The U.S. corporate tax rate has historically been among the highest in the world. The DPAD (domestic production activities deduction) was created by Congress years ago to help even out the playing field between American manufacturers and their competitors operating in countries with lower tax rates. Before the Tax Jobs and Cuts Act (TCJA), C corporations  Continue Reading »

The Tax Cuts and Jobs Act (TCJA) may have interfered in some of your summer plans by scaling back or eliminating certain tax breaks. But individuals and small business owners in Maine still have lots of opportunities to save on their taxes. Check out these six ideas for this summer. Host an Employee Outing Under  Continue Reading »

Would you be interested in investing in a business that allows you to later sell your stock tax-free? It may be an option for qualified small business corporation (QSBC) stock that was acquired on or after September 28, 2010. Sales of QSBC stock may be eligible for a 100% federal income tax exclusion. That would be  Continue Reading »

Matter of Digeser v. Flach A New York statutory fair value decision involving a construction company highlighted key differences in the experts’ income-based valuations. The parties’ appraisers disagreed over the applicable earnings period, normalization for non-arm’s-length dealings between related companies, and the applicable tax rate. The court’s resolution provides insight into what arguments did and  Continue Reading »

Bitcoin has been around for almost 10 years. But the tax rules associated with “virtual currency” are constantly evolving. In 2018, tax matters will become even more complicated for because relevant provisions of the Tax Cuts and Jobs Act take effect starting in 2018. This is what you should know about the brave (relatively) new world  Continue Reading »

The Tax Cuts and Jobs Act (TCJA) introduced a flat 21% federal income tax rate for C corporations for the 2018 tax years and beyond. Previously, profitable C corporations paid up to 35%. This news has caused many business owners in Maine and elsewhere to ask: What is the best choice of entity for my start-up  Continue Reading »

The first-year depreciation deductions for vehicles used more than 50% for business purposes has been expanded by the Tax Cuts and Jobs Act (TCJA). Here’s what Maine small business owners need to know to take advantage. Depreciation Allowances for Passenger Vehicles The TCJA dramatically and permanently increases the so-called “luxury auto” depreciation allowances for new  Continue Reading »

You are not alone if you have been confused about the federal income tax rates on capital gains and dividends under the Tax Cuts and Jobs Act (TCJA). Here’s what you should know if you plan to sell long-term investments or expect to receive dividend payments from your investments. Old Rules Prior to the TCJA, individual  Continue Reading »

Does your business hold on to all of its paper records? Many individuals and businesses hold onto paper and digital records indefinitely — just in case. But it can become burdensome to securely store years of financial records. Here’s some guidance to help minimize recordkeeping overload. Business Recordkeeping Here are some best practices for records used  Continue Reading »

April 22 was Earth Day. It’s a great reminder to consider implementing changes to help reduce the amount of energy we consume. But “going green” isn’t just good for the Earth — certain energy-saving expenditures also may qualify for generous tax breaks that are good for your pocketbook, too. Here are some tax credits for  Continue Reading »