George V. Marino, CPA, PC

While the thresholds for the 3.8% net investment income tax (NIIT) have remained unchanged since the NIIT went into effect in 2013, taxpayer incomes have generally grown significantly. So more taxpayers are getting hit with this additional tax. The NIIT applies to the lesser of your net investment income or the amount by which your modified adjusted gross income exceeds the applicable threshold. And it kicks in long before the top short- and long-term capital gains rates apply. We can help you manage potential NIIT exposure. Contact us at (212) 714-3561.

Does your business provide complimentary on-site food and beverages for employees? The rules for deducting certain business meals have changed. Beginning in 2026, employers generally can’t deduct 1) meals treated as de minimis fringe benefits, or 2) employer-provided meals that are excludable from an employee’s income and provided for the employer’s convenience on business premises. For the 2025 tax year, generally the former were 100% deductible and the latter were 50% deductible. Contact us at (212) 714-3561 to discuss whether this change will affect your company and how to plan accordingly.

For small business owners, tax planning shouldn’t be a once-a-year chore. It affects nearly every business decision you make. From how you pay yourself to when you invest in equipment, the right moves can lower your tax bill … and the wrong ones can cost you. With major tax law changes taking effect in 2026, now’s the time to be proactive, not reactive. We can help you understand which strategies, deductions and credits matter most for your business. Call us at (212) 714-3561 to learn how smart planning today can lead to long-term tax savings.

If the IRS audits your income tax return, you may need to produce documentation. In general, the IRS has three years to assess additional tax, starting from the date the return was filed or due, whichever is later. For example, if you filed your 2022 return by the April 18 deadline in 2023, the IRS generally has until April 18, 2026, to assess a tax deficiency. So you potentially can discard records related to that return after April 2026. But records should be held longer in certain situations. And you should keep copies of your returns forever. Call us at (212) 714-3561 with questions.

In today’s uncertain markets, maintaining an adequate cash reserve provides much-needed financial stability for your business. You can access these funds to meet seasonal needs, cover equipment breakdowns and other expenditures, and pursue growth opportunities. But excessive “rainy day” funds could be an inefficient use of capital. After determining your company’s optimal cash balance, consider repurposing any surplus. For example, you might use the excess funds to invest in short-term marketable securities or repay high-interest debt. We can help evaluate your working capital needs and strengthen your balance sheet. Call us at [%Phone] to discuss.

The IRS has issued final regulations on the tax deduction for qualified cash tips. The legislation commonly known as the “One Big Beautiful Bill Act” created the deduction of up to $25,000 per year for 2025 through 2028. Qualified tips generally refer to cash tips received by an individual in an occupation that “customarily and regularly” received tips on or before Dec. 31, 2024. The final regs list more than 70 eligible occupations. In addition to occupations previously listed in the proposed regs, the final regs add visual artists, floral designers and gas pump attendants. The final regs also provide clarifications to the definition of a qualified cash tip. For more details, call us at (212) 714-3561.

Fringe benefits offer multiple business advantages. They can boost morale, attract and retain top talent, and qualify for potential tax breaks. That’s why it’s smart to review which ones you sponsor and what you may be missing. Of course, you don’t want to spend time and resources sponsoring benefits your employees don’t value. And you must follow specific rules and documentation requirements to be eligible for tax-advantaged treatment. Contact us at (212) 714-3561 for help choosing the right fringe benefits for your business and managing the tax impact.

If you’d like to arrange for a transfer of wealth through multiple generations, consider a dynasty trust. Assets are taxed just once, when they’re initially transferred to the trust. There’s no estate or generation-skipping transfer tax due on any subsequent appreciation in value. A drawback is that the trust is irrevocable. This means it generally can never be revised. Call us at (212) 714-3561 for more details.

Historical financial statements show where your business has been, but forecasts and projections help you plan where it’s going. These terms aren’t interchangeable. A forecast reflects management’s best estimates of future financial results based on expected conditions and planned actions. Some businesses may even share forecasts with their lenders and investors. By contrast, a projection explores hypothetical “what if” scenarios under alternative assumptions and can be particularly beneficial for internal planning and decision-making. Contact us at (212) 714-3561 to determine the right approach for your business needs.

The Qualified Opportunity Zone (QOZ) program offers tax breaks on capital gains from eligible long-term investments in designated low-income and rural communities. The One Big Beautiful Bill Act made the QOZ program permanent and established a new 10-year designation cycle. The IRS has issued guidance on how to nominate population census tracts for designation as QOZs. The next round of QOZs will be effective from Jan. 1, 2027, to Dec. 31, 2036. Generally, state and territory governors can begin nominating eligible census tracts for QOZ designation on July 1, 2026. The nomination period lasts 90 days, with the option of a single 30-day extension. Contact us at (212) 714-3561 with any questions about QOZ tax breaks.