Tax Implications of Government Contract Types: Choosing the Right Fit for Your Business

government-contract-types-tax-implications

Summary of Keypoints Government contract type directly affects tax timing, reporting, and audit exposure, influencing when income is recognized, how expenses are deducted, and how closely your records are scrutinized by agencies like the IRS and DCAA. Fixed-price contracts offer revenue predictability but can accelerate taxable income, requiring careful use of percentage-of-completion revenue recognition and…

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How Work From Home Might Affect This Year’s Tax Returns

how work from home affect this years tax returns

Summary of Keypoints Work-from-home arrangements in 2020 created new tax complications because tax obligations are based on where employees physically perform their work, not where employers are headquartered, introducing uncertainty for both individuals and businesses. State tax nexus rules may trigger additional employer and employee tax obligations, as many states consider even one remote employee…

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Trade Associations, COVID-19 and the CARES Act

Read about how cares-act can help trade-associations.

Summary of Keypoints Trade associations have been significantly impacted by COVID-19, despite limited public discussion, even as these organizations play a critical role in providing advocacy, information, training, and crisis support to their members. The CARES Act excluded trade and professional associations from Paycheck Protection Program (PPP) funding, leaving them with access only to the…

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2020 Year-end Charitable Giving Tax Incentives for Corporations

2020 Year-end Charitable Giving Tax Incentives for Corporations

Summary of Keypoints The CARES Act temporarily expanded corporate charitable giving incentives for 2020, increasing the charitable deduction limit for C-corporations from 10% to 25% of taxable income and raising the limit for food inventory donations from 15% to 25%. Equity gifting remains a common year-end strategy for business owners, using the $15,000 annual gift…

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2020 Year-end Charitable Giving Tax Incentives for Individuals

Charitable giving Tax Incentives individuals 2020

Summary of Keypoints Individual charitable giving may yield greater tax benefits than corporate giving, since the top individual marginal tax rate (37%) exceeds the reduced corporate tax rate (21%) under the 2019 tax reform. The CARES Act introduced a new $300 above-the-line charitable deduction for 2020, allowing individuals who take the standard deduction to deduct…

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Tax Implications of the Cares Act

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Summary of Keypoints The presentation titled “Tax Implications of the CARES Act” took place on December 29, 2020, focusing on tax-related provisions of the CARES Act. Jim Niblock, Senior Manager of Tax Services, and Jennifer Eubanks of Eubanks Accounting & Advisory served as presenters, providing professional insight into the topic. The session was designed as…

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4 Tax Provisions CARES Put Into Place You Should Pay Attention To

CARES Act Tax Provisions

Summary of Keypoints CARES Act purpose: The CARES Act was enacted to support businesses affected by COVID-19, providing tax-related relief measures beyond stimulus checks and unemployment benefits to preserve jobs and improve cash flow. Net Operating Loss (NOL) changes: Businesses can carry back NOLs incurred between December 31, 2017 and January 1, 2021 to prior…

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GMU – Corporate Tax Implications of COVID-19

GMU Presentation - Corporate Tax Implications

Summary of Keypoints Event: Corporate Tax Implications of COVID-19 presentation hosted by George Mason University (GMU). Date and time: May 28, 2020, at 2:00 PM. Format: Moderated discussion led by Christine Landoll. Panelists: Jennifer Eubanks, Stephen Lawson, and Lina Ivanova. Focus: Examination of the effects of COVID-19 on corporate taxes, highlighting tax-related challenges and implications…

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SBA Issues New Interim Rule – Temporary Changes Impacting Self-Employed and Partnership Access to PPP Loans

Summary of Keypoints New SBA interim rule: The SBA issued temporary changes clarifying PPP loan eligibility and calculation methods for self-employed individuals, sole proprietors filing Schedule C, and partnerships. Self-employed with no employees: PPP loan amounts are based on 2019 Schedule C net profit (line 31), capped at $100,000, averaged monthly, multiplied by 2.5, with…

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IRS Extends More Tax Deadlines

Tax

Summary of Keypoints Deadline relief announcement: The IRS extended all federal tax filing and payment deadlines falling between April 1, 2020 and July 15, 2020 to July 15, 2020 for all taxpayers. Estimated tax payments included: Quarterly estimated tax payments, including those normally due on June 15, 2020, may be paid by July 15 without…

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