Archive for the ‘Blog’ Category

Choose a Nevada Trustee to Save On Taxes

18/03/17 11:14 am | Comments (0) | Posted By:

A trust can be set up for a multitude of purposes in various forms and of course there are tax consequences, with which a Reno CPA can assist you. There are many moving parts with trust taxation, but simplistically nongrantor trusts must file a federal tax return of which the highest income tax rate is assessed on incomes over $12,400, as oppose...

What Can a Reno CPA Do For You or Your Business?

07/11/16 11:33 am | Comments (0) | Posted By:

Reno, Nevada CPAs in the office of Barnard Vogler & Co. can assist individuals in many ways. We offer the traditional CPA services of 1040 preparation and tax planning. More specifically, our Reno CPAs have tax experience with California residency issues, cancellation of debts of recourse and nonrecourse, Chapter 11 bankruptcy tax matters and va...

Cancellation of Debt or Capital Gain?

11/05/16 4:31 pm | Comments (0) | Posted By:

An issue that can still have tax ramifications today, years after the great recession hit Reno, is that of debt forgiveness. If you think that since you never received any cash, debt forgiveness is not taxable, think again! Whenever there is a loan balance that gets reduced in any way, either with debt forgiveness, a foreclosure, a short sale...

Most tax “extenders” made permanent

28/01/16 12:32 pm | Comments (0) | Posted By:

  In December of 2015, I wrote about many tax provisions benefiting taxpayers for 2015 and beyond that had expired. Most CPAs were anticipating these to be retroactively approved by Congress. After much anticipation, Congress ended up extending and in many cases making the provisions permanent. Below is a summary of the main legislation:

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Tax Extenders – Yes or No? And when will we know?

04/12/15 11:33 am | Comments (1) | Posted By:

With a month left in 2015 it is that time again for Congress to act on the uncertainty of some beneficial tax breaks for taxpayers. This has been an ongoing problem with Congress, as in 2014 these tax benefits weren’t approved until December of 2014.  This inaction has led to heartaches for CPAs, individuals and business owners as to their incom...

Presidential candidate tax returns show how tax law has changed

27/08/15 3:04 pm | Comments (0) | Posted By:

Like almost all presidential candidates trying to be transparent to their voters, Jeb Bush recently released tax returns dating back to 1981 and going through 2013. I could write the standard blog on how Mr. Bush’s income went from nothing in the 1980’s to topping $1,000,000 for many years in the 90’s, becoming in the low six figures in the 2...

Drones – embrace them or run away?

28/05/15 12:24 pm | Comments (0) | Posted By:

  Drones have been in the headlines here in Northern Nevada as we compete to be a player in their research and manufacture. Sensational headlines are appearing on how drones will revolutionize the delivery of packages. But for all the excitement, I for one am lamenting the day these become more ubiquitous. The home is supposed to be the on...

Selling Your Business?

19/03/15 5:02 pm | Comments (0) | Posted By:

  If you’ve started your own business since 1993, and funded it with your own money as a C Corporation there could be some valuable tax savings if you’re planning on selling the company. This comes in the form of the section 1202 exclusion. The Section 1202 exclusion allows a person to exclude up to 100% of the gain on the sale of qualifie...

How the United States Tax Rates Compares to Germany

15/03/15 10:56 am | Comments (1) | Posted By:

  Having recently visited Germany and being a CPA, I naturally was interested in their taxes. I have heard throughout my life how taxes in Europe are extremely higher than in the United States and I thought I’d do a simple comparison. According to a KPMG report on income tax and social security rates on $100,000 USD of income, in Germany t...

A Quick Overview on Publicly Traded Partnerships

17/10/14 4:59 pm | Comments (0) | Posted By:

  In today’s low yield environment, where a five year CD yields 1.5%, publicly traded partnerships (PTPs) have been proliferating. These are companies, usually associated with oil and gas, that are required to distribute their “distributable cash flow” and avoid the double taxation that is inherent to corporations. They usually have yields in...

Save Money – Move to Nevada!

28/08/14 8:00 am | Comments (1) | Posted By:

California has always been notorious for their high cost of living combined with high income taxes. These tax rates are as high as 13.3% for high earners with income over $1,000,000. And to make matters worse, in 2012 California took the precedence of retroactively raising rates at the beginning of 2012 for a law that passed on November 6, 2012....

Reno’s High Home Prices

20/03/14 10:24 am | Comments (0) | Posted By:

I can’t believe how much homes in Reno are going for nowadays! Lately I have been helping a friend look for a home and it appears now close to $300,000 must be spent to afford a starter home (even though the experts say the average price is closer to $250,000, I find this hard to believe). In my recent home viewing experience $300,000 affords a ...

Reno/Tahoe should host the Olympics

20/02/14 10:02 am | Comments (0) | Posted By:

Watching the Winter Olympics in Russia makes me wonder if they will ever grace Reno/Tahoe in my lifetime. It has been over 50 years since Squaw Valley hosted the Olympics and I wasn’t alive to see that.  Tahoe certainly has the snow, even in this drought.  The storm from early February would have been a saving grace for the Olympics that are sta...

Social Security – In Trouble and Just Getting Worse

27/11/13 8:00 am | Comments (0) | Posted By:

The middle of the month has just passed and with it my bi-monthly cursing of getting taxed, specifically for social security. This is a tax that I’m supposed to be paid back sometime starting thirty years from now in my sixties, but I highly doubt that. According to a study by the Urban Institute, a person who turned 65 in 1980 received $2.12 fo...

Should You Contribute to a Regular IRA or a Roth?

