Certified Public Accountants

Insights

Review our recent accounting, tax, audit, and other insights  highlighting important news and updates of interest to clients, prospects, and others.

Job Growth Incentive Tax Credit Program

By Scott Norquist

The state of Colorado offers a robust number of state tax incentive programs designed to encourage companies contemplating expansion to do so within Colorado. Such incentive programs can create a significant tax savings opportunity for companies who are considering expansion of operations and new jobs within the state.

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Proposed Changes to Benefit Plan Audit Regulations

By Jeremiah Wolcott

Employee benefit plans are usually not an area of great concern for most companies. This audit is often of less concern then the company’s financial statement audit and therefore doesn’t receive the attention it deserves.

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Key Facts on the De Minims Safe Harbor Election

By Marc Bradac

Many real estate, construction and other business owners are aware of the IRS tangible property rules issued by the IRS in 2014. The rules made significant changes to how companies capitalize versus expense materials, supplies and other items related to the construction or improvement of real property.

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Trump Tax Proposal Announced

By Marc Bradac

At the end of April, the Trump Administration issued an outline of proposed tax reform and changes they would like to implement in the coming months. Known as the 2017 Tax Reform for Economic Growth and American Jobs, it is advertised as the largest tax cut for individuals and businesses in American history.

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2017 Pennsylvania Tax Amnesty Program

By Nate Galuzzi

In the recent past, States have increased their enforcement of state and local tax regulation laws and associated collections. Most enforcement efforts focus on local and out of state taxpayers that have one or several unpaid tax liabilities. Often taxpayers are surprised to learn of a liability because they are not aware of each state’s (constantly changing) tax laws.

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Retirement Plan Startup Tax Credit

By Mike Dowd

The need for talented and qualified professionals is a priority for every growing and established company. Management is always on the lookout for professionals that can help take them to the next level. However, to attract talent, the company must offer a benefits and compensation package on par with others in the industry and marketplace.

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Fraud Prevention in Real Estate Companies

By Marc Bradac

Fraud – it’s an unfortunate reality that impacts all businesses. The trust that management builds with employees can be immediately destroyed when fraud is discovered.

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Business Valuations – Asset Approach

By Dean Haave

Determining the value of a business is an essential exercise for many reasons. In most cases, a valuation is conducted because the business is involved in a sale or acquisition.

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Profit-Sharing Plans for Your Small Business

By Marc Bradac

Business owners who want to sponsor a retirement plan for employees (including owner-employees) have many options from which to choose. Knowing the basics can help entrepreneurs make an astute decision. One choice is a profit-sharing plan.

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How Investments in Gold Are Taxed

By Nate Galuzzi

Investment asset classes include precious metals, especially gold. Enthusiasts cite several reasons for including gold in a diversified portfolio. If governments print money to cover increasing obligations, gold may act as an inflation hedge.

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Drawing Down Your Portfolio in Retirement

By Marc Bradac

Retirees often need money from their investment portfolio, if they have little or no earned income. For many seniors, tax-efficient withdrawals require two levels of decisions. First, should the dollars come from regular taxable accounts or from tax-deferred accounts such as IRAs?

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Foreign Stock Funds Can Be Doubly Taxing

By Scott Norquist

Many U.S. investors hold foreign stocks. One of many advantages to holding foreign stocks is diversification because some foreign companies might outperform domestic stocks in bear markets. Some foreign countries, especially those in the developing world, are posting stronger economic growth than the American numbers.

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Be Cautious With Hard-to-Value IRAs

By Marc Bradac

Virtually any investment can go into an IRA, other than life insurance and collectibles. In recent years, questionable outlooks for stocks, bonds, and savings accounts have encouraged many IRA owners to consider—or put money into— nontraditional IRA assets.

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Tax Savings on Foreign Income – Foreign Tax Credit

By Scott Norquist

The Internal Revenue Service (IRS) has taken special interest in the tax treatment of foreign income earned by US residents and companies.

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Business Valuations – Income Approach

By Dean Haave

Occasionally business owners need to conduct a business valuation to ascertain the value of their company. This may be for various reasons such as planning to sell the company, going through a merger, partner buy-in, estate planning and even divorce.

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Is a Cash Balance Plan Right for Your Company?

By Marc Bradac

Retirement plans are an essential part of an employee’s benefit package and one that employers carefully select. There is seemingly no limit to the options available for all employers – from new companies with a few employees to large companies with hundreds and thousands of employees

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Colorado Job Training Programs

By Scott Norquist

The Colorado FIRST and Existing Industry Job Training Programs were created to encourage Colorado businesses to invest in the labor force and incentivize growth and job retention.

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Common Mistakes to Avoid When Selling Your Business

By Marc Bradac

The decision to sell a business generally does not occur overnight. There are many issues that need to be considered about the future of the business and its owner.

