Tax Warrior Chronicles

New Law Limits a Key Business Sales Tool

Posted on Wed, Jul 10, 2019

By: Dylan Haughey, CPA

 

A recent Wall Street Journal poll showed that some businesses have engaged in fewer client meals and invested in fewer entertainment events over the last year—falling some 70%.  There is a definite shift in how businesses apply resources around client acquisition, and the reason may be simpler than you think.

 

Before the Tax Cuts and Jobs Act of 2017 (TCJA), meals and entertainment expenses were 50% deductible with some limited exceptions. TCJA made major changes of which all businesses should be aware.

 

First, entertainment expenses are now entirely nondeductible.  In fact, entertainment-related meals only provide a tax benefit if both the meals and the

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The New Tax Law: 2018 Year-End Planning Tips for Businesses

Posted on Wed, Nov 28, 2018

By: Joseph Brunell, CPA

 

The Tax Cuts and Jobs Act (TCJA) was signed into law on December 22, 2017, and became effective on January 1, 2018.   For many businesses, the TCJA provides benefits such as reduced corporate tax rates, removing the corporate alternative minimum tax, and a new pass-through business income deduction.  However, many tax planning ideas go beyond the big-ticket items.  The Tax Warriors® at Drucker & Scaccetti are here to provide some of the top year-end tax planning tips.

 

Take advantage of business expensing under Section 179

 

Generally, taxpayers can elect to immediately expense up to $1 million of business tangible personal property placed into service after

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Changes in Treatment of Entertainment Expenses

Posted on Tue, Jan 30, 2018

By: Jeremy Ferman, CPA

 

You just received a great lead for a potential new business partner. You had a few positive conversations over the phone and email, and now you are looking to come to a mutually beneficial agreement to both your company and your potential new partner.  Dinner at a nice restaurant followed by a Sixers game seems like a great way to connect on a human level, talk about your respective businesses, and “seal the deal.”  Before the Tax Cuts and Jobs Act (”The Act”) was passed, business-related entertainment expenses like the picture painted here were considered true costs of furthering business development.  Now, the picture has changed.

 

Prior to the passing of the

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Details on Tax Deductions: Meals and Entertainment

Posted on Thu, Nov 15, 2012

Every now and again our clients ask us for details about tax deductions we are all familiar with, but just want to know a little more about.  We've found that knowing the "rules" can result in higher deductions, if you account for and document your files appropriately.  Higher deductions = Less Tax!

 

Today, we will address the general guidelines of how to ensure you receive the highest tax deduction allowable by law for what your business spends on meals and entertainment.  Meals and entertainment expenses require you to jump through several hoops to qualify as deductible and are subject to limitations. Nevertheless, if you pay careful attention to the rules outlined below, the expenses

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