“You’re gonna miss this,” croons the country singer Trace Adkins.
Maybe he wasn’t thinking of tax rates when he wrote the song, but the sentiment certainly applies.

Jan. 1, 2011, has been termed a tax “day of reckoning,” due to a convergence of expiring tax cuts. Unless Congress enacts new legislation, Americans have the following to look forward to in 2011:

• The top income tax rate jumps from 35% to 39.6%.
• The top capital gains tax rate increases from 15% to 20%.
• The $250,000 limit on the expensing deduction expires.

That’s why ProfitCrew and Porter Keadle Moore, LLP have co-authored an article that shows construction company owners how they can prepare for a heftier chunk of their income being claimed by Uncle Sam. To read the article follow this link.

They lay out four actions that contractors should consider now to minimize the impact of these tax hikes, as well as five best practices that top-performing general contractors and subcontractors undertake on a regular basis, according to the ProfitCrew 2009 Best Practices for Operational Excellence survey. PKM is a member of ProfitCrew, an association of construction-focused accounting firms dedicated to helping construction companies build profitable businesses.

We hope you find this piece to be resourceful, however if you have any questions we are here to help.
Please feel free contact Mickie Huneycutt at mhuneycutt@pkm.com or 404-420-564.

Mickie Huneycutt
Tax Manager, Porter Keadle Moore, LLP

Mickie is a graduate of the University of North Carolina at Chapel Hill with a Bachelors in Business Administration and a Masters in Accountancy. Prior to joining PKM, Mickie worked for five years at a large firm in Charlotte, NC and three years at a Big Four firm. Her career has included auditing, tax consulting and compliance services. Mickie is a Construction Industry Technician, and she specializes in tax services for clients in the real estate and construction industries. Mickie also provides advisory services for closely held businesses and high net worth individuals. Since joining PKM, she continues her work in the construction industry, and is expanding her knowledge base to include FAS 109, FIN 48, and tax compliance services for large corporations. Mickie is a member of the Georgia Society of Certified Public Accountants, North Carolina Association of Certified Public Accountants and the American Institute of Certified Public Accountants