November highlights from The MWE Advisor: FAQs about the 15.3% self-employment tax and how to possibly avoid it; Planning now to reduce your potential alternative minimum tax (AMT) exposure.
FAQs About Self-Employment Tax
The 15.3% self-employment (SE) tax applies to individuals who engage in a trade or business. That refers to activities conducted with continuity and regularity and with a profit motive. Income from activities that don’t meet this standard may be SE-tax-exempt — but there are some gray areas. Here’s what you need to know to possibly avoid the SE tax hit. Read More
Plan Now to Reduce AMT Exposure
Unfortunately, the individual alternative minimum tax (AMT) is still in place after the passage of the latest tax reform law. However, current law makes the AMT rules more taxpayer-friendly and reduces the odds that you will be hit with the complex tax. This article explains who still owes the AMT and how you can still benefit by making moves to avoid or minimize it. Read More