Mamdani Pushes to Shrink NY Hedge-Fund, Private-Equity Tax Break
New York City Mayor Zohran Mamdani is delaying the city’s $127 billion budget while urging Governor Kathy Hochul to trim the pass‑through entity tax (PTET) credit that benefits hedge funds and private‑equity firms. Mamdani and City Council Speaker Julie Menin propose cutting the credit from 100% to 75%, a change they estimate could generate nearly $1 billion in revenue toward the city’s $5.4 billion two‑year deficit. Hochul has rejected the proposal, labeling it a personal‑income‑tax increase, and instead is focusing on other revenue ideas such as a tax on $5 million second homes. The debate highlights a clash between municipal financing needs and state‑level tax policy.
A Texas Two-Step on Franchise Tax: Lessons From NuStar and American Airlines
The SALT Shaker Podcast breaks down two pivotal Texas franchise‑tax rulings. In NuStar Energy LP v. Hancock, the Texas Supreme Court held that receipts from tangible personal property are sourced to Texas based on the delivery point, rejecting an ultimate‑use...
How to Turn Tax Law Changes Into Advisory Opportunities
The “One, Big Beautiful Bill” enacted on July 4 2025 introduced sweeping tax changes that have already generated client confusion and a flood of questions. Rather than reacting during tax season, the article urges advisors to use the interim period for proactive,...
Retiring Early? Here's How to Turn Low-Income Years Into a Roth Conversion Goldmine.
Early retirees can leverage low‑income years to perform Roth conversions, turning taxable traditional IRA or 401(k) balances into tax‑free growth. Converting while in a reduced tax bracket avoids higher marginal rates and eliminates future required minimum distributions. The strategy also...
Hawaii Taxes: What Retirees Should Know Now
Hawaii’s tax system combines high marginal income rates—up to nearly 11%—with several retiree-friendly offsets. Social Security benefits are fully exempt, many pensions receive favorable treatment, and the state’s property taxes are modest, typically $3,000‑$4,000 on a $1 million home after a...
Giving Gamechanger: Why Now's the Time to Use a Donor-Advised Fund
The One Big Beautiful Bill Act, enacted last summer, introduced a 0.5% of AGI floor for charitable deductions and lowered the top‑bracket deduction cap to $0.35 per dollar. Corporations now need contributions exceeding 1% of taxable income, with a 10%...
Trump Accounts: The New Payroll Risk Employers Aren’t Talking About
The One Big Beautiful Bill Act creates a new IRA for minors, allowing employers to contribute up to $2,500 per employee tax‑free starting July 4, 2026. The IRS has issued proposed regulations covering account opening and a $1,000 federal pilot contribution, but...
Capital Gains Discounts Were Meant to Usher in an Australia of ‘Shareholders’ – Not Property Speculators | Saul Eslake
The Australian government is expected to amend the 50 percent capital gains tax (CGT) discount in the May 12 budget, a policy originally intended to foster a shareholder economy but that has instead boosted property speculation. Since its 1999 introduction, the...
Sullivan & Worcester Partner Sees TRS Structure as Simpler, More Flexible Alternative for REITs
Sarah Wellings, partner at Sullivan & Worcester, told Nareit’s REITwise conference that taxable REIT subsidiaries (TRSs) provide a simpler, more flexible alternative to using independent contractors for non‑customary services, cutting compliance risk. She explained that routing asset sales through a...
Republicans Introduce American Energy Dominance Act, Aim to Remove Renewables ITC, PTC Deadlines
Republican lawmakers introduced the American Energy Dominance Act to undo Trump-era cuts to the renewable Investment Tax Credit (ITC) and Production Tax Credit (PTC) that were shortened under the Inflation Reduction Act. The bill would restore the original construction and...
Feeling a Tax Bite? Municipal Bonds Could Be More Compelling Than You Think
Municipal bonds are gaining attention as the yield curve steepens, rewarding investors who hold longer‑dated issues with higher nominal yields. Valuations for long‑term munis are historically cheap, offering attractive relative value versus taxable Treasuries. The tax‑exempt nature of municipal income...
