Frequently Asked Questions

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Craine, Thompson & Jones, P.C.

Where are you located?

Craine, Thompson & Jones is located in Downtown Morristown, Tennessee at 225 West First North Street, on the top floor of the Millennium Square Building, and in Sevierville at 248 Bruce Street, Sevierville, TN 37862.

What is your mailing address?

Our mailing address is:

P.O. Box 1779

Morristown, TN 37816-1779

What is the current mileage rate?

54 cents per mile for business miles driven in 2016

19 cents per mile driven for medical or moving purposes in 2016

14 cents per mile driven in service of charitable organizations in 2016

What is the annual gift limit?

$14,000 per individual in 2016

Example: On December 31, 2015 you give $14,000 to your son and $14,000 to your son’s wife.  On January 1, 2016 (the next day), you give another $14,000 to you son and another $14,000 to your son’s wife.  If you made no other gifts to your son or his wife during these two years, all the gifts are covered by the annual exclusion.

What type of entity should I form?

Taxpayers have a variety of entity options to choose from when forming a new business. However, the type of entity that is needed depends heavily on the purpose of the business and the needs of the taxpayer. A for-profit business can choose to operate as one of the following:

  1. Sole Proprietor
  2. Limited Liability Company, including Single Member LLC
  3. General Partnership
  4. Limited Partnership
  5. Subchapter S – Corporation
  6. Corporation

Contact your tax advisor or attorney to discuss the benefits and limitations of each entity option

How quickly can I write off my equipment purchases?

Section 179 is available to taxpayers engaged in an active trade or business and allows for the immediate expensing of most new or used personal property in the year it is purchased. Vehicles are eligible for Section 179, however separate limitations are imposed.

The maximum deduction that can be claimed is $500,000 on the first $2,000,000 of asset additions in a tax year. After the $2,000,000 investment threshold has been reached the expense maximum is subject to a phase out.

Does Tennessee have an Income Tax?

Tennessee imposes an income tax on individuals and other entities receiving interest from bonds and notes and dividends from stock. Prior to 2016, the rate of tax was 6%.  However the Tennessee General Assembly passed legislation that reduced the rate from 6% to 5% beginning January 1, 2016.  The new law requires the full repeal of the Hall Income Tax for tax years beginning January 1, 2022.  The intent is to reduce the tax rate via legislation by 1% annually resulting in the complete reduction by 2022.  However if no action is taken, the rate will remain at 5% until January 1, 2022.

Our Two Offices
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Morristown

225 W. 1st Street,
Suite 300 Millennium Square
Morristown, TN 37814

Directions

Sevierville

248 Bruce Street,
Sevierville, TN 37862
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Directions

Craine, Thompson & Jones Morristown

Our Morristown Office

Craine, Thompson & Jones Sevierville

Our Sevierville Office

Contact Us

Morristown

225 W 1st North Street
Suite 300, Millennium Square
Morristown, TN 37814

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Sevierville

248 Bruce Street,
Sevierville, TN 37862

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Copyright © 2016, Craine, Thompson & Jones, P.C. All Rights Reserved. 

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