The Kernutt Stokes Advisor

Lease Accounting

By: Matthew Diment Lease accounting has never been most people’s favorite accounting topic, but the Financial Accounting Standards Board (FASB) has recently upped the complexity with a new wrinkle to the existing treatment of leases.  While this new guidance is not applicable for a few more years, it is good to understand the implications it may have on your business…

Reconsidering C Corporations

Once considered a last resort for entity choice, C corporations deserve reconsideration, especially surrounding the dreaded double taxation issue. Double taxation refers to the two levels of taxation that C corporation income goes through. First, the income is taxed at the entity level and then again when the shareholder withdraws any earnings as a dividend. Current tax law puts the…

Is My Inheritance Taxable?

By John Mlynczyk So Aunt Sally passed away this year and you received word from the executor that you are a beneficiary of her estate.   Will your inheritance be taxable?  The short answer to this question is “it depends.”  Inherited assets may be subject to an estate level tax and they might be subject to income tax with respect to…

2017 Tax Filing Deadlines

Income Tax Return Deadlines Individual tax returns will be due April 18, 2017. The regular filing deadline is April 15. However, due to April 15 being on a Saturday and the Washington D.C. Emancipation Day holiday being observed on April 17 instead of April 16, Tax Day is on the following Tuesday, April 18. New tax return deadlines for tax…

Year-End Tax Planning Guide

This year-end planning guide aims to provide you with information and planning tips to assist you in understanding and making the most of the laws affecting your tax situation. Using the guidance in this article will help ensure that you retain the tax benefits to which you are entitled and protect the wealth you have created. Below we look at…

Proposed IRS Regulations to Increase Tax Burden on Family Business Transfers

by John Mlynczyk The IRS has recently issued proposed regulations that may eliminate or significantly limit the ability to apply valuation discounts on transfers of business interests (such as corporations, partnerships, or LLCs) to family members. By way of background, a time-tested tax and estate planning strategy has been for family business owners to transfer interests to the next generation…