By Yigang Xu, CPA XU CPA, LLC Greenville, SC www.mygreenvillecpa.com Tax planning often focuses on reducing current-year tax. In many situations, that is reasonable. Problems arise when tax savings are achieved without considering future income levels, tax brackets, or loss of flexibility. Tax savings are not absolute. They depend on timing and future rate. Using […]
When Tax Savings Create Bigger Problems Later Read More »
By Yigang Xu, CPA XU CPA, LLC Greenville, SC www.mygreenvillecpa.com A Health Savings Account (HSA) is a personal account, not an employer plan. In my view, when used correctly, it is one of the most versatile tax-advantaged accounts available. Key Features: Contributions are tax deductible when made. The account belongs to the individual, not the
Health Saving Account Intro and 2026 Update Read More »
By Yigang Xu, CPA XU CPA, LLC Greenville, SC www.mygreenvillecpa.com In the previous article “Tax Aspects of the Affordable Care Act”, I have discussed how the Affordable Care Act impact individuals and families by introducing new surtaxes, premium credit, penalties. In this article which is Part 3 I will be covering some basic rules ACA
Impact of the Affordable Care Act on Businesses Read More »
By Yigang Xu, CPAXU CPA, LLCGreenville, SCwww.mygreenvillecpa.com What is the Affordable Care Act?The Patient Protection and Affordable Care Act (PPACA), is a statue signed into law by President Obama on March 23, 2010, commonly known as the Affordable Care Act (ACA). Among many of its regulations and requirements, the primary rule that most American must carry
The Basics of the Affordable Care Act Read More »
By Yigang Xu, CPAXU CPA, LLCGreenville, SCwww.mygreenvillecpa.com Although the term financial statements is often times associated with large corporations and Wall Street, small businesses will also run into situations where a formal financial statement is needed. The most common users of small businesses financial statements are 1) banks and other creditors; 2) licensing and regulatory
What Small Businesses Need to Know about Financial Statements Read More »
By Yigang Xu, CPAXU CPA, LLCGreenville, SCwww.mygreenvillecpa.com What is South Carolina Form I-335? South Carolina Active Business and Trade Income is not very well understood by many self-employed people with good income level. The name sounds quite confusing as if it is an extra tax, but it is actually a huge tax saving for self-employed
South Carolina Active Business & Trade Income Read More »
By Yigang Xu, CPAXU CPA, LLCGreenville, SCwww.mygreenvillecpa.com The federal tax code permits taxpayers who itemize to claim a deduction for the mortgage interest they pay on their own homes. This is a very important tax deduction, especially for higher income taxpayers. According to the US Treasury Department, this deduction is the 3rd largest individual tax
Mortgage Interest Deduction Read More »
By Yigang Xu, CPAXU CPA, LLCGreenville, SCwww.mygreenvillecpa.com A limited liability company (LLC), in the plainest language, is a hybrid entity sharing elements of a regular corporation (for limited liability) and a partnership or a sole proprietorship (for income flow through). It is not to be confused with a regular corporation, because it is not incorporated,
LLC and Federal Tax Classification Read More »
By Yigang Xu, CPAXU CPA, LLCGreenville, SC www.mygreenvillecpa.com To many young people in foreign countries, the U.S. is highly desired after as a place for higher education, prosperity and freedom. Many then decided to leave their home country and came to the U.S. to pursue their dream of career achievement and prosperity. The most common
H1b Worker and Income Tax Status Read More »
By Yigang Xu, CPAXU CPA, LLCGreenville, SCwww.mygreenvillecpa.com It is not uncommon for many U.S persons (citizens, permanent residents, and certain resident aliens) to have interest in a foreign bank account, to be beneficiaries or grantors of foreign trusts, or to receive gift and money from a foreign relative or other foreign person. Although these events
Reporting of Foreign Bank Account, Financial Assets and Gift by U.S. Persons Read More »
By Yigang Xu, CPAXU CPA, LLCGreenville, SCwww.mygreenvillecpa.com In the previous article “Basics of the Affordable Care Act”, I have discussed a few of the very basic concepts of ACA, like the individual mandate, the essential minimum coverage, penalty and the marketplace. In this article, I will discuss some tax aspects of ACA that impacts
Tax Aspects of the Affordable Care Act – Individuals and Families Read More »