Seed Enterprise Investment Scheme (SEIS) –Big Profits From Small Ventures
The Seed Enterprise Investment Scheme (SEIS) offers investors up to £200,000 ($254,000) a year with 50% income‑tax relief and additional capital‑gains and inheritance‑tax benefits. In the 2023‑24 tax year, 2,290 companies raised £242 million ($307 million) through SEIS, a rise of more...
Duty Drawback Rates for Gold & Silver Jewellery Hiked to Support Exporters
India’s Finance Ministry announced a quarterly hike in duty drawback rates for gold and silver jewellery, raising the gold refund to ₹773.17 per gram (about $9.3) from ₹639.59, and the silver refund to ₹14,990.66 per kilogram (about $180) from ₹9,089.33....
Your UK Pension Is No Longer Safe From Inheritance Tax: What Should You Do?
From April 2027 the UK will treat unused defined‑contribution pension pots as part of an estate for inheritance tax (IHT). The standard 40% IHT rate applies above the £325,000 (£~413,000) threshold, meaning many middle‑income retirees could face six‑figure tax bills. Advisors...
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Understanding Section 1250: Taxation of Depreciated Real Property
Section 1250 of the Internal Revenue Code forces ordinary‑income tax on gains from the sale of real property when accelerated depreciation exceeds what straight‑line depreciation would have allowed. The rule applies mainly to commercial and residential assets that were depreciated using...
Republican Lawmakers Propose Bill to Preserve Commercial Solar Tax Credits
Four Republican lawmakers introduced the American Energy Dominance Act to extend key clean‑energy tax credits, including the 45Y production tax credit and 48E investment tax credit for commercial and qualifying residential solar projects. The legislation seeks to lengthen credit terms...
IRS Provides New Guidance on Educational Assistance Plans
The IRS released Fact Sheet FS‑2026‑10, outlining tax treatment for educational assistance plans (EAPs) after the One Big Beautiful Bill Act (OBBBA). Employers can offer up to $5,250 in tax‑free educational benefits per employee, now indexed for inflation beginning in 2027. The guidance expands...
Cannabis Tax Relief Is Here, for Some
On April 23 the Justice Department placed FDA‑approved marijuana products and those sold under a state‑issued medical license into Schedule III of the Controlled Substances Act, marking the first federal rescheduling of any cannabis product in more than 50 years. The move removes...
TNPL FY26 Profit Rises on Deferred Tax Restatement
Tamil Nadu Newsprint and Papers Ltd (TNPL) posted a full‑year net profit of ₹248 crore (≈$30 million) for FY26, a sharp rise from ₹4 crore the prior year, driven largely by a ₹219 crore (≈$26 million) deferred tax reversal after adopting India’s new tax regime. Quarterly revenue slipped to...
WA Commerce Webinar: Cool Classrooms on a Budget: How Federal Energy Tax Credits Can Help
Washington’s Commerce Department will host a May 11 webinar on using federal energy tax credits to fund ground‑source heat pump HVAC upgrades in schools. Seattle Public Schools and contractor McKinstry will share implementation insights. The state’s Clean Energy Tax Credit Assistance...
10 Benefits of Hiring a Tax Accountant for Your Small Business in Phoenix This Year
Small businesses in Phoenix face complex tax obligations that can distract from growth. Hiring a local tax accountant provides expertise in both Arizona and federal regulations, ensuring compliance and minimizing audit risk. Professionals also identify overlooked deductions, streamline financial records,...
‘Use It or Lose It’: Solar Advocates Say IRS Is Still Writing Checks for Tax Credits
Solar advocates warn Pennsylvania businesses, nonprofits and municipalities that the 30% federal production tax credit from the Inflation Reduction Act remains available, but only for projects that start construction by July 4 and become operational by Dec 31 2027. The Keystone Research Center...
What Retirement Really Looks Like With $4.5 Million When One Spouse Wants to Keep Working
A 61‑year‑old couple with $4.5 million in assets faces a tax‑bracket trap because the wife’s $380,000 consulting income keeps them in the 35‑37% federal bracket through age 65, blocking Roth conversions. The plan recommends funding a four‑year “mini‑retirement” for the husband from...
Indiana Tax Court: Cell Phones Qualify for Telecom Equipment Exemption
The Indiana Tax Court held that cell phones are covered by the state’s telecommunications equipment exemption from sales and use tax. New Cingular Wireless PCS, which bought phones to give free to customers or replace under insurance, was entitled to...