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Outsourcing Your Construction Company’s Payroll

By Jeremiah Wolcott

Cost management is an essential discipline that both construction companies and contractors need to master in order to reach maximum profitability. Managing the various expenses associated with a project, including labor, materials, supplies and equipment, is no easy task.

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Benefits of a 1033 Exchange

By Scott Norquist

Most real estate companies are familiar with the Section 1031 like-kind exchange. However, there is another type of real estate exchange, Section 1033 exchange, that can be used by certain property owners.

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Enhance Profitability Through Proper Job Costing

By Jeremiah Wolcott

A key metric of success for many companies is profitability. Most management teams are looking for new ways to expand profitability through new products, markets or pricing strategies. The truth is that profitability is easier to manage for some companies over others.

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IRS Issues Warning on Common Tax Scams

By William Tucker

As tax season quickly approaches, the IRS has issued a list of the most frequently reported tax scams over the past year. Unfortunately, there is an increase in such scams during tax season each year. The goal of these scams is to steal sensitive personal information, including identity theft, which facilitates the ability to commit tax refund fraud.

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Does Your Company Have Colorado Nexus?

By Scott Norquist

As a company grows, it’s common to attract clients and customers from across state lines. While this can reflect a strategic accomplishment, it’s important to be aware of the possible tax impact.

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Pros & Cons of 1031 Exchanges

By Scott Norquist

Commercial and other real estate owners are often seeking new ways to maximize value and increase profits. To take advantage of new opportunities or reap the rewards of existing investments it’s sometimes necessary to sell existing real estate. While generating profit from a transaction is essential to success, it’s important to be aware of the tax issues which can arise

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Establishing a Small Business 401(k)

By Nate Galuzzi

Small businesses are no less focused on providing a quality work environment for their employees than larger ones – and, in fact, some may be more so. From benefits like flexible work hours or remote work options to competitive salaries and paid time off, small businesses offer many advantages.

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Year End Retirement Tax Planning

By Scott Norquist

Many people save money for retirement in a traditional IRA. The funds might have come from annual IRA contributions, or from rolling over an employer sponsored retirement account such as a 401(k). Either way, the dollars in your traditional IRA are probably pretax, so they’ll be taxed on withdrawal.

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Year End Planning for Medical Deductions

By Nate Galuzzi

The PATH Act of 2015 is not the only recent tax law affecting year-end planning this year. One provision of the Affordable Care Act, passed back in 2010, comes into play now. For taxpayers age 65 or older, it may pay to incur optional medical expenses by December 31, 2016.

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Year End Planning for Charitable Donations

By Scott Norquist

The PATH Act, passed at the end of 2015, exempts certain IRA-tocharity transfers from income tax. For most people, moving money from an IRA to a charity is a taxable withdrawal, subject to income tax. However, once you reach age 70½, such transactions may be untaxed as a Qualified Charitable Distribution (QCD).

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Year End Planning for Deducting Taxes Paid

By Nate Galuzzi

As mentioned on page 1, a new law makes the sales tax deduction permanent. Keep in mind that you deduct sales tax instead of state and any local income tax. You can’t deduct both sales and income taxes. The new provision obviously will benefit taxpayers who live in Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming, none of which has state income tax. If you live in such a state and it pays for you to itemize, you can deduct sales tax you paid.

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Year End Planning for Itemized Deductions

By Scott Norquist

For 2016, the standard deduction is $6,300 for single taxpayers (and for married persons filing separately) and $12,600 for married couples filing jointly. For heads of household, the standard deduction is $9,300. People who have reached age 65 by year-end can take an additional standard deduction of $1,250, if married, or $1,550, if not married. Taxpayers who are blind also get this additional standard deduction.

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More Certainty for Year End Tax Planning

By Nate Galuzzi

Recently, year-end tax planning has been challenging. Many tax code provisions expired, and it was uncertain whether they would be renewed, with Congress’ action potentially not coming until extremely late in the year.

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Year End Business Tax Planning

By Scott Norquist

The PATH Act’s many provisions also include a permanent increase in the amounts allowed under IRC Section 179, which permits rapid deduction (expensing) of funds spent for business equipment. For 2015, expensing up to $500,000 of equipment was allowed with no phase-out beginning at $2 million of purchases

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President-Elect Trump’s Tax Plan

By Scott Norquist

The results of the 2016 election are settled and the President-Elect is Donald Trump. While most are aware of this fact, it’s also important to note that the Republican Party will soon have a majority in Congress.

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Why Nexus Matters to Colorado Companies?

By Nate Galuzzi

In the last few years, state Departments of Revenue have steadily increased their review, assessment and collection efforts of outstanding sales, use, franchise and other tax liabilities. The seemingly endless parade of tax regulation changes has made it more difficult for management to keep pace with their compliance obligations.

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Medical & Healthcare Fraud

By William Tucker

Those who go into the healthcare industry from physicians to lab technicians desire to help people. They transform the science of biology, chemistry and others into practical care to help patients with illness, disability and other conditions.

