The federal estate tax exemption is a crucial concept for individuals with a significant estate, but its current high threshold may be slashed by half on Jan. 1, 2026, pending action by Congress. This article aims to demystify the estate and gift tax exemption, explain its impending change, and highlight the potential consequences of inaction for those who might be impacted. Understanding the Exemption The federal estate and gift tax exemption allows individuals to transfer a certain amount of wealth to their beneficiaries tax-free during their life or at their passing. This exemption currentl ..read more

Business Tax Differences Between United States and Canada The North American region offers exciting opportunities for businesses, but the tax landscape can be complex, especially when navigating the differences between the United States and Canada. Brandi Samuel, Windham Brannon’s International Tax Practice Co-Leader, recently talked with Paul Roberts and Glen MacMillan to delve into the key tax considerations for those venturing across the border, exploring income tax, sales tax, payroll and other crucial aspects. Taxation Tale of Two Nations Understanding the fundamental differences in taxat ..read more

Succession planning is a critical yet often overlooked aspect of running a business. Finding the right way to hand over the reins can be challenging, especially for businesses without a clear heir apparent. However, there is a solution that can benefit both the owner and the employees: Employee Stock Ownership Plans (ESOPs). ESOPs and Industry Versatility One of the attractions of ESOPs lies in their versatility. Unlike some succession strategies, ESOPs are not restricted by industry. Whether you run a manufacturing plant, a tech startup, or a local bakery, an ESOP can be a viable option for t ..read more

On April 18, 2024, Governor Brian Kemp of Georgia signed into law two significant bills – House Bill 1015 (HB 1015) and House Bill 1023 (HB 1023) – that will reduce taxes for both residents and corporations in the state. HB 1015 – Income Tax Relief for Georgians The centerpiece of the tax cut package is HB 1015, which lowers the state’s income tax rate from 5.49 percent to 5.39 percent beginning in 2024. This expedites the planned annual decrease of 0.1 percent until it reaches 4.99 percent. This may seem like a small change, but it translates to a modest tax cut for all taxpayers. The bill pa ..read more

For most U.S. citizens and resident aliens living abroad, now is a good time to be reminded that the deadline to file your 2023 tax return is June 17, 2024, including those with dual citizenship. This excludes those impacted by terrorist attacks in Israel, who have an automatic extension until Oct. 7, 2024. Extension Options For taxpayers abroad who cannot meet the June 17 deadline, you can automatically get an extension to file your return until Oct. 15, 2024, by filing Form 4868, Extension of Time to File U.S. Individual Income Tax Return. The additional two-month extension is for filing – y ..read more

Many construction company owners and contractors grapple with the challenge of succession planning, particularly for those with ownership of a closely held business. They’ve poured their heart and soul into building a successful business, and ensuring its legacy can be a major concern. One increasingly popular option for contractors is considering an Employee Stock Ownership Plan (ESOP). An ESOP is a tax-qualified retirement plan that provides for employee ownership in the company for which they work through allocated shares earned each year. ESOPs offer a unique solution that can address seve ..read more

On March 22, 2024, the Internal Revenue Service (IRS) announced an expansion of certain clean energy tax credits under the Inflation Reduction Act through Notice 2024-30, a move that aims to incentivize investment in renewable energy and other energy-saving measures. The Inflation Reduction Act of 2022 included provisions to broaden the reach of clean energy tax credits. Notice 2024-30 focuses specifically on expanding the definition of “energy communities” and the ability to include certain land-based equipment for offshore wind facilities, which can qualify for bonus credits. What are Energy ..read more

Since the start of the COVID-19 pandemic, companies have struggled with budgeting and forecasting inventory purchases. Some of the challenges have been related to unpredictable supply availability, volatile pricing, and erratic purchasing trends by traditionally predictable customers. This chaos on the inflows and outflows of inventory creates havoc for accounting and finance departments as they try to manage their cash flows and profitability metrics. Issues in Higher Inventory Levels In recent years, inventory levels have slowly increased as companies have held onto more inventory than ever ..read more

In December 2023, the Internal Revenue Service (IRS) released details regarding the Voluntary Disclosure Program (VDP or Disclosure) to help businesses pay back Employee Retention Credit (ERC) claims filed in error. Most errors are a result of improper eligibility determinations that now require full reversal of the ERC claim. There are many benefits of ERC-VDP that a business should not overlook in the event that they no longer believe they qualify for ERC. However, to avoid potential examinations and costly penalties and interest in the future, you must take action before March 22, 2024. Wha ..read more

Not-for-profit organizations are important members of many communities, providing essential services and programs to those in need. Sadly, like all organizations, they are susceptible to fraud, which can have a devastating impact on their ability to accomplish their missions. According to the Associate of Certified Fraud Examiners in their recent 2024 study, the median fraud loss for not-for-profit organizations is $76,000. While this number in fraud loss is half the size of those within other for-profit industries, even these numbers can be crippling for many not-for-profits, most of whom may ..read more