Addressing Capital Gains
In 2026 investors face capital‑gain pressure from deferred Opportunity Fund gains and strong stock‑market returns, especially from the Magnificent 7. Strategies include exchange funds, QOZ deferrals, charitable remainder trusts, hedging, direct indexing with tax‑loss harvesting, and long/short portfolios. Direct indexing loses...
Why Retirees Are Often Shocked by Tax Bills and How to Reduce Them
Canadian retirees are increasingly surprised by tax bills because most of their income sources lack payroll withholding. CRA data for the 2026 filing season shows 62% of filers receive an average refund of about $2,248 CAD (≈$1,640 USD), while those who owe...
Early Termination of CLAT Doesn’t Constitute Self-Dealing
The IRS issued Private Letter Ruling 202614004, confirming that an early termination of a charitable lead annuity trust (CLAT) via an accelerated, undiscounted lump‑sum payment to a donor‑advised fund (DAF) does not constitute self‑dealing, a taxable expenditure, or a taxable...
When Direct Indexing Is the Wrong Fit for Your Client
Direct indexing, now a $1 trillion mainstream strategy, offers tax‑loss harvesting and customizable equity exposure. Gregory Kanarian of Natixis warns that the approach is unsuitable for certain client profiles, including qualified retirement accounts, low‑tax‑bracket investors, and those with minimal capital gains....
Should Caroline, 62, Defer CPP and OAS Until Age 70, or Even Delay Retirement Entirely?
Caroline, a 62‑year‑old Vancouver homeowner, is weighing whether to defer her Canada Pension Plan and Old Age Security benefits until age 70 and how to structure her retirement cash flow. She holds $115,000 in a TFSA, $250,000 in an RRSP,...
3 OBBBA Tax Provisions Wealthy Families Should Act on Now, From a Financial Pro
The One Big Beautiful Bill Act (OBBBA) enacted in July 2025 makes key 2017 tax cuts permanent and raises several limits for high‑net‑worth families. The federal estate‑tax exemption jumps to $15 million per individual ($30 million for couples), while the Roth conversion window stays open under permanent...
Stratiphy Reopens Tax-Free Route to Crypto ETNs for UK Investors
Stratiphy has introduced a tax‑free pathway for UK investors to access crypto exchange‑traded notes (ETNs) via Innovative Finance ISAs after the FCA lifted a retail ban but HMRC restricted new purchases to niche IFISA wrappers. The platform now offers three...
Deloitte Principal Sees New IRS Flexibility Opening Strategic Opportunities for REITs
Deloitte tax principal Mark Van Deusen told Nareit’s REITwise conference that the IRS’s long‑standing refusal to issue rulings for rentals under 30 days creates uncertainty for REITs. He said new IRS guidance permitting revocation of real‑property trade‑or‑business elections made between...
Court Rules Micro-Captives Not Listed Transactions
A Texas federal judge struck down the IRS’s designation of micro‑captive insurance as a “listed transaction,” eliminating the presumption of tax shelter abuse and the associated $200,000 penalties. The court retained the “transaction of interest” label, which still requires limited...
Opinion: Why Blue State Governors Should Sign Up for New Federal Scholarship Tax Credit
The federal government will launch a $1,700 Scholarship Tax Credit on Jan. 1, 2027, allowing individuals to claim a credit for donations to Scholarship Granting Organizations (SGOs). Governors must opt their states in, and Democratic leaders like Colorado’s Jared Polis have already done...
Tax Planning and The Political Pendulum
Democratic senators have filed a wave of tax bills aimed at higher‑income earners and closely held businesses, signaling a "tax‑the‑wealthy" agenda ahead of the 2026 midterms and a potential 2028 Democratic trifecta. Proposals include raising the corporate rate to 28%,...
Second Homes Tax Loophole May Be Closed
Labour is reviewing rules that let second‑home owners reclassify properties as holiday lets to escape council tax, shifting them into the business rates system. Under current regulations, owners qualify for small‑business rates relief by renting the home at least 70...
New York Congressman’s Legislation Would Allow Tax Deductions on Utility Bills
U.S. Rep. Josh Riley (D‑Ithaca) introduced the “No Tax on Utility Bills Act,” a bipartisan bill that would let taxpayers deduct the taxes and state‑mandated surcharges embedded in gas and electric bills. The legislation would apply to both residential and...
