Key 2024 Inflation-Adjusted Tax Parameters For Small Businesses And Their Owners
The IRS recently announced various inflation-adjusted federal income tax amounts. Here’s a rundown of the amounts that are most likely to affect small businesses and their owners. Rates and brackets If you run your business as a sole proprietorship …
READ MORE about Key 2024 Inflation-Adjusted Tax Parameters For Small Businesses And Their Owners
A Cost Segregation Study May Cut Taxes And Boost Cash Flow
Is your business depreciating over 30 years the entire cost of constructing the building that houses your enterprise? If so, you should consider a cost segregation study. It may allow you to accelerate depreciation deductions on certain items, …
READ MORE about A Cost Segregation Study May Cut Taxes And Boost Cash Flow
New Per Diem Business Travel Rates Kicked In On October 1
Are employees at your business traveling and frustrated about documenting expenses? Or perhaps you’re annoyed at the time and energy that goes into reviewing business travel expenses. There may be a way to simplify the reimbursement of these …
READ MORE about New Per Diem Business Travel Rates Kicked In On October 1
Choosing a Business Entity: Which Way To Go?
If you’re planning to start a business or thinking about changing your business entity, you need to determine what will work best for you. Should you operate as a C corporation or a pass-through entity such as a sole-proprietorship, partnership, …
READ MORE about Choosing a Business Entity: Which Way To Go?
The Social Security Wage Base For Employees And Self-Employed People Is Increasing In 2024
The Social Security Administration recently announced that the wage base for computing Social Security tax will increase to $168,600 for 2024 (up from $160,200 for 2023). Wages and self-employment income above this threshold aren’t subject to Social …
Business Automobiles: How The Tax Depreciation Rules Work
Do you use an automobile in your trade or business? If so, you may question how depreciation tax deductions are determined. The rules are complicated, and special limitations that apply to vehicles classified as passenger autos (which include many …
READ MORE about Business Automobiles: How The Tax Depreciation Rules Work
How IRS Auditors Learn About Your Business Industry
Ever wonder how IRS examiners know about different industries so they can audit various businesses? They generally do research about specific industries and issues on tax returns by using IRS Audit Techniques Guides (ATGs). A little-known fact is …
READ MORE about How IRS Auditors Learn About Your Business Industry
What Types Of Expenses Can’t Be Written Off By Your Business?
If you read the Internal Revenue Code (and you probably don’t want to!), you may be surprised to find that most business deductions aren’t specifically listed. For example, the tax law doesn’t explicitly state that you can deduct office supplies and …
READ MORE about What Types Of Expenses Can’t Be Written Off By Your Business?
2023 Q4 Tax Calendar: Key Deadlines For Businesses And Other Employers
Here are some of the key tax-related deadlines affecting businesses and other employers during the fourth quarter of 2023. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us to ensure …
READ MORE about 2023 Q4 Tax Calendar: Key Deadlines For Businesses And Other Employers
It’s Important To Understand How Taxes Factor Into M&A Transactions
In recent years, merger and acquisition activity has been strong in many industries. If your business is considering merging with or acquiring another business, it’s important to understand how the transaction will be taxed under current …
READ MORE about It’s Important To Understand How Taxes Factor Into M&A Transactions
Update On Depreciating Business Assets
The Tax Cuts and Jobs Act liberalized the rules for depreciating business assets. However, the amounts change every year due to inflation adjustments. And due to high inflation, the adjustments for 2023 were big. Here are the numbers that small …
Divorcing Business Owners Should Pay Attention To The Tax Consequences
If you’re getting a divorce, you know the process is generally filled with stress. But if you’re a business owner, tax issues can complicate matters even more. Your business ownership interest is one of your biggest personal assets and in many cases, …
READ MORE about Divorcing Business Owners Should Pay Attention To The Tax Consequences
Receive More Than $10,000 In Cash At Your Business? Here’s What You Must Do
Does your business receive large amounts of cash or cash equivalents? If so, you’re generally required to report these transactions to the IRS — and not just on your tax return. The requirements Each person who, in the course of operating a …
READ MORE about Receive More Than $10,000 In Cash At Your Business? Here’s What You Must Do
The Advantages of Using an LLC For Your Small Business
If you operate your small business as a sole proprietorship, you may have thought about forming a limited liability company (LLC) to protect your assets. Or maybe you’re launching a new business and want to know your options for setting it up. Here …
