Latest news with #BerkowitzPollackBrantAdvisors+CPAs
Business Journals
27-05-2025
- Business
- Business Journals
Berkowitz Pollack Brant founder talks leadership, AI in accounting
Story Highlights Richard Berkowitz built a top accounting firm focused on culture. Podcast discusses leadership, legacy, and future of advisory services. AI's impact on accounting and communication skills are addressed. What happens when you build a firm not just on financials, but on culture, mentorship and meaningful relationships? In this episode of the Florida Business Minds podcast, Richard Berkowitz, founder and executive chairman of Berkowitz Pollack Brant Advisors + CPAs, chats with SFBJ Editor-in-Chief Mel Meléndez about how his solo start in 1980 ultimately led to building one of the Top 60 accounting firms in the nation. GET TO KNOW YOUR CITY Find Local Events Near You Connect with a community of local professionals. Explore All Events From surviving a tumultuous merger in the 1980s, to identifying and coaching his CEO successor, Berkowitz opens up about the career lessons that helped shape his leadership, his undying commitment to the firm and philanthropy, and why he's now proud to be the firm's unofficial chief culture officer. Listen to the podcast where Berkowitz shares his insights on leadership, legacy and the future of advisory services, as well as: • The ramifications of private equity's "takeover" of the CPA industry. • How AI is reshaping accounting – and why it's both thrilling and troubling. • Why young professionals need to ditch the DMs and master face-to-face communication skills if they expect to be successful in business. Sponsored by TECO Peoples Gas, the Florida Business Minds audio series features candid conversations with business leaders from the South Florida, Tampa Bay, Orlando and Jacksonville regions. Find more Florida Business Minds podcasts here. Sign up here for the Business Journal's free morning and afternoon daily newsletters to receive the latest business news impacting the First Coast, and download our free app to get breaking news alerts on your phone.
CBS News
08-04-2025
- Business
- CBS News
Which tax deductions reduce your tax bill the most? Experts weigh in
With the April 15 tax filing deadline right around the corner, millions of Americans are finalizing their 2024 tax returns with one goal: reducing what they owe. Proper planning can save you thousands of dollars on your federal income tax bill, after all, and the right deductions might even turn your payment into a welcome tax refund. Not all tax deductions apply to everyone, however. Homeowners, business owners and those with specific healthcare costs qualify for different write-offs. Below, industry professionals break down the most powerful ones available this filing season. They also share insights on when utilizing a tax relief service might be worth considering. Find out how to get more help with your IRS tax debt . "For many taxpayers, contributing the maximum amount to their tax-deferred retirement accounts will likely reduce their tax bills the most," advises Jeffrey Kelson, partner and national tax co-leader at EisnerAmper, a tax and business advisory firm. The current maximum contribution is $23,500 in 2025, but if you're over 50 years of age, you can contribute an extra $7,500 per year. Taxpayers between the ages of 60 and 63 can make catch-up contributions of up to $11,250. Experts also recommend exploring three other deductions to lower your tax bill: "For most homeowners who use their home as a primary residence, the largest and most common immediate tax deductions are property taxes and the home mortgage interest deduction," says Sarah Gaymon, a certified public accountant (CPA) and director of tax services at Berkowitz Pollack Brant Advisors + CPAs. Property taxes are currently capped at $10,000 under SALT (State and Local Tax) limitations. To benefit from these deductions, you must itemize on your tax return. Beyond traditional write-offs, "home improvement expenses toward energy-efficient homes can yield significant savings," notes Ran Harpaz, founder and CEO of Lettuce Financial, a company offering tax services for solopreneurs. The Residential Clean Energy Credit provides up to 30% of the cost for qualifying improvements such as solar panels. Learn what your IRS tax relief options are here . "The Qualified Business Income (QBI) deduction [is] one of the biggest deductions for small businesses," says Kelson. This allows eligible self-employed taxpayers to reduce their taxable income by up to 20% of their qualified business earnings. Under the QBI, business owners can deduct the following expenses: If you're a high-earning self-employed individual, Harpaz suggests exploring S Corporation status. With it, you pay yourself a reasonable salary subject to self-employment taxes (15.3%). "After [that], the rest of the profits aren't subject to [these] taxes," he says. This structure can save six-figure-revenue business owners thousands in self-employment taxes annually compared to a sole proprietorship. Though it requires a high-deductible health plan, "an HSA (Health Savings Account) has a triple tax benefit," Kelson points out. "You get a tax deduction in the contribution year. It can accrue interest tax-free, and if you distribute