Employees paid as independent contractors
Friday, January 13th, 2012
A Knoxville company was paying its workers as independent contractors. It was forced to pay back wages to its workers by the Department of Labor, who determined that they were actually employees subject to minimum wage and overtime laws. The news hit the local paper, no doubt as a warning to other businesses who may […]
Read More »New 1099 trap
Tuesday, January 10th, 2012
Business tax returns for 2011 contain new questions about Form 1099 that may trap you if you overlook issuing 1099s this January. The questions appear on Form 1040 Schedules C (sole proprietorships), E (rental), and F (farms). They also appear on partnership (1065) and corporate (1120 and 1120S) returns. The questions: Did you make any […]
Read More »2012 standard mileage rates
Thursday, December 22nd, 2011
The IRS has announced standard mileage rates for 2012. Beginning on Jan. 1, 2012, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be: 55.5 cents per mile for business miles driven 23 cents per mile driven for medical or moving purposes 14 cents per mile driven […]
Read More »6 Year-end tax reduction tips
Wednesday, December 21st, 2011
Use these six tax reduction tips to reduce your 2011 tax bill, but act before December 31, 2011. Make charitable contributions by December 31. Keep a canceled check, a bank statement, credit card statement or a written statement from the charity, showing the name of the charity and the date and amount of the contribution […]
Read More »Do industry trends indicate recession?
Friday, December 9th, 2011
Industry trends indicate recession, according to Bloomberg economist Richard Yamarone in his Knoxville Chamber presentation. He showed us several key economic indicators he uses to forecast future economic trends to explain why he is pessimistic about the U.S. economy in 2012. While many economists see positive trends, he sees risks that he believes business owners […]
Read More »Worker classification crackdown coming
Wednesday, October 26th, 2011
The IRS recently announced a voluntary worker classification program that provides amnesty from back payroll taxes and penalties for companies who reclassify their independent contractors into employees. While there may be advantages on the federal tax side of this issue, you must consider other factors before deciding on a course of action. Worker classification has […]
Read More »Tort reform in effect in TN
Wednesday, October 5th, 2011
Tennessee’s tort reform law went into effect on October 1, 2011. It places caps on non-economic damages and punitive damages except in certain egregious cases. Governor Haslam and legislative sponsors tout the increased predictability that the new law will bring to businesses aiming to quantify risk. They say it brings Tennessee on par with other […]
Read More »Another government email scam!
Thursday, September 1st, 2011
Our firm’s junk email filter caught another government email scam. This one appears to come from the FDIC, the federal bank watchdog, with the subject “FDIC: about your business accounts”. It hints that your bank (which it does not name) is being taken over, and provides a link for more info on how your accounts […]
Read More »Bathroom as home office?
Thursday, August 18th, 2011
The Tax Court ruled that a taxpayer cannot claim his bathroom as a home office in Bulas v. Commissioner, T.C. Memo. 2011-201 (Aug. 17, 2011). (Insert your own joke or mental image here….) The taxpayer had a home-based business, a tax practice for which he used one bedroom of his home as an office. He […]
Read More »Sharing company financials with employees
Tuesday, August 2nd, 2011
You can increase your employees’ engagement with company financial goals by sharing some information about the company’s finances with them. This article from Inc. magazine shared by our LinkedIn friend Jonathan Patrick describes how this can work. Learn what to share and what not to share to increase buy-in. A company whose employees understand their […]
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