News & Events, Tax

State Legislation Responds to Federal Tax Reform

Maine has not yet enacted legislation in response to federal tax reform, for more information visit our Maine Tax Conformity Article. Massachusetts has not enacted legislation in response to the federal Tax Cuts and Jobs Act (P.L. 115-97, 12/22/2017), but has issued guidance on the state implications of the federal deemed repatriation rules and taxpayers'… Continue reading State Legislation Responds to Federal Tax Reform

News & Events, Nonprofit, Tax

Transportation Fringe Benefits for Exempt Organizations now Recorded as Unrelated Business Income

The Tax Cut and Jobs Act of 2017 added the following provision to the Internal Revenue Code that will cause many tax-exempt organizations to pay the unrelated business income tax (UBIT): Internal Revenue Code (IRC) Section 512(a)(7): Certain qualified transportation fringe benefits, including those relating to parking garages, must be reported as unrelated business income… Continue reading Transportation Fringe Benefits for Exempt Organizations now Recorded as Unrelated Business Income

News & Events, Tax

Consider Changing Your Choice of Entity for Tax Benefits

All pass-through entities, including partnerships and S corporations, should evaluate their choice of entity as a result of tax reform and the new reduced corporate tax rate of 21 percent (previously 35 percent). Converting from a pass-through entity to a C corporation requires thoughtful consideration, analysis, and planning. WHY CHOICE OF ENTITY? The new corporate… Continue reading Consider Changing Your Choice of Entity for Tax Benefits