Case Study accompanies blog on “Control the timing of income and deductions to your tax advantage.” When he filed his 2019 tax return, he was surprised to find that he could not longer deduct all of his state and local income and property taxes. Why? Last year, Justin earned a promotion along with a significant…
The following information accompanies the “Control the timing of income and deductions to your tax advantage” blog post. To help the self-employed — and employers — during the COVID-19 crisis, the CARES Act allows the payment of the employer share (6.2% of wages) of the Social Security payroll tax to be deferred. Taxpayers can pay…
CASE STUDY: Stock-Based Compensation This case study accompanies the blog, “Smart Tax Planning for your Executive Compensation Package is Critical.” Mario was about to receive some stock-based compensation from his employer, so he contacted his tax advisor to find out what the tax consequences would be. His advisor explained that the tax treatment would depend…
This information accompanies the recent blog, “Uncertainty further complicates tax planning for incentives.” Type of Gain / Rate* * In addition, the 3.8% net investment income tax (NIIT) applies to net investment income to the extent that modified adjusted gross income (MAGI) exceeds $200,000 (singles and heads of households), $250,000 (married filing jointly) or $125,000…
Tax treatment for investments varies dramatically based on factors such as type of investment, type of income it produces, how long you’ve held it and whether any special limitations or breaks apply. On top of that, economic uncertainty has made tax planning for investments especially challenging this year. And there are many additional factors to…