Chances are, you’re more concerned about your 2024 tax return right now than you are about your 2025 tax situation. That’s understandable because your 2024 individual tax return is due to be filed by April 15 (unless you file for an extension).

As part of five bipartisan bills recently signed by Governor Whitmer, Michigan has introduced a new Research & Development (R&D) Credit. Michigan joins 36 other states with the implementation of this R&D tax credit. It will be available to businesses with the amount claimed varying depending on its number of employees. It is effective for tax years beginning on or after January 1, 2025.

On January 23, 2025,the Supreme Court lifted one of the two injunctions on beneficial ownership information reporting requirements. The Financial Crime Enforcement Network (FinCEN) subsequently released an official statement on January 24, 2025 clarifying that due to the second injunction remaining in place, enforcement remains on hold and penalties cannot be assessed for not filing.

From the moment they launch their companies, business owners are urged to use key performance indicators (KPIs) to monitor performance. And for good reason: When you drive a car, you’ve got to keep an eye on the gauges to keep from going too fast and know when it’s time to service the vehicle. The same logic applies to running a business.

The nationwide price of gas is slightly higher than it was a year ago and the 2025 optional standard mileage rate used to calculate the deductible cost of operating an automobile for business has also gone up. The IRS recently announced that the 2025 cents-per-mile rate for the business use of a car, van, pickup or panel truck is 70 cents. In 2024, the business cents-per-mile rate was 67 cents per mile. This rate applies to gasoline and diesel-powered vehicles as well as electric and hybrid-electric vehicles.

Why Is the FASB Issuing This Accounting Standards Update (ASU)? On January 6, 2025, the FASB issued ASU 2025-01, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Clarifying the Effective Date to clarify the effective date for ASU 2024-03, Interim Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses for non-calendar year end entities.

Most small to midsize businesses today operate in tough, competitive environments. That means it’s imperative to identify and reach the right customers and prospects.

Once you reach age 73, tax law requires you to begin taking withdrawals — called Required Minimum Distributions (RMDs) — from your traditional IRA, SIMPLE IRA and SEP IRA. Since funds can’t stay in these accounts indefinitely, it’s important to understand the rules behind RMDs, which can be pretty complex. Below, we address some common questions to help you navigate this process.

The Michigan Earned Sick Time Act (ESTA), a revised sick leave law, is set to go into effect on February 21st, 2025. It will have an immediate impact on any business that employs one or more full-time or part-time employees. The ESTA requires the employer to accrue sick time for each employee as of the effective date of the law, or the beginning of their employment, whichever is later, and it permits the carryover of the earned but unused sick time from year to year. Employers are required to retain and make available to Michigan’s Department of Labor & Economic Opportunity - Wage and Hour Division records of the hours worked and the paid sick time used by employees, if requested; these records must be maintained for a minimum of three years.

When selling business assets, understanding the tax implications is crucial. One area to focus on is Section 1231 of the Internal Revenue Code, which governs the treatment of gains and losses from the sale or exchange of certain business property.