The Defense Contract Audit Agency (DCAA) is noticing many government contractors are inaccurately recording lodging and subsistence travel costs and it’s become an area of “low hanging fruit” for DCAA auditors. What are the unallowable expenses under DCAA guidelines?
Thanks to a change in the Internal Revenue Service’s (IRS) partnership audit procedure, business’ filing a partnership return may be at a greater risk for an IRS audit because of the partnership agreement itself. Under the new audit plan, effective January 1, 2018, partnerships are audited at the entity level and any tax due is to be paid by the partnership instead of the partners. This streamlines the audit process for the IRS and reduces the need to open audits for each individual partner, but it leaves the IRS expecting to have to audit a lot more returns because of filing errors.
Clergy members carry “dual tax status,” meaning they are considered “self-employed” for Social Security purposes but considered an “employee” for income tax purposes. Because of this dual status, many clergies do not file their taxes correctly and often miss-out on tax benefits. Understanding the following top ten mistakes clergy make when filing taxes will help you file correctly in the future.
With the passage of the Tax Cuts and Jobs Act, the benefits of 529 savings plans have changed for the better! The IRS code 529 was modified to specifically include “enrollment or attendance at an elementary or secondary public, private, or religious school” so now parents who have 529 plans, and whose kids are still young, don’t have to pay for the education expenses directly.
Adults caring for aging parents while raising children or supporting a grown child are often referred to as the sandwich generation. The Tax Cuts and Jobs Act changed the options available to those in the middle of the sandwich, but the good news is that there are still tax benefits available to those caring for young children, elderly parents, or other dependents.
In June 2018, Giving USA issued their annual giving report estimating charitable giving in the U.S. totaled $410 billion for 2017, an increase of 5.2 percent or $20.38 billion over the prior year. Giving by each of the four major types, Individuals, Foundations, Bequests, and Corporations, saw increases over the prior year.
Construction contractors can spend their entire career bidding work, managing projects and handling cash flow issues, while on the way to a banner year. Then [...]