Two Levels of Appraisal Services: Calculations vs. Valuations

Did you know that business valuators offer two types of appraisal services? Formal valuations are the most common service valuators provide, requiring significant time and in-depth analyses. But sometimes a less formal “calculation” of value will suffice — just don’t expect it to stand up to outside scrutiny. Calculations are only as reliable as the assumptions and scope limitations…

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4 Tax Breaks for Home Improvements

Are you contemplating some significant improvements to your home? Whether it’s adding a pool to assist with a medical condition, finishing a basement or installing energy-saving equipment, you may be in line for generous tax breaks under current law. Here are four potential building blocks.1. Mortgage Interest DeductionsIf you have a mortgage on your home, through…

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Tax Consequences of Borrowing From a Retirement Plan

If your company has a qualified retirement plan or you have set one up in self-employment — such as a 401(k), profit-sharing, or Keogh plan — the participants might be allowed to borrow from their accounts. (This option is not available for traditional IRAs, Roth IRAs, SEPs, or SIMPLE-IRAs.) In the right circumstances, taking out a plan loan can be a…

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No Current Deductions Before Business Commences

Starting up a business and wondering about how tax deductions will be handled? The most important thing to understand is that most expenses incurred before a business begins functioning cannot be deducted or amortized until the year when the business does become active.  Business Expense Basics Section 162 of the Internal Revenue Code allows current deductions for so-called ordinary…

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