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Fraud in Manufacturing Companies

By Jeremiah Wolcott

Fraud is never welcome in any business. Organizational fraud tactics are the direct result of dishonest and criminal behavior by a single or several employees. Most companies don’t focus heavily on fraud prevention because of the core belief that their employees are honest and would not act in such a way.

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Cost Segregation & Recapture Taxes

By Marc Bradac

Cost segregation studies have become a popular way for commercial property owners and qualifying leaseholders to realize an immediate tax savings. Whether its new construction, improvements or the owner has recently acquired the property, a cost segregation study can result in compelling savings.

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Colorado Enterprise Zone Program

By Scott Norquist

Traditional tax planning is a great start for companies looking for tax saving opportunities, but it typically can only do so much. That’s where additional tax credits and incentive programs, like the Colorado Enterprise Zone (EZ) Program, can make a major impact on tax liabilities.

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Proposed Changes to Family Partnership Tax Discounts

By Nate Galuzzi

Last month, the Treasury Department proposed new draft regulations that, if they become permanent, will impact how many taxpayers approach estate planning and wealth transfer.

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Assessing Outsourced Accounting Options

By Stephanie Parnell

Business owners and managers often make the decision to outsource their accounting and bookkeeping work for a variety of reasons. Regardless of the why, once the decision has been made it’s essential to find a provider that fits the company’s needs.

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Outsourced Accounting Myths

By Stephanie Parnell

Many business owners hesitate to outsource their bookkeeping for a number of reasons. First, entrepreneurs are notorious for their DIY mentality, so handing over their company’s financial reigns to an “outsider” can be daunting.

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Signs it’s Time to Outsource Your Bookkeeping

By Stephanie Parnell

There are many important issues that a business owner and management must deal with on a daily, weekly and monthly basis, to keep the company progressing towards growth goals.

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Partial Disposition Election Benefits – Real Estate

By Marc Bradac

Since the IRS released the final property repair regulations, many commercial real estate and other businesses have been seeking to take advantage of key tax saving opportunities.

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Colorado Historical Rehabilitation Tax Credit

By Scott Norquist

Maintaining the nation’s historical landmarks, parks and historical sites has been an important goal of the government for years. However, many building owners are surprised to learn that this dedication to historical preservation includes many more “common buildings” as well.

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Colorado Work Opportunity Tax Credit

By Nate Galuzzi

Growing pains – all successful companies go through them at some point in the company’s development. It’s the time when a company has grown so quickly that people, programs and structures are insufficient to manage growth.

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Healthcare Cost Accounting Survey Reveals New Trends

By William Tucker

The healthcare industry seems to be in a constant state of flux. Not only is the doctor patient relationship changing with greater expectation on service and communication, but the way in which Medicare and other government programs assess and reimburse for services has also changed.

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Hanson & Co Welcomes New Shareholder

By Marc Bradac

Hanson & Co., is pleased to announce that effective July 1, 2016, Stephanie Parnell, CPA, has been promoted to Shareholder. In the new position, she will continue to manage the firm’s Accounting Services Practice…

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Hanson & Co. Expands with the Acquisition of Krause CPAs

By Marc Bradac

Denver, CO – June 30, 2016 – Hanson & Co., is pleased to announce that effective July 1, 2016, Krause CPAs, will join the firm. Krause CPAs is a local certified public accounting firm that has more than 30 years’ experience serving the needs of high net worth individuals, growing businesses and medical practices in Denver and across the Front Range.

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Compliance Challenges Facing 401k Plan Sponsors

By Jeremiah Wolcott

Managing a 401(k) plan can be a complex endeavor. Since they are regulated by both the Department of Labor (DOL) and the Internal Revenue Service (IRS), there is no shortage of rules and regulations which must be followed

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Pros and Cons of Concierge Medicine

By William Tucker

Although there are nuances, the general concept of concierge healthcare, also called boutique medicine, membership medicine and direct care, is that a patient pays a retainer either on a monthly or annual basis to get access to a physician.

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Key Considerations to Selecting a New Plan Auditor

By Jeremiah Wolcott

As the deadline for filing the company’s Form 5500 and conducting a benefit plan audit approaches many companies are considering if they want to change plan audit firms.

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Tax Tips for Realtors

By Marc Bradac

As a realtor, you’re most likely on the go constantly, checking out properties, showing listings, logging office time to fill out paperwork, and networking with potential clients.

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Construction Companies + R&D Tax Credit

By Scott Norquist

Most construction companies and contractors may be surprised to learn that of all business they are paying the highest tax rate. According to a U.S. Department of the Treasury report, it was determined that from 2007 to 2010, on average, construction companies paid a higher federal tax rather than any other industry.

