NAIC Announces Adoption of INT 18-01: Updated Tax Estimates under the Tax Cuts

On February 8, 2018, the Statutory Accounting Principles Working Group (SAPWG) for the National Association of Insurance Commissioners (NAIC) met via conference call to discuss INT 18-01: Updated Tax Estimates under the Tax Cuts and Job Act (the Act). Three issues were discussed: Reporting and updating estimates related to the Act Reporting Changes to Deferred […]

Alternative Minimum Tax Changes for Individuals and Businesses

One of the policy changes of the 2017 Tax Cuts and Jobs Acts concerned the Alternative Minimum Tax (AMT). The AMT system is separate from the traditional tax system, functioning on a completely different set of deductions and exemptions. Some taxpayers end up paying more than they normally would due to the AMT requirements. However, […]

Pennsylvania Changes Audit Requirement Thresholds

The nonprofit industry in Pennsylvania will see a few changes after Governor Wolf’s recent legislative signing of Act 71 of 2017. Act 71, signed into law by Governor Wolf in December of 2017, raises the annual contribution levels that will trigger an automatic audit for a nonprofit organization. The new limits will take full effect […]

Applying the R&D Credit to Payroll Taxes

Each day, businesses in nearly every industry conduct research and development work to improve their products and software. Unfortunately, many of them miss out on a valuable perk: the Research & Development (R&D) Tax Credit. The R&D credit is intended to incentivize and stimulate research and development activities, but many small businesses and start-ups neglect […]

R&D Credits for the Construction Industry

When most people think of the term “research and development,” they picture lab coats, but far more activities are eligible for the credit, including many undertaken by the construction industry. Let’s take a look at some of the projects that could qualify for the R&D credit and what contractors should know to make use of […]

Accounting for Contractors: Cash or Accrual Method

For most contractors, the decision to use the cash or accrual method is not a simple decision, but it’s one of the first significant decisions about the business they’ll make. Cash vs. Accrual Cash basis. Income is recorded as it is received and expenses as they’re paid. This method does not take into account any […]

New FASB Lease Accounting Standard Changes Effective 2020

Financial Statements

By now, most accountants, and many other financial professionals, are aware that a significant change is coming in lease accounting. Considering that almost all entities, for-profit and nonprofit alike, lease vehicles or equipment or real estate, this update will have a far-reaching impact. The existing Financial Accounting Standards Board (FASB) lease guidance, dating back to […]

Pennsylvania Tax Law Changes from the 2017 – 2018 Budget

Governor Wolf signed House Bill 542 into law on October 30, 2017. This legislation makes various changes and additions to the Pennsylvania tax code. A few of the tax highlights from the bill are as follows: NOL Flat Dollar Cap Eliminated The legislation eliminates the $5 million flat dollar cap on PA CNI NOL deductions […]