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Effectively harnessing technology provides businesses with valuable insights. Join our panel of SALT specialists as we illustrate how to streamline the intricacies of state and local tax compliance utilizing technology, all while discovering valuable data insights to inform critical business decisions.

A modern approach to complex state and local tax compliance leveraging technology

ARTICLE | November 21, 2023

Authored by RSM US LLP

Event overview

Corporate and partnership tax compliance extends beyond filing state income tax returns. Effectively harnessing technology provides businesses with valuable insights. Join our panel of SALT specialists as we illustrate how to streamline the intricacies of state and local tax compliance utilizing technology, all while discovering valuable data insights to inform critical business decisions.


Presenters

  • Phil Gaeta | Senior Manager | RSM US
  • Joe Gilley | Senior Manager | RSM US
  • Nicole Rooney | Senior Director | RSM US
  • Sherri York | Partner | RSM US

Learning objectives

Upon completion of this webcast, attendees will be able to:

  • Identify how embracing technology can shift compliance from excel and emails to a single visually collaborative project management platform
  • Demonstrate there is not a target deadline for tax compliance but a year-round relationship 
  • Explain how to utilize technology to generate efficiencies, mitigate risk, create customization based on reviewer, and document future opportunities
  •  Discuss how state and local tax compliance technology can be aligned to reduce rework

CPE credits

CPE credit available
RSM US LLP is pleased to offer 1.0 CPE credits for attending each webcast. To qualify, you must log in to the webcast and provide your first name, last name and email address. You must remain logged in for a minimum of 50 minutes and answer 75 percent of the polling questions to receive credit. Group CPE is not available. For more information regarding administrative policies, such as refunds, cancellations and complaints, please contact us.

RSM US LLP is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State Boards of Accountancy have the final authority on the acceptance of individual course for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org.

Advance preparation: None
Program level: Basic
Prerequisites: None
Delivery method: Group internet-based
Field of study: Taxes
CPE: 1.0 credits per webcast


Event details

Date and time
Tue, Nov 21, 2023
1 p.m. EST | Noon CST

Intended audience
CFO and Tax Executives

Duration
60 minutes

CPE credits
One CPE credit will be issued to eligible participants

Fee
Complimentary


This article was written by RSM US LLP and originally appeared on 2023-11-21.
2022 RSM US LLP. All rights reserved.
https://rsmus.com/events/2023-events/a-modern-approach-to-complex-state-and-local-tax.html

The information contained herein is general in nature and based on authorities that are subject to change. RSM US LLP guarantees neither the accuracy nor completeness of any information and is not responsible for any errors or omissions, or for results obtained by others as a result of reliance upon such information. RSM US LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect information contained herein. This publication does not, and is not intended to, provide legal, tax or accounting advice, and readers should consult their tax advisors concerning the application of tax laws to their particular situations. This analysis is not tax advice and is not intended or written to be used, and cannot be used, for purposes of avoiding tax penalties that may be imposed on any taxpayer.

RSM US Alliance provides its members with access to resources of RSM US LLP. RSM US Alliance member firms are separate and independent businesses and legal entities that are responsible for their own acts and omissions, and each are separate and independent from RSM US LLP. RSM US LLP is the U.S. member firm of RSM International, a global network of independent audit, tax, and consulting firms. Members of RSM US Alliance have access to RSM International resources through RSM US LLP but are not member firms of RSM International. Visit rsmus.com/aboutus for more information regarding RSM US LLP and RSM International. The RSM(tm) brandmark is used under license by RSM US LLP. RSM US Alliance products and services are proprietary to RSM US LLP.

Perry & Associates CPAs, A.C. is a proud member of the RSM US Alliance, a premier affiliation of independent accounting and consulting firms in the United States. RSM US Alliance provides our firm with access to resources of RSM US LLP, the leading provider of audit, tax and consulting services focused on the middle market. RSM US LLP is a licensed CPA firm and the U.S. member of RSM International, a global network of independent audit, tax and consulting firms with more than 43,000 people in over 120 countries.

Our membership in RSM US Alliance has elevated our capabilities in the marketplace, helping to differentiate our firm from the competition while allowing us to maintain our independence and entrepreneurial culture. We have access to a valuable peer network of like-sized firms as well as a broad range of tools, expertise, and technical resources.