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Preparing for a Business Valuation

By Michael Malody

Whether you’re selling a business, preparing for a merger or acquisition, going through a divorce or conducting estate planning, it’s necessary to understand the value of your company. As the most valuable asset many individuals possess, knowing the current “value number” is key to…

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New Overtime Rules May Mean Additional Payroll Expenses

By Stephanie Parnell

On May 18th, President Obama announced the publication of the final Department of Labor (DOL) overtime rules. The new rules update the Fair Labor Standards Act (FLSA) and make it easier for workers to receive overtime protection or other compensation.

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Medical Practice Profitability: Six Tips to Apply Today

By William Tucker

Driving profitability in a medical practice is not an easy task. It requires not only passion to serving patients and managing their health, but also organizational know how in expense management. Below is a list of steps that medical practices can take to have an immediate impact on profitability

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ICD-10 Transition

By William Tucker

Remember the Y2K scare? For medical practices, the anticipation around the ICD-10 transition has been just as tense. After multiple delays, on October 1st, the switch was flipped to the new medical condition classification list.

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New Lease Accounting Standards Issued

By Jeremiah Wolcott

Those who lease assets such as commercial real estate, office space, production facilitate and other assets such as farming or manufacturing equipment will soon be required to change the way they report leasing activities.

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Surprising Facts About Colorado Use Tax

By Stephanie Parnell

Colorado businesses are accustomed to paying their fair share of sales taxes for routine purchases at shopping malls and convenience stores. However, what happens when you buy products from out-of-state retailers that have no presence in Colorado?

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Construction Company Tax Incentives

By Jeremiah Wolcott

Now that tax season is in full swing construction company management and owners are seeking additional ways to reduce overall tax liability. While there are a number of general business deductions and other incentives available often times they can be overlooked leaving savings on the table.

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Cons and Pros of Roth IRAs

By Nate Galuzzi

Annual contributions to IRAs, including Roth IRAs, are now capped at $5,500 ($6,500 if you’re 50 or older). Roth IRA contributions aren’t tax deductible, they’re available only to workers and their spouses, and they’re off-limits to high-income taxpayers.

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Succession Planning for a Family Business

By Michael Malody

If you intend to name a family member to succeed you in running your company, you have some advantages. The person you’ll name (probably your son or daughter, son- or daughter-in-law) is someone you can identify easily, without an extensive search.

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QTIP Trusts Still Offer Advantages

By Scott Norquist

For many people, trusts can play a role in estate planning. Indeed, a qualified terminable interest property (QTIP) trust may offer benefits to married couples.

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Deducting Taxes Paid

By Nate Galuzzi

When you file your 2016 federal income tax return next year, you can take a standard deduction. For 2016, that’s $6,300 for single taxpayers and for married individuals filing separately; $12,600 for couples filing jointly and for certain widow(er)s; and $9,300 for those filing as heads of household.

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Facing College Costs

By Nate Galuzzi

How much does it cost to send a child to college now? For the 2015-2016 academic year, the College Board puts the average cost of tuition, fees and room and board at private nonprofit four-year schools at nearly $44,000. The College Board estimates other expenses (including books, supplies and transportation) at about $4,000.

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Colorado Advanced Industry Investment Tax Credit

By Scott Norquist

Colorado businesses are accustomed to paying their fair share of sales taxes for routine purchases at shopping malls and convenience stores. However, what happens when you buy products from out-of-state retailers that have no presence in Colorado?

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Work Opportunity Tax Credit Expanded

By Nate Galuzzi

On December 18, 2015, the PATH Act (Protecting Americans from Tax Hikes Act of 2015) was signed into law. The new legislation extended several popular tax provisions and even made some permanent. One of the incentives impacted was the Work Opportunity Tax Credit (WOTC), which was extended for a period of five years.

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Estimated Tax Payment Essentials

By Scott Norquist

Taxes are a part of the business landscape in Colorado and across the country. Not only does a business have to pay taxes on its economic activities, but the income of the owner and employees is taxed as well. At one time or another, every person who has worked has become familiar with the process.

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Unraveling the Home Office Deduction

By Nate Galuzzi

With tax paperwork filling our mailboxes this month and April not that far on the horizon, taxes are fresh on the mind of most Americans, including ways to limit and reduce tax liability. The good news is that if you are a business owner or employee with a home office, you may be able to deduct qualifying expenses.

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Continued Growth in Commercial Real Estate

By Marc Bradac

The good news seems to be continuing for the construction industry. Even the casual observer can see that there is an increase in the amount of construction work across the Denver metro and along the Front Range. Although it seems like it took construction the longest to recover, it was recently shared that in 2015 there was another period of year over year growth.

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Demystifying IRS Form 1099-MISC Reporting

By Stephanie Parnell

The start of a new year means many things for Colorado companies. It is a time of excitement as new opportunities are explored, new strategies deployed, new relationships nurtured, and existing ones renewed. However, before 2015 is put in the history books, it is important to ensure proper financial and compliance reporting steps are completed.

