By Christian Crocker, CPA The Qualified Business Income Deduction is a relatively new tax deduction enacted under the 2017 Tax Cuts and Jobs Act (TJCA), that is eligible to all individual taxpayers who have income either through a pass-through entity (S-corporation or partnership), rental income (Schedule E), or are self-employed (Schedule C). The term Qualified […]

Generally, except for home mortgage interest, personal interest expense isn’t deductible for federal income tax purposes. With the passage of the One Big Beautiful Bill Act (OBBBA), another exception has been added. That is, you might be able to deduct your car loan interest. But various rules and limits apply. The specifics The OBBBA allows […]

Remote work can offer advantages for both employers and employees. But it’s not without problems, such as unexpected tax consequences. State tax issues for employees Remote work allows employees to live in one state and work for an employer in another, which can create complex tax issues. Each state has the right to tax people […]

For income tax purposes, a business loss generally occurs when a business’s deductions for the year exceed its revenue. Any business, whether new or established, can face losses. Fortunately, the net operating loss (NOL) deduction can turn the pain of a loss this year into tax savings for next year and, perhaps, beyond. How to […]

The “high-low” per diem method is a simplified way to reimburse employees who travel for your business compared to tracking actual business travel expenses. For most areas within the continental United States, the per diem rate for October 1, 2025, through September 30, 2026, is $225 ($151 for lodging and $74 for meals and incidental […]

Charities obviously benefit when you donate cash and property to them. But you can also benefit by securing a tax deduction if you comply with the tax rules. Start by ensuring you’re donating to a qualified charitable organization with tax-exempt status. A tool on the IRS website — the Exempt Organizations Select Check — allows […]

Even during the last two months of the year, you can take steps to reduce your 2025 tax liability. Here are five practical strategies to consider. 1. Use bunching to maximize deductions If your itemized deductions are close to the standard deduction, consider a “bunching” strategy. This means timing certain payments (such as mortgage interest, […]

Holiday season is here once again, and for some workplaces, that means holiday parties. Although the rules for deducting business entertainment expenses changed several years ago, you may still qualify for some holiday party write-offs for this year, possibly even the entire cost. As you plan, understand the rules so you can avoid potentially costly […]

As this year comes to a close, business owners seeking to reduce their taxes for 2025 have more opportunities to do so under the One Big Beautiful Bill Act (OBBBA). One such opportunity is first-year bonus depreciation. It had been scheduled to be only 40% for 2025 (60% for certain long-production assets) and to vanish […]

The One Big Beautiful Bill Act (OBBBA) introduces a range of tax changes that will impact businesses. Many provisions set to expire this year are now being extended or made permanent. Below is a snapshot of two important changes to help you make the most of tax planning in the fourth quarter of 2025 and […]

Depending on your situation, you may be able to claim certain medical expenses as deductions on your tax return. However, you must itemize deductions, and having enough expenses to qualify can be challenging. Here are five tips to keep in mind: 1. Consider ”bunching” expenses. You can only deduct unreimbursed medical costs that exceed 7.5% of […]

The One Big Beautiful Bill Act (OBBBA), enacted on July 4, will allow more taxpayers to fully deduct their state and local tax (SALT) expenses (including property tax), providing much needed breathing room to many Americans. Here are the details. SALT deduction expanded Under the Tax Cuts and Jobs Act, the itemized deduction for state […]

Older Americans weren’t forgotten in the One, Big, Beautiful Bill Act. For 2025 through 2028, individuals age 65 and older may be able to claim a new senior deduction of up to $6,000, subject to income-based phaseouts. This deduction is available whether or not the taxpayer itemizes. If both spouses of a married couple filing […]

The One, Big, Beautiful Bill Act (OBBBA) brings a wide range of tax changes, with several key updates designed to support families. Among the many provisions, here are three with the potential to lower your tax bill. 1. Boosted Child Tax Credit – with a new rule Beginning in 2025, the Child Tax Credit (CTC) […]

If you’re a small business owner or you’re self-employed, there’s good news on the tax front. The Section 199A qualified business income (QBI) deduction – a powerful tax-saving opportunity since 2018 – was initially set to expire in 2025. But thanks to the recent enactment of the One, Big, Beautiful Bill Act (OBBBA), it’s not […]

On July 4, President Trump signed into law the far-reaching legislation known as the One, Big, Beautiful Bill Act (OBBBA). As expected, it extends and enhances many of the tax breaks from the Tax Cuts and Jobs Act (TCJA). It also includes several of Trump’s campaign promises — though many are only temporary — and […]

