I closed a small business corporation where I was the sole owner and investor. I initially received stock for $120,000 in cash (purchased at issuance) and later loaned $40,000 to the company, which I converted to stock before the company's closure. Can I treat the initial $120,000 as section 1244 stock, apply $100,000 against my 2018 income (married filing jointly), and treat $20,000 as a long-term capital loss, and $40,000 (recent conversion from loan) as a short-term capital loss?

February 9th, 2023

I had to file an amended 2016 return due to omitting some income and now find that I also omitted some R&D expenses that were capitalized. How do I file another amended return?

March 30th, 2023

A corporation in California, owned by two people, has not filed taxes for several years and the state is now pursuing one owner. The corporation is no longer operating, and the other owner is unavailable. The state is asking for $117,000 for 5 years of business. Should the available owner attempt to create tax returns from bank records, and would this person be liable for the entire amount?

October 2nd, 2024

Should the fee charged by a revenue cycle management company, which processes claims and bills health plans for a percentage of total revenue, be categorized as part of Cost of Sales or as a General and Administrative (G&A) expense? This distinction is crucial as it affects the gross margin calculation.

July 1st, 2023

I received a CP-2100A notice from the IRS because the TIN and name provided by an LLC on a Form W-9 did not match IRS records. I am sending a First B Notice to the LLC to get the correct TIN. If the LLC does not provide a valid TIN, am I responsible for paying the IRS the 24% withholding from my own money, especially since there are no future payments to this LLC?

January 4th, 2024