Service charge reporting deadline postponed
Tuesday, December 18th, 2012
The Internal Revenue Service has given businesses an extra year to comply with new rules on how to treat service charges, until January 1, 2014. The new rules had been scheduled to take effect January 1, 2013, but the deadline was extended in response to public comments to allow companies time to make their accounting […]
Read More »Two new taxes in 2013
Wednesday, December 12th, 2012
Two new taxes are scheduled to take effect in January 2013. These taxes were instituted by the Affordable Care Act to help pay for health care reform. Congress may change these taxes as they negotiate ahead of the tax rate and sequestration deadlines at the end of 2012 – the so-called “fiscal cliff”. Few politicians […]
Read More »Employee or independent contractor stakes rise
Thursday, November 29th, 2012
Employee or independent contractor? Sure, we understand that treating workers as independent contractors is easier in so many ways. If you are struggling with the question of which classification your workers fall under, it is more important than ever to consider the consequences if the government disagrees with your stance. This article in Forbes magazine […]
Read More »Medicare premiums are business deductions
Wednesday, July 18th, 2012
A self-employed person may get a business deduction for health insurance premiums. The IRS has clarified that Medicare premiums paid by self-employed persons qualify as deductible health insurance premiums. If you did not include Medicare premiums in your self-employed health insurance deduction, you may want to consider amending your tax returns to include them. Before […]
Read More »Act now to get tax credit for hiring a veteran
Tuesday, June 12th, 2012
Did you recently hire an unemployed veteran? Make sure you secure your tax credit now. The IRS provides this information: Employers that hired unemployed veterans during late 2011 and early 2012 had an expanded period to request the required certification for claiming the expanded Work Opportunity Tax Credit (WOTC). That expanded period ends on Tuesday, […]
Read More »Think like Google
Wednesday, May 30th, 2012
Google, as huge as it is now, was a two-person startup not so many years ago. Google thrived not only because its owners had a killer search engine app, but because they created a corporate culture of creativity, innovation, and employee empowerment. Julie Clow, who joined Google in 2006, writes at CNBC.com about core lessons […]
Read More »Effective audit representation saves money
Thursday, March 15th, 2012
The local IRS office has stepped up its audits on individuals and businesses. More and more people are coming to us for effective audit representation. Several of them had suffered costly outcomes after their initial meetings with auditors, and they came to us for help. We were able to improve upon their original assessment through […]
Read More »Hire a veteran, get a tax break
Friday, February 10th, 2012
The IRS has provided new information (and paperwork!) about the newly-expanded tax credit for hiring veterans. The VOW to Hire Heroes Act of 2011, enacted Nov. 21, 2011, provides an expanded Work Opportunity Tax Credit (WOTC) to businesses that hire eligible unemployed veterans and for the first time also makes the credit available to certain […]
Read More »What's a 1099-K?
Friday, February 3rd, 2012
Have you received a 1099-K this year? This new form reports electronic financial transactions. If your business takes debit or credit card payments, then you will receive a 1099-K if you process more than $20,000 AND more than 200 transactions. Business tax returns contain a new line to report 1099-K amounts. For this tax season […]
Read More »LLC vs. corporation
Wednesday, February 1st, 2012
We received this question from a budding entrepreneur about setting up as an LLC or a corporation: I am looking to set up a small business. I am debating on whether an LLC or S-Corp would be better. I am looking to decrease taxes and limit my liability. I, as the owner, will work in the […]
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