For more information on how Perry & Associates CPAs, A.C. can assist you, please contact us.

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Cost-of-living adjustments to retirement plan limits for 2024 have been issued by the IRS in Notice 2023-75.

IRS releases 2024 retirement plan limitations

ARTICLE | November 03, 2023

Authored by RSM US LLP

2024 retirement plan limits released

The IRS issued Notice 2023-75, which made modifications to the annual limits for retirement plans. These limits are updated annually for cost-of-living adjustments.

IRS releases 2024 retirement plan limitations

2024 limits

Effective Jan. 1, 2024, the following limits apply:

2024

2023

2022

2021

401(k), 403(b) and 457 elective deferral limit

$23,000

$22,500

$20,500

$19,500

Catch-up contribution limit (age 50 and older)

$7,500

$7,500

$6,500

$6,500

Annual compensation limit

$345,000

$330,000

$305,000

$290,000

Defined contribution plan limit

$69,000

$66,000

$61,000

$58,000

Defined benefit plan limit

$275,000

$265,000

$245,000

$230,000

Definition of highly compensated employee

$155,000

$150,000

$135,000

$130,000

Key employee

$220,000

$215,000

$200,000

$185,000

IRA contribution limit

$7,000

$6,500

$6,000

$6,000

IRA catch-up contributions (age 50 and older)

$1,000

$1,000

$1,000

$1,000

SIMPLE IRA and SIMPLE 401(k) salary deferral limit

$16,000

$15,500

$14,000

$13,500

SIMPLE IRA and SIMPLE 401(k) catch-up limit

$3,500

$3,500

$3,000

$3,000

Income phase-out ranges for various individual retirement account (IRA) purposes increased from between $73,000 and $83,000 to between $77,000 and $87,000 for single and head-of-household taxpayers. Similar incremental changes were made to the limits for married filing jointly and married filing separately taxpayers. For more information, refer to Notice 2023-75.

Considerations

The increases to the 2024 limits are not as large as the increases were to the 2023 limits and reflect a slowdown in inflation. Of the limits shown in the table above, the IRA contribution limit showed the largest percent increase, followed by the annual compensation and defined contribution plan limits. No catch-up contribution limits were adjusted this year.

Impact of SECURE 2.0 on 2024 limits

  1. The SECURE 2.0 Act (Act) increased the amount that an IRA or defined contribution plan could pay in premiums for a qualified longevity annuity contract to $200,000 for 2023. This limit remains the same for 2024.
  2. The Act authorized indexing of the catch-up contribution limit for IRAs. Despite this change being effective for 2024, the cost- of- living adjustment procedures did not result in an increase to the IRA catch-up contribution limit.
  3. Participants in SIMPLE 401(k) and SIMPLE IRA plans can take advantage of an increased deferral limit of $17,600 (i.e., 110% of the $16,000 annual limit) if their employer meets one of the following conditions:
    1. has 25 or fewer employees receiving at least $5,000 of compensation, or
    2. has more than 25 but not more than 100 employees and makes either a 4% matching contribution or a 3% nonelective contribution.

      The 10% increase in the annual limit also applies to the catch-up deferral limit available to participants who are age 50 or older.

What should you do now?

The limits shown above become effective Jan. 1, 2024. Employers and employees should review these limit changes and consider how they are impacted. Employers sponsoring SIMPLE IRAs or SIMPLE 401(k)s should especially review whether the limit changes going into effect under SECURE 2.0 this upcoming year are applicable to them. Any necessary action to prepare for these limit changes, such as conversations with plan recordkeepers or third-party administrators, should be completed in the near term. Employers are also reminded that retirement plans that run on a fiscal year should be careful in applying these changes, as some limits are always calendar-year limits (e.g., the elective deferral limit), while other limits apply on a plan-year-beginning basis (e.g., the annual compensation limit).


This article was written by Bill O’Malley, Christy Fillingame, Lauren Sanchez and originally appeared on 2023-11-03.
2022 RSM US LLP. All rights reserved.
https://rsmus.com/insights/tax-alerts/2023/irs-releases-2024-retirement-plan-limitations.html

The information contained herein is general in nature and based on authorities that are subject to change. RSM US LLP guarantees neither the accuracy nor completeness of any information and is not responsible for any errors or omissions, or for results obtained by others as a result of reliance upon such information. RSM US LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect information contained herein. This publication does not, and is not intended to, provide legal, tax or accounting advice, and readers should consult their tax advisors concerning the application of tax laws to their particular situations. This analysis is not tax advice and is not intended or written to be used, and cannot be used, for purposes of avoiding tax penalties that may be imposed on any taxpayer.

