Category: Tax Credits & Incentives

August 27, 2019
Shedding Some Light on Business Credits for Solar Energy Property

We all know that solar energy can save you money on future energy costs. But did you also know that there is a federal Solar Investment Tax Credit (ITC) of up to 30% of the total cost of the energy property? The energy property must meet performance and quality standards, mu...

July 17, 2019
Summer is a Good Time to Review Your Investments

You may have heard about a proposal in Washington to cut the taxes paid on investments by indexing capital gains to inflation. Under the proposal, the purchase price of assets would be adjusted so that no tax is paid on the appreciation due to inflation....

May 13, 2019
Tax Savings for Electric Vehicles

While the number of plug-in electric vehicles (EVs) is still small compared with other cars on the road, it’s growing — especially in certain parts of the country. If you’re interested in purchasing an electric or hybrid vehicle, you may be eligible for a federal incom...

March 20, 2019
Stretch Your College Student’s Spending Money with the Dependent Tax Credit

If you’re the parent of a child who is age 17 to 23, and you pay all (or most) of his or her expenses, you may be surprised to learn you’re not eligible for the child tax credit. But there’s a dependent tax credit that may be available to you. It’s not as valuable as...

February 22, 2019
The New and Improved Tax Credits for 2018

The Tax Cut and Jobs Act substantially improved the Child tax credit and introduced a brand-new credit for dependents. The credits effective for year 2018 so be sure to factor these into your tax filings for 2018. Here is a summary of both credits:...

September 27, 2018
New Credit For Paid Family and Medical Leave

A new general business credit was introduced with the Tax Cuts and Jobs Act for employers who provide paid family and medical leave to their employees for 2018 and 2019. To take advantage of this credit, employers must have a separate provision in the employer's policies; mo...

Minnesota has an R&D tax credit which is calculated independently of the federal R&D credit.
September 13, 2018
Capitalization Policy for Real Estate Companies

To capitalize or to expense? Property owners tend to struggle with wanting to expense as much repairs and maintenance (R&M) as possible during the year to maximize tax deductions, and to possibly increase any losses during the year. We assist many clients with determining wh...

There are two higher education tax credits; one is partially refundable, the other is nonrefundable. Be sure to use the right one.
Do you own a building? Cost segregation studies can be used to create a huge increase depreciation for one year when you own a building.
- Chris Wittich, CPA
January 30, 2018
Work Opportunity Tax Credit

The Work Opportunity Tax Credit, or WOTC for short, is a somewhat complicated tax credit.  Basically, a tax credit exists when a business pays wages to employees that are part of a qualified group.  The obvious question is what makes an employee part of the qualified group...

January 29, 2018
Cost Segregation Study

A cost segregation study looks at a building or piece of property and segregates the total cost into portions with shorter depreciable lives.   This optimizes depreciation resulting in substantial cash flow benefits.  In general, a building is classified as 39 year proper...