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Healthcare Reporting Facts for Large Employers

By William Tucker

The Affordable Care Act (ACA) brings with it specific reporting requirements for employers to ensure that they are offering employer-sponsored health care coverage to a particular number of their employees and their dependents under the Employer Shared Responsibility provisions (at least 70% of full-time employees and dependents in 2015 and at least 95% in 2016).

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Individual Tax Incentives Extended for 2015 & Beyond

By Scott Norquist

Just in time for Christmas, Congress and President Obama delivered taxpayers a last minute gift. Once again this year, the government approved last minute legislation that extends many popular tax provisions which will have an immediate impact on many individual taxpayers.

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Holding Period for 1031 Exchange Properties

By Marc Bradac

While the Department of the Treasury Regulations and numerous rulings make it very clear that taxpayers must have the intent to hold their 1031 Exchange property for rental, investment or use in their trade or business, they fail to define exactly how long or over what period of time taxpayers must hold their relinquished properties or replacement properties in order to qualify for a 1031 Exchange.

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Past Losses Offer Winning Opportunities

By Michael Malody

For nearly two decades, investors have been riding a stock market roller coaster. The late 1990s tech stock boom turned into a bust in the early years of this century, as the Dow Jones Total Stock Market Index fell by nearly 45%.

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SIMPLE 401(k) Plans May Appeal to Employees

By Scott Norquist

Many workers value employer-sponsored 401(k) retirement plans. Consequently, offering a 401(k) may help a small company attract and retain high-quality employees.

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Supreme Court Decision May Affect State Taxes

By Scott Norquist

In May 2015, the Supreme Court decided a case involving Maryland state personal income taxes (Comptroller of the Treasury of Maryland v. Wynne [No. 13-485]). The narrow 5-4 outcome in favor of the taxpayers, in which the Court held that Maryland’s personal income tax system violates the Constitution, could have far-reaching effects.

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Passive Activity Losses From Rental Property

By Marc Bradac

In these times of still-high stock prices and low bond yields, investors might be thinking about rental property. Such investments can pay off, in the right situation. Before you make any decisions, though, you should be aware of the tax implications, especially the passive activity loss rules.

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What You Should Know About Student Loans

By Michael Malody

Recently, concerns about student loans have been in the headlines. In 2015, the Federal Reserve Bank of New York put total student loan debt at $1.16 trillion, greater than outstanding auto loans or credit card balances.

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2015 Tax Extenders Announced

By Nate Galuzzi

It was announced recently that Congress had reached agreement on the long awaited tax extenders that companies and individuals have been following. While the legislation has not yet been signed into law, it is expected to be signed by President Obama shortly.

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Top Medical Practice Management Challenges for 2015

By William Tucker

Medical practices today face a myriad of challenges that are putting pressure on profits and impacting overall physician satisfaction. Hanson & Co provides medical practice accounting services to offices throughout Colorado. Below we summarize some of the top medical practice management challenges

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The Difference between Audits, Reviews & Compilations

By Cliff Walter

Businesses are often required to have a financial statement audit, review or compilation completed at the request of their bank, creditors, vendors, or other organizations. Generally speaking, any of these are requested for the purpose of receiving additional information about the financial condition of a business.

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2015 Economic Growth for Colorado and Denver

By Jeremiah Wolcott

With the United States economy experiencing widespread improvement in 2015, you may not be surprised to learn that Colorado’s economic status is also moving in a positive direction.

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2015 Economic Growth for Colorado and Denver

By Jeremiah Wolcott

With the United States economy experiencing widespread improvement in 2015, you may not be surprised to learn that Colorado’s economic status is also moving in a positive direction.

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De Minimis Safe Harbor Changes

By Marc Bradac

Good news from the IRS for companies taking advantage of safe harbor election under the new tangible property rules. In an announcement made recently, they have raised the de minimis safe harbor amount from $500 to $2,500 for companies that don’t maintain an audited financial statement.

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Top 2015 Healthcare News

By William Tucker

Hanson & Co wants to keep our client aware of the major events that continue to share the healthcare industry. IN 2015, there were significant changes that resulted in several changes.

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Benefits of a Cost Segregation Study

By Marc Bradac

Cost segregation studies are one of the most valuable tax strategies available to real estate investors and commercial property owners today. Rarely are these groups afforded the opportunity to realize the type of tax savings which can be generated from a cost segregation study.

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Benefits of Outsourced Accounting

By Stephanie Parnell

Proper accounting procedures keep businesses…well, in business. Without an in-house bookkeeper, most business owners attempt to tackle the task themselves. This can often lead to inaccurate records or, worse yet, missed savings opportunities.

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Tangible Property Regulations – FAQ

By Marc Bradac

Section 162 of the Internal Revenue Code (IRC) allows you to deduct all the ordinary and necessary expenses you incur during the taxable year in carrying on your trade or business, including the costs of certain materials, supplies, repairs, and maintenance.