RSM US Alliance provides its members with access to resources of RSM US LLP. RSM US Alliance member firms are separate and independent businesses and legal entities that are responsible for their own acts and omissions, and each are separate and independent from RSM US LLP. RSM US LLP is the U.S. member firm of RSM International, a global network of independent audit, tax, and consulting firms. Members of RSM US Alliance have access to RSM International resources through RSM US LLP but are not member firms of RSM International. Visit rsmus.com/aboutus for more information regarding RSM US LLP and RSM International. The RSM(tm) brandmark is used under license by RSM US LLP. RSM US Alliance products and services are proprietary to RSM US LLP.

Perry & Associates CPAs, A.C. is a proud member of the RSM US Alliance, a premier affiliation of independent accounting and consulting firms in the United States. RSM US Alliance provides our firm with access to resources of RSM US LLP, the leading provider of audit, tax and consulting services focused on the middle market. RSM US LLP is a licensed CPA firm and the U.S. member of RSM International, a global network of independent audit, tax and consulting firms with more than 43,000 people in over 120 countries.

Our membership in RSM US Alliance has elevated our capabilities in the marketplace, helping to differentiate our firm from the competition while allowing us to maintain our independence and entrepreneurial culture. We have access to a valuable peer network of like-sized firms as well as a broad range of tools, expertise, and technical resources.

For more information on how Perry & Associates CPAs, A.C. can assist you, please contact us.

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Notice 2023-65 provides guidance on the section 45L new energy efficient home credit as amended by the IRA.

New energy efficient home credit guidance

ARTICLE | October 25, 2023

Authored by RSM US LLP

Executive summary

The IRS issued Notice 2023-65, providing guidance on the new energy efficient home credit under section 45L as amended by the Inflation Reduction Act of 2022. Notice 2023-65 provides guidance on (1) the taxpayer eligible for the credit, (2) determining the amount of the credit, (3) energy saving requirements, (4) certification requirements and (5) substantiation requirements. 

Notice 2023-65

The Internal Revenue Service issued Notice 2023-65 (the Notice), providing guidance on the new energy efficient home credit under section 45L as amended by the Inflation Reduction Act of 2022 (IRA). Notice 2023-65 provides guidance on (1) the taxpayer eligible for the credit, (2) determining the amount of the credit, (3) energy saving requirements, (4) certification requirements and (5) substantiation requirements.

The Notice instructs that the section 45L credit for the taxable year equals the applicable amount for each qualified home constructed or manufactured by an eligible contractor and acquired by a person from such contractor after Dec. 31, 2022, and before Jan. 1, 2033, for use as a residence during the taxable year for which the taxpayer is claiming the 45L credit.

The taxpayer eligible to claim the section 45L credit is the eligible contractor that constructs or manufactures, in the case of a manufactured home, the qualified new energy efficient home (qualified home). The eligible contractor must also own and maintain a tax basis in the qualified home during the construction or production. Lastly, the eligible contractor must sell or lease the qualified home to an individual who uses the home as a residence during the taxable year. For manufactured homes, a qualified home may be acquired directly or indirectly from an eligible contractor. The Notice provides a safe harbor allowing an eligible contractor to rely on a dealer’s detailed statement concerning qualifying sales of manufactured homes under section 45L.

Under the IRA, the eligible contractor may claim a section 45L credit ranging from $500 to $5,000 per dwelling unit, depending on which energy savings criteria the home satisfies. For multifamily homes, section 45L offers  bonus credit amounts for meeting the prevailing wage requirements. 

The IRA set new energy savings requirements outlined in section 45(c) that look to certain Energy Star programs or zero energy home programs (ZERH programs) established by the Department of Energy (DOE). The Notice directs taxpayer to the Energy Star webpage or the DOE webpage to determine the energy savings requirements for single family, multi-family and manufactured homes. The Notice directs taxpayers to the same webpages to determine the requirements for the necessary certifications that a home has met the requirements of the applicable  Energy Star or ZERH program. 

