Charles Dean Smith Jr. was exposed to small businesses at an early age, as his family owned a large commercial seafood and trawling business in Eastern North Carolina. He knew early in high school he wanted to be an accountant to help small businesses and started by contributing to his family business’ accounting functions.
Now, as a small business owner of three UPS Stores, two in Myrtle Beach, South Carolina and one in Ocean Isle Beach, North Carolina, he pulls on his own experiences to help others. Understanding the many hats they have to wear, Charles assists small business owners in all 50 states on various tax and financial planning matters. That includes being there at the inception of their venture, helping them through the entire life cycle of the business. He’s with them the entire way from making payroll in the early years to expanding their enterprise, investing extra cash to preparing for retirement, succession or acquisition.
With more than 25 years of experience, Charles focuses on providing manufacturing, distribution, restaurant and retail clients with tax compliance and consultation, with a focus on C corporations, S corporations and related shareholder issues, multi-state compliance and accounting method changes in myriad industries, including, but not limited to, consumer products and retail, agribusiness, real estate and professional services. He has also worked with several large national franchise groups for the past 20 years providing tax compliance and planning services.
Charles also believes in going beyond daily tax services by supporting the community at-large. He is a former board member and active with the Tryon Civitan, the New Bern, North Carolina chapter of Civitan International. He’s also involved with the New Bern Chamber of Commerce’s Leadership Craven. Charles’s passion is fundraising for the National Multiple Sclerosis (MS) Society and he believes strongly in their mission to help those affected by MS live their best lives, restore what that have lost, and end MS forever. His passion is demonstrated through his active involvement in the organization, including serving on the Board of Trustees as vice president of financial performance for the Greater Carolinas Chapter, as well as on the national budget development advisory committee for the National MS Society. Additionally, over the last decade, he has volunteered with the National MS Society during Bike and Walk MS events throughout North and South Carolina. He’s also served on the local planning committee for the Bike MS Historic New Bern Ride, which brings more than 1,800 cyclists and 2,000 volunteers to New Bern each September for one of the Top 10 largest cycling events in the southeast and one of the Top 4 cycling events for the National MS Society.
PROFESSIONAL ASSOCIATIONS:
- American Institute of Certified Public Accountants
- North Carolina Association of Certified Public Accountants, Young CPA Cabinet
EDUCATION:
- Master of Science in Accounting from the University of North Carolina Wilmington
- Bachelor of Science in Accounting, summa cum laude, from the University of North Carolina Wilmington
SPECIAL REPORT:
Beneficial Ownership Information (BOI) Report
October 3, 2023 | Charles Dean Smith, Jr. and Edward T. Yoder
Starting on January 1, 2024, millions of entities will be subject to new reporting requirements. The Beneficial Ownership Information (BOI) Report is a non-tax form that entities must file with the Department of Treasury’s Financial Crimes Enforcement Network, or FinCEN.
ARTICLES:
Top 5 Tax Considerations for Franchise Owners
Tax planning is a critical piece of managing a franchise; however, many franchise owners simply don’t have the time or background knowledge to adequately or strategically tackle the tax implications of owning a franchise.
Learn about 5 of the most important and commonly overlooked tax considerations impacting franchisees and provide practical steps you can take to begin optimizing your tax situation.
Hurricane Helene: Deadline Extensions, Penalty Relief, and Insights from the PBMares Tax Team
The IRS took action quickly after Hurricane Helene traveled 400+ miles, claiming lives and wreaking havoc in the Southeast. Learn about the important information regarding deadline extension and penalty relief.
Franchise 101: Taking the First Step
Explore this practical guidance for those thinking about taking the first step toward owning a franchise.
Tax Relief and Deadline Extensions for Hurricane Debby
Taxpayers impacted by Hurricane Debby in South Carolina, North Carolina, Florida, and Georgia now have until February 3, 2025 to make certain tax payments and file various tax returns, including 2023 individual and business tax returns currently on extension.
10 Takeaways for Franchise Owners from the UPS Store Convention 2024
Charles Dean Smith, Jr. recently attended the UPS Store Convention 2024 in Las Vegas. Read his top takeaways for franchise owners which are based on trends industry experts from around the country are seeing in the marketplace.
