Efforts to Repeal New Form 1099 Rules Begin Today
November 29, 2010 | 
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Efforts to Repeal New Form 1099 Rules To Move to Senate Floor on Nov. 29- we will keep this post updated with changes to the law.
The Senate is set to vote Nov. 29 on two versions of legislation that would fully repeal a new law requiring businesses to file Form 1099 information reports to the government whenever they spend more than $600 on a single vendor.
The new Form 1099 requirements—created as a $17 billion revenue raiser for the Patient Protection and Affordable Care Act (Pub. L. No. 111-148) and expanded to include spending by landlords in the Small Business Jobs Act (Pub. L. No. 111-499)—have been broadly criticized by business groups and Republicans, who see them as an overly burdensome paperwork mandate.
Senate Finance Committee Chairman Max Baucus (D-Mont.) championed the new rules for those bills and resisted their repeal as recently as September, but growing pressure on Democrats from small businesses complaining about the rules prompted Baucus Nov. 15 to offer his own repeal bill (S. 3946) (219 DTR G-10, 11/16/10).
Baucus said he supported the new reporting requirements as a way to help cut down on tax evasion, but added: “I have heard small businesses loud and clear and I am responding to their concerns.”
Questions?
2010 Tax Tips Series- More Credits for Businesses
November 19, 2010 | Subscribe to our RSS Feed
Tax Tips and Planning for 2010 continues. We have looked closely at credits available to businesses hiring. Now we’ll focus on a few other opportunities for businesses to improve cash flow, including:
- Enterprise zone and other credits available to businesses based on their location (you can find the Enterprise Zone map here)
- Employee benefits credits
- Cost Segregation studies
- Credits for going green
Steve Albert, Tax Partner, speaks in more detail in the video below. If you think any of these areas may be relevant to your business, talk to Steve today.
steven.albert@glassjacobson.com
Jon Dinkins recognized by Eagle Scouts
November 17, 2010 | Subscribe to our RSS Feed
Jonathan Dinkins, Financial Services Partner at Glass Jacobson was awarded the “Eagle to Eagle” award by the Boy Scouts of America on November 9, 2010. The award is given to an adult Eagle Scout for demonstrating role model leadership back to scouting.
Jon is active with the Baltimore Area Council – Boy Scouts of America, serving on its Executive Board and numerous committees. Himself, an Eagle Scout, he believes in building a stronger community to improve the lives of Baltimore’s citizens.
New Rules- Take another look at R&D
November 4, 2010 | Subscribe to our RSS Feed
For many, the Research and Development (R&D) tax credit proves to be a driving force behind R&D activities. And for good reason- claiming R&D credits can mean tremendous tax savings for businesses. For many others the credit is only a dream as the Alternative Minimum Tax (AMT) rules limit the amount of the credit that can be currently used to little or nothing.
In previous years, falling subject to the AMT rules limited a taxpayer’s ability to take advantage of certain credits and deductions, including the R&D credit. You could claim the R&D credit, but could only carry it over for potentially future year’s use (when you were not subject to AMT).
However, in 2010, the R&D credit is not subject to the AMT rules. The new tax law changed this in 2010 for an eligible small business (ESB). An ESB can use 2010 General Business Credits to offset AMT. This will allow many business owners who were unable to take advantage of the credit until now to utilize the tax benefit of performing R&D activities.
If your business is improving its products, services, or processes, this is an especially important year to look at R&D credits.
Questions?