You are not done until you’ve returned the signed form, nothing will happen until you return it, no tax return will be filed, nothing, nadda! Additionally, if I am delayed in attending my after tax season party because I have to chase down missing Forms 8879, I will be unhappy. When I send you my invoice, I will remember that I was unhappy and that I had to go to my party late because I had to chase you down for your Form 8879…. I think we understand each other.

How, you may ask, can you expeditiously get your signed Form 8879 to me (so I’m not late to the party)? I really don’t care how you get it to me: fax, snail mail, in person, carrier pigeon, email. I do, however, prefer that you use secure email or secure carrier pigeon because your social security number is on the form.

Happy tax season, and may all your Forms 8879 be timely!
​

1. Greater Confidence in Your Numbers
An audit or review provides assurance that your financial statements are accurate and reliable. This assurance can give owners, boards, and management more confidence when making strategic decisions -especially when expanding, seeking financing, or evaluating performance.
 
2. Early Detection of Issues
While audits and reviews are not designed to detect every error or act of noncompliance, CPAs are trained to recognize patterns, inconsistencies, and process weaknesses that may warrant further attention. Addressing these observations promptly can help reduce the risk of future problems.
 
3. Enhanced Credibility with Stakeholders
Even if no one is requiring it now, having independently verified financials can strengthen your position with:

• Potential lenders or investors - showing transparency and professionalism.
• Vendors and partners - especially when negotiating larger contracts.
• Key employees - reinforcing confidence in the company’s stability.

 
4. Better Internal Controls and Efficiency
An audit provides a more in-depth examination of financial statements and related processes, which can reveal opportunities to strengthen internal controls, streamline operations, and improve recordkeeping accuracy.
 
A review, while more limited in scope, can still highlight areas where processes might be made more efficient or accurate. In either case, addressing these insights can save time, reduce risk, and create a smoother financial workflow.
 
5. Preparedness for Future Opportunities
Opportunities can come quickly - new investors, an acquisition offer, or a loan with favorable terms. Having audited or reviewed financials on hand means you can move faster and present your business in the best light without scrambling to prepare statements under pressure.
 
6. Peace of Mind for Owners and Boards
Even in privately held companies, owners and board members have a fiduciary duty to oversee the financial health of the organization. An independent review or audit can provide reassurance that management is presenting a fair picture of the company’s position and results.
 
Bottom line:


An audit or review isn’t just a compliance exercise - it’s a tool for building trust, improving operations, and positioning your business for growth. Even if no one is asking for it now, the benefits of added credibility, stronger controls, and better decision-making often outweigh the costs.
 
If you’d like to explore whether an audit or review is right for your business, our CPA team can help you evaluate your options and the level of assurance that fits your needs.
 

OBBBA extends the credit to over 50 other occupations, such as barbering and hair care; nail care; esthetics; and body and spa treatments where tipping is customary.  Proposed Regulations provide Treasury Tipped Occupation codes that are grouped into 8 categories.  The categories are:
 

• 100s - Beverage and Food Service
• 200s - Entertainment and Events
• 300s - Hospitality and Guest Services
• 400s - Home Services
• 500s - Personal Services
• 600s - Personal Appearance and Wellness
• 700s - Recreation and Instruction

• 800s - Transportation and Delivery

 
The new law allows the newly identified industries to qualify for the Tip Credit for payments received during 2025 through 2028. 
 
What technically counts as a tip?
 
In order to claim the deduction, a worker must both be in an occupation on the list and receive qualified tips. The proposed regulations provide a definition of qualified and not qualified tips, which includes the following factors:
 

• Qualified tips must be paid in cash or an equivalent medium, such as check, credit card, debit card, gift card, tangible or intangible tokens that are readily exchangeable for a fixed amount in cash, or another form of electronic settlement or mobile payment application (excluding most digital assets) denominated in cash.
• Qualified tips must be received from customers or, in the case of an employee, through a mandatory or voluntary tip-sharing arrangement, such as a tip pool.
• Qualified tips must be paid voluntarily by the customer and not be subject to negotiation.
• Qualified tips do not include some service charges. For instance, in the case of a restaurant that imposes an automatic 18% service charge for large parties and distributes that amount to waiters, bussers and kitchen staff; if the charge is added with no option for the customer to disregard or modify, the amounts distributed to the workers from such charges are not qualified tips.
• Any amount received for illegal activity, prostitution services, or pornographic activity is not a qualified tip.

 
While the minimum wage taken into consideration of the credit applied to food and beverage workers is the minimum wage as of January 1, 2007 (which was $5.15), the minimum wage when calculating the credit on the newly allowed service wages is based on the minimum wage rate that applies under the Fair Labor Standards Act for the month.  As of November 2025, the applicable minimum wage rate was $7.25. 
 
Form 8846, Credit for Employer Social Security and Medicare Taxes Paid on Certain Employee Tips, will likely need to be adjusted for the new calculation, or another form added to calculate the new credit.  The lower minimum wage used for food and beverage industry workers versus beauty services industry workers would result in a lower credit amount for employers in the beauty services industry, compared to the same amount of tips in a food and beverage industry.
 
If your business employs workers in one of the newly identified beauty service industries, you may be eligible to claim the FICA tip credit. Consult your tax advisor for further information. 

​Business / Project Credits
Wind & Solar Investment Tax Credit (ITC) and Producer Tax Credit (PTC)

• Projects must either begin construction by July 4, 2026, or
• Be placed in service by December 31, 2027
• After 2027, these credits are generally no longer available

Compliance Tightening

• Stricter domestic content requirements
• New restrictions on certain foreign ownership or participation
• Longer recapture periods if requirements are later violated
• Increased documentation and diligence requirements

Transferable Credits

• Transfers are still allowed
• Additional limitations on eligible buyers now apply

Manufacturing / Production Credits

• Largely preserved under the new rules
• Easier to model since they are output-based rather than installation-based
• Expected to become more valuable as installation credits phase out

Residential / Consumer Credits
Residential Clean Energy Credit (solar, batteries, geothermal)

• Ends for projects placed in service after December 31, 2025

Energy Efficient Home Improvement Credit

• Expires on December 31, 2025

Clean Vehicle Credits (new & used)

• Vehicles must be acquired by September 30, 2025

EV / Alternative Fuel Charging Credit

• Expires on June 30, 2026

While many familiar credits are phasing out, opportunities remain—especially for projects already in motion or in manufacturing and production. staying ahead of the changes can make all the difference, and we’re here to help navigate what comes next.