So You Want to Buy a Franchise? A Comprehensive Guide
Whether you’re a young entrepreneur or a seasoned professional looking to make an investment or mid-career pivot, the decision to buy a franchise requires careful consideration and extensive planning.
This guide explores key considerations to help you navigate the decision to buy a franchise
IRS Provides Tax Relief & Deadline Extensions to 67 Texas Counties Affected by Hurricane Beryl
The IRS has announced tax relief measures for individuals and businesses in 67 Texas counties affected by Hurricane Beryl. Taxpayers in these counties now have an extended deadline until February 3, 2025, to file various federal individual and business tax returns and to make any necessary tax payments.
Pros and Cons of Buying a Franchise
When deciding between buying a franchise or starting an independent business, consider your long-term vision for your business. In this guide, learn about the pros and cons of buying a franchise.
2024 DOL Proposed Overtime Rule: Impact on Franchise Owners
In April, the U.S. The Department of Labor (DOL) released a new overtime rule that will raise the salary threshold for overtime pay eligibility by approximately 65 percent by 2025.
SBA Loan Financing for Franchises
Whether a franchise is expanding operations, upgrading technology, or navigating through an economic downturn, the availability of financial resources is critical. Learn more about the many questions related to Small Business Administration (SBA) loans.
5 Key Considerations When Buying a Franchise
For those interested in starting their own business, buying a franchise can be an attractive option. We break down five key considerations to keep in mind when contemplating buying a franchise.
How ROBS 401k Financing Can Unlock Growth for Franchisees
Learn about the basics of ROBS 401k Financing, benefits and challenges of the method, and what franchisees should consider before taking the first step.
7 Best Practices for Franchise Accounting
By Charles Dean Smith, Jr., CPA Strong accounting practices lay a solid foundation for building success as a franchise owner. In this article, the experts […]
Podcast | Franchises
A small business owner and CPA, Charles Dean Smith understands firsthand what it’s like wearing many hats. Listen as he discusses the intricacies of managing franchises in this podcast.
A Glossary of Common Franchise Terms
When considering purchasing a franchise, it’s helpful to first become familiar with various terms and concepts. In this article, we’ll outline common franchising terms in four categories.
IRS Flags Phishing and Smishing in 2024 Tax Scams Alert
The IRS warns of phishing and smishing as top threats in its 2024 “Dirty Dozen” tax scams list. These tactics use fraudulent emails or texts posing as the IRS to extract personal and financial data. IRS Commissioner Danny Werfel urges caution, emphasizing the IRS does not initiate contact via email or text for such information.
For Franchises: Strategic Management Tools
In this article, we’ll outline types of strategic management tools for franchises and dive further into the various benefits.
The Future of the Franchise Model
Learn about the future of the franchise model and best practices of successful franchises.
Podcast | Tax Relief for American Families and Workers
In this podcast, we discuss a new piece of legislation, the Tax Relief for American Families and Workers Act of 2024. We do not know what will be in the final bill or if we will even have one. But what is in the bill that has many excited?
IRS Launches ERC Voluntary Disclosure Program
The IRS launched the Employee Retention Credit Voluntary Disclosure Program (ERC-VDP), providing an opportunity for employers to correct mistaken Employee Retention Credit (ERC) claims penalty-free, with submissions due by March 22, 2024.
Tax Relief for American Families and Workers Act of 2024
On January 31, 2024 the House of Representatives passed the Tax Relief for American Families and Workers Act, providing business tax breaks and expanded child care credits. Learn if you should consider filing an extension for your 2023 individual and business tax return and consult with a professional tax advisor for evaluation.
IRS Announces $1 Billion in Penalty Relief
The IRS has introduced a $1 billion penalty relief program to assist approximately 4.7 million taxpayers who did not receive automated collection reminders during the COVID-19 pandemic.
1099-K Reporting Requirement Delayed for 2023; New, Phased-In Approach for 2024
The IRS delayed implementing new, lower reporting requirements for Form 1099-K in 2023 and announced a phased-in approach for 2024.
