Welcome to Seber Tans, PLC
Choosing the right accounting firm is one of the most important business decisions you will make. Any firm can add up the numbers and tell you where you’ve been, but Seber Tans will help you focus on where you want to go. In Southwest Michigan, the firm that unites professional expertise with creativity and vision is Seber Tans. With a team of experienced professionals on our staff, we can provide the capabilities of a large national organization, plus the personal attention of an independent firm. Clients choose us because we offer much more than off-the-shelf solutions. We will listen, ask questions, and learn all we can about your current situation. From that input, we’ll find creative solutions to help you focus on your opportunities rather than your obstacles. Join us and see why our clients trust us for their accounting, tax, and business advising needs.
Update on retirement account required minimum distributions
If you have a tax-favored retirement account, including a traditional IRA, you must comply with the required minimum distribution (RMD) rules after reaching a certain age. Currently, the starting age for RMDs is 73 for account owners who turned 72 beginning in 2023. So, if you turned 72 in 2023, you’ll turn 73 in 2024 and your initial RMD will be for calendar 2024. You must take that initial RMD by April 1, 2025, or face a penalty. The tax-smart strategy is to take your first RMD (for 2024) before the end of 2024 instead of in 2025. Then, take your second RMD (for 2025) by Dec. 31, 2025. That way, you’ll avoid having to take two RMDs in 2025 with the resulting double tax in that year. ... See MoreSee Less
Coordinating Sec. 179 tax deductions with bonus depreciation
Your business should generally maximize current year depreciation write-offs for newly acquired assets. Two federal tax breaks can help achieve this goal: first-year Section 179 depreciation deductions and first-year bonus depreciation deductions. These deductions can potentially allow businesses to write off some or all of their qualifying expenses in Year 1. However, Sec. 179 is subject to limits and annual inflation adjustments, and the bonus depreciation percentage in 2024 is 60% (down from 80% in 2023). The current tax-saving strategy is to write off as much of the cost of qualifying assets as you can with Sec. 179 deductions. Then claim as much first-year bonus depreciation as you can. ... See MoreSee Less
How renting out a vacation property will affect your taxes
What are the tax implications of renting out a vacation home part of the year? It depends on the time it’s rented and the time you personally use the home. (Personal use includes vacation use by relatives and use by nonrelatives if market rate rent isn’t charged.) If you rent the property for less than 15 days during a year, it’s not treated as rental property. Any rent received isn’t included in your income for tax purposes. But you can only deduct property taxes and mortgage interest. If you rent the property for more than 14 days, you include the rent you receive in income and you can deduct part of the operating expenses and depreciation, subject to several rules. Questions? Contact us. ... See MoreSee Less