Location: Westland, Michigan, United States

Graduate of Walsh Institute Of Accountancy (Now Walsh College) Michigan in 1959. Retired in 1987, but still active in the profession **World War II Veteran (Pacific) **PHONE 734-261-1979 **E-MAIL **(Domain Name CPASENSE Registered) **Mentioned in the Journal of Accountancy, SmartPros, Tax Prof Blog, CPA2BIZ, CPA Journal, AccountingWEB, CPATrendlines & More **Search Accounting Blogs: (Includes cpasense)**TOPICS - FINANCE - FEDERAL & MICHIGAN TAXES ** Making Sense Of Your Finance & Taxes

Saturday, July 29, 2006

U.S. House votes to hike minimum wage by $2.15

SooToday-- By a 230-180 vote, the U.S. House of Representatives voted early Saturday to increase the $5.15 hourly minimum wage by $2.15. It's the first minimum wage hike in almost a decade. Now goes to Senate for consideration.

Thursday, July 27, 2006

Free MET Seminars Offered at Detroit YMCA's
Seminars will help families learn more about saving for college.

Michigan Treasury

Michigan Governor Granholm Announces Online Petition Asking Legislature to Ease Stem Cell Restrictions

Office of the Governor of Michigan

Friday, July 21, 2006

Tax Credits For Toyota & Lexus Hybrids To Be Halved

Environmentally concerned car buyers will see some federal tax breaks for energy efficient hybrids start shrinking this fall.Toyota Motor Corp. has hit the production limit — 60,000 — on vehicles eligible for a special tax credit

That means the tax credits for Toyota and Lexus hybrids will be cut in half for drivers who purchase their vehicles beginning in October, she said. The $3,150 credit for the popular Toyota Prius, the largest hybrid tax credit available, would shrink to $1,575.

Six months later, beginning next April, the tax credits will shrink to one-quarter of their original value. They will disappear by October 2007.

Thursday, July 20, 2006

New Medicaid Law Not Effective In Michigan Yet

In February, President Bush signed the Deficit Reduction Act (DRA) S 1932
which includes changes that tighten Medicaid asset transfer rules and affect Medicaid eligibility for nursing home care. These changes have not yet been enacted in Michigan.

Here is a brief summary:
* A lengthened lookback period - to five years
* Altered start of penalties
* New test of home equity - More than $500,000 in home equity. States have option of raising the threshold to $750,000.
* New proof of citizenship
* Treatment of annuities - Requirement that state be named as a remainder beneficiary to extent medical services have been paid by Medicaid.

Currently, these laws are not in effect in Michigan. It is expected that they will not become effective until sometime in the late fall or early 2007.

Tuesday, July 18, 2006

Hybrid Cars And Alternative Fuel Vehicles - List Updated

Hybrid Vehicle Tax Information
In general, hybrid vehicles have higher price tags than conventional fuel vehicles. Accordingly, you should consider whether the combination of gasoline savings and potential tax credits will allow you to rcoup the hybrid's higher price. The uncertainty in predicting future gas prices, the difficulty in estimating the number of miles the car will be driven, the possibility that additional tax incentives for hybrids will be allowed and the resale value of a hybrid vehicle also affect the value of a hybrid.

Furthermore, since hybrid vehicles use expensive nickel-metal hybride battery packs that do not have unlimited lives, the battery replacement expense, which may be $3,000 or more, must also be considered.

The credit does not apply against the AMT and any unused credit cannot be carried forward to another year

Monday, July 17, 2006

Disaster Preparation Can Save Your Business

There is no way to prevent your business from suffering losses that result from a sudden and unexpected disaster – but there are steps you can take now to plan for the worst. According to the Michigan Association of CPAs, you don’t need a large company budget to protect your company from financial ruin in the event of a disaster. Here are several steps you should take now to make sure your company remains in the black....-MORE-

Hiring Your Children Is Good Business

It’s only July and the kids are already bored. Why not put them to work? When you pay your children reasonable wages to work in your family business, you provide your offspring with valuable knowledge and get a few special tax breaks in the process. If you’re a business owner, you’ll want to read what the Michigan Association of CPAs has to say about hiring your children....-MORE-

Every Family Business Needs A Succession Plan

There’s a widely published statistic that says only one-third of family-owned businesses survive the transition to the second generation. A primary reason for this dismal survival rate lies in poor succession planning, reports the Michigan Association of CPAs. While issues of mortality and family relationships can make succession planning difficult, a well-constructed plan is essential to passing the business on to the next generation. Here are several key strategies for a successful transition....-MORE-

Five Advantages To Incorporating Your Business

Owning a small business can be a risky venture. One way to limit your personal liability is by incorporating your business, reports the Michigan Association of CPAs. While incorporation requires more paperwork and expense than a sole proprietorship or a partnership, it offers important legal and tax advantages....-MORE-

How To Create An Ethical Culture In Any Size Business

In today’s fast-paced, competitive, and demanding business environment, employees in both small and large businesses can find themselves facing difficult ethical dilemmas. For this reason, every business – regardless of size – needs to provide knowledge and resources to help employees act ethically....-MORE-

Michigan Association of CPAs