08/08/13 8:00 am | Comments (0) | Posted By:

  There are two types of IRAs that individuals can create themselves, with extremely different characteristics. One is a regular IRA, for which the contributions are deductible. A regular IRA will put you ahead if you’re in a high tax bracket when you make the contributions and expect to be in a lower bracket when you retire and take the d...

Your first post-graduation job – a reality check

16/05/13 10:48 am | Comments (0) | Posted By:

With graduation season upon us, I thought I’d reflect back on what I think college graduates should really expect with their first job after receiving their diplomas. During my college years I was an endless optimistic about what my first few years working full time would bring. After these years of being a neophyte, and many more after, I br...

North Dakota envy – jobs envy

07/03/13 12:08 pm | Comments (0) | Posted By:

For the first time in history I have become slightly envious of North Dakota. Why would I be envious of a state that is so cold you have to plug in your car battery during winter nights? I’m envious because of their hot economy where unemployment is only 3.2%, not in the double digits as in Nevada. Their low unemployment rate mainly stems from h...

There will be Twinkies again, trust me

13/12/12 8:00 am | Comments (0) | Posted By:

A few weeks ago, I, along with the rest of the world, heard that Hostess and their unions could not come to a new personnel agreement and would be going bankrupt. The television news stations all started blasting their sensational headline that Twinkies were going the way of the McDonald’s Arch Deluxe, Crystal Pepsi, and the Delorean and would n...

Equipment Purchases Should be Made Soon

25/10/12 9:46 am | Comments (0) | Posted By:

  Businesses constantly need to purchase equipment for their business to expand or replace aging equipment. Usually, they want to write the expense off as quickly as possible for their taxes to see immediate tax savings. With the initial tax cuts in 2003 and the extensions and additional cuts made throughout the past four years to combat the ...

When Should You Start Collecting Social Security?

20/09/12 2:00 pm | Comments (0) | Posted By:

With baby boomers nearing or at retirement age, many expect social security to be one of their main sources of income, or at least a nice addition. If you were born between 1943 and 1954, the age for receiving the maximum amount of your earned benefits is 66. This age increases by two months for each year born until being born after 1959 when it...

Identity Theft Taken to the Next Level

16/08/12 5:13 pm | Comments (1) | Posted By:

I recently came across an article on yahoo news, which left me flabbergasted. It explained that one home in Florida was the recipient of more than $1 million in refunds by filing 741 false income tax returns. This is a whole different level of tax fraud that goes way beyond fibbing on charitable donations or not reporting some cash income. T...

Another Housing Time Bomb

19/07/12 8:00 am | Comments (0) | Posted By:

  The Mortgage Forgiveness Debt Relief Act is set to expire on December 31, 2012 and has large implications for Nevadans.  Nevada is perennially in the lead, or in the top five in the U.S., in mortgage foreclosures.  When a house is foreclosed upon, the difference in debt owed less the value of the house sold at auction, is considered cancell...

Have Tip Income? You Best Report It!

05/07/12 10:53 pm | Comments (1) | Posted By:

  Having lived in Nevada for the majority of my adulthood, I have long been acquainted with tipping. It has gotten to the point where I feel guilty for not putting a dollar in the tip jar at Starbucks for a $2 coffee or at my local sandwich shop. While living in Las Vegas I heard stories of people making thousands of dollars a night as a cock...

Why Aren’t More Companies Moving to Nevada? Apple Is!

28/06/12 8:42 pm | Comments (2) | Posted By:

  A recent article published in the New York Times, highlights how Apple is taking advantage of Nevada’s 0% corporate tax rate. Apple has created a subsidiary for their $100 billion in cash that invests in bonds and other low risk financial instruments. All the interest earned, $2.5 billion since 2006, has been shielded from state income t...

Cloud computing: A whole lot of fluff

14/06/12 9:52 pm | Comments (1) | Posted By:

  As I’m staring at an article in Business Week, I keep searching for the article to explain why my company wants to pay for something we already have. The “cloud” is by definition just a network of computers and the reason they came up with the name is because of the original diagram shape of the internet (a cloud). In the cloud are networks...

A Look inside the President’s Finances

17/05/12 7:46 pm | Comments (0) | Posted By:

  It’s always interesting to get a look into somebody’s finances, and who better to snoop at than President Obama. He released his 2011 tax return, which can be viewed at: http://s3.documentcloud.org/documents/336093/bidens-and-obamas-release-2011-income-tax-returns.pdf. It’s a very simple return: Wages from being the President of $394,821...

Investing in precious metals can lead to higher taxes

10/05/12 9:41 pm | Comments (1) | Posted By:

Gold is one of the hot new investments today. People invest in this asset by purchasing gold bars, gold company stocks or gold electronic trading funds.  These electronic trading funds, commonly called ETFs, have proliferated as evidenced by the ETF with the symbol GLD.  This is a fund that started in 2005 and now has over 64 billion dollars...

A Look at Taxes of the Past

04/05/12 7:52 pm | Comments (0) | Posted By:

 

This year could be the last year before the Bush tax cuts expire and the tax rates increase.   If these cuts expire, single people and married people alike will have higher taxes.   A single person with taxable income making $100,000 will have a tax bill of $23,805 and an average tax rate of 23.8% come 2013 when these changes go into effect...

The Carried Interest Rule Needs to be Abolished

16/04/12 9:31 pm | Comments (0) | Posted By:

There has been much debate recently over Mitt Romney and his paying only 14% of his gross income in taxes in 2010 and still only 17.5% after itemized deductions (see his tax return at http://www.washingtonpost.com/wp-srv/politics/documents/romney-2010-tax-return.html). This is the same percentage of taxes that a single person making only $60,000...