Posts Tagged ‘Obama Tax Plan’

Year-End Tax Planning and Job Creation – Maximizing Refunds in a Tough Economy

Friday, December 4th, 2009

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 Before we get into year-end tax planning, let’s focus on job creation for a moment.  President Obama held his White House “Jobs Summit” – without a few key business organizations, including the U.S. Chamber of Commerce which represents over 3 million companies and over 115 million employees.

Another stimulus package is being discussed, but a focus on job creation and tax reduction will be the best short-term strategy.  There are numerous federal and state programs which allow employers to claim credits ranging from $500 to $15,000 per “qualified” employee.  The Obama Administration needs to focus on refundable hiring credits, an investment tax credit for purchasing equipment and incentives for loaning funds or making equity investments in small businesses.

For a full library of articles focused on these tax incentive programs, please click on the following link:



2009 federal and state tax changes provide huge opportunities for both business and individual taxpayers to minimize their 2009 tax liabilities and in many cases optimize refunds from prior years.

With some effort before year-end, March and April 15th can be much less taxing — but advance planning is necessary.

Businesses and individual taxpayers have had to navigate a challenging economic landscape for at least the last two years.  In addition to trying and maintain revenue levels while paring down costs, businesses and homeowners have found their financing options dramatically limited.

Therefore it is critically important for both businesses and individual taxpayers to carefully plan now for their year-end to ensure that they minimize their federal and state tax obligations – and insome cases – secure refunds for prior tax years.

As more fully detailed in the attached links to a variety of articles addressing topics raanging from:

- How to maximize tax refunds via the carryback of 2009 tax losses – including the recently passed 5 year federal carryback option for all businesses:

- How to maximize write-off of wholly and partially worthless bad debts

- Taking full advantage of federal and state depreciation and immediate write-off of equipment and other capital expenditures:


Claiming the wide variety of federal and state green/ eco-credits:

- Claiming valuable federal and state Location-Based Investment Credits (LBICs) for hiring employees and making capital investments in any one of the 8,500+ incentive tax Zones.  There are over 42 state Enterprise Zones in California which can often eliminate taxes in the highest rate state in the country:


 2009 was an extremely active year for tax legislation and while federal changes were often beneficial for corporations and individuals, state changes, particularly California, often resulted in higher rates, less deductions and accelerated tax payment requirements.


For a full library of corporate tax articles log onto the AICPA Corporate Taxation Insider Newsletter:


For a wider variety of business and individual tax and economic articles, news and otherlinks, please click onto my personal website:


Our comprehensive year-end tax planning guide can be accessed at:




Tea Party – Develop Your Own Tax Stimulus Package – Significant State and Federal Tax Credits Available Now

Saturday, March 7th, 2009

No need take any extreme measures when it comes to your taxes.


Even if you have already filed your 2008 business or personal tax return it is not too late to get some of your prior taxes back.   If you have extended your 2008 returns – read on and make sure you are not overpaying your state and federal taxes – since most taxpayers do.


Please scan through this entire blog and the "Library" Section of this site to find hundreds of tax refund opportunities for businesses as well as individuals.


With tax developments at both the federal and state level, it is time to make sure that you pay no more than your fair share of the growing tax burden.   I'm sure you can put your hard earned dollars to more effective use than the government – so get educated on all the existing, legitimate tax breaks available to you and your business.


Nationally, over 20 percent of businesses have one or more locations that fall within a Location Based Investment Credit (LBIC) zone and of this eligible pool of businesses, less than 10 percent of these qualifying companies actually claim the benefits they are entitled to. As a result, CPAs, CFOs and tax directors have an excellent opportunity to dramatically increase shareholder value by taking advantage of the valuable tax incentives. Since the federal programs allow up to three years of amended return refunds and many states also allow retroactive benefit claims, immediate tax advantages can be secured along with favorable EPS impact.


These benefits range from $500 to $15,000 per employee, depending on the specific state and federal program.


