Accounting firms Crowe LLP and BKD LLP released year-end tax-planning guides Wednesday, during a time of great uncertainty over future tax changes in the midst of the novel coronavirus pandemic and the upcoming election.
Crowe’s Tax Planning: 2020 Year-End Guide discusses a number of issues, including recent legislation passed in Congress in response to COVID-19, such as the Families First Coronavirus Response Act (FFCRA) and the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).
Brittney Cullen is Vice President of People at Wealth, the company that is demystifying estate planning with modern tools to create, manage and visualize your estate to ensure your family’s financial future.
Dr. David Crabtree grew up in a small mining and farming community in Virginia. He spent many hours shadowing physicians at his local community hospital and witnessed the impact of drugs on his hometown. Dr. Crabtree received an academic scholarship to attend East Tennessee State University, where he graduated summa cum laude and with University Honors. He went on to attend ETSU’s Quillen College of Medicine, a school nationally recognized for rural medicine and primary care training. He also used this time to work in DC on health policy and education issues for U.S. Senator Mark Warner.
After earning his MD with AOA honors, Dr. Crabtree headed west for his residency training at the University of California – San Diego. After completing an internship in UCSD’s Department of Psychiatry, Dr. Crabtree began training in preventive medicine in UCSD’s Department of Family Medicine & Public Health. After residency, Dr. Crabtree completed fellowship training in addiction medicine at the University of Utah.
Dr. Crabtree is board certified in both preventive medicine and addiction medicine and works full time in addiction medicine. Outside of medicine, Dr. Crabtree spends time with friends and his Shiba Inu dog.
Judy Bodenhamer is the managing director of the Client Experience Group and a co-founder of Power Up Professionals. She helps professional services firms with business development, marketing, leadership and team development by coaching and developing professionals to unleash deeper impact, purpose and value in their organizations, both with clients and in the marketplace.
“Navigating the current landscape can be tricky and confusing,” said Gary Fox, managing partner of tax services at Crowe, in a statement. “It is important to stay on top of all the fast-moving law changes of the past six months and to remain prepared for the possible changes in the near future.”
Other topics include standard deductions vs. itemizing, state and local tax deductions, home-related breaks and tax-advantaged saving for health care. The guide also covers family-oriented tax breaks such as child, dependent and adoption credits, dependent care breaks, the “kiddie tax,” Section 529 plans, education savings accounts and Achieving a Better Life Experience (ABLE) accounts.
The Crowe guide also covers investor issues, such as capital gains taxes and timing, being tax-smart with losses, mutual funds, income investments and 3.8 percent net investment income tax. Business-related tax topics include business structure, Section 199A deductions for pass-through businesses, projecting income, depreciation, vehicle-related depreciation, meals, entertainment and transportation, employee benefits, tax credits and the self-employed.
Retirement tax topics include 401(k)s and other employer plans, more tax-deferred options, Roth alternatives, early withdrawals, required minimum distributions, IRA donations to charity and the Setting Every Community Up for Retirement Enhancement Act (SECURE Act).
Estate-planning topics in the guide include estate taxes, gift taxes, the generation-skipping transfer (GST) tax, state taxes, exemption portability and tax-smart giving.
The Crowe guide also covers income tax rates for individuals, corporations and estates and trusts.
The BKD Year-End Tax Advisor aims to help businesses and individuals with their year-end planning decisions and the development of an effective tax strategy, given the recent changes in requirements, updated regulations and new tax laws this year.
“2020 has been a year like no other, with the COVID-19 pandemic affecting each of our lives, businesses and communities in ways many of us have never experienced,” said BKD director of tax quality control Jesse Palmer in a statement. “Solid tax planning is probably more important than it’s ever been before as you work to create a healthy financial future for yourself and your business.”
The BKD Year-End Tax Advisor includes reminders for the year ahead. More than a dozen contributors have written 18 articles for the guide, including discussions of how COVID-19 has affected various industries, charitable giving and information-reporting reminders.
