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2026 Year-End Vehicle Purchases to Save on Taxes

Do you need a new business vehicle?  Buying one before December 31, 2026, could deliver substantial tax savings, thanks to permanent 100 percent bonus depreciation and generous Section 179 deductions. But not all vehicles qualify for the same tax benefits. Here’s what you need to know. 1. Heavy SUVs...

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2026 Year-End General Business Income Tax Deductions

The clock ticks on your 2026 tax deductions. Fortunately, six straightforward year-end business strategies can help you reduce taxable income and keep more money in your pocket. 1. Prepay business expenses. If you use cash-basis accounting, IRS safe-harbor rules generally allow you to deduct qualifying expenses prepaid up to...

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2026 Year-End Section 199A Tax Reduction Strategies

If you own a tax code–defined pass-through business, such as a sole proprietorship or an S corporation, the Section 199A deduction could save you thousands in federal income taxes.  This valuable deduction, now permanent, lets eligible business owners deduct up to 20 percent of qualified business income (QBI). For...

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Jack Up Your Profits with Historic Rehab Tax Credits in 2026

If you own or are considering buying an older commercial or rental building, the federal historic rehabilitation tax credit could return 20 percent of your renovation costs as a dollar-for-dollar reduction in your tax. Many states offer an additional credit. How It Works  The credit equals 20 percent of...

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2026 $500,000 Home-Sale Exclusion: Must You Be Married?

If you are married and plan to sell your home, you may be able to exclude up to $500,000 of gain from tax. The length of your marriage does not matter. To claim the full $500,000, you need the following: If your spouse lived in the home before the...

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Proving Basis in Your Home: The 2026 Cost of Bad Records

When you sell your home, the tax on your gain depends on your basis, which is what you paid for the home plus the cost of improvements. But improvements count only if you can prove them. Basis Matters More Every Year The home sale exclusion of $250,000 ($500,000 for...

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Refinancing a Rental: Avoid a Bad Interest-Deduction Trace

If you refinanced a rental property and took cash out, or if you plan to do so, how you spend that money determines whether you can deduct the interest. Tax law follows the money, not the property securing the loan.  If you use the refinancing cash for personal purposes,...

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Commission Rebates in 2026: Cut Your Fee, Don’t Cut a Check

If you offer customers a rebate or discount on your commission, how you handle it can affect your taxes. Here is what to know for 2026. The Best Approach: Reduce Your Commission at Closing When the discount comes off your commission before you are paid, your Form 1099-NEC shows...

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Both the CPA and the IRS Are Wrong on This 2026 Home-Office Audit

If you are self-employed and also have access to an office elsewhere, you may assume you cannot deduct a home office. Many people believe this, and IRS auditors sometimes raise it. But the law says otherwise, and the IRS’s own guidance backs you up. Your home office qualifies as...

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Health Insurance Application Does Not Control Your Tax Deduction

If you are self-employed and buy your own health insurance, you may have noticed fine print on the application stating that the policy is not employer-sponsored and that you will not deduct the premiums on your tax return.  That language can be alarming, but it does not take away...

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Reasonable Compensation Horror Stories: The Tax Man Cometh

If you own an S corporation and work in the business, the IRS expects you to pay yourself a reasonable salary before taking the rest of your profits as distributions.  With wages subject to a combined 15.3 percent payroll tax up to the $184,500 Social Security wage base in...

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Employee Retirement Plan Coverage: 2026 Options and Credits

If your business has employees, or soon will, now is a good time to review your retirement plan options for 2026. Check If Your State Requires a Plan Fifteen states now require employers to either sponsor a qualifying plan or enroll workers in a state-run program. California and Oregon...

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Copyright All rights Reserved. Financial Dream Team, like all providers of personal financial services is required by law to inform their clients of their policies regarding privacy of client information. The information in this material is not intended as tax or legal advice. Financial Dream Team, USA, LLC is a registered business in Califronia. Provided content is for informational purposes only.

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