2 ACA taxes that may apply to your exec comp
Posted by Kim Chen on November 10th, 2017
Tax planning for executive compensation such as restricted stock, stock options and nonqualified deferred comp is generally more complex than for salaries, bonuses and traditional employee benefits, especially if you could be subject to the additional 0.9% Medicare tax or the 3.8% net investment income tax. These taxes apply when certain income exceeds the applicable […]
Are income taxes taking a bite out of your trusts?
Posted by Kim Chen on November 7th, 2017
If your estate plan includes one or more trusts, review them in light of income taxes. For trusts, the income threshold is very low for triggering the: Top income tax rate of 39.6%, Top long-term capital gains rate of 20%, and Net investment income tax (NIIT) of 3.8%. The threshold is only $12,500 for 2017. […]
Watch out for potential tax pitfalls of donating real estate to charity
Posted by Kim Chen on November 3rd, 2017
Charitable giving allows you to help an organization you care about and, in most cases, enjoy a valuable income tax deduction. If you’re considering a large gift, a noncash donation such as appreciated real estate can provide additional benefits. For example, if you’ve held the property for more than one year, you generally will be […]
Save more for college through the tax advantages of a 529 savings plan
Posted by Kim Chen on October 31st, 2017
With kids back in school, it’s a good time for parents (and grandparents) to think about college funding. One option, which can be especially beneficial if the children in question still have many years until they’ll be starting their higher education, is a Section 529 plan. Tax-deferred compounding529 plans are generally state-sponsored, and the savings-plan […]
Will Congress revive expired tax breaks?
Posted by Kim Chen on October 31st, 2017
Most of the talk about possible tax legislation has focused on wide-sweeping tax reform and taxes under the Affordable Care Act. But another question is whether Congress will extend through 2017 some valuable breaks for individuals that the 2015 PATH Act extended only through 2016. One is the above-the-line deduction for higher education tuition and […]
