Achieving a Better Life Experience (ABLE) account for disabled:  A new tax savings program is available for disabled individuals and families raising children with disabilities. A "qualified disability trust" may be established and used to provide financial assistance to a disabled person without disqualifying the individual for other certain government benefits. With treatment similar to that of a qualified tuition plan, a tax exemption will be allowed on distributions and amounts in the ABLE account would accumulate tax free. A designated beneficiary of an ABLE account is an eligible individual if: 

 

1. The individual is entitled to benefits based on blindness or disability under the Social Security disability insurance program and the blindness or disability occurred before the date the individual reach age 26, or


2. A disability certification for the individual has been filed with the IRS that the individual has incurred prior to reaching age 26,certain medically determined physical or mental impairments or is blind.

Distributions from the ABLE account would be tax free to the extent the distribution is used for qualified disability expenses. Qualified disability expenses are any expenses related to the eligible individual's blindness or disability and include expenses such as education; housing; transportation; employment training and support; assistive technology and personal support services; health, prevention and wellness; financial management and administrative fees; legal fees; expenses for oversight and monitoring; funeral and burial expenses; and other expenses that are approved by the IRS. 

 

The maximum amount of funding into an ABLE account per year from all contributors is limited to the annual gift tax exclusion which will be $14,000 for 2015.

 

Bankruptcy exemptions for ABLE accounts: Funds placed in an ABLE account no later than 365 days before the filing date of the bankruptcy are not included in the bankruptcy estate if the designated beneficiary is the debtor's child, stepchild, grandchild or step-grandchild. The exclusion is limited to $6,255 for funds placed in an ABLE account having the same beneficiary between 365 and 720 days before the filing date.

 

ABLE accounts go into effect for tax years beginning after December 31, 2014.

 

• 57.5 cents per mile for business miles driven, a one and a half cent increase from 2014
• 23 cents per mile driven for medical or moving purposes, a half cent decrease from 2014
• 14 cents per mile driven in service of charitable organizations, which remains unchanged from 2014

Taxpayers have the option to deduct the actual costs of using their vehicle, rather than the IRS standard mileage rates.

Taxpayers may not use the business standard mileage rate for a vehicle after claiming accelerated depreciation on that vehicle. The standard rate is not available to fleet owners (more than four vehicles used simultaneously).

UHY VIDEO ARCHIVES

In the past several years, the IRS has been vigorously pursuing taxpayers who fail to comply with foreign reporting requirements, imposing severe penalties for noncompliance. Therefore, as we begin a new year in 2015, it is important taxpayers are reminded of the forms they are required to file, and informed of foreign reporting requirements they may be unaware of. Below are some of the most common forms required to be completed to disclose foreign holdings:

 

• FinCEN Form 114, Report of Foreign Bank and Financial Accounts (FBAR), for US taxpayers with greater than $10,000 in a foreign financial account
• Form 8621, Information Return by a Shareholder of a Passive Foreign Investment Company (PFIC)
• Form 926, Return by a US Transferor of Property to a Foreign Corporation, required when the cash transferred by a person to a foreign corporation exceeds $100,000 during any 12-month period
• Form 8865, Return of US Persons With Respect to Certain Foreign Partnerships, to report constructive ownership, transfers and changes in interest involving foreign partnerships
• Form 5471, Information Return of US Persons With Respect to Certain Foreign Corporations, for US persons who are officers, directors or shareholders in certain foreign corporations
• Form 8938, Statement of Specified Foreign Financial Asset, for US taxpayers with more than $50,000 of foreign financial assets on the last day of the tax year or more than $75,000 at any time during the tax year. This requirement is in addition to the FBAR reporting.

The risk of fraudulent activity within a company is nothing new. According to the Journal of Accountancy, losses from fraud can total approximately 5 percent of annual revenues for a typical company. Over the years, Sarbanes-Oxley (SOX) and the Dodd-Frank Act have encouraged employers to address fraud through the development of a company-wide whistleblowing program. The Association of Certified Fraud Examiners recently reported that most cases of internal fraud were discovered in 2014 through employee tips, ranging from 34 to 45 percent of instances, based on the size of the company. Organizations that create and implement a whistleblowing program can learn more about the fraud before an employee takes the news to the general public. There are several ways in which companies can encourage their employees to "blow the whistle" on suspected fraud:

 

Reward good behavior. The SEC has announced that it expects to pay an award of more than $30 million to a whistleblower. This is the highest payout in the history of the commission's two-year-old whistleblower program. Smaller companies could offer recognition, a promotion, or equity as a reward for good behavior.

 

Make it easy to report. Management should communicate the existence of a whistleblowing hotline to its employees, whether the hotline is internal or third party administered. Having a fraud hotline allows for employees to submit tips anonymously, however, some employees may still be deterred from reporting issues for fear of privacy breaches. This is why it's important for management to encourage the use of hotlines and assure employees the information will only be used internally.  

 

Communicate regularly. Just as companies implement emergency action procedures in case of a fire, an organization should communicate a plan of action for internal fraud discovery. Management or other accountable individuals should regularly inquire employees as to whether they have any knowledge of potential fraud.

 

Thursday, February 19, 2015

Registration at 6:00 PM. Game starts promptly at 7:00 PM.
 

Star Lanes at Emagine Royal Oak
200 North Main Street
Royal Oak, MI 48067

 

$100 buy-in and $50 re-buy. VIP prizes for finalists. Chips have no cash value. Must be 18 to play and 21 to consume alcohol. 

Contact Jessica Dalessandro at jdalessandro@uhy-us.com or 586 843 2507 to save your spot! Cash, check or credit card contributions accepted in advance or at the door. Sponsorship opportunities available.

UHY Cares in cooperation with the D.M.G.C. and the McCarty family hope to see you there!

 

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UHY Cares Holiday Fundraising Campaign Raises Nearly $20,000 For Several Local Families In Need 

During the holiday season, a time for gifts and celebrations, it is important to remember the true meaning of this special time; generosity and kindness. UHY Cares Michigan, a nonprofit 501c3 organization founded by accounting firm UHY LLP,  partnered with Angels of Hope Family Cancer Foundation and Volunteers of America to give a merry Christmas to some families who otherwise would not have had one. Cares sponsored 18 local families for the holidays and raised nearly $20,000 through employee raffles, jean days, bake sales, luncheons and partner matches. Over 30 volunteers from UHY's Farmington Hills and Sterling Heights locations joined forces to shop, wrap and deliver gifts and holiday cheer to 85 people from the metro Detroit area.

 

In addition to sponsoring these families for the holidays, UHY Cares donated hundreds of items to Toys for Tots and Michigan Humane Society. Monetary donations were also made to other various charities to highlight a successful fundraising season. The holiday campaign is evidence of UHY's promise to give back to the community they serve. 

Careers At UHY

Are you ready to take charge of your career path? Be sure to visit our careers page for the most up-to-date career listings or contact Amanda Sheets at asheets@uhy-us.com or 248 204 9482. Check out some of the current opportunities in our Michigan offices: 

 

• Audit manager, 7+ years of experience
• Audit senior accountant, 5-7 years of experience, CPA required, working with municipalities a plus
• Audit senior staff accountant, 2-4 years of experience
• Tax manager, 7-10 years of experience
• Tax senior accountant, 5-7 years of experience, CPA required
• Director of litigation, testifying experience required
• Marketing associate, 2+ years of experience, bachelor's degree in marketing or related field