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Helpful Articles
Life Insurance: Answers to Most Common Questions
In this post, we’ll address common life insurance questions that we hear from our customers. We’ll discuss the parts of a life insurance policy, types…
Self-Employed Health Insurance Tax Deduction
Tax benefits are available to self-employed individuals who pay health insurance costs. Self-employed taxpayers can deduct 100% of their health insurance costs in computing their…
Smith Patrick CPAs Participates in AICPA Diverse Student Internship in 2024
Smith Patrick CPAs is helping offer opportunities to diverse students. The St. Louis-based firm has been selected by the AICPA as a co-sponsor of the…
Beware: Gift Card Tax Scams
After the the holiday season, gift card tax scams are common. Taxpayers should be aware of the tactics that thieves often use during this time…
Seniors: Reduce Your Tax Burden by Donating to Charity through Your Retirement Account
If you’re an IRA owner—age 70½ or over—qualified charitable distributions (QCDs) are great options for making tax-free gifts to charity. You can transfer up to…
Are Your Social Security Benefits Taxed?
Social security income is taxed differently than the income you may have earned during your career. Whether you pay income tax on social security depends…
Make Taxes Easier with Year-End Tax Planning
It’s a great practice to participate in year-end tax planning. Not only does planning equal fewer surprises, but it also gives you the opportunity to…
Save Money on Your 2022 Taxes
As we wrap up 2022, it’s important to take a closer look at your tax and financial plans. This year likely brought challenges and disruptions…
How to Maximize Capital Gains and Losses on Your Taxes
With the stock market’s volatility and the year coming to an end, it’s a good time to review how you, as an individual, are taxed…
More Electric Vehicle Tax Incentives Coming in 2023
According to Forbes, transportation is the country’s largest source of greenhouse gas missions. With the recent passage of the Inflation Reduction Act (IRA), several electric…
Green Home Improvements? Get Tax Credits with Inflation Reduction Act
If you’re making energy-efficient improvements to your home, you’ll want to pay attention to the newly passed Inflation Reduction Act. This new law expands or…
Life Insurance: What’s Best for You?
Life insurance is designed to protect and provide for your beneficiaries in the event of your death. Under the terms of a life insurance policy,…
Online Safety Steps to Avoid Tax Scams & Protect Your Identity
Thousands of people have lost millions of dollars and their personal information to tax scams. During Cybersecurity Awareness Month, conducted every October, the mission of…
Cryptocurrency and Taxes: What You Need to Know
Cryptocurrency has become more mainstream in recent years. As a result, the IRS has paying more attention, especially as some estimate that the IRS is…
Charitable Giving Made Simple
How to Include Philanthropy in Your Estate Planning When it comes to your estate plan, you’re rewarded by doing good. In this article, we’ll cover…
Avoid Cannabis Tax Mistakes that Can Destroy Your Company
Many marijuana companies have faced stormy financial situations recently with collapsing margins, oppressive taxes, and vanishing access to debt and equity capital. Despite financial woes…
This Tax Credit Can Help Employers Facing a Tight Job Market
In a challenging job market, the Work Opportunity Tax Credit (WOTC) may give employers a helping hand. The WOTC is available to employers that hire…
Why Increased Tax Basis on Your Home Is a Good Thing
With the house prices continuing to increase, taxes are on the minds of most sellers. When it comes to home ownership taxes, it’s important to…
Secure Your Records in Preparation for a Natural Disaster
No one every thinks a natural disaster can happen to them. But it makes sense to be prepared. With the threat of hurricanes and wildfires…
Tax Impact: Hobby or Business?
Collecting stamps, woodworking, crafting, photography…people have all kinds of hobbies. Most people don’t make a profit from their hobby. However, hobbyists should be aware that…
Is Business Travel Tax Deductible?
What expenses are tax deductible for out of town business business travel within the U.S.? As business travel ramps up, it’s important to know what…
Tax Challenges Facing Marijuana Related Businesses (MRBs)
Key Accounting and 280E Implications for Medical Marijuana Businesses This is a summary of key areas to evaluate for marijuana related businesses and their finance…
Student Loan Cancellation: Impact on Taxes
How does the cancellation of your student loan affect your tax liability? In general, if a loan or other debt you owe is canceled, you…
Prevent Tax-Related Identity Theft with an IRS IP PIN
In recent years, identity theft has invaded the lives of many tax payers as fraudsters have filed false tax returns and other schemes. Top Recommended…
Estate Planning: What’s Right for You?