An eligible contractor must meet the general recordkeeping requirements under section 6001 to substantiate qualifying for the section 45L credit. 

The Notice obsoletes Notice 2008-35 and Notice 2008-36 for qualified homes acquired after Dec. 31, 2022, however, both notices remain applicable for homes purchased or leased under former section 45L.

Takeaway

The Notice provides basic guidance related to the credit and confirms the need to consult the Energy Star and DOE webpages to proactively plan into the section 45L credit. Taxpayers may continue to rely on the old Notices for credit claims related to qualified homes acquired prior to Jan. 1, 2023, that meet the less stringent energy saving requirements. 


This article was written by Tracy Watkins, Jason Belbot, Brandin Travis and originally appeared on 2023-10-25.
2022 RSM US LLP. All rights reserved.
https://rsmus.com/insights/tax-alerts/2023/new-energy-efficient-home-credit-guidance.html

The information contained herein is general in nature and based on authorities that are subject to change. RSM US LLP guarantees neither the accuracy nor completeness of any information and is not responsible for any errors or omissions, or for results obtained by others as a result of reliance upon such information. RSM US LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect information contained herein. This publication does not, and is not intended to, provide legal, tax or accounting advice, and readers should consult their tax advisors concerning the application of tax laws to their particular situations. This analysis is not tax advice and is not intended or written to be used, and cannot be used, for purposes of avoiding tax penalties that may be imposed on any taxpayer.

RSM US Alliance provides its members with access to resources of RSM US LLP. RSM US Alliance member firms are separate and independent businesses and legal entities that are responsible for their own acts and omissions, and each are separate and independent from RSM US LLP. RSM US LLP is the U.S. member firm of RSM International, a global network of independent audit, tax, and consulting firms. Members of RSM US Alliance have access to RSM International resources through RSM US LLP but are not member firms of RSM International. Visit rsmus.com/aboutus for more information regarding RSM US LLP and RSM International. The RSM(tm) brandmark is used under license by RSM US LLP. RSM US Alliance products and services are proprietary to RSM US LLP.

Perry & Associates CPAs, A.C. is a proud member of the RSM US Alliance, a premier affiliation of independent accounting and consulting firms in the United States. RSM US Alliance provides our firm with access to resources of RSM US LLP, the leading provider of audit, tax and consulting services focused on the middle market. RSM US LLP is a licensed CPA firm and the U.S. member of RSM International, a global network of independent audit, tax and consulting firms with more than 43,000 people in over 120 countries.

Our membership in RSM US Alliance has elevated our capabilities in the marketplace, helping to differentiate our firm from the competition while allowing us to maintain our independence and entrepreneurial culture. We have access to a valuable peer network of like-sized firms as well as a broad range of tools, expertise, and technical resources.

For more information on how Perry & Associates CPAs, A.C. can assist you, please contact us.

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The IRS makes permanent e-signature guidance generated in response to COVID pandemic and launches online business tax account for sole proprietors

IRS updates e-signature policy and releases online accounts for sole proprietors

ARTICLE | October 24, 2023

Authored by RSM US LLP

Executive summary: Expanded digital capabilities

The IRS has confirmed that the signature guidance released in a response to the COVID pandemic has been moved into the Internal Revenue Manual where it is now standard operating procedure. The IRS has also expanded on-line accounts to include businesses operating as sole proprietors and added features to the Tax Pro account to enable practitioners to better manage power of attorney authorizations.

IRS updates e-signature policy and releases online accounts for sole proprietors

IRS e-signature policy

The IRS has updated the Internal Revenue Manual (IRM 10.10.1) to expand and make permanent authorizations for the use of digital signatures. Prior authorization applied only to forms signed and postmarked between Aug. 28, 2020 and Dec. 31, 2023. The IRM provides that a compliant e-signature satisfies requirements for legally binding electronic signatures outlined in IRM 10.10.1.3.1 and provides acceptable forms of e-signature.

