Stephano Slack LLC welcomes three new members to the team.
We are happy to welcome three new accountants to our firm. Alvin Bastian, Michael Farren and Patricia Timko are our new staff accountants. Alvin is a graduate of Philadelphia University where he majored in Accounting and Finance. Michael is a recent graduate of The University of Scranton. Patricia Timko joins the firms and hails from the University of Delaware. We are excited for the growth of the firm and the new additions.
Jay Brooks is promoted to Senior Accountant.
Joseph (Jay) Brooks is the newest senior accountant at Stephano Slack. Jay first joined the firm as an intern while earning is undergraduate degree at James Madison University, in Harrisonburg, Virginia. Upon graduation Jay returned to Stephano Slack as a staff accountant and earned is CPA license. In September 2012, Jay was promoted to Senior Accountant -Congratulations, Jay!
Tax Planning in Reverse?
As we close in on the Election and the year end. Our thoughts turn to year end tax planning and what can we do to accelerate deductions and defer income.
The year 2013 appears to be a year of HIGHER tax rates for those with adjusted gross incomes in excess of $200,000(single) and $250,000(joint).
In the year 2012 you must consider accelerating income and deferring deductions. While we cannot locate the Amazing Kreskin to foretell the future, one thing is certain, there is a .9% additional medicare tax on earnings and active business income over a certain limit and a 3.8% Medicare tax on investment and passive income. Passive income includes real estate income for most individuals.
Consider the following:
If you are selling an asset which will yield a capital gain, you may want to take the gain in 2012. In 2013 the tax on the gain will apparently increase by 8.8%. (Medicare tax 3.8% and an expected minimum increase in the capital gains rate of 5%). Holding out for an extra 2% in selling price which delays the sale to 2013 may be a losing move.
One bit of good news is we will have 7 weeks after the election before 12-31-12. By that time, we should have a good feel what will be intended for the 2013 tax rates. Stay tuned for an interesting fall.