Tax Planning

How to Make the Most of Medical Expense Deductions

Yeo & Yeo CPAs & Business Consultants

With the ever-increasing cost of health insurance and medical care, you should be vigilant in finding ways to claim tax breaks related to health care. Unfortunately, that's now harder than before because a change included in the Affordable Care Act (ACA) increased the income-based threshold for deducting itemized medical expenses. ... Learn How

'Loan Payments' Can Be Taxable Corporate Distributions to Shareholders

Yeo & Yeo CPAs & Business Consultants

There can be negative tax consequences when purported loan payments are recast as corporate distributions to shareholders. In some cases, the courts have ruled that withdrawals from two closely held corporations were constructive corporate distributions rather than loan proceeds and repayments. As such, the withdrawals triggered taxable ... Learn More

Tax-Smart Options for Your Old Retirement Plan When You Change Jobs

Yeo & Yeo CPAs & Business Consultants

There’s a lot to think about when you change jobs, and it’s easy for a 401(k) or other employer-sponsored retirement plan to get lost in the shuffle. But to keep building tax-deferred savings, it’s important to make an informed decision about your old plan. First and foremost, don’t take a lump-sum distribution from your old employer’s r... Learn More

Shareholder Loans: Courts Examine 8 Factors

Yeo & Yeo CPAs & Business Consultants

In determining if a payment to a shareholder is proceeds from a tax-free loan from a corporation to a shareholder or a tax-free repayment of a loan from the shareholder to the corporation (as opposed to a potentially taxable corporate distribution to the shareholder), courts look at whether: 1. There's a written promise to repay evidence... Read More

Documentation is the Key to Business Expense Deductions

Yeo & Yeo CPAs & Business Consultants

If you have incomplete or missing records and get audited by the IRS, your business will likely lose out on valuable deductions. Here are two recent U.S. Tax Court cases that help illustrate the rules for documenting deductions. Case 1: Insufficient records In the first case, the court found that a taxpayer with a consulting... Learn More

Tax Impact of Investor vs. Trader Status

Yeo & Yeo CPAs & Business Consultants

If you invest, whether you’re considered an investor or a trader can have a significant impact on your tax bill. Do you know the difference? Investors Most people who trade stocks are classified as investors for tax purposes. This means any net gains are treated as capital gains rather than ordinary income. That’s g... Read More

Are Frequent Flyer Miles Ever Taxable?

Yeo & Yeo CPAs & Business Consultants

If you recently redeemed frequent flyer miles to treat the family to a fun summer vacation or to take your spouse on a romantic getaway, you might assume that there are no tax implications involved. And you’re probably right — but there is a chance your miles could be taxable. Usually tax free As a general rule, miles ... Learn how.

IRS Proposes Regulations Restricting Certain Valuation Discounts Used in Gift & Estate Transfers

Yeo & Yeo CPAs & Business Consultants

On August 2, 2016, the U.S. Treasury issued proposed regulations under Internal Revenue Code Section 2704 that place new restrictions on the common practice of realizing valuation discounts on transfers of family-controlled entities. The Treasury believes these regulations are necessary to close a tax loophole in what it perceives to be an un... Determine If You Need To Act

Lost Your Tax-exempt Status? Get it Back.

Mary Krieder

For most tax-exempt organizations, Form 990, 990-EZ, 990-PF or 990-N (e-Postcard) is required to be filed each year with the Internal Revenue Service. If an organization fails to file for three consecutive years, it will automatically lose its tax-exempt status on the original filing due date of the third annual return or notice. &nbs... Learn How

Do You Qualify for a Moving Expense Deduction?

Yeo & Yeo CPAs & Business Consultants

If you answer "yes" to the questions in the below infographic, it's likely you're eligible to claim a federal income tax deduction. Contact your Yeo & Yeo accounting professional to determine how we can help you. Learn More