Estate planning sounds like one of those “should do” tasks that a responsible adult does later. Somehow, it often ends up in the same procrastination…
Selling a Home? Important Tax Facts You Need to Know
Summer is a popular season for families to sell their home and move. The IRS recently issued important reminders for people selling a home and…
Protect Yourself in a Financial Emergency
Life is full of unexpected twists. If you have a crisis, you don’t want your life to go down in flames. What can you do…
High Gas Prices Lead IRS to Increase Mileage Rate for 2022—Again
The Internal Revenue Service recently announced a mid-year mileage rate increase, used for calculating business tax deductions for vehicle use. This rare mileage increase is…
Taxes on Sale of Gifted Property: What you need to know
You’ve received a gift of property. It’s important to learn about the tax consequences if you decide to sell that property. In the event of…
Is a Dynasty Trust right for you?
With the Biden administration discussing changes to the tax code, it makes sense to consider creating a family legacy, like a dynasty trust, for your…
Installment Sales: Defer Taxes, Attract Buyers
With escalating prices and the era of COVID-19, Installment sales may be a good way to attract buyers even if they don’t the ability to…
Tax Checklist for Newlyweds
It’s that time of year when wedding bells are ringing. After the honeymoon is over, what do the newly married need to do for taxes?…
Buy-Sell Agreements: Exit Strategy for Small Businesses
As a business owner, you’re often caught up in the daily motion of running your business. It’s easy to let important, but non-urgent aspects of…
Closing a Business? Here’s What You Need to Know about Taxes
If you’ve decided to close a business, it’s important to take care of your Federal tax obligations. Company owners can mistakenly think that because the…
Avoid the Pitfalls of Multi-Generational Wealth Transfer
Passing on wealth to the next generation—also called wealth transfer—is a challenge faced by many families. 70% of Multi-Generational Wealth Transfers Fail According to research,…
Things to Know About Tax Audits—Including Cautions for Cannabis Businesses
This year, the IRS will audit hundreds of thousands of tax returns. One in 100 businesses will be audited. The easiest way to survive a…
How to Know It’s Really the IRS Contacting You
You’ve just heard from someone claiming to be from the IRS. Now what? How can you tell if this person is legit or a scammer?…
ESOP Tax Benefits: 2022 Contribution Limits and More
What is an ESOP? An Employee Stock Ownership Plan (ESOP) is an employee benefit plan that enables employees to have ownership interest in the company….
IRS increases marijuana business audits after COVID-19 lull
According to MJBizDaily.com, the IRS put much of its routine work on the back burner, including audits, enforcement and collections during the coronavirus pandemic. However,…
Can you deduct club dues?
Many customers ask us if they can deduct club dues. It’s a logical question, especially since you may entertain customers at your club. Many feel…
Filing Last-Minute Taxes – How to Prepare
It’s late in the tax season, and you might be scrambling to gather receipts and documentation to prepare your tax returns. According to the IRS,…
Missouri’s Motor Fuel Tax: Should You Claim a Refund?
As gas prices climb higher, businesses are asking us about Missouri’s Motor Fuel Tax Refund. What is the fuel tax refund? How much can you…
What Happens If You File Your Taxes Late… or Never?
It’s tax season, when folks are digging through receipts, making spreadsheets and filling out IRS forms. The filing deadline for federal taxes is Monday, April…
Smith Patrick Voted 2022 Best Accounting Service by Readers of Greenway Magazine
Smith Patrick CPAs has been voted “Best Accounting Firm in Missouri” by Greenway Magazine in its Reader’s Choice Best of the Industry Awards. Smith Patrick…
Is the Cost of Your Home Computer Tax Deductible?