READ MORE about The Advantages of Using an LLC For Your Small Business
A Tax-Smart Way To Develop And Sell Appreciated Land
Let’s say you own highly appreciated land that’s now ripe for development. If you subdivide it, develop the resulting parcels and sell them off for a hefty profit, it could trigger a large tax bill. In this scenario, the tax rules generally treat …
READ MORE about A Tax-Smart Way To Develop And Sell Appreciated Land
Use An S Corporation To Mitigate Federal Employment Tax Bills
If you own an unincorporated small business, you probably don’t like the size of your self-employment (SE) tax bills. No wonder! For 2023, the SE tax is imposed at the painfully high rate of 15.3% on the first $160,200 of net SE income. This …
READ MORE about Use An S Corporation To Mitigate Federal Employment Tax Bills
Starting A Business? How Expenses Will Be Treated On Your Tax Return
Government officials saw a large increase in the number of new businesses launched during the COVID-19 pandemic. And the U.S. Census Bureau reports that business applications are still increasing slightly (up 0.4% from April 2023 to May 2023). The …
READ MORE about Starting A Business? How Expenses Will Be Treated On Your Tax Return
Experience The Benefits Of Working With A Dental CPA
By Kenneth Botwinick, CPA Having real-time guidance from a certified public accountant (CPA) who specializes in the dental industry is extremely valuable. If you approach your local CPA and inquire about making a significant purchase like acquiring …
READ MORE about Experience The Benefits Of Working With A Dental CPA
Advantages And Disadvantages Of Claiming Big First-Year Real Estate Depreciation Deductions
Your business may be able to claim big first-year depreciation tax deductions for eligible real estate expenditures rather than depreciate them over several years. But should you? It’s not as simple as it may seem. Qualified improvement …
2023 Q3 Tax Calendar: Key Deadlines For Businesses And Other Employers
Here are some of the key tax-related deadlines affecting businesses and other employers during the third quarter of 2023. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us to ensure …
READ MORE about 2023 Q3 Tax Calendar: Key Deadlines For Businesses And Other Employers
Keep These DOs And DON’Ts In Mind When Deducting Business Meal And Vehicle Expenses
If you’re claiming deductions for business meals or auto expenses, expect the IRS to closely review them. In some cases, taxpayers have incomplete documentation or try to create records months (or years) later. In doing so, they fail to meet the …
READ MORE about Keep These DOs And DON’Ts In Mind When Deducting Business Meal And Vehicle Expenses
The IRS Has Just Announced 2024 Amounts For Health Savings Accounts
The IRS recently released guidance providing the 2024 inflation-adjusted amounts for Health Savings Accounts (HSAs). HSA fundamentals An HSA is a trust created or organized exclusively for the purpose of paying the “qualified medical expenses” …
READ MORE about The IRS Has Just Announced 2024 Amounts For Health Savings Accounts
If You’re Hiring Independent Contractors, Make Sure They’re Properly Handled
Many businesses use independent contractors to help keep their costs down — especially in these times of staff shortages and inflationary pressures. If you’re among them, be careful that these workers are properly classified for federal tax purposes. …
READ MORE about If You’re Hiring Independent Contractors, Make Sure They’re Properly Handled
Use The Tax Code To Make Business Losses Less Painful
Whether you’re operating a new company or an established business, losses can happen. The federal tax code may help soften the blow by allowing businesses to apply losses to offset taxable income in future years, subject to certain …
READ MORE about Use The Tax Code To Make Business Losses Less Painful
Education Benefits Help Attract, Retain And Motivate Your Employees
One popular fringe benefit is an education assistance program that allows employees to continue learning and perhaps earn a degree with financial assistance from their employers. One way to attract, retain and motivate employees is to provide …
READ MORE about Education Benefits Help Attract, Retain And Motivate Your Employees
4 Ways Corporate Business Owners Can Help Ensure Their Compensation Is “Reasonable”
If you're the owner of an incorporated business, you know there's a tax advantage to taking money out of a C corporation as compensation rather than as dividends. The reason: A corporation can deduct the salaries and bonuses that it pays executives, …
READ MORE about 4 Ways Corporate Business Owners Can Help Ensure Their Compensation Is “Reasonable”
Take Advantage Of The Rehabilitation Tax Credit When Altering Or Adding To Business Space
If your business occupies substantial space and needs to increase or move from that space in the future, you should keep the rehabilitation tax credit in mind. This is especially true if you favor historic buildings. The credit is equal to 20% of …
