Small Business Tax

Section 179 vehicles should be a key part of your small business tax deduction strategies. Can Section 179 property fit in with your business tax strategies?

Let Business Management Daily help you get each and every rental property depreciation credit and business tax deduction you’re entitled to.

Last year, the IRS announced a new rule that would require people to gain their spouse’s written approval before establishing a charitable remainder trust.
Avoid audit by reading IRS  “playbook.”
I use a corporate credit card to pay business expenses, including inventory items. I’ve racked up a lot of reward points that I’ll use for both business travel and personal travel. Do these points count as taxable income? J.W.
I headed up a freelance-consulting project last year in which I subcontracted out part of the work. Now  I’ve received a 1099 for the full amount paid for the project. Do I have to pay tax on the whole amount? L.W.C., Modesto, Calif.
I gave away appreciated stock to charity to avoid tax on the gain. But now, I want to buy the same  stock again. Does this violate the wash-sale rule?   A.M.A., Lynbrook, N.Y.
A major 2004 tax-law change put some real teeth into the “constructive receipt” rules for nonqualified deferred-compensation plans. In short, it set new requirements for employees to be able to postpone federal income tax on future payments earmarked for them under deferred-comp plans.
If you’re a high-end taxpayer with a low tolerance for tax pain, you’d be wise to check out a new mutual fund product from Wall Street.
It’s tough to qualify for a medical-expense deduction, but it’s not impossible. The law says you can deduct any unreimbursed medical and dental expenses that exceed 7.5 percent of your adjusted gross income (AGI). But don’t give up so quickly. You may be able to squeeze out a deduction this year if you incur some out-of-the ordinary costs. Here are three ways to jump the hurdle in 2006:
The IRS just released official guidance on the 2005 energy-tax law that revamps the type of tax credits you can earn for buying environmentally friendly vehicles. (IRS Notice 2006-9)
Last January, Congress voted to let businesses and taxpayers deduct donations for Asian-tsunami relief on their 2004 returns as long as they made the donation by Jan. 31, 2005.