New rules which eliminate restrictions on claiming the Credit for Increasing Research Activities (R&D Credit) on amended returns could mean tax savings for many individuals and businesses (TD 9666). On June 2, 2014 the IRS amended the Regulations to remove a restriction that prevented taxpayers from making an election to use the Alternative Simplified Credit.. read more →

John Kasich just approved a bill that will accelerate and enhance tax reductions to further Ohio’s economic growth. The Individual 1% income tax cut will now be retroactively effective to the beginning of 2014 instead of starting January 1, 2015. Read his statement here. The Ohio Small Business Deduction which was new in tax year.. read more →

For the 2014 tax year all CAT returns must be filed electronically, either by using the Ohio Business Gateway (OBG) or by Telefile. There will be no forms available to mail in. This is new for Annual CAT return filers; however, quarterly filers already have been filing on-line. If you don’t have a OBG account,.. read more →

Automatic gratuities in the hospitality industry (for example, an automatic 16% tip for parties of six or more) are now treated by the IRS as service charges rather than tips, meaning they are viewed as wages and the employer is responsible for reporting them. Common service charges are: Large party charge Bottle service charge Room.. read more →

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The IRS has introduced a new, simplified calculation for the home office deduction (Rev. Proc. 2013-13), which will result in more taxpayers utilizing the deduction than ever before. For tax years beginning in 2013, a taxpayer may deduct $5 per business square foot ,up to a 300 square feet or a $1,500 maximum. This eliminates.. read more →

Recent legislation has changed the structure of the annual minimum tax for CAT purposes. Note that, in general, businesses with $150,000 or less in taxable gross receipts are not subject to the CAT. The tax rate of .26% remains unchanged and continues to apply to taxpayer’s with taxable gross receipts over $1 million. The change.. read more →

New IRS rules help taxpayers who wish to elect S-status for their corporation, but are beyond the normal time limit to file, have been offered new leniency and a simplification of the process in making a late S-election. In September the IRS released Rev. Proc .2013-30, which grants relief to more corporations seeking late S-election.. read more →

In the case of divorced or unmarried parents, the dependency exemption for a child is normally determined by the divorce decree or custody agreement; however, these documents determine the right to claim the exemption only until the child is considered an adult.  In Ohio, once a child reaches the age of 18, the divorce decree.. read more →

In the June 27, 2013 Congressional Research Service report, “Tax Provisions Expiring in 2013- Tax Extenders” is listed the temporary tax provisions for individuals. The following provisions are set to expire on December 31, 2013 unless extended again: State and local sales taxes, Above-the-line deduction for teacher expenses, Deduction for mortgage insurance premiums deductible as.. read more →