January 1, 2020, the following changes go into effect for the withholding of payroll taxes and reimbursement of auto mileage: SOCIAL SECURITY The wage base for withholding social security tax has increased to $137,700 The social security tax rate will be 6.2% for both employers and employees for a maximum expense of $8537.40 For Medicare, the rate is still 1.45% each for employers and employees with no limit this year. Continuing in 2020 employees earning in excess of $200,000 will be subject to a mandatory additional 0.9% Medicare tax withholding regardless of their individual tax
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CA Governor Signed Law to Conform to Federal Tax Law Changes
The California governor signed law AB 91, also known as the “Loophole Closure and Small Business and Working Families Tax Relief Act of 2019” which partially conforms to certain provisions of the Federal Tax Cuts and Jobs Act, some of the significant items are as follows: Small business accounting method reform and simplification Allow businesses with average gross receipts less than $25 million to adopt the cash method of accounting Net operating losses Only allow net operating loss carryforwards The new California law does not conform to: Opportunity zone gain deferrals and capital gain exclusions Fringe benefit federal deduction limitations
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Industry News and Newsletter and Updates.
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ab 91, accountant, accountants, accounting, benefits, california, capital gain, cash methods, certified public accountants, cpa, cpa firm, deductions, gross receipts, law, Loophole Closure and Small Business and Working Families Tax Relief Act of 2019, nol, oc, opportunity zone, orange county, southern california, tax, tax firm, tax law, taxation, and TCJA.
Cyndi LeBerthon Appointed Chair of CalCPA Peer Review Committee
Wright Ford Young & Co.’s Audit Partner, Cyndi LeBerthon, has been appointed Chair of the CalCPA Peer Review Committee for the term 2019 through 2021. This committee of 20 members is responsible for overseeing all peer reviews of CPA firms in California, Arizona and Alaska administered by CalCPA. The peer review committee evaluates the results of the peer reviews, determines the need for follow up remedial or corrective actions, and oversees the performance of AICPA qualified peer reviewers in California, Arizona and Alaska. These measures taken ensure compliance with the AICPA Peer Review Program. Cyndi has served on the peer review committee since
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WFY Hosts MGI North America West Coast Area Meeting
On January 4th, Wright Ford Young & Co. hosted the MGI North America West Coast Area Meeting at our offices in Irvine, CA. Joe Tarasco, Regional Director, and Nancy Damato, Director of Marketing, starting the meeting off by talking about key points such as MGI North America new member recruiting initiatives and activities, marketing assessment calls/web meetings with MGI North America members, a guide about foreign companies doing business in United States, and upcoming conferences. The meeting continued with discussions concentrating on MGI firm collaboration and practice management updates along with topics including business development, technical and niche areas, succession
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Rental Real Estate Owners-Guidance Related to the 20% Pass-through Deduction
On January 18, 2019, the IRS issued a notice providing “safe harbor” conditions under which rental real estate activities will be treated as a trade or business for purposes of the IRC Section 199A deduction. To qualify for the safe harbor: Separate Books and records must be maintained for each rental real estate enterprise. At least 250 hours of rental services must be performed by the taxpayer and/or workers for the taxpayer during the tax year for each rental real estate enterprise. To clarify, a real estate enterprise may be one rental or multiple rentals. Commercial and residential rentals cannot
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New International Tax Laws Now in Effect Under TCJA
Under the new tax changes for The Tax Cuts and Job Act (TJCA) there were several new provisions that impact US companies performing business internationally. Below are few selected key provisions. Under the Foreign Derived Intangible Income, or FDII, a deduction is created for certain foreign income earned by U.S. companies. This only applies to U.S. C-corporations with either a U.S. or foreign parent with an incentive to use U.S. workers. In result, this creates a preferential rate of 13.125% on qualifying foreign income, or QFI. QFI includes income derived from sale of property to foreign sources and, also, includes
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Industry News and Newsletter and Updates.
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accountants, accounting, business, certified public accountant, corporation, cpa, fdii, foreign, foreign derived intangible income, gilti, global intangible low-taxed income, international, international business, international tax, profit, tax, tax firm, taxation, TCJA, territorial tax system, wfy, wirght ford young & co., and wright ford young.