Full Deduction for Manufacturing Real Property Under the New Tax Bill
The “One Big Beautiful Bill” (formally termed “The Act”) introduces a significant tax benefit for manufacturers: a full, immediate deduction for the cost of certain real property used in production activities. Taxpayers can elect to fully expense the cost of qualified production property (QPP) in the year it is placed in service rather than depreciate…
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Expanding Investment Choices for 401(k) Plans
President Donald J. Trump signed an Executive Order aimed at expanding the range of investment options available within 401(k) plans. The initiative opens the door for plan participants to potentially access alternative assets such as cryptocurrency, private equity, real estate, and privately held companies. Key Provisions of the Executive Order Review of Fiduciary Guidance: The…
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Bonus Depreciation & Section 179 Expensing under the OBBB
The “One Big Beautiful Bill” (OBBB) significantly enhances both bonus depreciation and Section 179 expensing, giving businesses powerful tools to recover capital costs more quickly and improve cash flow. Bonus Depreciation Bonus depreciation is permanently restored to 100% for qualified property for 2025. Businesses can fully deduct the cost of most new and used tangible…
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The True Cost of an Employee: Salary Plus Benefits
When evaluating the financial impact of employees, it’s important to look beyond just the base salary. The true cost of an employee includes a range of additional expenses such as payroll taxes, insurance, retirement contributions, and other fringe benefits. These extra costs can increase total compensation by 20% or more, depending on the size of…
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Executive Order Issued to Eliminate Paper Checks for Federal Payments
On March 25th, President Trump signed an executive order mandating that the federal government cease issuing paper checks in favor of electronic payments. Despite growing momentum toward digitizing all federal disbursements, the federal government currently still accepts paper checks for certain payments—including estimated tax payments—beyond the September 30, 2025, deadline. Taxpayers can continue mailing checks…
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Key Provisions of the One Big Beautiful Bill Act
The One Big Beautiful Bill Act (formally termed “The Act”), signed into law on Friday, July 4, by President Donald Trump, extends key provisions of the Tax Cuts and Jobs Act (TCJA) and addresses several tax priorities of the Trump administration. The bill cleared the House on Thursday, July 3, by a narrow 218–214 margin,…
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New IRS Guidance on Reporting ERC Refund
On March 20, 2025, the IRS issued new FAQ’s as guidance to businesses understand how to properly report Employee Retention Credit (ERC) refunds on their income tax returns. This is especially important for companies that received ERC refunds but never amended their earlier tax returns, or for those whose claims were later denied. Background on…
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Alabama Overtime Income Tax Exemption Set to Expire June 30, 2025
Under current Alabama law, overtime compensation paid to nonexempt employees in accordance with the Fair Labor Standards Act (FLSA) is exempt from state income tax. This exemption is scheduled to expire on June 30, 2025. Next Steps Effective July 1, 2025, employers will be required to resume withholding Alabama state income tax on overtime wages…
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Trump 2025 Tax Bill – Components Unveiled
On May 22, the House Republicans passed the One Big Beautiful Bill Act (H.R. 1, also known as the “Bill”). While the Senate committees give their input and changes, time allows us to analyze which expiring Tax Cuts and Jobs Act (TCJA) provisions are extended in the House’s bill and which elements from President Trump’s…
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C Corporation Basics: Key Advantages, Drawbacks, and Tax Opportunities
A C corporation is a legal structure for a business that is taxed separately from its owners. This structure offers significant legal protections and is favored by companies planning to reinvest profits or eventually go public. Unlike S corporations or LLCs, a C corp pays corporate income tax on its profits. If dividends are paid,…
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