Posts by Tax Department

IRS Announces Underpayment Penalty Relief

The Internal Revenue Service announced yesterday in Notice 2019-11 that it will be providing relief from the assessment of underpayment of estimated tax penalties for individuals under IRC 6654.  In the notice, the Internal Revenue Service has stated due to the effects of the Tax Cuts and Jobs Act passed in December 2017, individual taxpayers…

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IRS Guidance on the Treatment of Qualified Transportation Fringes

Employers may provide certain qualified transportation benefits to their employees without the employees being taxed on these benefits (“qualified transportation fringes”). After the changes enacted as part of tax reform, certain benefits remain nontaxable to employees, but the cost of providing these benefits is no longer deductible to the employer. These benefits are: Transportation in…

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IRS Releases Proposed Regulations and FAQ on New Business Interest Limitation

On November 26th the IRS released Proposed Regulations addressing the §163(j) business interest limitation.  This was a major provision of the TCJA.  Along with the Proposed Regulations they provided a list of FAQs explaining how the limitation works.  We will be combing through the Proposed Regulations for any new insights they provide, check back for…

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Tax Planning for 2018 & Beyond

Year-end planning for 2018 takes place against the backdrop of a new tax law – the Tax Cuts and Jobs Act – that makes major changes in the tax rules for individuals and businesses. Tax planning is now more important than ever. Below are some key strategies and items to consider. Additional information on these…

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IRS Increases Contribution Limits for Retirement Accounts

The IRS recently announced that they have increased the contribution limits for many retirement accounts for 2019.  Contribution limits for employees who participate in a 401(k), 403(b), and the Federal Government Thrift Savings Plan have increased from $18,500 to $19,000.  However, the catch-up contribution limit for employees aged 50 years or older using these accounts,…

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The Evolving Landscape of Sales and Use Tax – an Update on Wayfair

The U.S. Supreme Court’s landmark decision in South Dakota v. Wayfair, Inc. changed the rules for when states can impose sales tax collection requirements on remote sellers (see our previous post on the topic). As a result of the decision, states may now impose sales tax collection requirements on sellers who are making sales into…

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IRS Issues Guidance Clarifying Deductibility of Business Meals

Since the release of the Tax Cuts and Jobs Act in late 2017, one major point of discussion has been the deductibility of expenses for business meals. The Act amended §274, treating all entertainment expenses as non-deductible. However, the Act did not specifically clarify if certain business meals would automatically be considered entertainment expense and…

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Senate Republicans Clarify Intent of Tax Cuts and Jobs Act Provisions

On August 16, 2018, several Republican members of Congress wrote a letter to the Secretary of the Treasury and Acting Commissioner of the Internal Revenue Service to clarify Congressional intent for various provisions of the Tax Cuts and Jobs Act (TCJA).  The members wished to provide insight on Congress’ intent to aid in the issuance…

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199A Proposed Regulations Issued For Pass-Through Businesses

On August 8th the IRS issued Proposed Regulations on the Section 199A Deduction, also known as the 20% pass-through deduction.  This was arguably the most complicated piece of the Tax Reform bill signed into law in December.  Some of the major outstanding issues the Proposed Regulations were supposed to address include: Definition of section 199A…

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