Archive for June 2018
Blockchain and Retail: What Retailers Must Know About Cryptocurrency
Blockchain and retail: Is it a marriage made in cryptocurrency heaven? Only time will tell. Many major retailers, such as Overstock.com, Newegg.com, Microsoft and Reeds Jewelers, Inc., have accepted bitcoin payments for years. Cryptocurrency payment gateways abound. Companies like BitPay serve the cryptocurrency market exclusively, while others like Shopify are well known to online retailers…
Read MorePrivate Equity and Venture Capital Firms Are Still Digesting Trump Tax Reform
The headlines leading up to passage of the new tax law were ominous. Changes requiring private equity and venture capital funds to hold investments longer to get a lower capital gains rate on carried interest — coupled with new caps on interest deductions — would create “prompt upheaval,” The Economist declared. Methods for valuing buyout…
Read MoreThe Next CRE Frontier: Recruiting Artificial Intelligence and Big Data to Boost Projects’ Performance
Alexa, get me our tenant mix recommendations. OK, maybe it’s a stretch to think Amazon’s digital assistant will be providing commercial real estate insights anytime soon, but these days, more commercial real estate investors are turning to Big Data and artificial intelligence to help produce forecasts and valuable insights on property performance, long-term tenant behaviors,…
Read MoreWill Tax Reform Make C Corps Cool Again?
By the end of the 1980s, closely-held C corporations mostly went the way of Members Only jackets and the Commodore 64. Pass-through entities have since become the tax structure of choice for most small to mid-size businesses. Could Trump tax reform alter that trend? A (Very) Brief History of Corporate Entities Sole proprietorships, partnerships, LLCs…
Read MoreLower FDII Tax Rate Lures Foreign IP and Services Back to U.S.
Fiddy. Foe-dee. Eff-Dee-Eye-Eye. Whichever way you pronounce it, the new Foreign Derived Intangible Income (“FDII”) provision of President Donald Trump’s tax reform law means a significant reduction in taxes on exports by certain U.S.-based companies. Lawmakers intended the new rule to incentivize companies that don’t have large amounts of fixed assets (e.g., technology or professional…
Read MoreAtlanta’s DomestiCITY Wants to Make Affordable Housing Attractive for Tenants & Investors
For a century, low-income urban housing projects in the United States have shared a common aesthetic: imposing, characterless high-rise buildings with little sense of place or personality. That’s because urban planners have been almost entirely focused on economics and replicability as they stripped away any non-essential components, which led to boring cookie-cutter designs. The City…
Read MoreDiscounting Pledges
Discounting pledges and accounts receivable can be a confusing topic, so it shows up often as a management letter comment. Depending on the amount that requires an adjustment, this can be either a significant deficiency or a material weakness if it gets too big. Below are some suggestions on how to record pledges and discounts and…
Read MoreColorado Jumps on the Market-Based Sourcing Bandwagon
The Governor of Colorado signed legislation H.B. 1185 into law on June 4, 2018, adding Colorado to the list of states that use a market-based sourcing rule to source receipts from the sale of services and intangibles. This change, which is applicable for tax years beginning after 2018, moves Colorado away from its current proportionate costs of…
Read MoreSouth Carolina Rules That Home Depot is a Retailer on its Install Contracts
For a taxpayer that acts as both a retailer and a contractor, distinguishing between the two can be difficult, and choosing the wrong characterization can create significant sales tax exposure, as this South Carolina case demonstrates State sales tax rules typically distinguish between retailers and contractors. Generally, retailers sell tangible personal property (or services) to…
Read MoreGeorgia Adopts New Rural Zone Tax Credit Regulation
Georgia finalized regulations for a new income tax credit aimed at incentivizing certain businesses and real estate investors to revitalize designated rural areas. By Jess Johannesen, SALT Manager On May 8, 2017, Governor Nathan Deal signed House Bill 73 which created the new Georgia Rural Zone Tax Credit, effective Jan. 1, 2018. The credit is automatically…
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