This time of year, people often ask me, “Frank, it seems like I pay a lot in taxes. What can I do to pay less?” Mostly, they are really asking me, “How can I save on taxes by moving some numbers around on paper?” To save on taxes, our elected representatives strike a...

As a survivor, executor or administrator of an estate, you are obligated to file an income tax return reporting all the deceased's income up to his or her date of death. You will need to be aware of all the credits and deductions the deceased is allowed, as if that...

It's Tax Season ... Let's Get Started If you would like us to prepare a C-Corporation, S-Corporation or Partnership return, the best time frame to deliver your paperwork to our office or upload documents to the Client Center is ASAP. Our deadline for receiving...

On Thursday, October 21, Stitely and Karstetter CPA’s sponsored our second annual charity golf event. Held at Top Golf in Ashburn, Virginia – the event successfully raised nearly $3,000 for Paws of Honor, a local charity that provides free veterinary care and products...

On Thursday, October 21, Stitely and Karstetter will once again sponsor their annual charity golf tournament at TopGolf in Ashburn, VA.  All proceeds raised will benefit “Paws of Honor,” which supports our nation’s retired military and law enforcement dogs. All...

Are boxes of old documents and sensitive materials cluttering up the corners of your home or office space? Need a place to dispose of them safely? Then Stitely and Karstetter’s shredding event on Saturday, October 16 is just the solution you’ve been waiting for! Held...

Are you a business owner who is looking to learn more about becoming an S Corp? Then you won’t want to miss “Life as an S Corp Owner, ” an important networking event sponsored by Stitely & Karstetter. The event is FREE and will be held at The Capital Grill in...

Any U.S. citizen, resident or domestic legal entity who missed the April 15 deadline to file their annual Report of Foreign Bank and Financial Accounts (FBAR) will receive an automatic extension until October 15, 2021 – and an extension need not be requested. Who must...

In mid-May, the IRS began issuing refunds on 2020 unemployment insurance taxes to some taxpayers. The refunds have been sent on a rolling basis, with single filers receiving theirs first, including those without children and those who did not claim any refundable tax...

In early April, the IRS released guidance explaining when the temporary 100 percent deduction for restaurant meals is available, and when the 50 percent limitation on the deduction for food and beverages continues to apply. Under section 274(n) (1) of the tax code, a...

Many of our S&K clients are parents of eligible dependents and qualify for the child tax credit which President Biden included in his American Families Plan earlier this spring. This plan offers parents a credit of up to $3,600 per eligible child, and payments...

Although many businesses are starting to get back on track, with the descent of COVID and an ensuing economic upheaval in our country - your company may not have filed tax returns in a few years. While life DOES happen – NOT filing your required tax returns is serious...

The U.S. Small Business Administration (SBA) will reopen the Shuttered Venue Operators Grant application portal on Monday, April 26 at 12:00 PM. The application portal for the SVOG program ran into technical difficulties almost immediately on April 8, with venue...

One of the hardest-hit industries during the COVID-19 pandemic has been restaurants, with shutdowns and restrictions cutting off revenue opportunities. The newly passed American Rescue Plan Act (ARPA) aims to help restaurants, bars and related businesses with a new...

IRS Extends Tax Filing Deadline to May 17 On March 17, the IRS announced it would extend the deadline to file 2020 taxes for all Americans to May 17, giving taxpayers an additional month to file returns. This extended deadline is welcome news for individuals,...

On Thursday, March 11, President Biden signed into law the  American Rescue Plan, a bold piece of legislation that is set to create 7 million jobs and ensure our nation’s road to recovery both physically and economically.  Within the package, additional unemployment...

On December 27, 2020, former President Trump signed into law The Consolidated Appropriations Act, 2021 (CAA21), which contains several tax law changes, including expanded eligibility for the Employee Retention Credit (ERC) for businesses whose PPP loan(s) made them...

Due to economic fall-out from the Coronavirus pandemic, Congress enacted the Coronavirus Aid, Relief, and Economic Security Act (or CARES Act), on March 27, 2020. In it, special distribution options and rollover rules for retirement plans and IRAs were introduced, as...

Congress passed a second round of COVID relief last week - what does this mean for small businesses? Payroll Protection Program (PPP) Loan Forgiveness Last spring, Congress made the forgiveness of PPP loans tax free.  The IRS then misinterpreted the law and made...

Few business owners understand the wealth of information contained in their balance sheet and profit and loss statements.  Your financial statements tell people how your company is performing, but they may be speaking a language you don’t yet understand. Every tax...

If you are a business owner who is looking to secure a mortgage, there are a few key concepts to remember. First, apply to a mortgage company that actually makes mortgage loans to business owners.  Most do not, so be sure to ask this question up front.  If you near...

