Blog - Linkenheimer LLP CPAs & Advisors

There’s Still Time for Businesses to Benefit from Clean Energy Tax Breaks

The One Big Beautiful Bill Act (OBBBA), signed into law July 4, 2025, extends or enhances many tax breaks for businesses. But the legislation terminates several business-related clean energy tax incentives earlier than scheduled. For example, the Qualified Commercial Clean Vehicle Credit (Section 45W) had been scheduled to expire after 2032. Under the OBBBA, it’s available only for vehicles that were acquired on or before September 30, 2025. For other clean energy breaks, businesses can still take advantage of them if they act soon.

Deduction for energy-efficient building improvements

The Section 179D deduction allows owners of new or existing commercial buildings to immediately deduct the cost of certain energy-efficient improvements rather than depreciate them over the 39-year period that typically applies. The OBBBA terminates the Sec. 179D deduction for property beginning construction after June 30, 2026.

Besides commercial building owners, eligible taxpayers include:

Tenants and real estate investment trusts (REITs) that make qualifying improvements, and
Certain designers — such as architects and engineers — of government-owned buildings and buildings owned by nonprofit organizations, religious organizations, tribal organizations, and nonprofit schools or universities.

The Sec. 179D deduction is available for new construction as well as additions to or […]

By Linkenheimer LLP|2025-10-13T19:50:40+00:00October 13th, 2025|business, energy, New Tax Laws, tax credit|0 Comments

The 2025–2026 “High-Low” Per Diem Business Travel Rates are Here

If you have employees who travel for business, you know how frustrating it can be to manage reimbursements and the accompanying receipts for meals, hotels and incidentals. To make this process easier, consider using the “high-low” per diem method. Instead of tracking every receipt, your business can reimburse employees using daily rates that are predetermined by the IRS based on whether the destination is a high-cost or low-cost location. This saves time and reduces paperwork while still ensuring compliance. In Notice 2025-54, the IRS announced the high-low per diem rates that became effective October 1, 2025, and apply through September 30, 2026.

How the per diem method works

The per diem method provides fixed travel per diems rather than requiring employees to save every meal receipt or hotel bill. Employees simply need to document the time, place and business purpose of their trip. As long as reimbursements don’t exceed the applicable IRS per diem amounts, they aren’t treated as taxable income to the employee and don’t require income or payroll tax withholding.

Under the high-low method, the IRS establishes an annual flat rate for certain areas with higher costs. All locations within the continental United […]

By Linkenheimer LLP|2025-10-13T17:48:36+00:00October 13th, 2025|business, travel|0 Comments

Understanding the Most Common IRS Notices

For many taxpayers, receiving a letter from the IRS can feel intimidating. The envelope arrives with the IRS seal, and immediately, worry sets in: Did I make a mistake? Am I in trouble? The truth is, IRS notices aren’t uncommon, and most of them can be resolved fairly easily once you understand what they mean.

This article walks through the most common types of IRS notices, explains why taxpayers receive them, and provides guidance on how to respond.

Why the IRS sends notices

The IRS communicates primarily by mail — not phone or email. Notices are typically sent for reasons such as:

Clarifying information on a tax return,
Notifying you of a balance due,
Confirming changes made to your return,
Requesting additional documentation, and
Alerting you to a possible error.

Each notice is numbered in the upper right-hand corner (for example, CP2000 or Notice CP12). That code is your key to understanding the purpose of the letter. In all cases, contact us if you have questions about how to proceed.

Five common notices and what they mean

1. CP2000, proposed changes to your tax return. This notice is issued when the IRS finds a mismatch between the information […]

By Linkenheimer LLP|2025-10-01T16:17:58+00:00October 1st, 2025|irs|0 Comments

Tax Court Case Provides Lessons on Best Recordkeeping Practices for Businesses

Running a successful business requires more than delivering great products or services. Behind the scenes, meticulous recordkeeping plays a crucial role in financial health, compliance and tax savings. Good records can mean the difference between successfully defending a deduction and losing valuable tax breaks. A recent U.S. Tax Court decision underscores just how important this is.

Why it matters

The IRS requires all businesses — no matter how small — to maintain records that accurately reflect income, expenses, assets and liabilities. Without these records, it’s nearly impossible to:

Substantiate tax deductions and credits,
Track cash flow and profitability,
Prepare accurate financial statements,
Monitor the progress of your business,
Support decisions for financing, and
Demonstrate compliance during an IRS audit.

In short, strong recordkeeping protects your business, both for operational and tax law purposes.

Taxpayer loses deductions due to insufficient records

In one case, a union power‐line worker also had business interests in a storm response partnership, a salon and a rental property. He claimed significant losses and business expenses on his return for the year in question. Among his claimed deductions were partnership losses and expenses for tools, clothing and travel.

In Tax Court Memo […]

By Linkenheimer LLP|2025-10-01T16:08:27+00:00October 1st, 2025|business, tax planning, Tech|0 Comments

The New Face of Digital Deception: How AI is Changing the Scam Game (And How to Stay Ahead)

Remember when scam emails were easy to spot? The Nigerian prince with questionable grammar? Those days are rapidly becoming quaint, nostalgic memories. Today’s digital threats are wearing sophisticated masks, powered by the same AI tools revolutionizing legitimate business. But here’s the good news: understanding these evolving threats is your first line of defense.

The AI Revolution Cuts Both Ways

While we’re leveraging AI to streamline processes and increase work life balance, bad actors are using similar tools to craft increasingly convincing schemes. The technology that helps us serve our clients better is, unfortunately, also making scammers more dangerous.

But knowledge is power, and that’s exactly what we’re sharing today.

The New Threats on Your Digital Doorstep

1. The California FTB Text Scam: A Real-Time Warning

Right now, Californians are being bombarded with fake text messages claiming to be from the Franchise Tax Board about tax refunds. An example would be: “Your tax refund has been processed, click here to provide bank details.” It’s 100% fake. The FTB never texts about refunds—period. These scams use […]

By Linkenheimer LLP|2025-09-09T17:20:17+00:00September 9th, 2025|AI, scams, Tech|0 Comments