When you’re buying a new computer, it’s common to think, “Are there any home computer deductions I can use?” Costs of buying and operating a…
Renting to a Relative? Understand the Tax Impact
What are the tax consequences of renting a home you own to a relative? In normal circumstances, when renting a home or apartment, you’re entitled…
How Kiddie Tax Rules Affect You
Many people ask if they can save on taxes by transferring assets into their children’s names. This tax technique is called income shifting. It seeks…
John Ernst Joins Smith Patrick CPAs, Brings Expertise in Financial Valuation and Litigation Support
Ernst Brings 20+ Years of Experience to Growing St. Louis Accounting Firm St. Louis, MO — Smith Patrick CPAs announces that John Ernst, CPA, ABV,…
Smith Patrick Named One of St. Louis’ Largest Accounting Firms
Local accounting firm Smith Patrick CPAs has been ranked as a largest accounting firm in St. Louis. The firm is ranked #23 by number of…
Smith Patrick Sponsors AICPA Ethnically Diverse Student Program
Smith Patrick CPAs is helping offer opportunities to diverse students. The St. Louis-based firm has been selected by the AICPA as a co-sponsor of the…
No-Loss Tax Rules: Beware of Selling Property to a Relative at a Loss
Before you sell a property to a relative at a loss, stop and find out more about the tax consequences. Special tax rules—like the loss…
Limited Partnership: Consider It for Your New Business
When starting a new business venture, a limited partnership can be a good choice as an entity. You can raise capital to fund the venture…
How 529 Plans Offer Tax Savings for School Tuition
What are 529 plans? Also known as qualified tuition programs, these plans enable prepayment of higher education costs on a tax-favored basis. Types of 529…
Tax Rules for Renting Your Vacation Home
Does it make sense to rent out your vacation home for part of the year? How does it impact your tax deductions? The tax rules…
Fraudulent Tax Scams Are a Threat
Our firm takes data security seriously, and we think you should too. Fraud From now throughout tax season, fraudsters continue amp up their tactics to…
Year End Tax Planning Strategies
As we wrap up 2021, there’s many tax planning strategies to consider. As your tax and financial team, we want to help you navigate your…
How 2021 Legislation Impacts Your Taxes
As you wrap up 2021, it’s important to take a closer look at your tax and financial plans. Challenges and Changes for Year-End Planning This…
Charitable Donations: Giving to Donor-Advised Funds
Charitable Deductions This Year, Advisory for Future Years Perhaps you are interested in giving a substantial donation to charity this year. However, you would like…
What You Should Know about Corporate Airplane Tax Rules
With business travel ramping up again, you might be dreaming of buying a corporate airplane to avoid layovers and crowded airplanes. Before you buy an…
Tax Benefits for Helping Mother Nature
Interested in helping to conserve land for public use or preserve an historic structure from real property that you own? Consider a qualified conservation contribution,…
For Legalized Marijuana, Banking Woes Persist: Smith Weighs in on St. Louis Public Radio
If you’re doing business with a medical marijuana company, your bank may charge you high fees or refuse to do business. David Smith, owner and…
Are You Struggling to Handle an All-Cash Cannabis Business? Then Read This.
Easy to Implement Tips to Set Up a Cashless ATM for Your Cannabis Business In the growing cannabis market, cash is key. Like it or…
Got New Business Startup Expenses? Find Out How to Minimize Your Tax Bill
If you’ve recently started a business, or are in the process of starting one now, it’s important to think about taxes. The way you handle…
Tax Rules for Renting Your Vacation Home
Does it make sense to rent out your vacation home for part of the year? How does it impact your tax deductions? The tax rules…
Small Businesses Get a Tax Credit for Starting a Retirement Plan
Gain better employee retention while lowering your tax bill with the Pension Plan Tax Credit Attention small businesses: you may be able to claim a…
Life Insurance Benefits: How to Avoid Estate Taxes
The reason that most people buy life insurance benefits is to provide for their family after their death. Yet, in some cases, if the life…
Life Insurance Trust: Minimize Estate Taxes
Even a with modest estate, you can end up owing hundreds of thousands of dollars in estate taxes. Why? A life insurance policy with a…
QPRT: Transfer Your Home to Your Kids with Less Taxes
You’re at the point in your life where you want to transfer the ownership of your home to your kids. How can you best make…
Crummey Trusts: How to Manage Monetary Gifts
How can a Crummey Trust help you? Giving Responsibly With a custodial account, you can give away up to the gift tax annual exclusion amount…
Charitable Remainder Trust: A Powerful Estate Planning Tool
When you’re developing your estate plan, one powerful tool to consider is a charitable remainder trust (CRT). A CRT may enable you to reduce your…
Smith Patrick CPA’s Debra Annis Named a Best Accountant in St. Louis
Annis Honored as a Best CPA by St. Louis Small Business Monthly Debra J. Annis, CPA, has been named to St. Louis Small Business Monthly’s…
Sham Trusts: How to Avoid Tax Penalties
The IRS warns us about tax evasion schemes, called “sham trusts,” involving foreign and domestic trusts. An important of estate planning is find the best…
How the Estate Tax Exemption Impacts Your Estate Plan
In the last decade, a lot has changed with tax planning for your estate. Most notably, the estate tax exemption. What Is Estate Tax? According…
When Are Business Meals Tax Deductible?
