Estimated Tax Payments
IRS Announces the Updated 2012 Mileage Rates
The IRS released the 2012 standard mileage rates for business use of automobiles. Taxpayers driving a car, van, pickup or panel truck can use these rates to determine the deductible costs of that vehicle’s operation.
Breaking Down the Health Care Reform Law’s Impact on Mid-Market Businesses
The recent enactment of the Patient Protection and Affordable Care Act of 2010, in combination with the Health Care and Education Tax Credits Reconciliation Act of 2010 (collectively known as the “Health Care Act” or the “Act”), will significantly change the nation’s health care landscape and impact middle-market businesses in a number of ways. Since the Health Care Act requires individuals to obtain health care insurance coverage, the new law does not contain an employer mandate. However, starting in 2014, the Act does levy an additional tax on those businesses that do not offer minimum essential coverage. Under the new law, a full-time employee of a large or midsize business may be eligible to enroll in a subsidized plan using tax credit assistance or cost sharing measures. Should that same business not offer. Read More.
IRS Announces New Inflation-Adjusted Tax Limits for 2010
Every year, the IRS issues new limits for the following year that apply to retirement plan contributions. On October 15th, they announced the cost of living adjustments for 2010 that apply to all the various plans, and for the first time in memory there were virtually no changes from 2009. This also will apply to recipients of Social Security benefits. Below is a brief list of the 2010 limits, noting whether or not there will be an increase applied:
“Get Square VA” Offers Delinquent Taxpayers a Fresh Start
The Virginia Department of Taxation (the Department) announced last week the details of “Get Square VA,” the 2009 Tax Amnesty Program (the Program), established by L. 2009, S1120 (c. 611). Under the program, if an individual or business pays the full amount owed on an assessment or delinquent return, then the Department will waive all penalties and half of the interest accrued. The program begins on October 7, 2009, and lasts 60 days, ending on December 5, 2009. “The people with unpaid taxes have other problems with their credit reports, making it difficult to get mortgages, financing,” says Virginia Governor Tim Kaine . “So, the ability to clear up an unpaid tax. Read More.
Reduced Estimated Tax Payment Changes in the American Recovery and Reinvestment Act of 2009
In another change designed to leave more money in the hands of business owners, the American Recovery and Reinvestment Act of 2009 reduces required estimated tax payments for most small businesses. For qualified individuals that have income from qualified small business income, estimated tax payments for years beginning in 2009 may now be based on 90% of the individual’s prior year’s tax liability (instead of the typical 100% of prior year or 110% if prior year AGI exceeds $150,000). A qualified individual is one who had less that $500,000 of AGI on the preceding year’s tax return ($250,000 for a. Read More.