Running a business without financial information is next to impossible.  You can never figure out if you’re making a profit.  You never know how much money is in the bank.  Big tax bills are an annual and unwelcome surprise. You may suspect your bookkeeper is failing,...

Good news for small businesses that received Paycheck Protection Program (PPP) loans of $50,000 or less! On October 9, the Treasury and U.S. Small Business Administration (SBA) announced that those recipients can now utilize a simplified application to request debt...

For this post, we are featuring the wisdom of one of our loyal S&K friends and clients, Bill Schmidt from Integrated Insurance Solutions, Inc. in Ashburn, VA. Bill is an expert on health insurance for small businesses, and the following is his insight on finding...

Every year the IRS issues millions of tax bills for items of income not reported on tax returns.  For example, if a taxpayer received a pension distribution during the year, but did not report the distribution as income, the IRS sends a bill for the taxes on the...

Last tax season more than a million taxpayers got nasty surprises when filing their income tax returns.  In prior years, they received small refunds or owed just a little.  However, due to changes in the tax withholding tables, many owed $10K or more. Tax planning can...

While many parts of the economy have seen a massive slow-down because of the Coronavirus pandemic, the Washington, DC-area real estate market has hardly faltered. If you are a local real estate agent, chances are you are busier than ever.  Don’t let your busy routine...

Many times each year, clients ask us if they should file separately from their spouses to pay less in income taxes.  To define this issue a bit, married couples can file their tax returns using one of two statuses: Married filing jointly or Married filing separately....

Just when I thought it was safe to come out of my bunker and start working on PPP forgiveness applications, Congress changed the rules. Thankfully for you, you aren't alone in figuring it out. S&K CPAs is here to help Both houses of Congress have passed the...

Luck is what happens when opportunity meets preparation. How many people heard this from their fellow business associates about a month ago: “You are so lucky to get the PPP money, you were so lucky to get the SBA EIDL loan, you are so lucky to be able to stay in...

’ll save the jokes for later and cut to the chase.  The quickest option to get money fast for your business is from your bank.  They have many more flexible programs than the SBA Disaster Loan Program.  In any event, these are all LOANS, and you must be creditworthy,...

I spent the weekend cooped up with a case of beer and guides to the tax law changes from the stimulus package that just passed Congress and was signed by President Trump. I expect that the fiscal fallout from the crisis will last a decade or more. Here is a pretty...

    While the world has been losing its marbles this past week, we at S&K CPAs have been bouncing back and forth from feverishly working on our clients’ tax returns and paying attention to what fresh changes there have been to the tax situation this...

Take your foot off the revenue gas pedal. Many business owners start retirement before retiring.  Keep growing revenue, profits, and cash flow.  Buyers are buying your customers and the revenue they bring.  Shrinking sales means a shrinking price. Many business owners...

Staying with SIMPLE plans.SIMPLE plans are a relic of the 1990’s.  You can consider them the poor man’s 401(k).  They allow for employee salary deferrals and have an employer matching component, but they come from an era when real 401(k) plans were expensive to setup...

For Your 401(k) Retirement Savings Plan, Which Powerful Benefit Would You Prefer? An immediate tax break with a Traditional account Tax-free withdrawals with a Roth account Even better, what if you didn’t have to choose? Roth vs. Traditional 401(k)s: A Taxing Dilemma ...

CPA’s and EA’s (Enrolled Agents) at S&K CPAs have a commitment to continuing education on new tax laws. I reviewed the 2018 tax returns for a small construction contractor prepared by an uncertified preparer.  The business was profitable, so I expected...

Not having a system to collect their deductions. Real estate agents hustle more than almost any other profession.  In the morning, they might work on promotional materials in the office, show houses to prospective buyers in the afternoon, and attend...

Every year the IRS issues millions of tax bills to taxpayers for items of income not reported on tax returns.  For example, if a taxpayer received a pension distribution during the year, but did not report the distribution as income, the IRS sends a bill for the taxes...

At least a hundred times per year, clients ask us if they should file separately from their spouses to pay less in income taxes.  To define this issue a bit, married couples can file their tax returns using one of two statuses: Married filing jointly, Married filing...

America is built on entrepreneurial chutzpah. Starting one’s own business may not be for the faint of heart, but knowing how to structure that business does not have to be the stuff of nightmares. The choice of forming a sole proprietorship, a partnership, a...

Last tax season more than a million taxpayers got nasty surprises when filing their income tax returns.  In prior years, they got small refunds or owed just a little.  However, due to changes in the tax withholding tables, many owed $10K or more. Tax planning can do...

  Buying or Selling a Home can impact your taxes in several ways Did you know that 673,000 homes were sold last year? That means over a million people had a major life change that most likely affected their taxes. At S&K CPAs, we see this all the time. If you are...