dividends - The S Corporation Association

Second Stimulus on the Horizon

A second stimulus package is being formulated up on the Hill, but is by no means a done deal at this point.B Just before adjourning for the election, the House passed a $61 billion bill containing infrastructure spending, aid to state governments and increased unemployment benefits, which will likely serve as a starting point for second stimulus discussion.B That package included:

$30 billion for infrastructure projects including highways, bridges, transit and water projects;
$1 billion for public housing;
$2.6 billion for food stamp program;
A temporary increase in Federal Medicaid assistance to states; and
An extension in unemployment …

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admin2019-02-06T17:22:36+00:00November 10, 2008|

Obama and S Corporations

The Texas and Ohio presidential primaries are dominating the news today, so we thought web d take a look at the candidatesb tax policies and see how they would affect S corporations.B B Web ll start with Illinois Senator Barack Obama.

So would an Obama presidency be good for S Corps?B Hereb s a quick summary of his positions and how they might affect Main Street.

Income Tax Rates:B Obama supports letting the top tax rates revert to their pre-2001 levels.B In other words, the top tax rate would rise from 35 back …

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admin2019-02-06T18:43:57+00:00March 4, 2008|

Peering into the Future of Tax Policy

We’ve been asked to gaze into our crystal ball and see what the future of tax policy looks like. For S Corporations, it looks a lot like when the Ghost of Christmas Future popped in to see Ebenezer Scrooge. Nothing has been etched in stone yet, but it’s still not a pretty picture of things to come.

On the macro level, three factors are going to frame the tax policy debate in the next Congress:

1. All the tax relief enacted in 2001 and 2003 expires at the end of 2010. Unless Congress takes action, tax rates on individuals and flow-through businesses, …

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admin2019-02-06T18:43:57+00:00February 25, 2008|

President Bush Plugs S Corps in Chicago

Say what you want about this President, he understands the important role S corporations play in the economy and the critical link between low tax rates, business investment, and job creation. This excerpt is from the President’s speech in Chicago on Monday, but it could have come from any of his economic speeches over the past seven years.

“I don’t think there are many folks who believe that Washington really needs more of your money — I certainly don’t. Unfortunately, Americans could be facing higher taxes unless Congress takes action to stop it. You see, …

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admin2019-02-06T18:43:58+00:00January 9, 2008|

Higher Tax Rates on Horizon

We’ve had numerous conversations in the past couple of weeks with S corporation owners about the tax outlook for the next couple of years, and it’s becoming apparent that the S-Corp community is underestimating the threat of higher tax rates on the horizon. With that in mind, here’s our best assessment of what to worry about, and when to worry about it.

First, in case you have not heard, all the major tax relief provisions enacted since 2001 will expire at the end of 2010 unless Congress acts to extend them. For S corporations, that means higher tax rates on your …

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admin2019-02-06T18:43:59+00:00November 7, 2007|