Category: General

You may have heard that there are new rules on estate taxes as a result of the new tax law enacted in early 2013. Effective Jan. 1, 2013, the top tax rate on estates rose to 40% from 35%, but no tax will be imposed on the first $5.25 million of an estate (adjusted for … Continued

Do you work at home or have a home-based business? If so, you should be aware that the IRS has created a simpler option for calculating the deduction for the business use of your home. The new option makes recordkeeping easier because, instead of maintaining records of specific home office expenses, you can use a … Continued

The phone rings. The caller says they are from the Internal Revenue Service and they claim you owe taxes and must submit payment through a wire transfer or prepaid debit card. Or you receive an email supposedly from the IRS asking you to share your bank account, credit card or Social Security number. What should … Continued

Many people make donations to charities whose work they support, but if you are planning to take a tax deduction for your gift, you must have the proper paperwork. Assembling the right documentation can also be tricky because the requirements vary based on whether the donation is cash and on the value of your gift. … Continued

You may find a little less in your tax refund this year if you are subject to the new 3.8% net investment income tax that went into effect at the beginning of 2013. It applies to married couples filing jointly with modified adjusted gross income (MAGI) over $250,000 and single people with MAGI above $200,000 … Continued

Do you take your cost basis into account when it’s time to sell an asset or investment? When you sell an asset or investment, your cost basis—or the amount you originally paid for it—is subtracted from the sales price to determine your capital gain on the sale. If your latest tax return included some surprises … Continued

How should you spend your tax refund? Figuring out the answer is a nice problem to have and one that’s worth consideration. One of the best ways you can use an unexpected windfall like a tax refund is to pay down high-interest debt, such as credit card balances, because it will immediately lower your interest … Continued

Making prudent and timely business decisions starts with accurate and up-to-date bookkeeping. As a business owner, it’s essential to read and understand your financial statements on a periodic basis throughout the year. Not only will this help you determine what is working and what is not working, it will provide the foundation for solid and … Continued

If you received an undergraduate degree from an accredited Maine college or university after 2007 and subsequently live, work, and pay taxes in Maine you are VERY LIKELY eligible for the Education Opportunity Tax Credit. This credit can be thousands of dollars and many young people are missing out on this simply because they do … Continued

A little known fact is that dental offices can qualify for the domestic production activity deduction if they are producing crowns using equipment such as a CEREC or other CAD/CAM technology. If you’re a dentist and you’re not sure if you qualify for this deduction, contact us. We can evaluate your processes to determine if … Continued