Balancing Executive Incentives with Tax Penalties
Recent FTC action revived non‑compete agreements, giving companies a new lever to offset golden parachute tax exposure. Golden parachutes—cash, stock or benefits paid on a change of control—still trigger a 20% excise tax and loss of corporate deductions when payments...
I Will Retire in My Early 50s. I Have $3.2 Million — only $200,000 Is in a Traditional IRA. Have...
A 45‑year‑old investor with $3.2 million in assets plans to retire by age 52. Their portfolio includes $506,000 in a Roth IRA, $197,000 in a rollover IRA, $36,000 in a Roth 401(k), and only $200,000 in a traditional IRA, with the...
Do I Earn Too Much to Have an IRA?
The article explains that a single taxpayer earning $120,000 in 2025 exceeds the traditional IRA deduction phase‑out range of $79,000‑$89,000 if covered by an employer plan. If the taxpayer is not covered, there is no income limit and the contribution...
The CFO Playbook for Cannabis in 2026
The CFO playbook for cannabis in 2026 outlines how finance leaders are adapting to a sector still hampered by federal prohibition and the tax constraints of Section 280E. It highlights a New York dispensary that imposed strict cash discipline to grow despite...
Income Tax Rule Changes From 1st April 2026. How Will It Impact the Buyback of Shares? Explained
From 1 April 2026, Indian income‑tax law reclassifies share‑buyback proceeds from deemed dividends to capital gains. The gain equals the buyback price minus acquisition cost and is taxed as short‑term or long‑term capital gains based on the holding period. Short‑term gains follow...
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What Is a Tax Treaty Between Countries and How Does It Work?
A tax treaty is a bilateral agreement that eliminates double taxation on both passive and active income by allocating taxing rights between a source and a residence country. The two dominant frameworks are the OECD model, which generally benefits capital‑exporting...
The Hidden Tax Trap Waiting Inside Your Inherited IRA
Inheriting a traditional IRA triggers a 10‑year distribution rule for non‑spouse beneficiaries, often accompanied by required minimum distributions (RMDs). Withdrawals are treated as ordinary income, potentially pushing heirs into higher tax brackets and affecting other benefits. Roth IRA inheritances avoid...
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Understanding Gross-Up: Definition, Formula, Examples & Calculation
Gross‑up is a compensation technique where employers add a pre‑tax amount to a payment so the employee receives a predetermined net amount after taxes. It is most often applied to one‑time benefits such as bonuses, severance, or relocation expenses, using...
‘I Hope to Retire at 59’: I Have $950,000 in My 401(k)s. When Do I Do a Roth Conversion?
A 53‑year‑old client with a $950,000 combined 401(k) balance wants to retire at 59, while his 50‑year‑old wife plans to work until 65. They carry a $1,200 monthly mortgage and $7,000 in non‑housing expenses. The client seeks guidance on the...
I'm a Wealth Adviser: This Proactive Tax Strategy Maximizes What You Actually Keep After Taxes
Wealth advisers stress that tax planning must be integrated with investment management to protect after‑tax returns. The article recommends beginning coordination 12‑24 months before large capital‑gain events, concentrated stock holdings, or liquidity events, allowing loss harvesting, asset‑location shifts, and charitable...
Tax Law Highlights | The Reduction of Tax Incentives Under Complementary Law No. 224
Brazil’s Complementary Law No. 224/2025 introduces a linear reduction of federal tax, financial and credit incentives, affecting PIS/PASEP, COFINS, IRPJ, CSLL, import duties, IPI and employer contributions. The law, grounded in Constitutional Amendment 109/2021, sets new calculation rules that cap exemptions at...
Making Tax Sense Out of March Madness
Starting in 2026, the One Big Beautiful Bill Act (OBBBA) limits the amount of gambling losses that individual taxpayers can deduct to 90% of their total losses, while the traditional cap that losses cannot exceed winnings remains. The change means...
Data Centers Are Costing Local Governments Billions
Data‑center tax abatements are draining local government coffers, with three U.S. states—Georgia, Virginia and Texas—each forfeiting more than $1 billion in revenue annually. Good Jobs First reports that 14 additional states fail to disclose the fiscal impact, a practice that conflicts...