Taxpayers attaining age 70-1/2 in 2014 should consider commencing retirement...
Taxpayers who attain age 70-1/2 in 2014 have until their required beginning date of Apr. 1, 2015, to begin making required minimum distributions (RMDs) from their IRAs. As a general rule, they also...
View ArticleHow dividing an inherited IRA before year-end can improve tax results for...
Dec. 31, 2014, is an important deadline for individuals who inherited an IRA from an IRA owner who died in 2013. Where there are multiple beneficiaries for the IRA, splitting up the account into...
View ArticleSelf-employeds should establish a retirement plan before year-end
A self-employed person who wants to contribute to a Keogh plan for 2014 must establish that plan before the end of 2014. If that is done, deductible contributions for 2014 can be made as late as the...
View ArticleWhen C corporations should defer or accelerate income
C corporations, like individuals, must also decide when and how to shift income and deductions between 2014 and 2015. C corporations will, as a general rule, benefit from the deferral of income and the...
View ArticleAvoid the personal holding company tax
If more than 50% in value of a corporation’s stock is owned directly or indirectly by not more than five individuals at any time during the last half of its tax year (the last half of 2014 for a...
View ArticleYear-end dividend payments can avoid PHC income treatment for rents
Suppose a closely held rental corporation meets the 50%-of-AOGI test but during the tax year, it also receives dividends and interest income from investments, which total more than 10% of its ordinary...
View ArticleAccrual basis corporation can take 2014 deduction for some bonuses not paid...
An accrual basis corporation can take a deduction for its current tax year for a bonus not actually paid to its employee until the following tax year if (1) the employee doesn’t own more than 50% in...
View ArticleTaking S corporation losses
A shareholder can deduct his pro-rata share of S corporation losses only to the extent of the total of his basis in (a) the S corporation stock, and (b) debt owed him by the S corporation. This...
View ArticleHandling partnership losses
A partner’s share of partnership losses is deductible only to the extent of his partnership basis as of the end of the partnership year in which the loss occurs. The amount of this basis can be...
View ArticleHow to defer income
A taxpayer who on the basis of income projections, marital status, etc., for 2014 and 2015 will be better off tax-wise by deferring income from this year to next should consider acting along the lines...
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