IRS has designated that the following 41 forms can be electronically signed:       

  • Form 11-C, Occupational Tax and Registration Return for Wagering.
  • Form 637, Application for Registration (For Certain Excise Tax Activities).
  • Form 706, U.S. Estate Tax Return.
  • Form 706-A, United States Additional Estate Tax Return.
  • Form 706-GS (D), Generation-Skipping Transfer Tax Return for Distributions.
  • Form 706-GS (D-1), Notification of Distribution from a Generation-Skipping Trust.
  • Form 706-GS (T), Generation-Skipping Transfer Tax Return for Terminations.
  • Form 706-QDT, U.S. Estate Tax Return for Qualified Domestic Trusts.
  • Form 706 SCHEDULE R-1, Generation-Skipping Transfer Tax.
  • Form 706-NA, U.S. Estate (and Generation-Skipping Transfer) Tax Return.
  • Form 709, United States Gift (and Generation-Skipping Transfer) Tax Return.
  • Form 730, Monthly Tax Return for Wagers.
  • Form 1042, Annual Withholding Tax Return for U.S. Source Income of Foreign Persons.
  • Form 1066, U.S. Real Estate Mortgage Investment Conduit (REMIC) Income Tax Return.
  • Form 1120-C, U.S. Income Tax Return for Cooperative Associations.
  • Form 1120-FSC, U.S. Income Tax Return of a Foreign Sales Corporation.
  • Form 1120-H, U.S. Income Tax Return for Homeowners Associations.
  • Form 1120-IC DISC, Interest Charge Domestic International Sales – Corporation Return.
  • Form 1120-L, U.S. Life Insurance Company Income Tax Return.
  • Form 1120-ND, Return for Nuclear Decommissioning Funds and Certain Related Persons.
  • Form 1120-PC, U.S. Property and Casualty Insurance Company Income Tax Return.
  • Form 1120-REIT, U.S. Income Tax Return for Real Estate Investment Trusts.
  • Form 1120-RIC, U.S. Income Tax Return for Regulated Investment Companies.
  • Form 1120-SF, U.S. Income Tax Return for Settlement Funds (Under Section 468B).
  • Form 1127, Application for Extension of Time for Payment of Tax Due to Undue Hardship.
  • Form 1128, Application to Adopt, Change or Retain a Tax Year.
  • Form 2678, Employer/Payer Appointment of Agent.
  • Form 3115, Application for Change in Accounting Method.
  • Form 3520, Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Foreign Gifts.
  • Form 3520-A, Annual Return of Foreign Trust with a U.S. Owner.
  • Form 4421, Declaration – Executor’s Commissions and Attorney’s Fees.
  • Form 4768, Application for Extension of Time to File a Return and/or Pay U.S. Estate (and Generation-Skipping Transfer) Taxes.
  • Form 8038, Information Return for Tax-Exempt Private Activity Bond Issues.
  • Form 8038-G, Information Return for Government Purpose Tax-Exempt Bond Issues.
  • Form 8038-GC; Information Return for Small Tax-Exempt Governmental Bond Issues, Leases and Installment Sales.
  • Form 8283, Noncash Charitable Contributions.
  • Form 8453 series, Form 8878 series and Form 8879 series regarding IRS e-file Signature Authorization Forms.
  • Form 8802, Application for United States Residency Certification.
  • Form 8832, Entity Classification Election.
  • Form 8971, Information Regarding Beneficiaries Acquiring Property from a Decedent.
  • Form 8973, Certified Professional Employer Organization/Customer Reporting Agreement.
  • Elections made pursuant to Internal Revenue Code Section 83(b).

IRS online accounts

The IRS Business Tax account for sole proprietors went live this month. The new business tax account is for sole proprietors who file their business tax returns with an employer identification number. This initial version of the business tax account offers limited functionality. It allows taxpayers to view company information, grant employees access to the account and request a tax compliance check for the business.

IRS tax pro accounts

IRS also recently released enhanced functionality of the Tax Pro Account and added capabilities to the Individual Online Tax Account.

Tax pro accounts have been enhanced to link to a practitioner’s Centralized Authorization File (CAF) number. This now allows a practitioner to review all third-party authorizations attached to their CAF number and to withdraw authorizations no longer needed. The IRS plans to continue enhancing capabilities for all its online services in the coming months as part of the agency’s modernization efforts.

Taxpayers and practitioners with any questions or concerns about using an e-signature or IRS online accounts should contact one of the authors listed below.


