Publications for Federal Taxation

On June 21, the United States Supreme Court reversed a 26-year old precedent set in Quill Corp. v. North Dakota ("Quill") by holding that businesses without a physical presence in a state may be subject to sales tax as a result of making sales into the state.

Following fierce debate, extensive negotiations, and votes - then re-votes - in Congress, on December 20, 2017, the U.S. Senate and U.S. House of Representatives approved the Tax Cuts and Jobs Act (“Tax Reform”), and sent a final bill to President Trump for his signature.

Generally, an S corporation election is chosen to reduce exposure for federal self-employment tax and state entity-level tax. However, the benefits of an S corporation election can be accompanied by some unanticipated drawbacks.

This is a two-part series discussing year-end tax strategies available to reduce the tax liability of your business. This installment discusses the de minimis safe harbor election and bonus depreciation as two tax savings opportunities available in addition to Section 179.

This article is the first of a two-part series and discusses the deduction available under Code Section 179. Part 2 addresses ways the bonus depreciation rules and other farm-specific deductions can be paired with Section 179 for effective and powerful year-end tax planning. 

While there is no “magic bullet” available to fix a large anticipated tax bill, there are several strategies available to businesses and entrepreneurs to turn ordinary purchases into tax saving deductions.

A recent case decided by the United States Tax Court might help investors in limited liability partnerships (LLPs) and limited liability companies (LLCs) to deduct losses incurred by the LLPs and LLCs against income from other sources.

The year 2008 was financially turbulent. The major stock market indexes recorded a decline of over 40%.