On December 22, 2017, President Donald Trump signed into law the Tax Cuts and Jobs Act (TCJA), which among other changes, changed the ability for businesses to deduct business interest expenses. The business interest expense limitation applies to all businesses with gross receipts exceeding an average of $25 million for the prior 3 years. For … Read more
As we navigate through year three of COVID and begin to feel more comfortable in the new normal, we are excited to see our communities flourish and events take place to benefit the amazing non-profit organizations that help our citizens shine. This is especially exciting at ADKF because that means our family can once again … Read more
Jessica Winn, at 29 years old, is one of the youngest Certified Public Accountants (CPA) at our firm. Jessica joined ADKF in 2021 as part of our Tax Staff. Raised in Chihuahua, Mexico, Jessica and her family moved to San Antonio when she was 14 years old. Jessica immersed herself in all things San Antonio, … Read more
There are two methods of maintaining accounting records to track income and expenses for businesses. The accrual method records income when earned and expenses when incurred, as opposed to the cash method, which records income when payment is received and expenses when payment is made. The use of either method will affect how a business … Read more
If you or your business have ownership of a foreign entity, you may have some specific tax reporting requirements. Here is a brief overview of the tax reporting requirements for different types of businesses. First, there is some specific terminology that applies to foreign tax: A U.S. Person is an individual citizen or resident of … Read more
One of the most important decisions to make as you bring in outside help in your business or home is whether to classify those workers as employees or independent contractors with the IRS. It sounds pretty straight-forward. However, even the IRS recognizes that there is no magic formula, and misclassification can result in substantial penalties … Read more
Are you a casual gambler? If you are, this article is for you! Gambling winnings are fully taxable and must be reported as Other Income on your tax return (Form 1040 or 1040-SR). When you have winnings, you are issued Form W-2G from the place where your winnings occurred. This form shows your reportable winnings … Read more
Do you have a home office? What about an extra room or personal space in your household where you do a majority of your work from home? If so, it may be possible to receive a home office deduction. In order to do so, you must meet the requirements for qualification. When operating a business … Read more
You may have seen or heard advertisements for identity theft protection. Usually, the advertisement or commercial will use humor to make a point. If you have become a victim of identity theft, you can agree that it is no laughing matter. According to the Federal Trade Commission, in 2020, there were nearly 1.4 million reports … Read more
If you own a business, then you have dealt with sales/use tax. Whether it is when purchasing materials and supplies or when selling a product to a customer, sales tax is a part of any business and poses potential risks. Larger businesses have internal personnel who are tasked specifically with sales/use tax compliance, audits, and … Read more