How to prepare your nonprofit for a financial audit

April 8, 2020By Smeriglio Associates LLCNews

Outside financial audits may seem like an extravagance to not-for-profits working to contain costs and focus on their mission. But undergoing regular audits allows your organization to identify risks early and act quickly to prevent problems. Independent audits also provide valuable reassurance to donors. Fortunately, you can reduce the cost of external audits with good … Read More

GAO: Unconventional Assets Report

April 8, 2020By Smeriglio Associates LLCNews

The Government Accountability Office (GAO) has issued a report that examines the challenges associated with enforcing rules governing IRAs invested in unconventional assets. The bottom line of the report is that the IRS can do a better job informing taxpayers about noncompliance related to such assets. Unconventional IRA investments include real estate, certain precious metals, … Read More

IRS: Employer Provided Vehicle Fleet Average

April 7, 2020By Smeriglio Associates LLCNews

Do you have an employer-provided vehicle? The IRS has issued final regulations about the limitation on the fleet-average rule. The final regs concern the special valuation rules for employers and employees to use in determining the amount to include in employee’s gross income for personal use of an employer-provided vehicle. The regs adopt proposed regs, … Read More

If you’re planning to move overseas, it’s time for an estate plan review

April 6, 2020By Smeriglio Associates LLCNews

Whether you’re moving to another country for work-related reasons, retirement or simply want an opportunity to experience a new culture, it’s important to understand the potential tax and estate planning implications. If you don’t, you could be hit with some unpleasant surprises. Here are three possible pitfalls: Double taxation. If you’re a citizen of the … Read More

IRS: Health Insurance Marketplace Tax Credits

April 6, 2020By Smeriglio Associates LLCNews

Individuals who have health coverage through the Health Insurance Marketplace may qualify for premium tax credits. The marketplace estimates the available credit based on the taxpayer’s application and pays the credits directly to the health plan. The taxpayer must then file Form 8962 (Premium Tax Credit) with his or her tax return, to reconcile estimated … Read More

IRS: Farmer of Commercial Fisher

April 5, 2020By Smeriglio Associates LLCNews

Reminder: Many farmers and fishermen face a March 2 filing deadline. If you’re a farmer or work in the commercial fishing industry and you didn’t pay 2019 estimated tax by Jan. 15, your 2019 Form 1040 is due on Monday, March 2. A farmer or fisherman doesn’t have to pay estimated tax for a year … Read More

IRS: Meal & Entertainment Guidance

April 4, 2020By Smeriglio Associates LLCNews

The IRS has released proposed regulations that address the elimination of the deduction related to entertainment, amusement or recreation activities. The Tax Cuts and Jobs Act (TCJA) revised the rules for deducting expenditures for meals and entertainment, effective for amounts paid or incurred after Dec. 31, 2017. The TCJA also repealed the directly related and … Read More

Coronavirus (COVID-19): Tax relief for small businesses

April 3, 2020By Smeriglio Associates LLCNews

Businesses across the country are being affected by the coronavirus (COVID-19). Fortunately, Congress recently passed a law that provides at least some relief. In a separate development, the IRS has issued guidance allowing taxpayers to defer any amount of federal income tax payments due on April 15, 2020, until July 15, 2020, without penalties or … Read More

IRS Virtual Currency Reporting

April 3, 2020By Smeriglio Associates LLCNews

As virtual currencies like bitcoin grow in popularity, how can the IRS ensure that people are paying the related taxes? Taxpayers must report and pay taxes on income from virtual currency transactions. But according to a recent report by the Government Accountability Office (GAO), the IRS guidance for proper reporting of this income is unclear. … Read More