If your federal tax withholding isn’t enough to cover your total tax liability, you may need to make estimated tax payments. This typically applies if you earn income from sources such as interest, dividends, self-employment, capital gains, or other taxable income. The following rules explain how to make these payments without incurring an underpayment penalty. […]

Market volatility may have shrunk your traditional IRA, but that could be an opportunity. A lower account value means you can convert to a Roth IRA and pay less tax on the conversion. Traditional vs. Roth IRAs Traditional IRA contributions may be deductible (depending on income and employer-sponsored retirement plan participation). Funds grow tax-deferred, but […]

When it comes to taxation, partners in a business may find the math a bit puzzling. You may discover that the amount of partnership income you’re taxed on is more than the amount that was distributed to you. That’s a quirk of taxation that lies in the way partnerships and partners are taxed. Pass-through taxation […]

The One Big Beautiful Bill Act (OBBBA) introduces a notable, though temporary, revision to the federal State and Local Tax (SALT) deduction cap. Originally imposed by the 2017 Tax Cuts and Jobs Act (TCJA), the SALT cap limited the amount of state and local income, sales, and property taxes that taxpayers could deduct from their […]

July 31 Employers must file the second quarter Form 941, Employer’s Quarterly Federal Tax Return. (If your tax liability is less than $2,500, you can pay it in full with a timely filed return.) Also, employers must deposit FUTA taxes owed through June if the liability is more than $500. Employers that provide a retirement plan […]

Don’t let the name “nanny tax” fool you. It’s a tax that applies to the wages of a variety of types of household help you hire – such as a nanny, gardener or housekeeper. Hiring extra help can ease the burden of home-related tasks, especially in the summer when the kids are home or the […]

Once a tax return is filed, most people breathe a little easier. But it’s not uncommon to realize too late that something was left off a return, figures were misreported or some other error was made. Accuracy is essential, but, depending on the type of error, an amendment may not be required. Reasons to amend […]

Businesses close for various reasons. Perhaps you’re ready to embark on a welcome change such as retirement or launching a new venture. Or maybe it just no longer makes financial sense to continue operating your current business. Whatever the reason, closing your business is a significant milestone, and part of wrapping things up means taking […]

When cash is tight, many businesses turn to bartering for goods and services instead of paying dollars for them. If your company gets involved in such transactions, remember that there are tax consequences. Bartering defined Bartering is simply the exchange of services or property, and it’s a taxable event. For example, suppose a computer consultant […]

If you’re thinking about helping a child or grandchild pay for school, you’re not alone – and you’re not without help. While families have always saved for education, Section 529 plans have made it easier and more tax-efficient. Tax advantages With a 529 plan, your contributions grow tax-deferred, and no taxes are due when the […]

Ever since you became a business owner, you’ve focused on growing revenue, managing expenses and leveraging tax advantages. But don’t overlook a critical element of your long-term financial well-being, that is, a business exit strategy. Ideally, your exit strategy will help you meet your retirement and estate planning goals. Multiple-owner businesses A buy-sell agreement is […]

It may not be as fun to plan as the wedding venue, invitations and attire, but marriage can result in changes affecting essential tax issues that need prompt attention following the wedding: Name. If your name has changed, report it to the Social Security Administration (SSA) so that the name on your Social Security card matches […]

The accounting method your business uses to report income for tax purposes – cash or accrual – can significantly impact your tax bill. While the cash method can offer tax-saving opportunities, the accrual method may be more appropriate – or required – in some cases. So review your current method to help ensure you’re using […]

Sasserath & Co. Managing Partner Alan R. Sasserath is a recognized leader in taking both Long Island and international businesses to the next level. Sasserath’s technical experience includes working with high-net-worth individuals and closely held businesses, dealing with matters related to both domestic and international tax. His industry experience includes working with companies in the technology, […]

The consequences of misclassifying an employee as an independent contractor can be costly. You could be liable for back taxes (including the employee’s shares of unpaid payroll and income taxes), penalties and interest. There may be serious nontax consequences as well. How important is this? Businesses must withhold federal and state income taxes and the […]

If you own a company and travel for business, you may wonder whether you can deduct all the costs of having your spouse accompany you on trips. It’s possible, but the rules are restrictive. When your spouse is also your employee If your spouse is your employee, you may be able to deduct most of […]

Most people feel some relief after filing their income tax returns each year. But even if you’ve successfully filed your 2024 return, you may still have questions. Here are three common ones: 1. What’s the status of your refund? You can learn the status of your tax refund using an IRS online tool. Go to irs.gov […]