it for qualified medical expenses, you don't pay taxes on those contributions." Many employers also match HSA contributions. Don't have an HSA? Medical expenses can still provide tax benefits. If you itemize your deductions, "health-related expenses are deductible if they exceed 7.5% of [your] adjusted gross income," says Gaymon. Here are examples of eligible expenses: Gaymon notes that some states have different income limits and rules for deductibility. This means taxpayers who don't itemize federally may still be able to do so at the state level. While maximizing deductions helps reduce your tax bill going forward, many Americans have existing tax debt from previous years. Using a tax debt relief service could be beneficial if you owe taxes exceeding $10,000. Tax relief professionals can "[negotiate] more favorable settlements [such as] Offers in Compromise, [halt] enforcement actions and [secure] penalty abatements," explains Chad Cummings, a certified public accountant and attorney at The Law Office of Chad D. Cummings. However, Kelson cautions that not all tax relief companies are reputable. "Do due diligence as some charge high fees and aren't always successful," he advises. Look for firms with licensed tax attorneys and certified public accountants. Finally, check online reviews before signing any contracts. Before claiming any deductions, compare them against the standard deduction. "Do the math — if your SALT limit of $10,000, plus mortgage interest, and charitable contributions are more than the standard deduction, then you should itemize," Kelson suggests. For 2024, the standard deduction is $14,600 for individuals, $29,200 for married couples filing together and $21,900 for heads of household. Unsure which deductions apply to your situation? Consult a tax professional. They can identify tax-saving opportunities you might miss and ensure you're maximizing your refund or minimizing what you owe.
CBS News
01-04-2025
- Business
- CBS News
How to qualify for IRS tax forgiveness, according to experts
With the tax filing deadline fast approaching, millions of Americans are rushing to finalize their returns. This time of year can be extra stressful if you have unpaid IRS taxes from previous years and owe more this year. Back taxes often snowball into a financial burden with growing penalties and interest. The IRS can also levy bank accounts, place liens on your property, garnish your Social Security disability check and damage your credit score. These repercussions underscore the importance of tackling this debt promptly. The good news is that several relief programs exist for struggling taxpayers. These could reduce or eliminate what you owe under certain circumstances. So it helps to know the qualifying criteria. Below, we spoke to experts about what to know, specifically. Start tackling your tax debt here now . Tax problems rarely resolve themselves and often compound over time. "In my experience, if you owed last year, then you'll probably owe this [year] and next year," warns Adam Brewer, tax attorney at AB Tax Law. With ongoing tax obligations mounting, many taxpayers need relief options. Joseph Leocata, JD, a certified public accountant and tax controversy advisor with Berkowitz Pollack Brant Advisors + CPAs, says tax forgiveness becomes viable "when the balance becomes insurmountable, when facing financial hardship or if the IRS intensifies collection actions." Below are three tax relief avenues to explore: "An offer in compromise is an agreement with the IRS to settle your tax debt for less than you owe," explains Logan Allec, a certified public accountant and owner of Choice Tax Relief. The IRS accepts offers in compromise through the following approaches: Of the above, "the most common is doubt as to collectibility," Allec says. Applying for it involves these steps: After reviewing your financial information, the IRS calculates your reasonable collection potential. For your offer to succeed, Allec notes that "your offer amount should be at least the amount of your reasonable collection potential." Explore your tax debt forgiveness eligibility here . Penalty abatement offers relief from the additional charges the IRS adds to your tax debt. "In certain circumstances, the IRS may fully or partially abate — that is, forgive — the penalties it has assessed against you," Allec explains. The IRS offers two main types of penalty relief: The IRS has 10 years from the date of assessment to collect a tax. "We've seen millions of our clients' tax debts written off due to the IRS's collection statute expiring," Allec says. Sometimes this happens without effort if the IRS isn't actively pursuing collection. But in many cases, tax professionals help clients enter formal arrangements such as "currently not collectible" status. Though this doesn't get rid of the debt right away, it could delay aggressive collection actions until the statute expires. Tax professionals highlight three qualification criteria for IRS tax relief programs: Tax relief services exist for many financial situations, and your circumstances will determine which option works best. So, consult a professional at a reputable tax relief company . They can assess your situation, help gather required documentation and guide you toward the optimal approach.