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Year-End Tax Planning for Construction Companies

By Jeremiah Wolcott

Managing a construction or contracting business is often a difficult and time consuming requiring focus to be spread across a number of areas. In addition to managing existing projects, there is also the time needed to bid on new project, human resource concerns and of course taxes and financial reporting.

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Denver Enterprise Zone

By Nate Galuzzi

The state of Colorado has created an enterprise zone program designed to encourage economic growth and development in key areas. The newly created enterprise zone is focused on bringing economic renewal to key areas of Denver.

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Contractors and R&D Tax Credits

By Scott Norquist

It’s clear that the once harsh economic climate that drastically impacted construction companies and contractors has changed. The industry is expected to realize another 5% growth in 2015 according to the Metro Denver Economic Development Council.

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Denver Enterprise Zone

By Nate Galuzzi

The state of Colorado has created an enterprise zone program designed to encourage economic growth and development in key areas. The newly created enterprise zone is focused on bringing economic renewal to key areas of Denver.

Read More »

Vehicle Use Tax May Impact Your Construction Company!

By Jeremiah Wolcott

Managing a construction company can be a very challenging task. Not only are there day to day issues to address such as profitably managing existing projects, identifying new opportunities and tax compliance issues are just a few to consider.

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S Corporation or LLC?

By Nate Galuzzi

Many business owners structure their companies as S corporations or limited liability companies (LLCs). On the surface there are several similarities. Both types of entities avoid corporate income tax. Instead, business income is taxed only once, on the tax return of the S corporation shareholder or the LLC member.

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Renting Versus Buying a Home

By Marc Bradac

Should you buy or rent your home? This decision can include financial as well as nonfinancial factors. Even if the nonfinancial aspects are extremely important, you should not overlook the financial side.

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When Workers Are Independent Contractors

By Nate Galuzzi

As business owners know all too well, hiring an employee costs more than just paying a salary. Employers generally provide benefits to employees, which can be expensive.

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Turn Relatives Into Employees to Reduce Taxes

By Scott Norquist

High-income business owners may have noticed the impact of new tax laws when they prepared their 2014 tax returns. Those laws can be especially painful if your company is structured as an S corporation or a limited liability company (LLC), with all income reported on your personal return.

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Finding a Low-Tax State

By Nate Galuzzi

Many people today are not tethered to a job location, so they can choose where to live. Those in this category range from retiring Baby Boomers, ready to relocate, to new graduates about to enter the work force.

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Above-The-Line Tax Deductions

By Scott Norquist

Going over your 2014 tax return can help with future tax planning. For instance, you should take a close look at the adjustments to income you reported on the bottom of page 1 of your Form 1040 or Form 1040A.

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Are Tax Refunds Good or Bad?

By Nate Galuzzi

Few people pay exactly the correct amount of income tax during the year. When you filed your return for 2014, you probably discovered that you paid too little (and owed more tax) or paid too much (and could request a refund).

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Cash Flow Management Tips for Construction Companies

By Jeremiah Wolcott

If you’ve ever heard the term, “cash is king,” you should know that this term especially applies to those in the construction and contractor business. The reason why is two projects are rarely the same and a generally a sizable investment is required before the project(s) produce income.

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Cash Flow Management Tips for Construction Companies

By Jeremiah Wolcott

If you’ve ever heard the term, “cash is king,” you should know that this term especially applies to those in the construction and contractor business. The reason why is two projects are rarely the same and a generally a sizable investment is required before the project(s) produce income.

Read More »

Common Construction Fraud Schemes

By Jeremiah Wolcott

Employees are the trusted ambassadors of a company put in place to help address customer issues and provide solutions to their needs. While most are honest people working hard to make a living and advance their career there are sometimes others who have different agendas.

Read More »

Form 3115 Filing Deadline Extended

By Nate Galuzzi

In 2014, the IRS issued a set of new regulations that significantly impacted how companies deduct repairs and improvements to business property. These changes to tangible property regulations outline changes to how companies treat tangible property repair expenses.

Read More »

Supreme Court Ruling Increases Litigation Exposure

By Michael Malody

Retirement planning is a key financial goal for almost everyone in the workforce today. Ensuring that an individual or couple is properly investing to ensure there is enough for retirement is a critical component to any financial plan.

Read More »

Revenue Recognition Rules Delayed

By Jeremiah Wolcott

Late last week the Financial Accounting Standards Board (FASB) voted to delay the implementation of new revenue recognition rules for one year. The new rules which change how construction companies and contractors recognize revenue proved far too comprehensive for companies to make the needed changes by the original deadline.

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Best Practices for Hiring a Plan Auditor

By Jeremiah Wolcott

The importance of hiring a qualified and effective plan audit firm cannot be understated. This was made clear in a recent Department of Labor study on the quality of plan audits over the past 4 years. In a recent article, DOL Study Uncovers Plan Audit Issues, we offered insights into the declining plan audit quality and the factors impacting it.

