Is your company’s pricing strategy still viable?
Businesses must regularly reevaluate their pricing strategies to protect margins, stay competitive and support long-term growth. Begin by crunching some numbers. Examine direct and indirect costs, calculate your breakeven point and compare your prices to those of competitors. Customer feedback and segmentation can also reveal when adjustments may be necessary. Whether you raise or lower prices, clearly communicate with your customers. Focus on value, highlighting strengths such as quality, expertise and service to maintain trust. Interested in some objective guidance? We can help you analyze costs, apply the right metrics and optimize prices based on current market dynamics.
What every business owner should know about data hygiene
The term “data hygiene” refers to the ongoing process of ensuring that the information your business relies on is accurate, complete, consistent and up to date. Lack of reliable data can lower staff morale and erode trust with customers, vendors, lenders and investors. And if your company uses AI, it could be at risk of a “data poisoning” attack. Fortunately, you can protect your business by setting clear standards for data entry, training staff to routinely verify critical details and conducting regular database audits. Above all, assign the responsibility to promote and oversee data hygiene to someone within your company. Contact us for help budgeting for the related costs.
Understanding the most common IRS notices
Receiving an IRS notice doesn’t always mean bad news, and it doesn’t mean you’ve done something wrong. Many notices are informational or involve minor corrections. For example, if you receive Notice CP2000, changes are proposed to your tax return. Notice CP14 informs you that you owe additional tax. Respond quickly. Many notices have deadlines for disputes or appeals and penalties and interest may accrue if you don’t respond on time. Contact us. We can review a notice for accuracy and explain what it means in plain language. In addition, we can communicate with the IRS on your behalf, help you gather documentation, file corrections and guide you through payment plans or appeals if needed.
Making the most of the new deduction for seniors
Beginning in 2025, individuals age 65 or older generally can claim a new “senior” deduction of $6,000 under the One Big Beautiful Bill Act (OBBBA). But if your 2025 modified adjusted gross income (MAGI) exceeds $75,000 ($150,000 if you’re a married joint filer), a MAGI-based phaseout will reduce (or may even eliminate) the deduction. If you’re at risk of the senior deduction phaseout, you can take steps before year end to reduce your MAGI and maximize your deduction. For example, harvest capital losses in taxable brokerage accounts to offset capital gains that would otherwise increase your MAGI. Contact us to discuss additional MAGI-reduction tips and other year-end tax planning strategies.
Charitable Giving Reimagined: Understanding Deduction Changes Under the One Big Beautiful Bill Act (OBBBA)
The recently enacted One Big Beautiful Bill Act (OBBBA) has ushered in a wave of reforms to the U.S. tax code, including sweeping changes to charitable contribution deductions. These changes will take effect in the 2026 tax year. Whether you are a donor seeking to maximize your tax efficiency or a nonprofit professional aiming […]
Executive Order Requires Electronic Payment of Federal Taxes
On March 25, 2025, President Trump signed Executive Order 14247 to modernize the government’s payment systems to prevent waste, fraud and abuse and also improve the efficiencies and customer experience across all federal and collection activities. Starting September 30, 2025, the Department of Treasury will cease to issue paper checks for all Federal disbursements. All […]
Tax Court case provides lessons on best recordkeeping practices for businesses
Business owners: Meticulous recordkeeping plays a crucial role in tax saving and IRS compliance. For example, keep business and personal finances separate. Open a dedicated business checking account and credit card. Mixing personal and business expenses can attract IRS scrutiny. Retain purchase and sale invoices, receipts, bank statements, canceled checks, and credit card bills. Scanning or photographing receipts ensures they won’t fade or get lost. Also, keep copies of Forms 1099-MISC and 1099-NEC. There are also specific employment tax records you must keep. Contact us to discuss how we can help you establish sound recordkeeping practices, avoid penalties and protect valuable tax breaks.
Occupational fraud still affects many businesses
The more things change, the more they stay the same. This saying applies to many things, including fraud perpetrated against businesses by their employees. Occupational fraud comprises three basic categories. First, there’s asset misappropriation. This is theft or misuse of any business asset, but it often involves cash. The second category is corruption, where dishonest employees in positions of influence engage in schemes such as collusion and kickbacks. The third category is financial statement fraud. Here, perpetrators falsify financial statements to either hide poor performance or commit outright theft. Contact us for help fighting occupational fraud within your company.
The power of catch-up retirement account contributions after 50
Are you age 50 or older? You’ve earned the right to supercharge your retirement savings with extra “catch-up” contributions to your tax-favored retirement account(s). An eligible taxpayer can make extra catch-up contributions of up to $1,000 annually to a traditional or Roth IRA. If you’ll be 50 or older as of Dec. 31, 2025, you can make catch-up contributions for 2025 by April 15, 2026. However, there are income limits to make contributions. You also must be age 50 or older to make catch-up contributions to an employer 401(k), 403(b), or 457 retirement plan (if the plan allows them). You can make extra contributions of up to $7,500 to these accounts for 2025. Questions? Contact us.
Receive $10,000 in cash at your business? The IRS wants to know about it
If your business receives large amounts of cash or cash equivalents, you may be required to report the transactions to the IRS. Each person engaged in a trade or business who receives more than $10,000 in cash in one transaction, or in two or more related transactions, must file Form 8300. Transactions conducted in a 24-hour period are considered related. Cash equivalents include cashier’s checks, bank drafts, traveler’s checks and money orders. (Currently, digital asset receipts don’t have to be reported on Form 8300.) Many businesses are now required to e-file these forms. The rules apply to individuals, businesses, associations, trusts and estates. Contact us with questions.
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