If you’re heading to the restaurant for a business meal, it’s good to know the rules that apply to get a tax deduction. In recent…
Are Frequent Flyer Miles Taxed When Redeemed?
A popular perk of business travel is earning frequent flyer miles and other promotional benefits. Airlines, rental car companies and hotels have rewards programs that…
What You Need to Know about the Employer Tax Credit for Paid Family and Medical Leave
As an employer that provides paid family and medical leave to our employees, you may qualify for a tax credit. How does it work? Employer…
Budgeting Basics: Why You Need a Budget and How to Get Started
If it seems like your money disappears as fast as it comes in, you need a budget. If you have trouble saving for your dream…
Tax Rules for Foreign Business Travel
You’re heading out of the country on a business trip. What tax rules apply to your foreign business travel? Tax Rules for a Trip That’s…
Cannabis Audit Procedures Revealed in Confidential IRS Document
New Information on What to Expect During Cannabis Audits The marijuana industry recently gained access to new intel on what to expect during IRS cannabis…
Missouri Medical Marijuana Tax Update
280E Update: Pursuing normal business deductions for Missouri medical marijuana licensees Cannabis businesses, also known as marijuana related businesses (MRBs), face significant tax challenges. Though cannabis…
Biden Tax Plan
In this short video, James Curran CPA/PFS discusses President-Elect Biden’s proposed tax plan and what you can do to prepare.
Smart Year-End Tax Planning for Business Owners
Check out these business tax planning moves before the year ends. It’s been an unusual year to say the least for most businesses. Business tax…
Year-End Planning: Lower Your Tax Bill
As year-end approaches, it’s a good time to think about planning moves that may help lower your tax bill for this year and beyond. 2020…
SBA Issues Guidance on Changes of Ownership for PPP Loan Borrowers
Overview On Oct. 2, 2020, the Small Business Administration (SBA) issued Procedural Notice 5000-20057, which outlines the required notification and consent procedures for changes in…
Tax Update: Medical Marijuana Facilities Qualify for Manufacturer’s Sales and Use Tax Exemption in Missouri
Tax Benefit Question: Do medical marijuana facilities qualify for the manufacturer’s sales and use tax exemptions? This important tax benefit can realize a one-time or…
The IRS Updated Tax Guidance on the Marijuana Industry… Here’s What You Need to Know
The Internal Revenue Service (IRS) recently released updated guidance on tax policy for the marijuana industry. As tax and accounting experts, we wanted to give…
Tips for Employers Who Outsource Payroll Duties
IRS Newswire FS-2013-9 Many employers outsource their payroll and related tax duties to third-party payers such as payroll service providers and reporting agents. Reputable third-party…
“Corporate Records Service” Mailings to Business Entities
A company called Corporate Records Service has mailed solicitations titled “2013 – Annual Minutes Form” to corporations in Missouri, as well as other states. The…
Tax Refund Delays – In The News
David Smith on KMOV Channel 4 discussing tax refund delays with Larry Connors: (KMOV.com) — A software glitch forced more than 600,000 people to wait…
Renewable Energy Tax Credits – Active House USA
As construction comes to a close, but before the moving trucks arrive, we’re opening the doors to Active House USA for one last time. One…
Tax-Free Transfers to Charity Renewed For IRA Owners 70½ or Older; Rollovers This Month Can Still Count For 2012
IRS alert. Notification IR-2013-6: WASHINGTON — Certain owners of individual retirement arrangements (IRAs) have a limited time to make tax-free transfers to eligible charities and…
Congress-Passed Bill Averts Fiscal Cliff Tax Consequences
Federal Taxes Weekly Alert, In the early morning hours of Jan. 1, 2013, the Senate, by a vote of 89-8, passed H.R.8, the “American Taxpayer…
Standard Mileage Rates for 2013
Standard Mileage Rates IRS has announced that the optional mileage allowance for owned or leased autos (including vans, pickups or panel trucks) will increase by…
Contributing Property to a Partnership
A client of ours was recently forming a partnership with another individual. The two individuals had a desire to form a partnership of equals but…
Uncertainty Creating Difficulty for Year-End Tax Planning
For the last several years we have been faced with year-end legislation, late forms, and other changes that add to the complexity and confusion in…
What Exactly is an SBA Loan?
The U.S. Small Business Administration (SBA) is a federal government agency that administers loan guaranty programs and other support services to encourage growth and development…