WCG Blog

Overview of the One Big Beautiful Bill (OBBB) Before we dive into the nitty gritty of this new bill, here

Key Takeaways The short-term rental (STR) loophole lets losses be treated as non-passive if average stays are 7 days or

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Key Takeaways Time logs must be kept in real-time to meet IRS “contemporaneous” standards. Record all time spent on rental

Key Takeaways New federal filing for most small businesses (99% affected) — part of the Corporate Transparency Act starting Jan.

With state apportionment and tax return preparation, there are two issues at play- apportionment itself, and then state tax return

Key Takeaways WCG leaders visited their 23-person India team in Ahmedabad to train, launch tax season, and build connections. The

Key Takeaways Cost segregation (CostSeg) helps real estate investors accelerate depreciation, lower taxes, and increase cash flow. A cost segregation

Key Takeaways IRS underpayment penalties apply when you don’t pay enough taxes throughout the year. In 2024, the IRS interest

Key Takeaways Rental losses are often limited by passive activity rules, which cap deductions for non-passive income. Passive loss limits

Key Takeaways CRNAs working as 1099 contractors are business owners, making many tax deductions available that W-2 employees cannot use.

Key Takeaways Cost segregation lets you accelerate depreciation on real estate by separating property into shorter-lived asset classes. Standard depreciation

Key Takeaways Changing your business or home address involves multiple agencies and forms, including IRS, state revenue departments, and local

Key Takeaways Passive investor status can reduce self-employment taxes, allow deductions against passive income, and avoid mandatory salaries in S

Key Takeaways WCG CPAs & Advisors partners with BiggerPockets to support real estate investors with tax and financial services. BiggerPockets

Key Takeaways Pass-through entity tax (PTET) allows certain states to reduce federal taxable income for partnerships and S corporations, potentially

Key Takeaways Multiple paths to real estate investing: Buy & hold, fix & flip, fix & hold, short-term rentals (STR),

Key Takeaways Investment account types: Taxable brokerage accounts, traditional retirement accounts (IRAs, 401Ks, SEP IRAs), and Roth accounts; each has

Key Takeaways Don’t read instructions carefully: Reply without understanding, then blame your accountant when issues arise. Compare yourself to others:

Key Takeaways Focus on wealth, not just tax savings: Sometimes paying more taxes strategically can help grow your business and

Key Takeaways 529 to Roth IRA conversion starts in 2024: Allows overfunded or unused 529 plan funds to move into

Key Takeaways SECURE Act Roth 401k catch-up rule delayed: Originally would require workers 50+ earning over $145,000 to make catch-up

Key Takeaways Communication preferences: WCG primarily uses emails and texts to fit client schedules and keep a record, but phone

Key Takeaways Roth 401k vs. Traditional 401k: Roth 401k contributions are post-tax, have higher limits, and no income phaseouts, unlike

Key Takeaways Tax planning is year-round: Waiting until December creates stress; ongoing planning yields better decisions and savings. Start with

Key Takeaways WCG offers a Fractional Controller service: Acts as your single point of contact while Bench handles the back-office

Key Takeaways PPP loans are taxable in a roundabout way: While the loan itself isn’t income, expenses paid with PPP

Key Takeaways S Corp vs C Corp: Switching from S Corp to C Corp mainly for the 21% corporate tax

Key Takeaways PPP Overview: The Paycheck Protection Program (PPP) provided forgivable loans to small businesses to cover payroll, rent, utilities,

The history of WCG CPAs & Advisors starts off like many CPA firms. Tina Watson obtained her CPA license in May 2003.

