DDK & Company LLP

Many business owners are familiar with the terms "cash method" and "accrual method", but fewer understand how they can impact tax planning and cash flow.

The key difference comes down to timing:
- The cash method recognizes income when money is received
- The accrual method recognizes income when it's earned

Choosing the right method can make a meaningful difference for your difference.

Ask yourself: Which is more important to your business right now: simplifying operations or gaining a clearer picture of financial performance.

We're continuing to grow and looking for talented professionals who are ready to make an impact. If you value collaboration, meaningful work, and opportunities for professional growth, we'd love to connect with you.

Explore our open positions and take the next step in your career: https://ddkcpas.bamboohr.com/careers or email your resume to [email protected].

The NY 2027 Budget extends the state's current 7.25% corporate tax rate for businesses with more than $5 million in business income through tax years beginning before January 1, 2030.

While this doesn't affect every business, it's an important planning consideration for larger corporations and their owners.

Tax issues can feel overwhelming, but taking action early can make a significant difference.

Our latest blog answers common questions about resolving small business tax issues, including available payment options, penalty relief, payroll tax concerns, and more.

Read the full blog: https://www.ddkcpas.com/small-business-tax-problems-faq/

Where your inventory sits could matter more than you think.

Many business owners are surprised to learn that inventory stored in another state can create sales tax nexus, even if they don't have an office there.

Because nexus rules vary by state, it's important to understand where your business may be creating tax obligations as it grows.

If your products are stored, shipped, or fulfilled outside your home state, do you know where your business may have nexus?

Many businesses with average annual gross receipts of $32 million or less may qualify to use the cash method for 2026.

For eligible businesses, that can mean simpler accounting and potential cash flow advantages.

The catch? Qualifications isn't always as simple as looking at revenue alone. Related entities, business structure, and other rules may affect eligibility.

Have you reviewed whether your current accounting method is still the right fit for your business?

Please join us in welcoming Owen to the team!

Owen joins our firm as a Tax Associate and brings a strong foundation in high-net-worth individuals.

We're excited to have him on board and look forward to the contributions he'll make to our clients and team.

Help us give Owen a warm welcome!

The New York 2027 Budget includes a one-time POWER Energy Rebate Credit that could put up to $200 back into eligible taxpayers' pockets.

Eligibility is based on your filing status and income reported on your 2024 New York tax return.

If you're a New York resident, understanding which credits you qualify for can help you make the most of available tax benefits.

Have you checked in on your taxes this year?

Many taxpayers focus on taxes only during filing season, but some of the best planning opportunities happen before the year ends. A midyear review can help you see where you stand and what steps may be worth considering.

Read more: https://www.ddkcpas.com/midyear-tax-planning/

Shipping products across state lines?

You could have a sales tax obligation even if you don't have a location there. Many businesses trigger nexus through:
- Inventory or employees in another state
- Sales that exceed a state's economic threshold

A growing business can create new tax obligations without realizing it.

Take a moment to ask yourself: Do you know which states your business may have nexus in?