The Difference Between Tax Credits Provided by FFCRA and CARES Act

April 3, 2020By So Sum Lee

During the coronavirus pandemic, helping Americans keep their job has been a major focus for Congress. Both the Families First Coronavirus Response Act (FFCRA), signed into effect on March 18, 2020, and the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), enacted on March 27, 2020, provide payroll-related credit to help small businesses to … Read More

The Impact of TCJA on Cost Segregation & Like-Kind Exchange

January 17, 2019By So Sum Lee

Below is a preview of one of the articles in the new KROST QUARTERLY Real Estate Issue, titled “The Impact of TCJA on Cost Segregation & Like-Kind Exchange” by So Sum Lee, CPA: Like-kind exchange has been a popular tax deferral tool for decades. Under IRC 1031, a taxpayer can defer tax on gain from … Read More

Changes in FATCA and FBAR Reporting

March 2, 2017By So Sum Lee

Changes of FBAR Due Date The filing of FinCEN Form 114, Report of Foreign Bank and Financial Accounts (FBAR) (formerly TD F 90-22.1) is imposed by the Bank Secrecy Act (BSA), passed by Congress in 1970. FinCEN Form 114 is used to report a financial interest in or signature authority over a foreign financial account … Read More

De Minimis Capitalization Election

February 6, 2017By So Sum Lee

The IRS has implemented the tangible property regulations (TPRs) (T.D. 9689) effective for taxable years ending on or after January 1, 2014. This new guidance determines whether certain expenditures are required to be capitalized or expensed. The TPRs provide de minimis safe harbor for taxpayer to deduct up to $2,500 of expenditures (or $5,000 if … Read More

Increased Deductions for Food Donations through The Katrina Relief Act: A new opportunity for businesses to substantially increase charitable deductions

November 3, 2006By So Sum Lee

Publication: KROST Most restaurateurs know that inventory contributed to charity can be deducted based on the cost of the inventory. What many restaurants may not know is that new legislation allows a taxpayer to claim higher deductions closer to the actual value of the inventory. This results in increased deductions for restaurants, grocery stores, and any … Read More

Tax Credits & Other Related Tax Benefits

December 6, 2005By So Sum Lee

Publication: KROST Monthly News Release Running a business can be extremely difficult with income taxes often eating up a good portion of your profits. There are, however, numerous tax benefits available to businesses that most owners are unaware of. As a restaurant owner, you are probably aware that you have to pay social security and Medicare … Read More