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American
Recovery and Reinvestment Act of 2009 (ARRA) 
2008
- 2009 Tax Planning Guide
Wage
Compensation for S Corporation Officers
Corporate officers
are specifically included within the definition of
employee for FICA (Federal Insurance Contributions
Act), FUTA (Federal Unemployment Tax Act) and federal
income tax withholding under the Internal Revenue
Code. When corporate officers perform services for
the corporation, and receive or are entitled to receive
payments, their compensation is generally considered
wages.
more
Asset Titling May Be Vital for You and Your Heirs
In your financial planning, you may not pay much attention
to how you hold your assets. However, the way that
assets are titled can be of critical importance. Missteps
can have severe consequences.
more
Trusts May Trim Taxes…or They May Not
When you create a trust to hold assets, will you
or your heirs enjoy tax benefits? Perhaps. Some types
of trusts are designed to reduce gift tax or move
assets from your taxable estate. Not every trust is
designed to be a tax shelter, though. Moreover, even
when tax breaks are available, you need to avoid making
mistakes.
more
Maximize Tax Benefits for Business-Car Use
If
you're an employee, you may drive a car for business.
If you're an employer, some of your employees are
likely to do some business driving. Now that gas prices
are well above $3 per gallon, such driving can be
extremely expensive. To help trim your costs, you
should know the tax rules.
more
Age-Weighted Profit-Sharing Plans: Elder Shelter
If you run a small company or professional practice
and you're considerably older than your employees,
an age-weighted profit-sharing plan may be appealing.
Most of the contributions can go into your own retirement
account and the accounts of co-owners who are starting
to show a few gray hairs.
more
One Foot in the Office, One Foot on the Beach
People near retirement age may find that they
may not want to stop working altogether. Knowing the
Social Security payment rules will help you make the
best choices about how much you'd like to work and
how much you should earn. New limits, effective in
2008, may make part-time working more worthwhile.
more
New Law Eases Some Mortgage Woes
After years of soaring home prices, housing values
are falling in many areas of the U.S. In some cases,
homeowners are selling for less than their mortgage
balance or even walking away from highly leveraged
houses. Such actions can have serious and unexpected
tax consequences. However, temporary relief is available,
thanks to the Mortgage Forgiveness Debt Relief Act
of 2007, which President Bush signed into law at year's
end.
more
More Year-End Tax Changes
Besides cancellation-of-debt relief, the Mortgage
Forgiveness Debt Relief Act of 2007 has other provisions
that might prove helpful to you.
more
When
it Pays for Married Couples to Split Gifts
Amid political uncertainty, you can't know whether
the federal estate tax will be eased or even repealed
altogether. In this situation, it makes sense to reduce
your taxable estate.
more
Make
the Most of Low-Interest Loans from Your Company
If
you're a business owner, your company may be a valuable
source of cash. Borrowing from your firm may be more
appealing than applying for a bank loan or using credit
cards for money you need personally. There's a catch,
though. If you borrow from your company at a below
market rate, you might have to pick up taxable income
equal to an imputed interest rate.
more
How
To Handle Company-Owned Real Estate
Business Owners often have to make decisions about
the offices, warehouses, and other real estate they
may use. At some point, you may decide that your company
should be a property owner. Whether you buy existing
real estate or develop a new property, some strategies
can make the venture less costly.
more
Enjoy
Real Estate Savings From Investment Property
Falling
prices have created a buyer's market in housing. The
same trends might encourage you to shop for a home
that you can rent to tenants. Rents may firm as more
would-be home buyers are denied mortgages and rent
homes instead. What's more, tax breaks for real estate
investors can make such ventures attractive.
more
Retirement
Plans - 2008 Update
Business
owners, professionals, and self-employed individuals
can choose among several tax-sheltered retirement
plans. In most of these plans, contributions are tax-deductible,
investment income is untaxed, and withdrawals are
taxable.
more
TIPS
For Keeping Up With Inflation
As
oil prices flirt with $100 per barrel and the value
of the U.S. dollar sinks, inflation might pick up.
Higher inflation, in turn, can damage your portfolio.
One way to protect yourself is to put some money in
investments that will act as inflation hedges.
more
Year-End
Tax Planning For Investors
The
tax code is replete with provisions relating to investments.
Here are some tax-saving tactics to consider before
year end:
more
Year-End
Tax Planning For Business
If you have a stake in a business or professional
practice, you need to keep an eye on that entity's
tax bill, too. Again, year-end moves can pay off:
more
Plan
Ahead for Year-End Tax Selling
Considering
how volatile the market has been recently, you may
own stocks or stock funds trading at a loss. If so,
realizing those losses before year-end can provide
valuable tax advantages.
more
Safe-Harbor
401(k) Plans
The
benefits of 401(k) plans are widely known: these plans
allow workers to defer some current income and the
tax on that income. Earnings on the untaxed income
also escape current tax. The deferred tax is due when
money is withdrawn from the plan.
more
Year-End
Tax Tips for Small Business Owners
Now
is an opportune time to start thinking about year-end
tax planning for your business. These six tax strategies
can be put into effect to reduce your tax liability
come April 15:
more