In addition to these location-based credit programs, there are a number of federal programs which apply to virtually any business.  These programs include the Work Opportunity Tax Credit (WOTC) and the Welfare-to-Work (WtW) programs which can generate federal hiring credits ranging from $2,400 to $8,500 per qualified employees.  The 2009 federal Stimulus Package and California Budget Package expanded these programs even further.


These programs apply to a fairly wide range of employees, including many veterans, laid off/ unemployed candidates and those individuals with economic or medical challenges.


These programs are seldom accessed by taxpayers due to their unfamiliarity with the program specifics.   The significant tax reductions (including refunds) available under these programs should encourage every employer to start utilizing these state and federal programs immediately.


In addition to saving taxes, by hiring these economically challenged individuals, employers are contributing to their community.   Download Focusing on Unemployment 12.2008



Click here for my various 2009 CNN News Reports on the Stimulus Package, Tax and Economic Issues:




Download 2009 AICPA Top 10 Tips for Tax Planning





Click below to see our proprietary tax credit software and save taxes in any state:

See a video of our slick software that will tell you the hidden tax benefits for any address in the U.S.

Below are a number of links and articles that explain the state and federal program benefits:

Steering Tax Life on 'EZ' Street

With combined federal and state burdens often in the 40 percent range, a material reduction in a company's tax rate can produce significant savings.

State Tax Burden

More taxing than you might think. SALT in the wound?

Download Urban Success Mag Tax Break article

Urban Success Magazine Article (No Urban Legend Here – Tax Benefits are Real)

Download Hire a Hero 19May08

Hire a Veteran – Save Taxes While Changing a Life

Download 2009 AICPA Top 10 Tips for Tax Planning



2009 Stimulus Package and TARP 2 Updates – Billions & Trillions Readied by Congress

Tuesday, February 10th, 2009

The Senate passed the American Reinvestment and Recovery Act of 2009 on Tuesday this week.

Following is a summary of the House and Senate Bills:

Download Senate v House Stimulus Bill Comparison

Wasting no time the House and Senate Conferees developed a compromise package which President Obama hopes will pass both houses of congress by early next week.   Following is a CCH summary of the Conferees' compromise bill:

Download House-Senate-Recovery-Act-2009   $789 Billion Package with 35% Allocated to Tax Cuts

TARP 2 – Another Trillion Plus

The market and most commentators were more than a little disappointed by Tuesday's roll out of the TARP 2 strategy presented by Treasury Secretary Geithner today.   Following are his comments as well as commentary provided by leading market watchers:

Download Geithner-Remarks 02.10.09

Download TARP 2 Comments

Download Greenwich Capital TARP 2 Comments

Obama Era Tax Planning

Monday, November 17th, 2008

The combination of a new Administration, significant 2008 federal tax changes, including the $150 billion Rescue Package, and the $5 billion California tax increase resulting from the state budget crisis will make 2008 a very unique and opportunistic year from a tax planning perspective.

Significant federal tax breaks associated with asset acquisitions, research & development, employee hiring credits, loss carrybacks makes 2008 a critical year to perform detailed year-end tax planning. 

California revisions will also require taxpayers to more carefully evaluate federal and state tax treatments in order to minimize 2008 taxable income, but avoid generating a tax loss since loss carryovers from 2007 and 2008 are suspended until 2010. 

Higher income taxpayers can also expect federal and state tax increases in 2009 and future years; therefore, acceleration of income and deferral of expenses may actually reduce the overall tax burden.

The attached articles, comprehensivefederal tax guide and video provide detailed advice as to the best course of action for businesses and individual taxpayers for 2008.

Download 2008_nov_yearend_tax_planning_guidelines.doc    2008 Business and Individual Tax Summary

Download 2008_aicpa_federal_rescue_package_11.2008.pdf    2008 AICPA Federal Rescue Package Article       10 Minute Blake Christian Tax Planning and Economic Video   HCVT 2008 Federal Tax Guide