Making a family loan isn’t the only way to assist a loved one with purchasing a home. If you aren’t concerned about being paid back, a straightforward option is gifting cash. In 2025, you can give up to $19,000 to anyone without federal gift tax consequences under the gift tax annual exclusion. If your loved […]

If you’ve filed your 2024 tax return, you may be eager to do some spring cleaning, starting with tax-related paper and digital clutter. The documentation needed to support a tax return may include receipts, bank and investment account statements, K-1s, W-2s, and 1099s. How long must you save these records? Three years is the general […]

Payroll fraud schemes can be costly. According to a 2024 Association of Certified Fraud Examiners (ACFE) study, the median loss generated by payroll fraud incidents is $50,000. It’s essential to know the payroll schemes making the rounds and how to prevent them – or at least catch them before they go on very long. Common […]

Whether you’re a casual or professional gambler, your winnings are taxable. However, the Treasury Inspector General for Tax Administration reports that gambling income is vastly underreported. Failing to report winnings accurately can lead to back taxes, interest and penalties. Here’s what you need to know to stay compliant and potentially minimize your tax liability. Reporting […]

The term “sandwich generation” was coined to describe baby boomers caught between caring for their aging parents and their children. The term now applies to whichever generation is grappling with the problem, today most commonly Generation Xers and older Millennials. If you’re in the middle of the sandwich, it may be time for honest discussions […]

April 15 – Individuals must file (or extend) their 2024 personal returns and pay any tax due. Individuals, trusts and calendar-year corporations must pay first-quarter estimated taxes. Individuals must file a 2024 gift tax return or file for an extension and pay any gift tax due. Calendar-year trusts and estates must file 2024 returns or file […]

Any U.S. person with a financial interest in or authority over foreign financial accounts may be required to file a Report of Foreign Bank and Financial Accounts (FBAR). An FBAR is required if the aggregate value of the accounts exceeds $10,000 at any time during the calendar year. FBARs are due April 15 of the […]

If you’re preparing to file your 2024 federal income tax return and your tax bill is higher than you’d expected – or your tax refund is smaller than you’d hoped — there might still be an opportunity to change it. If you qualify, you can make a deductible contribution to a traditional IRA until the […]

After successfully navigating the start-up phase, your business has a strong foundation for growth. At the growth stage, business and financial advisory services become essential. Focus on these two key areas to elevate your company to the next level. 1. Financial and tax reporting Businesses in the growth stage usually have more sophisticated financial reporting […]

If you own or manage a business with employees, you could be personally responsible for paying a harsh tax penalty. It’s called the Trust Fund Recovery Penalty (TFRP). It applies to Social Security and income taxes, which must be withheld from employees’ wages. These taxes are government property employers collect and hold in “trust” for […]

By Alan Sasserath, CPA, Managing Partner I am pleased to announce that Bruce A. Rosen, CPA has joined Sasserath & Co. as a new partner. Bruce brings over 35 years of public accounting experience, the majority of which was spent managing his own firm. He has successfully collaborated with clients across diverse sectors, including real […]

By Dylan Colucci As the incoming administration works on its economic plans, several new tax changes are being proposed. These changes could affect everything from business taxes to taxes on personal income, as well as trade policies. Here’s a breakdown of the main proposals:  CORPORATE TAXES  The proposed plan suggests cutting the corporate tax rate from […]

Sasserath & Co. is pleased to announce Tax Supervisor Sean Laurie has been selected by Long Island Business News as an honoree of the 2024 Business & Finance Awards. The Leaders in Business & Finance awards recognizes financial professionals who have made outstanding contributions to their organizations and to the Long Island community during the past year. Laurie […]

By George Batas Mergers and acquisitions (M&A) are complex transactions that can significantly alter the structure and financial health of a company. Whether you are on the buy or sell side of a M&A transaction, the tax implications can have a significant impact on the value of the transaction. Understanding the tax implication of a […]

A new law is impacting New York State employers using 1099s. Here’s what you need to know:  The Freelance Isn’t Free Act will require employers to possess signed agreements for any contractor paid $800 or more. This total applies to a single service, or multiple services adding up to $800 over a 120-day period.  The […]

Updated Dec. 11, 2024: Due to a recent federal court order, reporting companies are not currently required to file beneficial ownership information with FinCEN and are not subject to liability if they fail to do so while the order remains in force. However, reporting companies may continue to voluntarily submit beneficial ownership information reports. As […]