Key Takeaways This post focuses on frequently asked questions about PPP loan forgiveness, not on calculating the loan amount. Maintain

Key Takeaways The Paycheck Protection Program (PPP) is a $350 billion SBA loan program created under the CARES Act to

Key Takeaways More family time as people stay home, reconnect, and enjoy simple activities together. Schools are shifting to online

Key Takeaways Federal tax filing and payment deadline for 2019 extended from April 15 to July 15, 2020. Interest and

Key Takeaways Online tax accounting makes filing simple, secure, and contactless. WCG has been offering remote tax preparation since 2007

Key Takeaways SECURE Act 2019 boosts retirement flexibility and small business benefits. Start-up 401k plans can get higher tax credits—up

Key Takeaways Small business tax deductions save money but must be reasonable and well-documented. Unreasonable deductions trigger IRS suspicion and

Key Takeaways Reasonable salary for S Corp shareholders can vary widely depending on methodology and inputs—$193K vs. $113K in one

Key Takeaways WCG launched its first small business podcast and video series to discuss entity formations and considerations. The content

Key Takeaways Working from home is increasingly common, but it raises tax questions about home office deductions. Two methods exist

Key Takeaways Electing S corporation taxation for your LLC can reduce self-employment taxes, but the transition comes with challenges. Past

Key Takeaways Electing S Corp status requires all shareholders to pay themselves a reasonable salary to comply with IRS rules.

Key Takeaways The Section 199A deduction allows certain small business owners to deduct up to 20% of qualified business income

Key Takeaways Side hustles can be exciting, but without a documented profit motive, the IRS may classify them as a

Key Takeaways Charitable donations can support causes you care about and may provide tax deductions. To be deductible, donations generally

Key Takeaways SSTB Overview: Certain professions like accountants, physicians, attorneys, consultants, and financial advisors are classified as Specified Service Trade

Key Takeaways Focus on Wealth, Not Just Taxes: Prioritize building business value first; tax savings are secondary. Lending Considerations: Excessive

Key Takeaways Cash vs. Accrual Accounting: Cash-basis records revenue when received and expenses when paid; accrual-basis records revenue when earned

Key Takeaways Employee Ownership as an Exit Strategy: Selling or transferring a business to employees can support succession planning and

Key Takeaways Section 199A Overview: Created by the Tax Cuts and Jobs Act of 2017, it offers a 20% deduction

Key Takeaways Accountable Plans: Employee reimbursements aren’t taxable if expenses are properly documented and excess reimbursements are returned. Ordinary &

Key Takeaways Section 199A Basics: Pass-through deduction equals 20% of qualified business income (QBI), but deductions like self-employment tax, health

Key Takeaways Section 199A gives small business owners a 20% deduction on qualified business income (QBI). S Corporations reduce self-employment

Key Takeaways Section 199A offers a 20% deduction for small business income, including certain rental income. Rental properties can qualify

Key Takeaways Tax Cuts and Jobs Act of 2017 created the Section 199A Qualified Business Income (QBI) Deduction for business

Key Takeaways Section 199A Qualified Business Income Deduction (QBID) gives individuals a 20% deduction on qualified business income from eligible

Key Takeaways WCG’s 2019 Edition book covers LLCs, S Corps, Section 199A deductions, meals and entertainment rules, and other small

Key Takeaways The Section 199A deduction from the 2017 Tax Cuts and Jobs Act provides a tax break for business

Key Takeaways IRS Notice 2018-76 restores business meals deductions that were unclear after the 2017 Tax Cuts and Jobs Act.

Key Takeaways Section 179 makes buying business vehicles tax-friendly with deductions for equipment and vehicles, including 100% Bonus Depreciation. Certain

WCG (formerly Watson CPA Group) employs both Certified Public Accountants and Enrolled Agents. We get the “what is the difference

Key Takeaways The U.S. is experiencing record wealth and low unemployment, but income growth is heavily skewed toward the top

Key Takeaways Section 199A deduction, introduced by the 2017 Tax Cuts and Jobs Act, can be complex to calculate and

Key Takeaways Adding a spouse to payroll can make sense, but it comes with additional payroll taxes and other considerations.

Key Takeaways Your tax home is generally where you work most and where your main business or job is located;

Key Takeaways The Joint Committee on Taxation (JCT) combines input from the House Ways and Means Committee and the Senate

Key Takeaways Qualified education expenses are deductible only if the education improves your current job skills or is required by

Key Takeaways Wayfair decision changed sales tax rules: Online retailers can now be required to collect sales tax even without

Key Takeaways Mortgage interest deduction limit: Acquisition debt for homes purchased after Dec. 15, 2017, is limited to $750,000 (previously

Key Takeaways Business meal deductions largely gone: Under the Tax Cuts and Jobs Act of 2017, meals with clients or