Reporting contingent liabilities
Posted February 1, 2020 / No comments
Contingent liabilities reflect amounts that your business might owe if a specific “triggering” event happens in the future. Sometimes companies are unclear when they’re required to report a contingent liability on their financial statements under U.S. Generally Accepted Accounting Principles (GAAP). Here are the basics. What are contingent liabilities? Operating a business comes with a
Read MoreAnswers to your questions about 2020 individual tax limits
Posted January 28, 2020 / No comments
Right now, you may be more concerned about your 2019 tax bill than you are about your 2020 tax situation. That’s understandable because your 2019 individual tax return is due to be filed in less than three months. However, it’s a good idea to familiarize yourself with tax-related amounts that may have changed for 2020.
Read MoreNumerous tax limits affecting businesses have increased for 2020
Posted January 27, 2020 / No comments
An array of tax-related limits that affect businesses are annually indexed for inflation, and many have increased for 2020. Here are some that may be important to you and your business. Social Security tax The amount of employees’ earnings that are subject to Social Security tax is capped for 2020 at $137,700 (up from $132,900
Read MoreThe SECURE Act changes the rules for employers on retirement plans
Posted January 27, 2020 / No comments
The Setting Every Community Up for Retirement Enhancement (SECURE) Act is the first significant retirement-related legislation in more than a dozen years. It brings many changes that affect employers of all sizes, including some that could be particularly beneficial for smaller employers that sponsor retirement plans. Some of the changes, however, may increase the burden
Read More2020 tax calendar
Posted January 23, 2020 / No comments
To help you make sure you don’t miss any important 2020 deadlines, we’ve provided this summary of when various tax-related forms, payments and other actions are due. Please review the calendar and let us know if you have any questions about the deadlines or would like assistance in meeting them. Date Deadline for January 31
Read MoreCents-per-mile rate for business miles decreases slightly for 2020
Posted January 21, 2020 / No comments
This year, the optional standard mileage rate used to calculate the deductible costs of operating an automobile for business decreased by one-half cent, to 57.5 cents per mile. As a result, you might claim a lower deduction for vehicle-related expense for 2020 than you can for 2019. Calculating your deduction Businesses can generally deduct the
Read MoreCan you deduct charitable gifts on your tax return?
Posted January 21, 2020 / No comments
Many taxpayers make charitable gifts — because they’re generous and they want to save money on their federal tax bills. But with the tax law changes that went into effect a couple years ago and the many rules that apply to charitable deductions, you may no longer get a tax break for your generosity. Are
Read MoreCannabis Tax Revised
Posted January 18, 2020 / No comments
The imposition date of the local cannabis tax has been revised. The Illinois Dept. of Revenue (IDOR) is informing municipalities and counties that they may begin imposing the local cannabis retailers’ occupation tax beginning July 1, 2020, instead of Sept. 1, 2020, as long as a proper ordinance is filed with the IDOR on or
Read MoreWhat are the responsibilities of an audit committee?
Posted January 17, 2020 / No comments
Before you jump headfirst into the year-end financial reporting process, review the role independent audit committees play in providing investors and markets with high-quality, reliable financial information. Recent SEC statement Under Securities and Exchange Commission (SEC) regulations, all public companies must have an independent audit committee or have the full board of directors act as
Read MoreThe U.S. Department of Labor finalizes the new overtime rule
Posted January 15, 2020 / No comments
The U.S. Department of Labor (DOL) has released the finalized rule on overtime exemptions for white-collar workers under the Fair Labor Standards Act. The rule updates the standard salary levels for the first time since 2004. While it is expected to expand the pool of nonexempt workers by more than 1 million, it’s also more
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