This article was written by Alina Solodchikova, Evan Stone, John Cardone, Kori Pitts and originally appeared on 2023-10-24.
2022 RSM US LLP. All rights reserved.
https://rsmus.com/insights/tax-alerts/2023/irs-updates-e-signature-policy-releases-online-accounts-sole-proprietors.html

The information contained herein is general in nature and based on authorities that are subject to change. RSM US LLP guarantees neither the accuracy nor completeness of any information and is not responsible for any errors or omissions, or for results obtained by others as a result of reliance upon such information. RSM US LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect information contained herein. This publication does not, and is not intended to, provide legal, tax or accounting advice, and readers should consult their tax advisors concerning the application of tax laws to their particular situations. This analysis is not tax advice and is not intended or written to be used, and cannot be used, for purposes of avoiding tax penalties that may be imposed on any taxpayer.

RSM US Alliance provides its members with access to resources of RSM US LLP. RSM US Alliance member firms are separate and independent businesses and legal entities that are responsible for their own acts and omissions, and each are separate and independent from RSM US LLP. RSM US LLP is the U.S. member firm of RSM International, a global network of independent audit, tax, and consulting firms. Members of RSM US Alliance have access to RSM International resources through RSM US LLP but are not member firms of RSM International. Visit rsmus.com/aboutus for more information regarding RSM US LLP and RSM International. The RSM(tm) brandmark is used under license by RSM US LLP. RSM US Alliance products and services are proprietary to RSM US LLP.

Perry & Associates CPAs, A.C. is a proud member of the RSM US Alliance, a premier affiliation of independent accounting and consulting firms in the United States. RSM US Alliance provides our firm with access to resources of RSM US LLP, the leading provider of audit, tax and consulting services focused on the middle market. RSM US LLP is a licensed CPA firm and the U.S. member of RSM International, a global network of independent audit, tax and consulting firms with more than 43,000 people in over 120 countries.

Our membership in RSM US Alliance has elevated our capabilities in the marketplace, helping to differentiate our firm from the competition while allowing us to maintain our independence and entrepreneurial culture. We have access to a valuable peer network of like-sized firms as well as a broad range of tools, expertise, and technical resources.

For more information on how Perry & Associates CPAs, A.C. can assist you, please contact us.

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RSM’s 2023 year-end tax planning guide for individuals and business owners.

Year-end tax planning guide for individuals

GUIDE | October 16, 2023

Authored by RSM US LLP

On the horizon are several significant tax law changes affecting individuals, increasing the urgency for taxpayers to plan for scheduled decreases to various gift exemptions. Meanwhile, elevated interest rates are creating opportunities to lessen the tax burden of transferring wealth in some cases.

RSM has developed this tax planning guide to help you think through those and other considerations for 2023–24. The guide covers the following topics:

  • Lifetime exemptions
  • Annual exclusions
  • Transferring wealth in a high interest rate environment
  • Individual income tax rate
  • Digital assets
  • Beneficiaries of retirement plans
  • Charitable gifts

With changing market conditions and new policy developments, we are here to provide guidance and help evaluate and optimize the tax impact on your family. We hope this guide is a helpful summary for you and your family of tax changes and items that may be important going into 2024.


This article was written by Abbie Everist, Scott Filmore and originally appeared on 2023-10-16.
2022 RSM US LLP. All rights reserved.
https://rsmus.com/insights/services/business-tax/year-end-tax-planning-guide-for-individuals.html

The information contained herein is general in nature and based on authorities that are subject to change. RSM US LLP guarantees neither the accuracy nor completeness of any information and is not responsible for any errors or omissions, or for results obtained by others as a result of reliance upon such information. RSM US LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect information contained herein. This publication does not, and is not intended to, provide legal, tax or accounting advice, and readers should consult their tax advisors concerning the application of tax laws to their particular situations. This analysis is not tax advice and is not intended or written to be used, and cannot be used, for purposes of avoiding tax penalties that may be imposed on any taxpayer.

RSM US Alliance provides its members with access to resources of RSM US LLP. RSM US Alliance member firms are separate and independent businesses and legal entities that are responsible for their own acts and omissions, and each are separate and independent from RSM US LLP. RSM US LLP is the U.S. member firm of RSM International, a global network of independent audit, tax, and consulting firms. Members of RSM US Alliance have access to RSM International resources through RSM US LLP but are not member firms of RSM International. Visit rsmus.com/aboutus for more information regarding RSM US LLP and RSM International. The RSM(tm) brandmark is used under license by RSM US LLP. RSM US Alliance products and services are proprietary to RSM US LLP.

