Do you Want to go Into Business for Yourself? There are many ways to conduct a business for tax purposes, including as an S corporation or a partnership. But many new ventures start out as sole proprietorships. Here are nine business tax rules and considerations involved in operating as that entity. Seek assistance If you want additional information regarding the business tax aspects of your new business, or if you … Read more
NUMEROUS TAX LIMITS AFFECTING BUSINESSES HAVE INCREASED FOR 2020 A variety of tax-related limits that affect businesses are annually indexed for inflation, and many have increased for 2020. How much can your employees contribute to 401(k) plans this year? How much do employees have to earn in 2020 before they can stop paying Social Security tax? Here are the answers to these and other questions about annual tax-related inflation adjustments affecting businesses. … Read more
Do Your Employees Receive Tips? You May be Eligible for a Tax Credit Employers in the food and beverage industry may be eligible for a valuable tax break with the Social Security and Medicare (FICA) taxes tip credit. Here’s how it works. How the credit works The FICA credit applies with respect to tips that your employees receive from customers in connection with the provision of food or beverages, regardless … Read more
It May Not be Too Late to Cut Your 2019 Taxes Don’t let the holiday rush keep you from taking some important steps to reduce your 2019 tax liability. You still have time to implement a cut 2019 taxes strategy, including: Buying Assets Considering purchasing new or used heavy vehicles, heavy equipment, machinery or office equipment in the new year? Buy it and place it in service by December 31, … Read more
The Tax Implications if Your Business Engages in Environmental Cleanup If your company needs to “remediate” or clean up environmental contamination, the expenses involved can be environmental cleaning tax as ordinary and necessary business expenses.These expenses may include the actual cleanup costs, in addition to expenses for environmental studies, surveys and investigations, fees for consulting and environmental engineering, legal and professional fees, environmental “audit” and monitoring costs, and other expenses. … Read more
TAX IMPLICATIONS WHEN CONVERTING CORPORATIONS If you’re considering switching your C corporation into a S corporation, there are many things to think about. An S corporation could give you more tax advantages than a C corporation, but there are many tax implications that could negate the possible savings. Here are four of the most common issues business owners run into when converting their corporations. LIFO: If your C corporation uses … Read more
Q4 2019 TAX DEADLINES FOR BUSINESSES AND EMPLOYERS For the fourth quarter of 2019, here are four dates to keep in mind if you own a business or if you are an employer. This is not an all-inclusive list, so you can contact us to see what deadlines and filing requirements apply to your situation. October 15 • If you have a C corporation that filed a six-month extension, you must:– File … Read more
COMPANY CAR TAX BENEFITS The use of company cars has long been a great fringe benefit for owners and employees of small businesses, and it has gotten even better with the recent tax law changes and updated IRS rules. Not only will the employer receive tax deductions, the owners and employees driving the vehicles will also receive tax breaks. The basics If you’re the owner or employee of a business … Read more
RETHINK TRANSFERRING FUNDS DUE TO THE “KIDDIE TAX” The ”kiddie tax” was first enacted by Congress as a means to keep parents or grandparents in high tax brackets from shielding their income. They did this by giving it to children within their family in lower tax brackets. Although this tax was a bit of a headache for some in prior years. It has since evolved due to the Tax Cuts and … Read more