The team at Sasserath & Co. traded hard numbers for hard hats this week when they volunteered with Habitat for Humanity in Riverhead. The crew was joined by the future homeowner, Amanda, who will be moving into the two-bedroom house with her 13-year-old daughter, Aminah. With help from the Habitat team, they worked on tasks […]

Sasserath & Co. is delighted to announce that our client Vicon Machinery Group, the leading U.S. manufacturer of rectangular ventilation duct machinery, has been acquired by Lindab International, a publicly traded billion-dollar corporation. Vicon is the industry leader in North America for the manufacture of HVAC ductwork machinery. Their office is headquartered in Bohemia, New York, […]

Lynn Montag, CPA, is a partner at Sasserath & Co., a boutique CPA firm with offices in Ronkonkoma and New York City. With more than 25 years of public accounting experience and a focus on tax and accounting issues, Montag is an accounting professional and trusted advisor for business clients, not only handling a large […]

By Muhammad Nasir The Corporate Transparency Act (CTA) introduces a significant change starting on January 1, 2024. Eligible corporations are now obligated to submit a report known as the Beneficial Ownership Information (BOI) Report to the U.S. Department of Treasury’s Financial Crimes Enforcement Network (FinCEN). The CTA sets forth strict guidelines and exemption criteria that […]

By Michael Rodriguez, CPA For new and emerging businesses, the topic of sales tax “Nexus” can be tough to wrap your head around. In today’s rapidly changing environment and technology, more companies than ever may be subject to this key area regarding Nexus and sales tax. Sales tax nexus is an important area to focus […]

By Alex vonStrandtmann, CPA, MBA As Software as a Service (SaaS) companies continue to grow and offer more recurring subscription sales, tax compliance can become a complex issue. Sales tax laws and regulations vary by state and country, and failure to comply can result in penalties and fines. In this article, we will discuss how […]

By Alex vonStrandtmann, CPA, MBA We spoke with a number of clients and friends after our last posting about the banking turmoil.  While tracking the banks in the stock market is still like following a roller coaster, it has become apparent that there are still a number of you that aren’t being paid much interest […]

By Alan R. Sasserath, CPA, MS Over the last several days, we, like many of you, have watched with bated breath as the events of the Silicon Valley Bank (”SVB”) collapse unfolded. As of the close of business on Friday, many SVB customers with balances in excess of the $250,000 insured FDIC limit were unsure if […]

For the 2022 holiday season we will be collecting toys and gifts for Family Service League’s (FSL) annual holiday gift drive, Project TOY. Project TOY helps bring joy and toys to families throughout Suffolk County by providing gifts for children and teens in need. FSL deeply appreciates and accepts donations for children of all ages. Gifts/gift […]

Getting paid for keeping employees on payroll? Sounds like some sort of utopia. Or maybe it’s just a tax incentive for business owners during the pandemic called the employee retention credit. What is the Employee Retention Credit? The employee retention credit (ERC) is a tax credit established under the CARES Act in 2020 as a […]

Boutique Firm to Focus on Sophisticated Tax and Accounting, Private Equity, Mergers & Acquisitions, International Tax Services, and Private Client Services Alan R. Sasserath, CPA, MS, is pleased to announce the launch of a new firm, Sasserath & Co. The boutique firm focuses on sophisticated and technical tax and accounting for closely held businesses, private […]

CMM Cares, Inc. has announced the election of Alan R. Sasserath, CPA, MS, Partner at Sasserath & Zoraian, LLP, to their Board of Directors. CMM Cares is a 501(c)3 and major supporter of veterans, children, and the arts on Long Island through fundraising, volunteering, and awareness campaigns. With the addition of Sasserath to its Board, […]

Getting Ahead of the March 31st Deadline for Each By Alan R. Sasserath, CPA, MS A number of our friends and clients were/are eligible for Paycheck Protection Program (“PPP”) second draw loans AND the expanded Employee Retention Credit (“ERC”). March 31, 2021 is a critical day for each program. With regard to the ERC, March 31st marks […]

Sasserath & Zoraian, LLP, a New York CPA firm providing accounting, tax, and business advisory services, is pleased to announce that George Batas has been promoted to Partner as of January 1, 2021. George Batas joined Sasserath & Zoraian in 2017, where he quickly became instrumental in establishing and running the firm’s State and Local […]

By Alan R. Sasserath, CPA, MS; Michael D. O’Brien, EA; and Richard Weber; CA March 2012 Vol. 3 No. 3 The Tax Stringer – The global economy has produced a growing need for individuals flexible enough to work outside of their home countries, especially among companies with operations in both Canada and the United States. […]