Audit Representation
Navigating an IRS audit can be a daunting and stressful experience. This category offers valuable articles and insights on the audit representation process, including what to expect, how to prepare, and the strategies professional CPAs use to defend their clients’ cases. You will find information on handling correspondence, gathering documentation, and leveraging an expert’s knowledge to achieve the best possible outcome. These articles are designed to empower you with the knowledge to face an audit with confidence, knowing you have a professional on your side.
October 28, 2025
Published by Rashida Turra on October 28, 2025
A Colombian Fiduciary (Fiducia) is a popular financial structure used in Colombia for managing assets, investments, and real estate projects. While it might look similar to a U.S. trust, the two are not treated the same—especially by the IRS. For U.S. taxpayers with ties to Colombia, misunderstanding this difference can lead to serious tax reporting issues.
This article explains how Fiducias work, how they compare to U.S. trusts, and why the IRS often classifies them as foreign trusts—triggering reporting obligations on Forms 3520 and 3520-A. If you’re investing or managing property in Colombia, understanding the U.S. tax implications of a Fiducia is essential to stay compliant and avoid costly penalties.
October 27, 2025
Published by Rashida Turra on October 27, 2025
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Working as an independent contractor offers freedom and growth potential—but also unique tax responsibilities. Unlike traditional employees, contractors must handle self-employment taxes, quarterly payments, and meticulous recordkeeping. This guide, based on over a decade of CPA experience, breaks down everything from IRS classification and key deductions to common mistakes, essential forms, and entity structures that can help lower your tax bill. With the right planning, contractors can stay compliant, reduce tax liability, and turn tax season into a strategic opportunity for financial growth.
October 24, 2025
Published by Rashida Turra on October 24, 2025
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Unlock the Power of the 1031 Exchange
If you’re a real estate investor aiming to grow your portfolio without getting hit by capital gains taxes, the 1031 exchange can be a game-changer. This IRS-approved strategy allows you to sell one investment property and reinvest in another “like-kind” property—deferring taxes and keeping more of your money working for you. By following strict timelines and reinvesting all proceeds through a qualified intermediary, investors can scale into higher-value properties, boost cash flow, and build long-term wealth. Mastering this strategy can help you preserve capital, diversify holdings, and create a stronger legacy for future generations.
October 20, 2025
Published by Rashida Turra on October 20, 2025
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The QBI deduction allows eligible businesses... to deduct up to 20% of qualified business income from their taxable income. This deduction can significantly reduce your effective tax rate. With the act making the QBI deduction permanent, business owners can now confidently incorporate this key tax benefit into long-term financial planning without fearing sudden loss of tax savings.
October 17, 2025
Published by Rashida Turra on October 17, 2025
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Private lending offers entrepreneurs fast, flexible access to capital, making it an increasingly popular alternative to traditional banks. However, this speed often comes with hidden dangers.
The less-regulated nature of private loan contracts means they frequently contain complex or unfavorable terms buried in the fine print. Clauses like Prepayment Penalties (which prevent early repayment) or Interest-Only Payment Periods can cost borrowers tens of thousands in unexpected fees and interest.
Don't risk your business on verbal promises or skimmed documents. To protect yourself, always read every word, seek professional advice before signing, and negotiate unfair conditions. Knowledge is your best defense against costly private lending pitfalls.
October 15, 2025
Published by Rashida Turra on October 15, 2025
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Balancing retirement savings and business reinvestment is one of the toughest financial decisions business owners face. How much should you set aside for retirement versus putting back into your company’s growth? This article explores key strategies for retirement planning for entrepreneurs, tax-advantaged savings options, diversification tips, and real-life insights to help you make smarter, long-term financial choices. Learn how to align your age, goals, and business potential to secure both your future and your company’s success.
October 14, 2025
Published by Rashida Turra on October 14, 2025
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The 1031 Exchange, also known as a "like-kind exchange," is one of the most powerful tax deferral tools for U.S. real estate investors. It allows investors to sell an investment property and reinvest the proceeds into a similar "like-kind" property without immediately paying capital gains tax. This effectively defers the tax liability, keeping more capital invested to accelerate portfolio growth and wealth building. To successfully execute a 1031 Exchange, strict IRS rules must be followed, including the use of a Qualified Intermediary and adherence to the 45-day property identification and 180-day closing deadlines. Though complex, utilizing a 1031 exchange can be a game changer for maximizing returns and scaling a real estate empire.
October 10, 2025
Published by Rashida Turra on October 10, 2025
Operating across borders brings immense opportunities—but also complex tax challenges. One of the most crucial areas for any multinational business is transfer pricing—the pricing of goods, services, or intangibles exchanged between related entities. Far from being arbitrary, these prices must follow the arm’s length principle, ensuring they reflect fair market value to prevent profit shifting and double taxation. Noncompliance can lead to severe penalties, audits, and reputational damage. Understanding key regulations, documentation requirements, and OECD guidelines is essential for staying compliant. This article breaks down the fundamentals of transfer pricing, its risks, and how to safeguard your multinational operations through robust compliance practices.
October 8, 2025
Published by Rashida Turra on October 8, 2025
Owning property abroad is exciting, but for U.S. citizens, it's a major tax and compliance hurdle. The IRS requires detailed reporting of foreign rental income (Schedule E), and transactions may trigger FBAR (FinCEN 114) and FATCA (Form 8938) filings with steep penalties for non-compliance. Capital gains are taxable, and deductions must be properly managed using forms like the Foreign Tax Credit (Form 1116) to avoid double taxation.
The key mistake is relying on domestic accountants; international real estate requires expertise in both U.S. cross-border regulations and local tax laws (like Spain's GILT tax). Working with a specialized CPA before purchasing can save significant time, money, and legal stress by ensuring accurate, timely filings and simplifying multi-layered compliance.