Myths Keep Employees From Serving
Most businesses want their employees to serve the customers and clients. But certain myths can keep businesses and employers from empowering their employees to follow through and actually make customers and clients exceptionally happy. “Breakaway customer service is service so exceptional it moves you well ahead of the pack,” said John Tschohl, founder of the Service…
Could Your Organization Fall Victim to Embezzlement?
Embezzlement by employees can take many forms — from the simple use of a company credit card to buy inexpensive personal items to complex check forging schemes that result in massive losses. Take a look at these court cases, which illustrate some of the ways not-for-profit organizations can be defrauded: A former chief financial officer…
Hockey Team’s Meals at Away Games Were a De Minimis Fringe Benefit
The U.S. Tax Court recently ruled that the Boston Bruins hockey team’s pregame meals to players and personnel at out-of-town hotels qualified as a de minimis fringe benefit under the Internal Revenue Code. Therefore, 100% of the cost of those meals could be deducted — it wasn’t subject to the 50% tax code limitation. Some…
Is Your Documentation Enough to Pass a DCAA Incurred Cost Audit?
Is your documentation adequate to pass a Defense Contract Audit Agency (DCAA) incurred cost audit? Flexibly priced contracts contain audit and post-incurrence audit and acceptance requirements for some or all costs. Many contractors have been surprised to find out that the documentation they have on hand to support incurred costs is not considered adequate to…
Audits of Your Business Systems
Are you prepared for audits of your business systems? If you are not ready when notified of an impending business system audit, you will not have time to get ready. Many U.S. government contractors are expected to comply with contractual requirements for maintenance of adequate business systems. The Federal Acquisition Regulation (FAR) and Defense Federal…
IRS: Swap Your Vacation Home in Tax-Deferred Exchange
Many taxpayers own vacation homes that they’ve rented out and also used as their personal residences. Can one of these homes be traded for another vacation home in a tax-deferred Section 1031 exchange? According to the IRS, the answer is “yes” under the right circumstances. The IRS has even issued guidelines for how to do…
Can a Modest-Income Elderly Person Stop Filing Tax Returns?
As the Old Saying Goes: Better Safe than Sorry. As you know, we spend a lot of time in this e-newsletter talking about tax return filing responsibilities. But not everyone is required to file. If a person’s income falls below prescribed levels, he or she may not have to bother. However, as we’ll explain, it…
Know the Rules for Amending a Federal Income Tax Return
What should you do if you discover an error on a previously filed individual tax return? For example, you might have missed some tax-saving deductions and credits on your 2016 personal federal income tax return that you filed in February. Or you might have recently discovered that you failed to claim some legitimate tax breaks…
Structure Alimony Payments to Be Tax Deductible
Payments to an ex-spouse are often part of a divorce. If you find yourself in that boat, consider treating some or all of the payments as tax-deductible alimony. The drawback is that your ex must report the alimony as taxable income. The issue: Specific tax-law requirements must be met for payments to qualify as deductible alimony….
Business Lawsuits: Where Is Your State Ranked?
Multi-million dollar damage awards against businesses are not unusual in jury cases around the country. But there are states where courts are more business-friendly, including Delaware, Vermont and Nebraska, according to a survey done by the U.S. Chamber of Commerce. The Chamber’s Institute for Legal Reform (ILR) surveyed 1,203 general in-house counsel and other senior…