Before the end of the year, take advantage of what is known as the annual gift-tax exclusion. This allows you to give up to $15,000 a year to each of any number of recipients. It allows $28,000 a year to each recipient if your spouse joins in the gift. The exclusion is an annual one […]
If you use your car for business purposes, you may be able to deduct car expenses. You generally can use one of two methods to figure your expenses: Actual Expenses or the Standard Mileage Rate. Actual Expenses Deductible Items — If you choose to deduct actual expenses you can deduct the cost of the following items: […]
Independent Contractor or Employee Are your workers independent contractors or employees? The answer can have a profound impact on your record keeping requirements as a small business owner. Knowing whether your workers are or are not employees will affect the amount of taxes you must withhold from their pay. It will affect how much additional […]
As many have heard, the new Tax Cuts & Jobs Act provides stricter limits on the deductions of business meals and entertainment expenses. Under these new regulations entertainment expenses incurred or paid after December 31, 2017 are nondeductible unless they fall under the specific exceptions of Code Section 274(e). One of those exceptions is the […]
The latest Tax Organizer from SSA. Use this version to organize your information for your Tax Returns.
Business records such as Tax Record, various Business Reports, Contracts, Important Documents, Insurance Papers, Ledgers, etc. are to be kept for a specific duration including some that are to be kept permanently. The checklists included in the PDF document (linked below) cover all of the appropriate record types and their retention time. Business Record Retention […]
Personal Tax records may have to be produced if the Internal Revenue Service (state or local taxing authority) were to audit your return or to seek to assess or collect a tax. In addition, lenders or other private parties may require that you produce copies of your tax returns as a condition to lending money, […]
A sole proprietorship is owned and operated by one individual. It is the least complicated and usually the least expensive way to set up and run a business. Apart from its owner the sole proprietorship has no legal existence. ADVANTAGES: The advantage of a sole proprietorship is its simplicity and the relative freedom from government […]
The regular, or “C” corporation is the most complex of the business structures. It is a distinct legal entity apart from the shareholders who own it. Formed under the requirements of the state in which it will do business, a corporation limits its owners’ liability to their investment in the company. While personal assets are […]
In the limited partnership form, a general partner or partners run the business and are fully liable for partnership obligations. Limited partners do not participate in the business, that is they cannot obligate the business, and are generally liable only to the extent of their investment.