The 2015 PATH Act Makes Small Business Expensing (Section 179) Permanent

| Alerding Alerts

On Friday, December 18, one of the most positive tax legislative actions for small business was signed into law. Congress made permanent the $500,000 Section 179 expensing limit, thus enabling a small business to elect to expense up to $500,000 of investment in new equipment and other qualifying property instead of having to depreciate the cost over a number of years. In recent years, the $500,000 limit and some other favorable aspects of the election have been extended for a year or two at a Read more [...]

Tax Saving Ideas for Individuals

| Alerding Alerts

As the year comes to a close, we wanted to make you aware of a few steps you can take now to save taxes and/or penalties for 2015: Maximize Your Charitable Donations Deduction If you are thinking of giving to charity during this holiday season, make sure you know the rules so that the deduction will be allowed: You can only deduct gifts you’ve given to qualified charities, so if you are unsure if the group is qualified, you can call our office or check the list on the IRS website. You must Read more [...]

Year-End Payroll Reporting Changes and Updates

| Alerding Alerts

The year-end is quickly coming to a close and it will soon be time to prepare and file forms W2 and the related payroll tax returns. We wanted to make you aware that some fringe benefits provided to employees as well as 2% or greater shareholders are taxable and should be reported on W2 forms in order for them to be deductible business expenses. Taxable fringe benefits include: • Personal use of company vehicle (including shareholders’ use) • 2% or greater shareholders’ health insurance • Read more [...]

Indiana Tax Amnesty Letter 2015

| Alerding Alerts

Over the weekend, an Indiana Dept. of Revenue (DOR) contractor mailed letters to Indiana residents indicating that the taxpayer may owe taxes or may have under reported a tax that is eligible for the 2015 tax amnesty program.  The Indiana CPA Society contacted the DOR and received the following response. "The purpose of the letter is solely to advise taxpayers who may have liabilities where Tax Amnesty 2015 is still an option for them. It is informative only. Approximately 150,000 letters Read more [...]

Mandatory Foreign Asset Reporting

| Alerding Alerts

Do you have financial accounts in a foreign country?  If so, you are required to report your foreign financial asset holdings annually both to the IRS and the Treasury Department.   You will be subject to penalties up to 50% of your account balance if you fail to report these assets.  Your chances of being caught have increased as the IRS has reached agreements to start receiving data electronically from more than 145,000 foreign financial institutions. Examples of financial accounts include:  Read more [...]


| Alerding Alerts

Starting in 2014, every individual and each member of your immediate family must have qualifying health insurance or pay a penalty when filing federal income tax returns.  Qualifying coverage includes employer-sponsored plans, coverage obtained through the Marketplace, or coverage through most government-sponsored programs.   You must have coverage every month during the calendar year.   Individuals enrolled in health insurance coverage through the Marketplace Exchange should receive a copy Read more [...]

Employee Health Insurance Reimbursement Plans No Longer Available

| Alerding Alerts

Before 2014, employers could pay or reimburse employees for their own health insurance premiums and the payments were tax-free to the employees.  Starting in 2014, this type of employer payment does not meet the market reform guidelines and will be subject to a penalty of $100 per day for each employee.  To avoid this penalty, employers must treat the payments and reimbursements as taxable compensation to the employees and subject it to Federal Income Tax and FICA withholding. Just recently, Read more [...]


| Alerding Alerts

Businesses (including not-for-profits) are required to file Form 1099-MISC for each person or company to whom you have paid at least $600 for services and other specified payments. You are required to complete and send a Form 1099 if during the course of business you pay (in total) $600 or more to anyone that is NOT a corporation.  This rule includes payments for rent, payments to independent contractors, individual service providers, and professional service providers such as attorneys, accountants, Read more [...]

Garrett Patton Merges Into Alerding CPA Group

| Alerding Alerts

We are excited to announce that Garrett Patton & Associates (Certified Public Accountants) will be joining forces with Alerding CPA Group under the Alerding name.  We believe this will add a new and dynamic dimension to our firm. Garrett brings two new partners with keen tax and accounting minds along with a group of professionals that will add depth to our already strong team.  They are a local firm, with a solid presence in the tax and small business arena, which has earned a reputation Read more [...]

The IRS has Announced the 2015 Retirement Plan Contributions Limitations

| Alerding Alerts, News

In 2015, employees who participate in 401(k) and 403(b) plans may contribute up to $18,000 (up from $17,500 in 2014) into their plans.  Those over age 50 may contribute up to $24,000 (up from $23,000). The amount individuals may contribute to an IRA remains unchanged ($5,500 for those under age 50 and $6,500 for those 50 and over). The section 415 limit for total contributions by employees and employers combined to defined contribution plans is increased in 2015 from $52,000 to $53,000. Call Read more [...]