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New DOL Study Uncovers Plan Audit Issues

By Jeremiah Wolcott

The U.S. Department of Labor’s (DOL) Employee Benefits Security Administration (EBSA) published a report last month on the quality of benefit plan audits performed by CPA firms. The study was conducted using data from IRS Form 5500’s filed with the DOL dating back to 2011 looking at plans with a wide range of assets and total plan participants.

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Supreme Court Ruling Increases Litigation Exposure

By Jeremiah Wolcott

While the Supreme Court did not make and specific ruling about whether a breach of responsibility occurred the ruling does have a significant impact on plan administrators. By defining fiduciary responsibility as an ongoing requirement…

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Tax Staff Position

By Marc Bradac

Hanson & Co. CPAs currently has an opening for a tax staff professional in its Denver office, located just outside of the desirable Cherry Creek area. The qualified candidate will have an undergraduate degree in accounting. A master’s degree with an emphasis in taxation is preferred. The qualified candidate must also be eligible to sit for the CPA examination, possess a 3.0 cumulative GPA, and demonstrate strong communication and analytical skills.

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Long Term Deductions for Landlords

By Marc Bradac

There are many tax saving opportunities available for landlords that rent commercial or residential property. This time of year most are focused on the year to year deductions available for qualifying expenses made for the property. While the traditional deductions provide an immediate tax savings, landlords should not lose sight of long term deductions which also offer tax savings opportunities.

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Key Tax Deductions for Landlords

By Marc Bradac

It’s tax time again, and many Americans are busy preparing their records, receipts and documents in an effort to file. While many investments, including stocks and bonds, are subject to taxes above and beyond simple income tax, rental property ownership, on the other hand, can deliver some compelling tax breaks for landlords.

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IRS Announces the “Dirty Dozen” Tax Scams

By Scott Norquist

Throughout the year there are a number of scams being perpetrated by criminally minded people that want to steal sensitive information and ultimately money from unsuspecting individuals. Although such behavior is a part of life it appears that during tax season the intensity of such scams increases.

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IRS Repair Regulations Simplified!

By Nate Galuzzi

Over the weekend the IRS issued Revenue Procedure 2015-20 which provides significant changes and relief to those implementing IRS repair regulations.

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Repairs vs. Improvements: New IRS Rules

By Marc Bradac

Owning a rental property can be a great investment that also has the potential to yield financial rewards. Perhaps the most prominent is building an increasing amount of equity in real estate that one day you can sell, retire in, or use for other purposes.

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Accounting Staff Position

By Marc Bradac

Hanson & Co. CPAs currently has an opening for an accounting staff professional in its Denver office, located just outside of the desirable Cherry Creek area. The qualified candidate will have an undergraduate degree in accounting. A master’s degree with an emphasis in accounting is preferred.

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Retroactive 2014 Commuter Tax Break and Guidance from the IRS

By Nate Galuzzi

Each week, residents of the mile high city and surrounding communities get up and start the sometimes long commute to work. With numerous buses circling downtown and various bustling light rail stops, it’s obvious that not everyone drives to work.

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Reasonable Compensation for S Corporation Owners

By Scott Norquist

For regular C corporations, “reasonable compensation” can be a troublesome tax issue. The IRS doesn’t want shareholder executives to inflate their deductible salaries while minimizing the corporation’s nondeductible dividend payouts.

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Deducting Foreign Business Travel

By Nate Galuzzi

As the world shrinks, business owners may find themselves traveling to foreign destinations. Often, such trips are vital, leading to personal visits with suppliers and potential customers. Ideally, you’ll be able to deduct all your travel costs, but that may not be the case if you venture beyond the 50 states and Washington, D.C.

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Tax-Free Income From Renting Your Home

By Marc Bradac

From Canton, Ohio, where the Pro Football Hall of Fame Weekend takes place in August, to Los Angeles, which has Haunted Hayrides to celebrate Halloween throughout October, cities small and large host special events throughout the year. Moreover, oceanfront communities attract millions of tourists in the summer while mountain regions offer winter sports each winter.

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Grandparent Aid for College Costs

By Scott Norquist

Many grandparents would like to help their grandchildren with the steep costs of higher education. That’s often a laudable goal, but some methods of providing this assistance might be more effective than other tactics.

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Deductions for Dining Out

By Nate Galuzzi

Champagne and caviar on the IRS? Typically, the answer is no. Nevertheless, there are times when you can go out to eat—perhaps to the best restaurant in town—and recoup some of your costs through tax savings.

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Residential Real Estate Tax Tips

By Marc Bradac

Homeownership is a wonderful and rewarding experience for many and it can be a great investment. However, life situations often change and the need to move on and sell your home can arise. Perhaps it’s the desire for a larger home with more land, or maybe it’s the need for less space and to downsize, a new job out of state, or for a multitude of other situations.