Retirement Saving Options For Your Small Business: Keep It Simple
If you’re thinking about setting up a retirement plan for yourself and your employees, but you’re worried about the financial commitment and administrative burdens involved, there are a couple of options to consider. Let’s take a look at a …
READ MORE about Retirement Saving Options For Your Small Business: Keep It Simple
The Tax Advantages Of Hiring Your Child This Summer
Summer is around the corner so you may be thinking about hiring young people at your small business. At the same time, you may have children looking to earn extra spending money. You can save family income and payroll taxes by putting your child on …
READ MORE about The Tax Advantages Of Hiring Your Child This Summer
2023 Q2 Tax Calendar: Key Deadlines For Businesses And Employers
Here are some of the key tax-related deadlines that apply to businesses and other employers during the second quarter of 2023. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us to …
READ MORE about 2023 Q2 Tax Calendar: Key Deadlines For Businesses And Employers
Do You Run A Business From Home? You May Be Able To Deduct Home Office Expenses
Many people began working from home during the COVID-19 pandemic — and many still work from their home offices either all the time or on a hybrid basis. If you’re self-employed and run your business from home or perform certain functions there, you …
READ MORE about Do You Run A Business From Home? You May Be Able To Deduct Home Office Expenses
Protect The “Ordinary And Necessary” Advertising Expenses Of Your Business
Under tax law, businesses can generally deduct advertising and marketing expenses that help keep existing customers and bring in new ones. This valuable tax deduction can help businesses cut their taxes. However, in order to be deductible, …
READ MORE about Protect The “Ordinary And Necessary” Advertising Expenses Of Your Business
Buying A New Business Vehicle? A Heavy SUV Is A Tax-Smart Choice
If you’re buying or replacing a vehicle that you’ll use in your business, be aware that a heavy SUV may provide a more generous tax break this year than you’d get from a smaller vehicle. The reason has to do with how smaller business cars are …
READ MORE about Buying A New Business Vehicle? A Heavy SUV Is A Tax-Smart Choice
Have Employees Who Receive Tips? Here Are The Tax Implications
Many businesses in certain industries employ individuals who receive tips as part of their compensation. These businesses include restaurants, hotels and salons. Tip definition Tips are optional payments that customers make to employees who perform …
READ MORE about Have Employees Who Receive Tips? Here Are The Tax Implications
Many Tax Limits Affecting Businesses Have Increased For 2023
An array of tax-related limits that affect businesses are indexed annually, and due to high inflation, many have increased more than usual for 2023. Here are some that may be important to you and your business. Social Security tax The amount of …
READ MORE about Many Tax Limits Affecting Businesses Have Increased For 2023
Forms W-2 And 1099-NEC Are Due To Be Filed Soon
With the 2023 filing season deadline drawing near, be aware that the deadline for businesses to file information returns for hired workers is even closer. By January 31, 2023, employers must file these forms: Form W-2, Wage and Tax Statement. W-2 …
READ MORE about Forms W-2 And 1099-NEC Are Due To Be Filed Soon
Dental Practice Acquisition – Financial Due Dilligence
Are You Ready To Buy A Dental Practice? You’ve taken the time to refine your clinical skills since dental school graduation. You’ve registered with the top regional dental practice brokers. You’ve asked for help from anyone who might be able to …
READ MORE about Dental Practice Acquisition – Financial Due Dilligence
Employers Should Be Wary Of ERC Claims That Are Too Good To Be True
The Employee Retention Credit (ERC) was a valuable tax credit that helped employers that kept workers on staff during the height of the COVID-19 pandemic. While the credit is no longer available, eligible employers that haven’t yet claimed it might …
READ MORE about Employers Should Be Wary Of ERC Claims That Are Too Good To Be True
The Standard Business Mileage Rate Is Going Up In 2023
Although the national price of gas is a bit lower than it was a year ago, the optional standard mileage rate used to calculate the deductible cost of operating an automobile for business will be going up in 2023. The IRS recently announced that the …
READ MORE about The Standard Business Mileage Rate Is Going Up In 2023
2023 Q1 Tax Calendar: Key Deadlines For Businesses And Other Employers
Here are some of the key tax-related deadlines affecting businesses and other employers during the first quarter of 2023. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. If you have questions …
READ MORE about 2023 Q1 Tax Calendar: Key Deadlines For Businesses And Other Employers
Do You Qualify For The QBI Deduction? And Can You Do Anything By Year-End To Help Qualify?
