Posts by Marshele Scherrer

How Will The Mexican Tax Reform Impact You?

Although Mexico’s budget for 2019, which entered into effect as of January 1, 2019 does not include any new taxes, there are some changes that should be kept in mind during this fiscal year such as: Elimination of universal offset One of the most significant changes included in the 2019 tax reform is the elimination…

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What Is GILTI And How Does It Work?

Global Intangible Low Tax Income Global Low Tax Intangible Income (GILTI) is a new tax regime under the Tax Cuts and Jobs Act (TCJA). Under this regime, United States Shareholders of Controlled Foreign Corporations (CFC) will potentially have an income inclusion based on the net earnings and profits of the CFC, less a few exceptions,…

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The 5 Biggest Surprises for Businesses Arising from the New Tax Law

1) Owners of pass-through entities may get a significant deduction from the new 199A deduction, but it is a complex and time-consuming calculation. This new provision gives eligible businesses up to a 20 percent tax deduction on certain qualified business income. However, the new 199A deduction requires additional reporting for every pass-through entity. Because the deduction…

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R&A CPAs Awarded Top 400 Accounting Firms by Inside Public Accounting

FOR IMMEDIATE RELEASE Tucson, AZ— October 5, 2018 — R&A CPAs, announced today that it has been named to the 2018 INSIDE Public Accounting (IPA) Top 400 Firms. This annual ranking gathers surveys and analytical data from firms across the United States. For the most recent fiscal year, IPA Top 301-400 firms range in size…

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Beware of unexpected tax liabilities under new accounting and tax rules!

The Tax Cuts and Jobs Act (TCJA) contains a provision that ties revenue recognition for book purposes to income reporting for tax purposes, for tax years starting in 2018. This narrow section of the law could have a major impact on certain industries, especially as companies implement the updated revenue recognition standard under U.S. Generally…

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Don’t let collaborative arrangements cause financial reporting headaches

Businesses often enter into so-called “collaborative arrangements” when they partner with another entity on a major project. Unfortunately, the current guidance for these types of arrangements under U.S. Generally Accepted Accounting Principles (GAAP) is somewhat vague. Here are some questions that may arise as participants report shared costs and revenue on their income statements, along…

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Corporate culture: Rotten apples could spoil your financials

Auditors often say that the tone at the top of an organization trickles down to every level of the business. Is your company’s work environment ethical and open? If not, corporate culture assessments can help prevent and detect unethical and criminal behaviors. But, to cover all the bases, your external auditors generally must work closely…

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How The IRS Does and Does Not Contact Taxpayers

In order to help taxpayers avoid scams in which criminals impersonate IRS employees, IRS has issued a Fact Sheet in which it sets out the ways that it does and does not contact taxpayers. Here are various ways that legitimate IRS employees contact taxpayers. IRS initiates most contacts with taxpayers through regular mail delivered by…

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2 Tax Credits Just for Small Businesses May Reduce Your 2017 and 2018 Tax Bills

Tax credits reduce tax liability dollar-for-dollar, potentially making them more valuable than deductions, which reduce only the amount of income subject to tax. Maximizing available credits is especially important now that the Tax Cuts and Jobs Act has reduced or eliminated some tax breaks for businesses. Two still-available tax credits are especially for small businesses…

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