Consider Taxes before Converting Your Home to a Rental Property

August 17, 2017

It’s popular for property owners in certain markets to rent out their former residences. Doing so generates income that’s largely offset by tax deductions and allows you to potentially participate in the property’s future appreciation in value. Before making the home-to-rental conversion, however, it’s important to understand the special — and sometimes confusing — tax rules that apply when the property is rented and eventually sold.

Can Your Research Credits Offset Your Payroll Tax Bill?

August 7, 2017

Qualified small businesses have a new option for using their research tax credits: They can now elect to apply their credit to the Social Security tax portion of their federal payroll tax liabilities. That may come in handy for smaller start-ups with significant research expenses and little or no profits. Here are the details of recent IRS guidance on how to take advantage of this special privilege.

NH’s Hidden Gem: Taking advantage of the Economic Revitalization Zone Credit

July 28, 2017

By Holly Hoynacki and Lynne Westaway Here at HRH, we’ve seen a dramatic increase in businesses investing for growth and scale. With growth comes the need to invest in real estate improvements for additional offices, manufacturing or other business-related space. Recently, we’ve helped clients take advantage of a little known but extremely valuable NH business tax […]

Federal Tax News – June

July 18, 2017

1. Senate releases new version of its health care plan.
2. No division of early distribution penalty.
3. Hockey team’s meals are a de minimis fringe.
4. TIGTA audit looks at IRS processes for employment identity theft.
5. Court rules settlement payment was taxable.

Wedding Bells: Tax Issues to Consider Before Tying the Knot

July 12, 2017

If you or a loved one plan to get married this summer, there are some important financial issues the happy couple should consider. Should you file jointly or separately in 2017? Will you be hit with the marriage penalty — or be lucky enough to qualify for the marriage bonus? Here’s guidance to help answer these questions, along with a tax tip for newlywed property owners who need to combine their households.

The Ins and Outs of Deducting Legal Expenses

July 6, 2017

Many individuals are surprised to discover that legal expenses usually aren’t currently deductible under the federal income tax rules. Here are some exceptions to this general rule, including two recent real-life examples that highlight when legal expenses may, at least partially, be deductible.

Federal Tax News – May

June 27, 2017

1. Alimony details must be in writing.
2. Supreme Court rules church-affiliated employer pension plans.
3. A new way to make an estate tax portability election.
4. Certain IRS user fees to be paid electronically.
5. Court: Tax deductions require proof.

Not-for-Profit Organizations: Restricting Deductions on Restricted Gifts

June 19, 2017

Donors of large gifts often put restrictions on their donations. For example, a contribution may be for a specific purpose such as supporting scholarships or financing an endowment. However, such gifts are subject to extensive IRS regulations. This article looks at various types of restrictions and how they can affect a donor’s ability to take a tax deduction.

HRH welcomes summer interns

June 14, 2017

Howe, Riley & Howe welcomes Southern New Hampshire University (SNHU) students, Taylor Cook and Ana Byers as well as University of New Hampshire (UNH) student, William Boyce, to the firm as summer interns.