October 2018 - Page 2 of 4

Oct
26
2018

Per-diem rate change

The simplified per-diem rates are increasing for post-9/30/18 business travel. The IRS issued a notice of the “high-low” simplified per-diem rates for post-9/30/18 travel. The high-cost area per-diem increases to $287 (from $284) and the low-cost area per-diem increases to $195 (from $191). Under the high-low substantiation method, there’s one uniform per-diem rate for all “high-cost” areas within the continental United States, and another rate for all other areas. The IRS also made changes to its list of localities considered “high cost.” (Notice 2018-77)

Oct
26
2018

It’s Friday!

Oct
25
2018

The IRS has launched an easy-to-use webpage

The IRS has launched an easy-to-use webpage, IRS.gov/taxreform, with information about how the Tax Cuts and Jobs Act affects your taxes, with a special section focused on tax exempt entities.

The tax reform page features three areas designed specifically for:

Individuals – For example, standard deduction increase, child tax credit, withholding. Use the Withholding Calculator to make sure you’re withholding enough tax from your paycheck.

Oct
25
2018

529 plans offer two tax-advantaged education funding options

Section 529 plans are a popular education-funding tool because of tax and other benefits. Two types are available: 1) prepaid tuition plans, and 2) savings plans. A prepaid tuition plan guarantees tuition regardless of its cost when the child attends the school. A savings plan can fund expenses beyond college tuition on a tax-free basis. The TCJA expands the definition of qualified expenses to generally include elementary and secondary school tuition.

Oct
24
2018

Additional IRS guidance on virtual currencies is necessary

Additional IRS guidance on virtual currencies is necessary, according to the House Ways and Means Committee. In a letter to the IRS, committee members questioned the IRS on an uptick in enforcement actions being taken against holders of virtual currencies without the agency issuing additional guidance. The letter referred to several “robust enforcement actions on a number of fronts.” It cited the authority to seek the records of some 500,000 Americans who held virtual currencies between 2013 and 2015.

Oct
23
2018

Lightning day

Perfect Tucson day for some interesting lightning facts

-A single bolt of lightning is around 50,000F or 5 times hotter than the surface of the sun.
-The irrational fear of lightning is known as keraunophobia.
-There are two types of lightning, negative strikes and positive strikes. Positive strikes are 5 times more powerful than negative strikes.
-The odds of being struck by lightning in your lifetime is 1 in 3,000.

Oct
23
2018

Charitable IRA rollovers may be especially beneficial in 2018

If you’re age 70 1/2 or older, you can make direct contributions (up to $100,000 annually) from your IRA to a qualified charity without owing any income tax on the distributions. This break may be especially beneficial now because of TCJA changes that affect who can benefit from the itemized deduction for charitable donations. While you might be able to achieve a similar result from taking the RMD, contributing that amount to charity and taking an itemized deduction for the donation,

Oct
22
2018

Where to get answers to questions on the new employer tax credit for paid family and medical leave

Do you have questions on the new employer tax credit for paid family and medical leave? If so, see the IRS’s new Q&As on the credit: https://bit.ly/2IKNIWU. The IRS published the Q&As after issuing guidance on the credit in Notice 2018-71. For wages paid in tax years starting in 2018 and 2019, eligible employers can claim a general business credit equal to the “applicable percentage” of the amount of wages paid to “qualifying employees” during any period in which such employees are on “family and medical leave.” The Q&As define many of the terms.

Oct
22
2018

HBL Wears Pink

In support of Breast Cancer Awareness month, HBL Employees showed support by wearing Pink. We at HBL honor all who have been impacted by Breast Cancer.

Oct
19
2018

Volunteers are assets nonprofits must protect

One not-for-profit advocacy group estimates the value of the average volunteer at $24.69 an hour. Whether your entire workforce is unpaid or you rely on a few volunteers to support a paid staff, these assets must be safeguarded. Consider “professionalizing” your program with formal training, set schedules and performance reviews. To keep volunteers engaged, match their skills and interests with tasks. Also, make the work fun by facilitating friendships with other volunteers through mentoring and volunteer-only activities.