Find below the direct quote from the IRS Small Business and Self-Employed Website http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/S-Corporation-Compensation-and-Medical-Insurance-Issues S Corporation Compensation and Medical Insurance Issues Treating Medical Insurance Premiums as Wages Heath and accident insurance premiums paid on behalf of the greater than two percent S corporation shareholder-employee are deductible and reportable by the S corporation as wa

From The Tax Advisor : The energy efficient commercial buildings deduction under Sec. 179D provides taxpayers with an incentive to make certain commercial building property more energy efficient. The Sec. 179D deduction has been in effect since Jan. 1, 2006, and was made permanent as part of the Consolidated Appropriations Act of 2021, P.L. 116-260, enacted in December 2020. A new and enhanced version of Sec. 179D was signed into law on Aug. 16, 2022, as part of the Inf

Congrats on your purchase. For tax purposes, a commercial building is depreciable over 39 years (straight line, no acceleration) for the building portion (purchase price plus acquisition expenses, less a value allocated to the land on which it sits). At least that’s true if you don’t do anything to change it. That’s quite a difference compared to the 27 ½ years for residential property. Fortunately, you didn’t buy just a building and its land – unless perhaps you bought a sh

REMINDER: 2020 Use Tax Per the State of California If you bought tax-free items online, in another state, or in a foreign country, you may owe use tax. Use tax applies to out-of-state purchases made by: Phone Internet Mail In-person And both of the following apply: The seller does not collect California sales or use tax. You use, give away, store, or consume the item in this state. For example, you would include purchases of equipment, supplies, and books. Examples of purchas

1099 filings for 2020 are due January 31, 2021 for 1099 required vendors; such as, independent contractors, non-employees, and landlords....

Retroactive Stuff – Going Back to 2020: Recent legislation (Dec 2020, and March 2021) revised the rules for 2020. You now qualify if you...

Mini-extension for 2020 individual returns: Surely you know that the State and Feds extended the individual tax filing date to May 17 –...

Just within the last few days, the SBA has announced that all recipients of the 2020 EIDL are eligible to apply for a loan increase....

The original $10,000 grant for any business in a disaster area is back (less the $1000 per employee you already received if you applied...

Family First Coronavirus Response Act Pay leave type: Under FFCRA, there are three different types of paid leave. Employee National Paid...

First Draw and Second Draw PPP Now available from all financial institutions offering the PPP. If you qualify, today is the first day you...

We expect that all banks will issue similar instructions, so we provide this to you as an alert of what to expect from your financial...

Application Status: Right now, only community banks and small regionals can process the Second Draw PPP applications, as of 1/13/21. The...

We hope your 2021 year is starting off well. We certainly hope for an improvement over 2020. It is once again time to think about sending...

California Capital FDC <info@cacapital.org> Deadline Extended! The application period to the California Relief Grant Program has been...

Most small businesses in California can apply for grants of up to $25,000 via California’s Small Business COVID-19 Grant Program. The...

The significant difference in favor of business for Round 2 PPP is that the final legislation reduced the eligibility requirement to...

If you obtained an EIDL from the SBA, you or your corporation/LLC is required to submit documents to the SBA. The Board minutes or letter...

Congress is to vote on the new Stimulus deal and it is expected to pass the legislation within the next 2-3 days. Here are the basics:...

REMINDER: Your business tax return does NOT include, nor does it replace the requirement to file a Statement of Information/Officers with...