IRS Delays Roth Catch-Up Contribution Rule
The IRS has delayed the new Roth catch-up contribution rule for high earners until 2026. This change provides a strategic window for retirement planning, especially as fewer than 20 percent of eligible employees still don’t utilize catch-up contributions.
Employee Retention Credit Update
Following a pause on new Employee Retention Credit claims in September, the IRS is giving businesses an option to withdraw ERC claims if there is concern about the claim’s inaccuracy.
Employee Retention Credit Processing Halted by the IRS Amid Widespread Fraud
On September 14 2023, the IRS halted all new employee retention credit claims to combat rampant tax fraud. If a business has an open ERC refund claim, they are strongly encouraged to evaluate their eligibility with a professional tax advisor.
IRS Provides Tax Relief and Extension for South Carolina and Florida Taxpayers Impacted by Hurricane Idalia
IRS announces new Hurricane Idalia tax relief and a new February 15, 2024 tax deadline for all individuals and businesses in South Carolina.
IRS to Go Paperless Starting in 2024
A more tech-savvy IRS? That’s the plan, and it’s happening soon. In the 2024 tax filing season, taxpayers will have the option to go entirely paperless with the IRS.
Deadlines for Claiming the Employee Retention Credit (and It’s Not July 31, 2023)
The deadline for claiming the Employee Retention Credit (ERC) is getting closer. If you are an eligible business or nonprofit organization, you still have time to determine your eligibility and file your claim. That time, however, will run out soon with strict filing deadlines coming up in 2024 and 2025.
FTC Issues Consumer Alert on Franchising Myths for Potential Investors
The FTC recently issued a consumer alert on the five most troubling myths about investing in a new franchise. Potential franchise investors should consider these myths when evaluating potential investments.
Bipartisan House Bill Seeks to Streamline Individual Tax Return Extension Requests and Payments
By Charles Dean Smith, Jr., CPA | Bipartisan proposed legislation would prevent individual taxpayers from incurring federal penalties for failing to accurately calculate estimated payments for current-year tax liability when requesting tax filing extension
Did You Get a Surprise Tax Bill in 2022? It’s Time to Review Your Withholdings
If you had a surprise tax bill this past filing season, it may be an opportune time to review your paycheck withholdings and estimated tax payment requirements by using the free IRS tax withholding estimator. Changes to income tax withholding amounts on Form W-2s or 1099s can be made at any point during the year by filing an updated Form W-4.
New Rules for Electric Vehicle Tax Credit
New battery sourcing requirements for electric vehicles took effect after April 18, 2023. This change means that far fewer vehicles qualify for the full $7,500 Clean Vehicle Tax Credit.
Employee Retention Credit Fraud Remains a Top Risk
The IRS has warned taxpayers about pandemic relief fraud before. Employee retention credit fraud is now so widespread that the IRS added it to its annual list of Dirty Dozen tax scams.
IRS Significantly Expands Mandatory e-Filing Requirements for Business Income Tax and Informational Returns Starting in 2024
The Internal Revenue Service (IRS) issued significant final regulations requiring most businesses to begin electronically filing certain kinds of business income tax and informational returns starting in 2024 for any returns first due after January 1, 2024.
New IRS Guidance on the Taxability of Special State Tax Payments Paid in 2022
The Internal Revenue Service recently issued guidance clarifying the federal taxability of special one-time tax rebates and refunds issued by 21 states in 2022, including South Carolina and Virginia.
Retirement Tax Planning for Medicare Premiums
High-income retirees pay more in monthly Medicare premiums, but with careful planning – and an appeal when necessary – the premiums can potentially be reduced.
Increase in Social Security Wage Base, Wage Caps and Benefit Amounts Announced for 2023
The Social Security Administration recently announced their annual inflation changes to the Social Security wage base, annual wage cap, and benefit amounts that will be effective January 1, 2023. These 2023 inflation increases are the largest percentage increases since 1981 and the fourth-largest increase ever for the Social Security program.
IRS Warns of Employee Retention Credit Fraud
The IRS recently warned employers to beware of advertisements and solicitations that promise tax refunds that seem too good to be true. They promise business owners lucrative tax refunds from the Employee Retention Credit through filing amended payroll tax returns.
