Be Aware Of Tax Changes For Business This Year

Fort Lauderdale accountants
The Fort Lauderdale accountants of Sterling Accounting can help navigate tax law changes.

We all know that tax changes mean lower rates for corporations. But there are some other changes the Fort Lauderdale accountants at Sterling Accounting think you should get your attention.

The Central Valley Business Journal has a good rundown of some of the changes. Here are some of the changes the business journal noted.

Sexual harassment suit settlements may not be deductible

The new tax code makes it more difficult for businesses to claim sexual harassment suit settlements as business deductions.

The code allows for no deduction for, “any settlement or payment related to sexual harassment or sexual abuse if such settlement or payment is subject to a nondisclosure agreement.”

Businesses won’t be able to deduct attorney fees for such cases either.

No deduction for penalties paid “at the direction” of the government

Under the new tax law, businesses can’t deduct the expense of payments to a third party, “at the direction of the government.”

As the business journal points out, questions remain about this provision. Among them: Does a “right to sue” letter from the EEOC amount to direction from the government? The IRS is expected issue additional guidelines.

Moving expenses

Moving expenses are no longer deductible, at least until 2026. Moving expenses paid by the employer now count as salary.

Consult with an expert

The Fort Lauderdale accountants at Sterling Accounting can help with your business bookkeeping and tax needs.

Our experienced and knowledgeable professionals help facilitate the formulation, strategic planning, implementation, management, and growth of your business.

Specializing in assisting business owners deal with problem bookkeeping records, erroneous financial reports, non-filed tax returns, staff training, and external process review.

We serve every client with a depth of resources and the highest level of expertise offering personal attention and access that builds trust. We strive to offer comprehensive accounting and business consulting services by top-notch professionals without sacrificing value.

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