February 2018 Tax & Business Alert

TAKE A LOOK AT THE DOMESTIC PRODUCTION ACTIVITIES DEDUCTION

The domestic production activities deduction provides a tax break for certain “domestic production activities.” Unfortunately, many businesses tend to overlook it because they believe the tax break applies only to a few industries. This article points out that the deduction remains available to a wide range of businesses for the 2017 tax year and delves into some industry-specific details. A sidebar discusses IRS guidance on the W-2 wage limitation to taxpayers with a short taxable year as it applies to the domestic production activities deduction. 2017 is the final year that the Domestic Production Activities Deduction is available to businesses.

MAKING 2017 RETIREMENT PLAN CONTRIBUTIONS IN 2018

The clock is ticking down to the tax filing deadline. The good news is that individuals may still be able to save on their impending 2017 tax bills by making contributions to certain retirement plans. This article looks at deadlines, limits and phaseout ranges for traditional and Roth IRAs, while also noting some important info about SEPs.

DO YOU KNOW THE TAX IMPACT OF YOUR COLLECTIBLES?

They say one person’s trash is another person’s treasure. This may hold true when it comes to collectibles — those various objets d’art for which many people will pay good money. This article touches on some of the important points regarding how the sale or donation of collectibles could affect one’s 2017 tax return.

WHEN AN ELDERLY PARENT MIGHT QUALIFY AS YOUR DEPENDENT

It’s not uncommon for adult children to help support their aging parents. Those in this position might qualify for an adult-dependent exemption on their 2017 tax returns. This article explores the basic qualifications and some important factors related to this tax break.