KBST&M CPA's & Consultants

KBST&M CPA's & Consultants Certified Public Accountants & Consultants

We are KBST& M, a full-service public accounting firm serving businesses, nonprofit organizations and individuals in the Baltimore/Washington metropolitan area and throughout the United States. Our experienced partners are dedicated to overseeing every aspect of your financial interests and we operate under the premise that every situation is unique; requiring services tailored to your needs.

A donor’s pledge can affect your nonprofit’s records before cash even arrives. Under U.S. GAAP, unconditional pledges ge...
10/08/2026

A donor’s pledge can affect your nonprofit’s records before cash even arrives. Under U.S. GAAP, unconditional pledges generally create contribution revenue and a receivable. Conditional pledges are generally recognized when their conditions are substantially met. Restrictions on how or when funds may be used affect revenue classification, not recognition timing. Support pledges with verifiable documentation, evaluate collectibility and discount longer-term payments to present value. Keep fundraising and accounting staff informed of changes that could affect payment. Contact us for help accounting for pledge agreements and preparing related financial statement disclosures.

Interim financial reports produced monthly or quarterly can provide your business with more timely information than year...
10/07/2026

Interim financial reports produced monthly or quarterly can provide your business with more timely information than year-end financial statements. You can use this data to spot emerging problems and opportunities. Compare each interim report with your budget and financial reporting from the same period of the previous year. Account for seasonality, but don’t focus solely on revenue. Higher labor costs or excessive discounting may increase sales while profit margins shrink. Unexpected results in interim reports don’t necessarily signal a crisis, but you should investigate them. Contact us for help setting up interim reports and interpreting them.

Retirement is far from most teenagers’ minds when they get their first jobs. But those early earnings create a significa...
10/06/2026

Retirement is far from most teenagers’ minds when they get their first jobs. But those early earnings create a significant tax-advantaged savings opportunity. Even modest IRA contributions now can substantially multiply over time. For example, just $2,000 contributed to an IRA earning 5% annually will grow to nearly $23,000 50 years later. A Roth IRA can be especially powerful because qualified distributions will be tax-free. For 2026, the annual contribution limit for IRAs is the lesser of taxable compensation or $7,500. 2026 contributions can be made until April 15, 2027, but the income to support them must be earned by Dec. 31, 2026. Contact us to discuss tax-smart planning for your teen.

Business owners often have more complex tax situations that can trigger an IRS audit. The good news is that with proper ...
10/05/2026

Business owners often have more complex tax situations that can trigger an IRS audit. The good news is that with proper preparation, detailed records and professional guidance, you can make the process far less stressful.

Some returns may be selected randomly, but the IRS also has some audit hot buttons. Examples include significant differences between current and prior-year returns, repeated business losses, profit margins and expenses that differ substantially from similar businesses, and mathematical errors.

If you receive an IRS notice, don’t panic; contact us immediately. We can help you understand the issues, gather the needed documents and respond to the inquiries effectively.

We had a great time connecting with students at the recent Accounting Career Fairs at Stevenson University and Towson Un...
10/02/2026

We had a great time connecting with students at the recent Accounting Career Fairs at Stevenson University and Towson University! 🎓✨

It was a pleasure meeting so many talented students, sharing more about our firm, and discussing the exciting opportunities available in the accounting profession.

Thank you to Stevenson University and Towson University for having us — we enjoyed being on campus and connecting with the next generation of accounting professionals! 📚💼

Board meeting minutes document how your nonprofit’s governing body exercises its authority. Effective minutes record att...
10/01/2026

Board meeting minutes document how your nonprofit’s governing body exercises its authority. Effective minutes record attendance, motions, resolutions, vote outcomes, conflicts, recusals, significant decisions and whether a quorum is present, without detailing every discussion. A second reviewer can help ensure minutes are clear before approval. Form 990, “Return of Organization Exempt From Income Tax,” asks whether meetings and written actions were documented contemporaneously. Although minutes generally aren’t public under federal disclosure rules, regulators may review them or obtain them in litigation. Contact us for help strengthening your nonprofit’s governance and recordkeeping.

AI can help your business meet high customer service expectations without overburdening employees. It’s particularly eff...
09/30/2026

AI can help your business meet high customer service expectations without overburdening employees. It’s particularly effective for routine tasks. These include answering customers’ basic questions anytime on your website or social media accounts. AI can also help analyze and route customer requests to the right employees, and work behind the scenes to give staffers context and suggest next steps. Of course, AI is only as effective as how it’s trained and used. Your business should regularly test its systems, restrict access to confidential data and establish escalation rules. We can help calculate possible savings and recommend affordable solutions.

Watch out for the growing reach of the 3.8% net investment income tax (NIIT). The income thresholds haven’t changed sinc...
09/29/2026

Watch out for the growing reach of the 3.8% net investment income tax (NIIT). The income thresholds haven’t changed since the tax took effect in 2013, so it’s hitting more taxpayers. If you have net investment income (NII) and your 2026 modified adjusted gross income (MAGI) exceeds $200,000 ($250,000 if you’re married and file jointly, half that if you file separately), you’ll be subject to the NIIT on the lesser of your NII or the amount by which your MAGI exceeds the applicable threshold. Some NII examples are taxable interest, dividends, and gains from stocks, bonds and mutual funds. Year-end planning may help reduce your MAGI or NII — and the NIIT’s impact. Contact us to learn more.

If restricted stock is part of your compensation, considering the potential tax consequences well before Dec. 31 is a go...
09/15/2026

If restricted stock is part of your compensation, considering the potential tax consequences well before Dec. 31 is a good idea. You may have decisions to make if: 1) you’ve recently received an award or are expecting one soon, 2) your restricted shares have vested in 2026 or will vest before the end of the year, or 3) you’ve sold shares this year or are considering a sale. The timing of these events and certain decisions you make — such as the Sec. 83(b) election — can affect both the amount and type of taxable income you must report. They also may provide planning opportunities that will affect your 2026 and future taxes. Contact us for assistance.

Paying dividends isn’t the only way to take cash out of your C corporation. Corporate distributions are generally taxabl...
09/14/2026

Paying dividends isn’t the only way to take cash out of your C corporation. Corporate distributions are generally taxable to you to the extent of your company’s “earnings and profits,” and your company can’t deduct them.

To avoid dividend treatment, consider having your business repay bona fide loans you’ve made to it or taking out properly structured loans from it. You might also increase your compensation (as long as it’s still “reasonable”) or qualifying tax-free fringe benefits — or lease or sell assets to your business.

Before proceeding, evaluate the tax implications for you and your corporation. Contact us to review the applicable rules and determine what’s right for your situation.

Address

307 International Circle, Suite 620
Timonium, MD
21030

Opening Hours

Monday 9am - 5pm
Tuesday 9am - 5pm
Wednesday 9am - 5pm
Thursday 9am - 5pm
Friday 9am - 5pm

Telephone

+14103080300

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