IRS Announces Significant Annual Inflation Adjustments for over 60 Tax Provisions for 2023
The IRS announced its annual inflation adjustments on October 18 in Revenue Procedure 2022-38. As expected due to soaring inflation over the past year, the tax adjustments are significant this year with most adjustments increasing around 6 to 7 percent.
IRS Provides Tax Relief and Tax Filing Postponement for Taxpayers in North Carolina and South Carolina due to Hurricane Ian
IRS announces new Hurricane Ian tax relief and a new February 15, 2023 tax deadline for all individuals and businesses in both North Carolina and South Carolina.
Inflation Reduction Act and Its Impact on ACA Healthcare Premium Tax Credits
Millions of Americans will avoid paying more for healthcare next year, thanks to the Inflation Reduction Act. Employers need to be aware of potentially higher penalties related to the family glitch, and individuals can take steps to project income and avoid paying back excess tax credits.
South Carolina Tax Rate Cuts and Rebate in New SC Budget
South Carolina’s new $13.8 billion budget for the 2022-23 fiscal year includes a significant rate reduction and tax rebate checks for residents.
Changes to ERC Deductions for North Carolina Employers and Expansion of NC Business Recovery Grant Program for Phase Two Applications
North Carolina’s legislature recently changed state tax laws governing employers’ ability to deduct the employee retention credit from state taxable wages and significantly expanded eligibility for a business grant program with an application deadline of June 1, 2022.
High Inflation with Inventory? Consider a LIFO Election for the 2022 or even the 2021 Tax Year if You Received an Extension
When inflation is high, certain companies could use it as an opportunity to save on taxes. Electing LIFO for the 2021 tax year might be a smart move, but time is running out. It’s also not too early to begin evaluating LIFO calculations for 2022.
S-Corporation Shareholders May Need to File Form 7203 with 2021 Taxes
For the first year, some S-corporation shareholders will be required to include Form 7203 with their individual or trust tax returns. With shareholder basis continuing to be a major IRS audit focus, shareholders need to make sure they are consistently tracking their basis on Form 7203 with all the required annual adjustments.
Watch for New Letters from the IRS — and Keep Them!
The IRS is sending taxpayers new letters about the 2021 Economic Impact Payments and Advanced Child Tax Credit payments. The letters contain information necessary for calculating your tax refund correctly.
Updated IRS Guidance on Meals and Entertainment Expense Deduction
In 2021 and 2022, a temporary change to the tax code allows companies to deduct 100 percent of most business meal and entertainment expenses. Guidance on per diem deductibility has also been clarified.
The Value of Health Savings Accounts – and How to Maximize Their Tax Benefits
Health savings accounts provide a triple-tax benefit but are heavily underutilized. Learn how to maximize HSA savings and use them in retirement in this timely article for open enrollment season.
North Carolina Budget Allows PPP Deductions, Reduces Tax Rates, Establishes SALT Workaround
The long-awaited 2021-2023 biennial North Carolina budget was passed by the General Assembly and signed by Governor Roy Cooper on November 18, 2021. Media outlets have focused on high-profile provisions, such as raises for teachers and other state employees. Other provisions – including historic tax cuts – immediately impact all North Carolina taxpayers.
Infrastructure Bill Passes, Build Back Better Act Vote on the Horizon
On November 5, 2021, Congress passed a $550 billion Infrastructure Investment and Jobs Act. This bill is separate from the Build Back Better Act, which includes the highly discussed and more significant tax proposal changes. Read on for a summary of tax changes passed by the infrastructure bill and proposed changes from the Build Back Better Act.
Recovery Startup Provision: How New Startup Businesses Can Possibly Claim the ERTC
Businesses that started during the pandemic have a new opportunity to claim the Employee Retention Tax Credit for the 3rd and 4th quarters in 2021. There are minimal eligibility requirements to net up to $100,000 in tax credits for the year. Act now to include the credit on your 2021 3rd quarter payroll tax return.
2021 North Carolina Tax Reform
North Carolina is on the verge of passing major tax changes affecting corporate, pass-through, and individual taxpayers. If passed, the state’s corporate income tax would be eliminated and 250,000 taxpayers would be removed from state tax rolls.