A company car has long been a popular fringe benefit for company owners and key employees of medium-size or small businesses. This benefit yields substantial nontax as well as tax benefits for owners or employees, as well as tax deductions for the employers. What’s more, recent tax law changes and IRS liberalizations make the deal better than ever before. Contact us to learn more about the tax consequences of personal use of a company auto, as well as the various methods of valuing personal use.
The IRS is making headway in efforts to bring its financial management systems into compliance with the Federal Financial Management Improvement Act (FFMIA). The law aims to ensure that financial management systems provide accurate financial information to financial managers and Congress. FFMIA requires that systems used for financial accounting be uniform across the government. A recent Treasury Inspector General for Tax Administration audit states that, “during fiscal year 2018, the IRS made progress addressing a long-standing material weakness in its internal controls over unpaid assessments.” Read the audit: https://bit.ly/2LTW0kY