In This Issue
CPA News:
NJ Tax Division - Sales Tax News
Time for Year-end Planning
Business Website Costs
College Students as Dependents
Job Change Checklist
Tax-exempt Organizations
Connect With Us
  • Income Tax Preparation for all types of businesses and individuals
  • IRS, State and Local Audit Representation
  • Trust, Estate and Gift Compliance
  • QuickBooks setup, support and training
  • Business startup services
  • Monthly bookkeeping
  • Financial statements
  • Family Office
  • Nonprofit Administration
Additional Updated Information
September 2017 Tax Report Newsletter
October 2017 Firm Newsletter
Calendar of Filing Dates


10 - Employers: Deferred due date for Form 941, if timely deposits were made.


15 - Corporations: Pay fourth installment of 2017 estimated tax.


16 - Individuals: Pay last installment of 2017 estimated tax with Form 1040-ES.

31 - Employers: Distribute copies of Forms W-2 for 2017 to employees and file same with the Social Security Administration. File Forms 1099-MISC if you are reporting nonemployee compensation payments in box 7. File Form 941, Employer’s Quarterly Federal Tax Return; quarterly deposit due. File Form 940, Employer’s Annual Federal Unemployment FUTA) Tax Return, for 2017.

31 - Business: Distribute Forms 1099 (or other information statements) to recipients of certain payments made in 2017. See us for more details.

2017 Required Minimum Distributions Reminder

New Name, New Location

We are pleased to announce that Sanders Thaler Viola & Katz is now Katz Viola Lebenhart & Mauro, LLP. In conjunction with our new branding, we have also moved to a larger, newly constructed office located at 415 Crossways Park Drive, Suite C, Woodbury, New York 11797. Our phone number remains the same, click here to view our new website.

New Jersey Sales Tax Updates

Beginning in the next tax year, New Jersey State will implement a variety of sales and use tax changes that could have an effect on your personal and business-related tax returns. This includes the Atlantic City Luxury Tax, Boat/Vessel Sales Tax, Cape May Tourism Tax and New Jersey Sales Tax, among others.

Time for Year-End Planning

It’s that time of year again — when a little planning can potentially save you taxes when you file your return with the IRS next year. Here are some strategies to consider.

Analyzing Business Website Costs

How should the expenses incurred in launching a business website be treated for income tax purposes? Following is an overview of the federal tax rules and options that may be available.

Job Change Checklist

Taxes might be the last thing on the mind of someone making a job change, but failure to take them into account could make for some unpleasant surprises at tax time. Here are a few issues to consider.

Claiming College Students as Dependents

Does your child/college student qualify as your dependent? If so, you may be eligible for certain tax breaks.

The Many Types of Tax-Exempt Organizations

The tax rules authorize over 25 different types of tax-exempt organizations. Your credit union might be a 501(c)(14), while your child’s daycare might be a 501(c)(3). Such designations are significant because they determine permissible activities, filing requirements, and eligibility to accept tax-deductible contributions.

Short Takes

$33 Million Deduction Lost Due to Missing Cost Information

Where a partnership claimed a $33 million charitable contribution deduction for the donation of a property interest it had acquired a year and a half earlier for $2.95 million, the Tax Court disallowed the deduction because the taxpayer had failed to disclose the property’s cost basis on the required appraisal summary. The Tax Court found the omission to be “material” because the required cost information would have alerted the IRS to the substantial disparity. The IRS also assessed the taxpayer with penalties for gross valuation misstatement.
RERI Holdings I, LLC v. Comm’r, 149 TC 1 (July 3, 2017)

401(k) Plan Loan Deemed Taxable

Where a taxpayer failed to begin making timely repayments of her plan loan and did not pay the delinquent amounts within the plan’s allowed grace period, the Tax Court deemed the entire loan a taxable distribution. Prior to taking a leave of absence to have a child, the taxpayer took out a $40,000 loan and arranged to have the repayments automatically deducted from paychecks she would receive during a portion of her absence. However, the employer neglected to make the deductions, and the taxpayer didn’t notice the error until after she had returned to work — after the grace period had expired. Since the taxpayer was under age 59½, she was also assessed with the 10% tax penalty for early withdrawals.
Frias v. Comm’r, TC Memo. 2017-139

To learn more about Katz Viola Lebenhart & Mauro, LLP,
visit www.kvlmcpa.com.

415 Crossways Park Drive • Suite C • Woodbury, New York 11797 • (516) 938-5219
10 East 40th Street • Suite 2701 • New York, New York 10016 • (212) 370-3743

© 2017 Katz Viola Lebenhart & Mauro, LLP - Certified Public Accountants and Advisors - New York

This e-mail and any attachments are intended exclusively for the individual or entity to which it is addressed. It may be confidential or legally privileged. If you received
this message in error or are not the intended recipient, you should destroy the e-mail message and any attachments or copies, and you are prohibited from retaining,
distributing, disclosing or using any information contained herein. Please inform us of the erroneous delivery by return e-mail. Thank you for your cooperation.