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2014 Tax Extenders Mean New Tax Saving Opportunities

By Scott Norquist

Earlier this week Congress retroactively passed legislation that temporarily renewed over 50 tax provisions and incentives that expired at the end of 2013. The legislation which is expected to be signed within days by President Obama offers business taxpayers access to new tax savings opportunities.

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New Tangible Property Regulations

By Marc Bradac

The IRS has issued regulations related to tangible property costs that affect repairs, supplies, and capitalization rules. While the regulations are generally viewed as beneficial to taxpayers, for most taxpayers the biggest effect will be to require them to file Forms 3115, change of accounting method forms.

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Business Owners Get More Bang From Flex Plan Bucks

By Scott Norquist

Although all of the effects of the Affordable Care Act (ACA) are still unclear, it is likely that health insurance costs will continue to increase in the future. Business owners may require greater health plan contributions from participating employees.

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Don’t Waste 529 Tax Benefits

By Nate Galuzzi

Qualified tuition programs (QTPs), also known as 529 plans, offer substantial tax benefits. Investment earnings inside such plans avoid income tax. In addition, distributions from 529 plans to cover qualified higher education costs are tax-free.

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Making Expense Accounts Accountable

By Michael Malody

Business owners who work for their company typically have expense accounts; the same usually is true for many employees. If your company has what the IRS calls an accountable plan, everyone can benefit from the tax treatment.

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Mixing Annuities and IRAs

By Michael Malody

According to the Investment Company Institute, 68% of households with IRAs have mutual funds in those accounts. That is followed by individual stocks (41%), annuities (35%), and bank deposits (25%).

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How Inherited Assets Differ From Gifts

By Nate Galuzzi

When someone gives you cash or other valuable assets, do you owe income tax? No. The same is true if you receive an inheritance. The giver may owe gift tax and the decedent’s estate may owe estate tax but you as the recipient will not owe income tax.

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Juggling Appreciated Assets and Bequests

By Nate Galuzzi

During your lifetime, donating appreciated assets to charity can make sense. As long as you have held those assets for more than one year, you will get a deduction for the assets’ current value. The paper gain will avoid income tax.

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Mixing Annuities and IRAs

By Michael Malody

According to the Investment Company Institute, 68% of households with IRAs have mutual funds in those accounts. That is followed by individual stocks (41%), annuities (35%), and bank deposits (25%).

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Year End Tax Planning – Impact of Expired Tax Breaks

By Nate Galuzzi

As the end of year quickly approaches, many corporate taxpayers will begin year-end tax planning. Generally these are steps taken to leverage incentives and programs that can reduce overall tax liabilities.

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Excise Tax Tips for Manufacturers

By Scott Norquist

Excise taxes can be a terribly confusing area of tax law due to a misunderstanding of what they actually are, how they are assessed, and what it means to manufacturers.

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2015 Per Diem Rates Updated

By Nate Galuzzi

Effective October 1, 2014, the Per Diem Rates for normal business expenses incurred while travelling on approved business activities have been updated. These rates apply to companies that don’t use an accountable plan. Under this plan structure employees are required to keep strict records of expenses incurred and submit to the company for reimbursement. This often leads to a complex and tedious records management process for both the employee and company. These new rates apply to companies that use IRS per diem rates to reimburse employee travel expenses.

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New Tax Deductions for Energy Efficient Property Owners/Leaseholders

By Scott Norquist

In recent years, energy efficiency has become hot topic. Not only does it reduce waste and help the environment, but it reduces the costly energy bills and expenses that plague the real estate industry. Thanks to the Energy Policy Act of 2005 there is now another reason to invest in energy efficiency.

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Tips for Reporting Rental Income

By Marc Bradac

Owning and maintaining rental property can often be a challenging and rewarding task for landlords. Let’s face it there are a lot of elements to manage from qualifying renters to property maintenance and upgrades. The last topic most landlords consider during the year are the tax implications of their rental properties. Little thought is given to how rental income should be reported, what to do with advance rent and expenses paid by the tenant.

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Experienced Tax Position

By Marc Bradac

Hanson & Co. CPAs currently has an opening for an experienced tax staff person in its Denver office. The successful candidate will be eligible to sit for the CPA exam, have one or more years of experience in public tax practice, and have good communication skills. Responsibilities include client service team leadership, client interface, and review of tax returns. This is a excellent opportunity for the right candidate to demonstrate and sharpen tax accounting, marketing, client relation, and management skills for further advancement. Salary is commensurate with qualifications.

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Accounting Staff Position

By Marc Bradac

Hanson & Co. CPAs currently has an opening for an accounting staff professional in its Denver office, located just outside of the desirable Cherry Creek area. The qualified candidate will have an undergraduate degree in accounting. A master’s degree with an emphasis in accounting is preferred.

Read More »