Archive for News

Maximizing Real Estate Opportunities: The Advantage of 1031 Exchanges

Written by Jon Porcelli Senior Tax Manager In the scope of real estate investment, a 1031 exchange (like-kind exchange) stands out as a key strategy for deferring capital gains taxes through the swap of one investment property for another. This approach, rooted in Section 1031 of the Internal…

Empowering Business Success: The Role of Effective Accounting Relationships and Internal Controls

Written by Nick Grgas Audit Director In the complex world of business, fostering a strong relationship between clients and accountants is not just beneficial—it’s essential for success. It’s clear that the most productive accounting relationships are those built on continuous communication and mutual understanding. Unfortunately, many businesses still…

Update on the Employee or Independent Contractor Classification Under the Fair Labor Standards Act

On March 11, 2024, the labor classification guidelines under the Fair Labor Standards Act (FLSA) underwent a significant transformation from the U.S. Department of Labor (DOL). This development redefined the criteria for distinguishing between employees and independent contractors, pivoting from previous regulations that emphasized control and the potential…

House Passes Tax Extenders Bill – Impending Senate Vote

The house recently passed the Tax Extenders Bill, reviving several tax breaks, including the enhanced Child Tax Credit, incentives for economic growth, improvements in interest expense, and more. The measure was approved by a vote of 357 to 70, now heads to the Senate floor which is impending…

Simplified Tax Notices: IRS New Move for Clarity

With the 2024 tax season upon us, last month, Treasury Secretary Janet Yellen announced, on a call with reporters, that as part of its new Simple Notice Initiative, the IRS has rewritten most commonly received notices. The notices should now be shorter, clearer, and easier to understand. According…

Tax Considerations for Sports Bettors & Gamblers

As the digital landscape of gambling continues to expand with the legalization of online sports betting in more states, both seasoned bettors and novices are navigating the complex world, whether they owe taxes on their gambling winnings. With the recent exciting finish of the 2024 Super Bowl, many…

Art & Finance: Tax Considerations for Art Collectors and Investors

The art market is subject to changes driven by global, political, economic, and technological factors. Navigating these trends requires a keen understanding of the interplay between culture and wealth, and the implications for art investors and collectors.   At LMC Advisors, we understand the unique intersection of art…

The Child Tax Credit for 2023-2024

The Child Tax Credit is for individuals who claim a child as a dependent, but only if the child meets certain conditions, such as being under the age of 17. The credit applies not only to sons and daughters, but includes stepchildren, foster children, brothers, sisters, stepbrothers, stepsisters,…

Latest ERC Update: New Voluntary Disclosure Program

The Internal Revenue Service has, once again, announced a new initiative aimed at combating dubious Employee Retention Credit (ERC) claims. The IRS recently launched a new Voluntary Disclosure Program to help businesses pay back funds they may have received after filing ERC claims in error.   The new…

IRS Announces Automatic Penalty Relief for 2020 and 2021 Tax Years

Earlier this week, the IRS announced in Notice 2024-7 that it will be waiving the failure-to-pay penalties for eligible taxpayers that failed to pay back taxes for the tax years 2020 and 2021.   The IRS temporarily suspended mailing automated reminders to pay overdue tax bills during the pandemic,…