Real Estate & Construction

Tax Act Extends Employment Tax Holiday Through 2012

On February 22nd, 2012, by Mike Hawkins

On February 17, 2012, Congress passed The Middle Class Tax Relief and Job Creation Act of 2012, sending the Act to President Obama to be signed into law. Once signed, the Act will extend the employee-side payroll tax cut (from 6.2% to 4.2%) through the end of 2012. The Act will not change the tax..

President’s Budget Proposal Provides Insight

On February 20th, 2012, by Brian Stautberg

Last week President Obama introduced his fiscal year 2013 budget proposal. While this budget is unlikely to pass in its current form, the proposals give insight into what some government officials are considering for future tax policy. We have reviewed the President’s proposal and put together a brief summary of some key areas that could..

Worker Classification

On February 8th, 2012, by David Lingler

Worker Classification Issues are a Top Priority on Washington’s Agenda. Since independent contractor classifications result in lower federal employment taxes for businesses, a worker’s classification has always been a contested issue between the government and business sectors. This is complicated by the vague classification process of a “facts-and-circumstances test”, based upon whether or not the business..

What is Enterprise Value?

On January 22nd, 2012, by Jeff Stautberg

Enterprise value is the theoretical price an acquirer might pay for another firm. In essence, “step into the current owner’s shoes”. Think of Enterprise Value as the potential takeover price. In the event of a buyout, an acquirer would take on the company’s debt, but would pocket its cash. A simpler calculation for enterprise value..

Fundamentals for Increasing the Value of Your Business

On January 13th, 2012, by David Lingler

How is it possible that a web based technology company with no profit be worth millions more than a stable service or manufacturing business with several years of revenues and profits? The answer to this “unfairness” can be found in the fundamentals of business valuations. All business valuations attempt to put a dollar value on..

Payroll Tax Cut Temporarily Extended

On December 27th, 2011, by Brian Stautberg

On December 23rd, President Obama signed The Temporary Payroll Tax Cut Continuation Act (the “Act”) of 2011 into law. The Act extends the current reduction of the Social Security withholding rate from 6.2% to 4.2% through February 29th, 2012. High wage earners (those who receive more than $18,350 in wages during the two-month period) will..

Employee Gifts and Awards

On December 13th, 2011, by Michelle Grant

What to know at year end…. As the year comes to a close, many businesses provide a Holiday gift to their employee’s, either in cash or in merchandise. Take note, when providing these gifts they may be taxable. Below is a guide for those Holiday gifts: If the Holiday gift is monetary, including gift certificates..

IRS Releases 2012 Optional Standard Mileage Rates

On December 12th, 2011, by Janie Evans

The IRS has released the 2012 optional standard mileage rates that employees, self-employed individuals, and other taxpayers can use to compute deductible costs of operating automobiles (including vans, pickups and panel trucks) for business, medical, moving and charitable purposes. The 2012 standard mileage rate remains at 55.5 cents per mile for business uses, is reduced..

Opportune Time for Estate and Gift Planning

On December 6th, 2011, by David Lingler

The federal estate, gift and generation-skipping transfer (GST) tax rules approved by Congress in December, 2010 are in effect during 2011 and 2012 only. The Treasury Department announced in February 2011 that President Obama’s 2012 budget proposals presume several important changes in the rules that will take effect on January 1, 2013. In “General Explanations..

Three Percent Withholding and Job Creation Act

On December 6th, 2011, by Brian Stautberg

President Obama Signs Act Eliminating Three Percent Withholding Requirement and Enhancing Incentives for Hiring Veterans On November 21, 2011, President Obama signed the Three Percent Withholding and Job Creation Act (Act) into law. The law repeals a requirement that 3 percent of payments be withheld by federal or state governments to any person for services..