Form W-8BEN and W-8BEN-E: How US Businesses Pay Foreign Vendors Without Triggering 30% Withholding
US businesses must collect Form W-8BEN or W-8BEN-E from foreign vendors before paying, or face 30% withholding and IRS penalties on Form 1042-S.
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Plain-text accounting insights, tutorials, and updates from the Beancount.io team.
Form 990, 990-EZ, and 990-N: How Nonprofits Choose the Right Annual Return and Avoid Automatic Revocation
Nonprofits with gross receipts of $50,000 or less file Form 990-N; those under $200,000 receipts and $500,000 assets file 990-EZ; everyone else files the full 990. This guide covers thresholds, deadlines, late penalties up to $120 per day, and the three-year automatic revocation rule that quietly strips exempt status.
Form 706 Portability and the DSUE: How Surviving Spouses Inherit Up to $30 Million of Federal Estate Tax Exemption
Filing IRS Form 706 to elect portability lets a surviving spouse inherit up to $15 million of unused federal estate tax exemption (the DSUE), shielding combined estates of up to $30 million from the 40% federal estate tax in 2026. Miss the nine-month deadline and Rev. Proc. 2022-32 still allows a late election within five years of death.
Form 1099-DA Arrives in 2026: A Crypto Investor's Guide to the IRS's First Digital Asset Reporting Form
U.S. digital asset brokers must issue Form 1099-DA for sales after December 31, 2024. This guide explains what each box reports, why 2025 forms cover only gross proceeds while 2026 forms add cost basis, and how to reconcile broker data with your own records on Form 8949.
Fiscal Sponsorship Explained: Run a Tax-Deductible Charitable Project Without Forming Your Own 501(c)(3)
A practical guide to fiscal sponsorship — how Model A (9–15% fees) and Model C (4–10% fees) differ, how donations flow legally, what an agreement must cover, and when a project should graduate to its own 501(c)(3).
EPLI Insurance for Small Businesses: Why a Five-Person Team Can Still Get Hit with a Six-Figure Discrimination Claim
Employment Practices Liability Insurance costs small businesses roughly $800 to $3,000 a year, but a single uncovered discrimination, harassment, or wrongful termination claim averages $80,000 in defense costs—here is what EPLI covers, how carriers price it, and how to buy it without overpaying.
Directors and Officers (D&O) Insurance for Startups in 2026: Coverage Limits, Premium Benchmarks, and When Investors Require It
D&O insurance for startups in 2026 typically runs $3,500–$10,000 per year for $1M–$3M of coverage; Series A term sheets routinely require $3M–$5M within 60–90 days of close. The most common claims at sub-100-person companies come from employment disputes, not securities allegations.
Cost Segregation Studies: Reclassifying Building Components Into 5, 7, and 15-Year Lives for Front-Loaded Tax Savings
A cost segregation study uses engineering-based analysis to move 20–45% of a building's basis from 27.5- or 39-year straight-line into 5, 7, and 15-year MACRS classes. Combined with the 100% bonus depreciation permanently restored by the One Big Beautiful Bill Act for property placed in service after January 19, 2025, real estate investors can convert a routine $91,000 first-year deduction into roughly $766,000 — provided they clear IRC §469 passive activity loss limits via real estate professional status, the short-term rental rule, or passive income offsets.
Corporate Transparency Act in 2026: FinCEN BOI Filing Rules After the Domestic Exemption
FinCEN's March 2025 interim final rule narrowed the Corporate Transparency Act so U.S.-formed entities no longer file BOI reports, but foreign-formed entities registered in U.S. states still must file within 30 days, and New York's LLC Transparency Act took effect January 1, 2026 for foreign LLCs authorized to do business there.
California SB 253 and SB 261: The 2026 Climate Disclosure Compliance Playbook
California SB 253 and SB 261 require companies with $500M+ revenue doing business in California to disclose Scope 1, 2, and 3 emissions and publish TCFD-aligned climate risk reports. The first SB 253 emissions report is due August 10, 2026 — here is who is in scope, what to file, and how to prepare.
Valuing a Closely-Held Business: Asset, Income, and Market Approaches for Exits, Buyouts, and Estate Transfers
Three valuation approaches — asset, income, and market — can produce 50% differences in indicated value for the same closely-held business. This guide explains when each fits, how DLOM and DLOC discounts apply, and what records owners need before a sale, partner buyout, or estate transfer.
The 24% Backup Withholding Trap: A Small Business Guide to W-9s, CP2100 Notices, and Form 945
Backup withholding forces payers to deduct 24% from contractor payments after a missing W-9, refused TIN, or CP2100 notice — here is the 15-day and 30-day cure clock, Form 945 deposit rules, and the onboarding setup that keeps small businesses out of the trap.