Phillips Dorsey Thomas Waters & Brafford PA

Mike received his undergraduate degree from North Carolina State University and his Masters in Business Administration from Campbell University. He joined our team in 1987, became a Principal in the Firm in 1989, and currently serves as President. Mike is the leader of our client services team providing guidance and assistance to numerous individuals and businesses and supervision to other of our team members. He is also the All Star of our community service team serving in numerous volunteer positions both past and present.

Have you just started a new business? Did you know expenses incurred before a business begins operations are not allowed as current deductions? Generally, these start up costs must be amortized over a period of 180 months beginning in the month in which the business begins. However, based on the current tax provisions, you may elect to deduct up to $5,000 of business start-up and $5,000 of organizational costs paid or incurred. The $5,000 deduction is reduced by any start-up or organizational costs which exceed $50,000.

Following are some generally recognized financial planning tools that may help you reduce your tax bill. Charitable Giving - Instead of selling your appreciated long-term securities, donate the stock instead and avoid paying tax on the unrealized gain while still getting a charitable tax deduction for the full fair market value.

But what should be done with those documents after your check or refund request is in the mail? Federal law requires you to maintain copies of your tax returns and supporting documents for three years. This is called the "three-year law" and leads many people to believe they're safe provided they retain their documents for this period of time.