How to Keep Your S Corp Distributions Non-taxable
One of the benefits of an S corporation is that shareholders can generally take distributions without paying additional tax.
But there is an important limitation:
S corporation distributions are tax-free only to the extent of the shareholder’s stock basis.
If distributions exceed stock basis, the excess is generally treated as capital gain under IRC §1368.
The 12-Month Tax Trap: When a Locums Assignment Stops Being Temporary
One of the financial advantages of locum tenens work is the ability to deduct certain travel expenses when you take a temporary assignment away from home. Hotel bills, airfare, mileage, and meals can add up quickly, so these deductions may be substantial.
But there is an important rule that locums physicians should understand:
Once an assignment is expected to last more than one year, the tax treatment changes significantly.
Your Tax Year Is Bigger Than Your Calendar Year
A common misconception I see — even among highly educated professionals — is the belief that everything on your tax return has to happen between January 1st and December 31st.
It doesn’t.
For physicians, business owners, and self-employed professionals, this timing flexibility is often the key to making aggressive tax planning actually work in real life.
Let’s walk through the major deadlines — and what actually needs to happen by each one.
Simplified vs. Regular Home Office Deduction for Sole Proprietors: How the Higher SALT Deduction Changes the Math
As a physician working from home, you have two methods to calculate your home office deduction: the simplified method and the actual expense method. While the simplified method appears straightforward on the surface, recent tax law changes—particularly the increase in SALT deduction limits—have shifted the calculation in ways that may surprise you.
…Ready for It? A New Tax Era for Kelce and Swift
Taylor Swift and Travis Kelce happily announced their engagement this week. If you are also considering a walk down the aisle, read on to learn how getting hitched can result in big changes in your tax return.
