Auburn-Opelika (334) 887-7022 | Montgomery (334) 244-8900

Returning Value Blog

Michael D. Machen, CPA, CVA

Recent Posts

Beware Of Unexpected Tax Liabilities Under New Accounting and Tax Rules!

Posted by Michael D. Machen, CPA, CVA on Sep 07, 2018

The Tax Cuts and Jobs Act (TCJA) contains a provision that ties revenue recognition for book purposes to income reporting for tax purposes, for tax years starting in 2018. This narrow section of the law could have a major impact on certain industries, especially as companies implement the updated revenue recognition standard under U.S. Generally Accepted Accounting Principles (GAAP).

Full Story

Posted in Business Tax

Changes Ahead For 401(k) Hardship Withdrawal Rules

Posted by Michael D. Machen, CPA, CVA on Aug 01, 2018

Many employers sponsor 401(k) plans to help employees save for retirement. But sometimes those employees need access to plan funds well before they retire. In such cases, if the plan allows it, participants can make a hardship withdrawal.

Full Story

Posted in Payroll, HR & Benefits

Choosing The Best Business Entity Structure Post-TCJA

Posted by Michael D. Machen, CPA, CVA on Jul 20, 2018

For tax years beginning in 2018 and beyond, the Tax Cuts and Jobs Act (TCJA) created a flat 21% federal income tax rate for C corporations. Under prior law, C corporations were taxed at rates as high as 35%. The TCJA also reduced individual income tax rates, which apply to sole proprietorships and pass-through entities, including partnerships, S corporations, and, typically, limited liability companies (LLCs). The top rate, however, dropped only slightly, from 39.6% to 37%.

Full Story

Posted in Business Tax

Back To School Sales Tax Holiday Weekend 2018

Posted by Michael D. Machen, CPA, CVA on Jul 19, 2018

There are several different types of tax-free weekend events in the U.S. Some apply to Energy Star products or hurricane preparedness, or back-to-school shopping needs. This year the State of Alabama will be participating in the Back-to-School Sales Tax Holiday Weekend beginning Friday, July 20 through Sunday, July 22. Alabama’s 13th Back-to-School Sales Tax Holiday will begin at 12:01 a.m. on Friday, July 20, and end at midnight on Sunday, July 22.

Full Story

Posted in Alerts

Which Intangibles Should Private Firms Report Following A Merger?

Posted by Michael D. Machen, CPA, CVA on Jun 15, 2018

2018 is expected to be a hot year for mergers and acquisitions. But accounting for these transactions under U.S. Generally Accepted Accounting Principles (GAAP) can be complicated, especially if the deal involves intangible assets. Fortunately, the Financial Accounting Standards Board (FASB) offers a reporting alternative for private companies that simplifies accounting for new business combinations, avoiding a lot of red tape.

Full Story

Posted in Business Valuation

Five Prime Issues For Business Startups

Posted by Michael D. Machen, CPA, CVA on May 09, 2018

Items for new owners to resolve

Are you starting a new business venture or investing in potential opportunities in the marketplace? Before you make any commitments, be aware that there are numerous practical considerations from a business, tax and legal perspective. In other words, there is much more involved than just fronting the cash.

Full Story

Posted in Business Advisory

A Net Operating Loss On Your 2017 Tax Return Isn't All Bad News.

Posted by Michael D. Machen, CPA, CVA on Apr 19, 2018

When a company’s deductible expenses exceed its income, generally a net operating loss (NOL) occurs. If when filing your 2017 income tax return you found that your business had an NOL, there is an upside: tax benefits. But beware — the Tax Cuts and Jobs Act (TCJA) makes some significant changes to the tax treatment of NOLs.

Full Story

Posted in Business Tax

Sec. 179 Expensing Provides Small Businesses Tax Savings on 2017 Returns — and More Savings In The Future

Posted by Michael D. Machen, CPA, CVA on Mar 08, 2018

If you purchased qualifying property by December 31, 2017, you may be able to take advantage of Section 179 expensing on your 2017 tax return. You’ll also want to keep this tax break in mind in your property purchase planning, because the Tax Cuts and Jobs Act (TCJA), signed into law this past December, significantly enhances it beginning in 2018.

Full Story

Posted in Business Tax

Top 10 Things Companies Need to Know About Tax Reform

Posted by Michael D. Machen, CPA, CVA on Feb 14, 2018

The $1.5 trillion new tax law represents the most sweeping change to the tax code in a generation. Tax reform of this magnitude will have broad implications for businesses of all sizes and in all industries. While accountants and tax departments wade through the 185-page legislation, here are the top 10 things companies need to know:

Full Story

Posted in Business Tax

Tax Code Changes Will Affect Your Paycheck

Posted by Michael D. Machen, CPA, CVA on Jan 04, 2018

The tax reform bill approved by Congress will take effect January 1, 2018, and your paycheck will be affected, but at this point, you may have to wait until February to see the change.

Full Story

Posted in Tax Updates

Recent Posts

Returning_Value