Key Financial Solutions Inc

In the event of divorce, part or all of a married couple’s business will often be considered divisible marital property. If you’re in this situation, you likely can divide your business ownership interests without triggering federal income or gift taxes. The spouse receiving the interests assumes the existing tax basis (to determine future gain or loss) and holding period. Tax-free treatment generally applies to transfers made before, during or up to a year after the divorce. Transfer recipients will owe taxes on any gain if they later sell the ownership interests. Call us at (313) 221-9397 for more information on the tax implications of divorce.

Tax planning requires more than preparing returns at filing time. We work with individuals and businesses throughout the year to identify tax-saving opportunities, address compliance requirements and respond to changing tax laws. Call us at (313) 221-9397 to schedule an appointment to discuss your tax needs.

Does your child have a paid internship? Don’t let him or her forget about taxes. Many interns are surprised to learn that internship stipends or other related payments are generally taxable, even if the program offers training or educational opportunities. Depending on the arrangement, payments may be reported on Form W‑2 or Form 1099. Even if no tax form is issued to your child, the income may still be taxable. If taxes aren’t withheld from internship pay, estimated tax payments might be necessary to avoid surprises when it’s time to file a tax return. If you have questions, we can help. Contact us at (313) 221-9397.