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Are You or Someone You Love Going to College, Find Out About Tax Credits that Can Help Offset the Cost, SFS Tax and Accounting Services, College Student, Backpack, University

Are You or Someone You Love Going to College? Find Out About Tax Credits that Can Help Offset the Cost

There is no doubt that the cost of college can be high. Outside of winning the lottery or racking up student loan debt, there’s another way to help if you are footing the bill – whether it be for you, your spouse or one of your dependents. There are two tax credits that apply here: American Opportunity Credit The American Opportunity Credit gives you tax deductions of up to $2,500 for each eligible student (100% of the first $2,000 in qualified expenses [...]

Dog Days of Summer, That Means Extended Tax Deadlines are Coming, Give Yourself Time to Avoid These Common Mistakes, SFS Tax and Accounting Services, tired dog, hot dog, brick paved streets

Dog Days of Summer? That Means Extended Tax Deadlines are Coming! Give Yourself Time to Avoid These Common Mistakes

Air conditioners everywhere are feeling the strain. It’s the steamy dog days of Summer and deadlines are coming up fast. We are a little over 10 weeks to the extended deadline for 2017 individual tax returns. Businesses have until September 15th, or only about six weeks, to get their returns in. You need to give yourself plenty of time to prepare your return – or to have it prepared by a professional – as well as time to review it in detail. Mistakes [...]

Helping Students or a Nasty Surprise, Student Loan Forgiveness Can Cause a Big Tax Debt, SFS Tax, SFS Tax and Accounting, books, student hiding behind books, green shirt, black bracelets, wood table

Helping Students… Or a Nasty Surprise? Student Loan Forgiveness Can Create a Big Tax Debt

Student loan debt levels are out of control. Need proof? The class of 2017 graduated with an average of $39,400 in debt. Some graduates have balances much higher than that – up to $100,000 or more – ballooning even higher as interest continues to rack up after they graduate. Many students didn’t know what they were getting themselves into. And if parents co-sign for these loans, they can also be subject to wage garnishments and other nasty consequences. (BankRate’s “3 Terrifying Student Loan Horror [...]

Starting a New Business? 10 Things You Need to Know

To be in charge of your own destiny – that is the dream of many would-be entrepreneurs. For those trapped in an everyday open office existence – longing for a modicum of privacy, a raise, or even just flexible hours – the allure of business ownership can be strong. Workers cited the chance to be their own boss (75%), not having to answer to a boss (64%), and increased flexibility (74%) as reasons for striking out on their own in a [...]

Thinking of Renting Your Home, There are Tax Consequences, SFS Tax, SFS Tax and Accounting, Woman Thinking, Window, Urban Scene, Living Room, Sofa, Chair

Thinking of Renting Your Home? There are Tax Consequences

With the rise of Airbnb (along with hotel prices), it’s not a surprising trend. Homeowners looking to earn some extra income are renting out their homes to short-term visitors. In August 2017, Business Insider reported that Airbnb had 4 million listings. That’s more than the combined total of all top five hotel brands. At the same time that short-term rentals have exploded, long-term renting has also been on the rise. More people are choosing to rent their homes instead of owning one. The number [...]

Suing over SALT, Could we see a reversal on the State and Local Tax Deduction Cap, SFS Tax, SFS Tax and Accounting Services, law books, law libraries

Suing Over SALT: Could We See a Reversal of the SALT Deduction Cap?

On July 17, four states filed suit against the federal government over the Tax Cuts & Jobs Act (TCJA) reduction of the state and local tax deduction. The TCJA limited the deduction to $10,000 per year for all state and local property, income, or sales tax. This new cap is going to hit certain states harder than others. While New York, New Jersey, Connecticut, and Maryland brought the suit, residents of other high-tax states will also feel the pain. What’s Their Argument? The [...]

Are You a Favored Business, The New 20% Pass Through Deduction can Make a Big Difference in Your Tax Bill, SFS Tax, SFS Tax and Accounting, Ball of Money, Silhouette, Loking for Tax Favored Status

Are You a Favored Business? The New 20% Pass-Through Deduction Can Make a Big Difference in Your Tax Bill

One of the winners from the Tax Cuts and Jobs Act of 2017 are pass-through businesses… but only at certain income levels, and then for only certain types of businesses. What’s the Deal? New tax code Section 199A creates a totally uncomplicated 20% tax deduction on qualified business income if you operate a sole proprietorship, partnership, an LLC or an S corporation and you: Are married filing jointly with less than $315,000 in taxable income, or Are a single filer with less [...]

Is it a Hot Dog, a Sandwich, or a Flying Superhero, National Hot Dog Day, Taxes & Life as We Know It, SFS Tax, hot dog, superhero, guy dressed as a hot dog

Is it a Hot Dog, a Sandwich, or a Flying Superhero? National Hot Dog Day, Taxes & Life as We Know It

As we reflect on the ubiquitousness of hot dogs in American life – they are all over our sports stadiums, ensconced in our movie theatres, and popping up at food carts dotting our urban streets –  our minds (of course) turn toward taxes. It may surprise you that in New York, where I hail from, hot dogs were the subject of a heated tax debate. Hot Dog as a Sandwich Sandwiches in New York are a sales-taxable item. Therefore, if a hot [...]