06

Oct 2017

Tax Breaks for Homeowners

There are a number of tax breaks that homeowners can take advantage of. The list includes mortgage interest, points, energy credits, and property taxes, among many other things. The reason for a lot of these tax breaks is to try and increase the homeownership rate in the U.S. People are not purchasing homes for several… Read More

31

Jul 2017

Understanding Bad Debt Expense

Bad debt expense occurs when a company experiences a loss due to products sold or services provided that they ultimately do not receive payment for. The bad debt expense only relates to transactions that involve a company’s accounts receivable account. There are two methods that a company may use to account for bad debt expense:… Read More

26

May 2017

Cash Basis vs. Accrual Basis Accounting

There are typically two methods companies use to account for transactions, known as the cash basis and the accrual basis methods of accounting. The main difference between these methods of accounting is when revenue and expenses are recognized by a company. Cash Basis: A company that uses the cash basis of accounting recognizes revenue as… Read More

15

Feb 2017

Tax Season and Credit Card Debt Cancelations

With tax season here there are a number of 1099’s being issued. However, some people may be surprised to receive a 1099 due to a credit card write-off. People have many reasons why they are unable to pay their credit card bill including loss of job, income that is less than expected or unexpected expenses… Read More

04

Jan 2017

Gift Card Revenue and how it’s Recognized

Now that the holidays have passed, it’s time for everyone to start spending the gift cards they received. Companies all over, from Best Buy to Walmart make a killing during the holiday season from the sale of gift cards. Gift cards have become such a big money maker for companies that many of them now… Read More