Perry & Associates CPAs, A.C. is a proud member of the RSM US Alliance, a premier affiliation of independent accounting and consulting firms in the United States. RSM US Alliance provides our firm with access to resources of RSM US LLP, the leading provider of audit, tax and consulting services focused on the middle market. RSM US LLP is a licensed CPA firm and the U.S. member of RSM International, a global network of independent audit, tax and consulting firms with more than 43,000 people in over 120 countries.

Our membership in RSM US Alliance has elevated our capabilities in the marketplace, helping to differentiate our firm from the competition while allowing us to maintain our independence and entrepreneurial culture. We have access to a valuable peer network of like-sized firms as well as a broad range of tools, expertise, and technical resources.

For more information on how Perry & Associates CPAs, A.C. can assist you, please contact us.

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RSM’s state and local tax year-end planning guide contains actions and ideas taxpayers should be thinking about.

State and local tax year-end considerations in 2023

GUIDE | October 16, 2023

Authored by RSM US LLP

State legislatures were once again in full swing in 2023, but the story of near-universal state surpluses from the last two years has reached its denouement. Cracks have begun to show in the fiscal foundation of state budgets, as tax revenues saw the first signs of declining growth—but not among all states or taxes.

Still, many states continued tax cuts. While the fiscal environment remains unclear, taxpayers should prepare for decreased tax revenue growth over the next couple of years. Less revenue may provide states an opportunity to revisit tax base or tax rate increases. Preparation is key.

Importantly, state taxpayers are never without planning opportunities. Below we address a number of potential focus areas that should be considered for year-end state and local tax planning depending on a taxpayer’s facts and circumstances. Many of the topics listed below create risk for taxpayers who ignore them completely and opportunity for taxpayers who plan ahead.

  • Nexus
  • Public Law 86-272
  • Gross receipts taxes
  • Sourcing
  • Apportionment
  • State transfer pricing
  • State income tax refund
  • Unitary taxation
  • Credits and incentives compliance
  • Sales and use tax process
  • Reverse sales and use tax audits
  • Digital assets

Learn more about these year-end considerations in our planning guide.


This article was written by Mo Bell-Jacobs, David Brunori, Brian Kirkell and originally appeared on 2023-10-16.
2022 RSM US LLP. All rights reserved.
https://rsmus.com/insights/services/business-tax/state-and-local-tax-year-end-considerations-in-2023.html

The information contained herein is general in nature and based on authorities that are subject to change. RSM US LLP guarantees neither the accuracy nor completeness of any information and is not responsible for any errors or omissions, or for results obtained by others as a result of reliance upon such information. RSM US LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect information contained herein. This publication does not, and is not intended to, provide legal, tax or accounting advice, and readers should consult their tax advisors concerning the application of tax laws to their particular situations. This analysis is not tax advice and is not intended or written to be used, and cannot be used, for purposes of avoiding tax penalties that may be imposed on any taxpayer.

RSM US Alliance provides its members with access to resources of RSM US LLP. RSM US Alliance member firms are separate and independent businesses and legal entities that are responsible for their own acts and omissions, and each are separate and independent from RSM US LLP. RSM US LLP is the U.S. member firm of RSM International, a global network of independent audit, tax, and consulting firms. Members of RSM US Alliance have access to RSM International resources through RSM US LLP but are not member firms of RSM International. Visit rsmus.com/aboutus for more information regarding RSM US LLP and RSM International. The RSM(tm) brandmark is used under license by RSM US LLP. RSM US Alliance products and services are proprietary to RSM US LLP.

Perry & Associates CPAs, A.C. is a proud member of the RSM US Alliance, a premier affiliation of independent accounting and consulting firms in the United States. RSM US Alliance provides our firm with access to resources of RSM US LLP, the leading provider of audit, tax and consulting services focused on the middle market. RSM US LLP is a licensed CPA firm and the U.S. member of RSM International, a global network of independent audit, tax and consulting firms with more than 43,000 people in over 120 countries.

Our membership in RSM US Alliance has elevated our capabilities in the marketplace, helping to differentiate our firm from the competition while allowing us to maintain our independence and entrepreneurial culture. We have access to a valuable peer network of like-sized firms as well as a broad range of tools, expertise, and technical resources.

For more information on how Perry & Associates CPAs, A.C. can assist you, please contact us.