When owners and managers receive business valuations, the first thing they typically do is flip to the conclusion to see what it’s worth. Often, little attention is given to the analyses underlying the final number, especially if the report was prepared for internal planning or financial reporting purposes. But it’s always a smart idea for…

Tax credits are the most valuable tax breaks available. Each dollar of credit equals a dollar of tax savings. By comparison, if you’re in the 32% federal income tax bracket, each dollar of tax deductions saves you only 32 cents.  Unfortunately, taxpayers sometimes miss out on tax credits, especially if they’re do-it-yourself filers. Claiming credits may require additional tax…

Tax affecting is one of the most debated issues when valuing interests in privately held businesses using the income approach. This term refers to discounting the projected earnings of pass-through businesses for hypothetical entity-level taxes. Unlike C corporations, pass-through entities — such as S corporations, partnerships, limited liability companies and sole proprietorships — don’t pay…