You may have heard about a proposal in Washington to cut the taxes paid on investments by indexing capital gains to inflation. Under the proposal, the purchase price of assets would be adjusted so that no tax is paid on the appreciation due to inflation. While the fate of such a proposal is unknown, the
Ellenbogen
Jul 18, 2019
Jul 17, 2019
The greatest corporate espionage risk is internal
- By Ellenbogen
- Business, Fraud
- 0 Comments
Companies usually take steps to prevent outsiders from infiltrating their organizations and stealing trade secrets. Yet in most cases, the greater danger is internal. Employees may take sensitive information when they leave, or sell it to rivals while still employed. Stop this theft by identifying sensitive information to be protected and where it’s vulnerable. Then
Jul 16, 2019
Assets with sentimental value require extra planning
- By Ellenbogen
- Estate
- 0 Comments
When planning your estate, you’re likely to focus on major assets, such as real estate, investments and retirement plans. But it’s also important to “sweat the small stuff” (your tangible personal property). Examples include jewelry, antiques and photographs. Your heirs may squabble over these items, which can lead to emotionally charged disputes and even litigation.
Jul 11, 2019
Fraud guides may help criminals hack your data
- By Ellenbogen
- Fraud
- 0 Comments
The “dark web” has long provided refuge to criminals. Now it’s home to educational fraud guides that provide would-be hackers with detailed instructions on how to breach network security systems with technical and social engineering tools. The guides cover everything from account takeovers to phishing to counterfeit documents to stolen credit cards. An analysis of
Jul 10, 2019
Bartering: A taxable transaction even if your business exchanges no cash
- By Ellenbogen
- Business, Taxes
- 0 Comments
Small businesses may find it beneficial to barter for goods and services instead of paying cash for them. If your business engages in bartering, be aware that the fair market value of goods that you receive in bartering is taxable income. And if you exchange services with another business, the transaction results in taxable income
Jul 9, 2019
What to do if your nonprofit receives an IRS audit letter
- By Ellenbogen
- Non-Profit
- 0 Comments
The IRS’s staffing shortages have been well publicized. But it’s a mistake to assume that the agency has stopped scrutinizing not-for-profits. Don’t panic if you receive an audit letter. The letter will inform about whether the IRS is conducting an in-person, field audit or a correspondence audit. This second type simply requires you to send
Jul 5, 2019
Employers: Be aware (or beware) of a harsh payroll tax penalty
- By Ellenbogen
- Business, Taxes
- 0 Comments
If payroll taxes withheld from employees’ paychecks aren’t remitted to the IRS, a severe tax penalty can be personally imposed on “responsible” individuals. The IRS can assess a penalty of 100% of the unpaid tax amount on shareholders, owners, directors, officers, employees and others. The Trust Fund Recovery Penalty (or “100% Penalty”) is assessed when
Jul 3, 2019
Jul 2, 2019
If your kids are off to day camp, you may be eligible for a tax break
- By Ellenbogen
- Taxes
- 0 Comments
Now that most schools are out for the summer, you might be sending your children to day camp. The good news: You might be eligible for a tax break for the cost. Day camp is a qualified expense under the child and dependent care credit, which is worth 20% to 35% of qualifying expenses, up
Jun 27, 2019
Don’t mistake kickbacks for gifts
- By Ellenbogen
- Business, Fraud
- 0 Comments
Kickbacks return a portion of the money exchanged in a business transaction as compensation for favorable treatment. They’re illegal, but you may have trouble identifying kickbacks because they’re often disguised as gifts, travel or entertainment. The main difference is the gift-giver’s intent. Your employees shouldn’t accept gifts offered to improperly influence business decisions or that