If you own a business, you may wonder if you’re eligible to take the qualified business income (QBI) deduction. Sometimes this is referred to as the pass-through deduction or the Section 199A deduction. The QBI deduction is: Available to …
Choosing A Business Entity? Here Are The Pros And Cons Of A C Corporation
If you’re launching a new business venture, you’re probably wondering which form of business is most suitable. Here is a summary of the major advantages and disadvantages of doing business as a C corporation. A C corporation allows the business to …
READ MORE about Choosing A Business Entity? Here Are The Pros And Cons Of A C Corporation
Intangible Assets: How Must The Costs Incurred Be Capitalized
These days, most businesses have some intangible assets. The tax treatment of these assets can be complex. What makes intangibles so complicated? IRS regulations require the capitalization of costs to: Acquire or create an intangible asset, Create …
READ MORE about Intangible Assets: How Must The Costs Incurred Be Capitalized
Is Your Business Closing? Here Are Your Final Tax Responsibilities
Businesses shut down for many reasons. Some of the reasons that businesses shutter their doors: An owner retirement, A lease expiration, Staffing shortages, Partner conflicts, and Increased supply costs. If you’ve decided to …
READ MORE about Is Your Business Closing? Here Are Your Final Tax Responsibilities
Computer Software Costs: How Does Your Business Deduct Them?
These days, most businesses buy or lease computer software to use in their operations. Or perhaps your business develops computer software to use in your products or services or sells or leases software to others. In any of these situations, you …
READ MORE about Computer Software Costs: How Does Your Business Deduct Them?
2023 Limits For Businesses That Have HSAs — Or Want To Establish Them
No one needs to remind business owners that the cost of employee health care benefits keeps increasing. One way to provide some of these benefits is through an employer-sponsored Health Savings Account (HSA). For eligible individuals, an HSA offers a …
READ MORE about 2023 Limits For Businesses That Have HSAs — Or Want To Establish Them
Inflation Means You And Your Employees Can Save More For Retirement In 2023
How much can you and your employees contribute to your 401(k)s next year — or other retirement plans? In Notice 2022-55, the IRS recently announced cost-of-living adjustments that apply to the dollar limitations for pensions, as well as other …
READ MORE about Inflation Means You And Your Employees Can Save More For Retirement In 2023
Employers: In 2023, The Social Security Wage Base Is Going Up
The Social Security Administration recently announced that the wage base for computing Social Security tax will increase to $160,200 for 2023 (up from $147,000 for 2022). Wages and self-employment income above this threshold aren’t subject to Social …
READ MORE about Employers: In 2023, The Social Security Wage Base Is Going Up
Providing Fringe Benefits To Employees With No Tax Strings Attached
Businesses can provide benefits to employees that don’t cost them much or anything at all. However, in some cases, employees may have to pay tax on the value of these benefits. Here are examples of two types of benefits which employees generally can …
READ MORE about Providing Fringe Benefits To Employees With No Tax Strings Attached
What Local Transportation Costs Can Your Business Deduct?
You and your small business are likely to incur a variety of local transportation costs each year. There are various tax implications for these expenses. First, what is “local transportation?” It refers to travel in which you aren’t away from your …
READ MORE about What Local Transportation Costs Can Your Business Deduct?
Worried About An IRS Audit? Prepare In Advance
IRS audit rates are historically low, according to a recent Government Accountability Office (GAO) report, but that’s little consolation if your return is among those selected to be examined. Plus, the IRS recently received additional funding in the …
READ MORE about Worried About An IRS Audit? Prepare In Advance
Work Opportunity Tax Credit Provides Help To Employers
In today’s tough job market and economy, the Work Opportunity Tax Credit (WOTC) may help employers. Many business owners are hiring and should be aware that the WOTC is available to employers that hire workers from targeted groups who face …
READ MORE about Work Opportunity Tax Credit Provides Help To Employers
Separating Your New Jersey Business From Its Real Estate
Does your business need real estate to conduct operations? Or does it otherwise hold property and put the title in the name of the business? You may want to rethink this approach. Any short-term benefits may be outweighed by the tax, liability, and …
READ MORE about Separating Your New Jersey Business From Its Real Estate
How To Treat Business Website Costs For Tax Purposes
These days, most businesses have websites. But surprisingly, the IRS hasn’t issued formal guidance on when website costs can be deducted. Fortunately, established rules that generally apply to the deductibility of business costs provide business …
READ MORE about How To Treat Business Website Costs For Tax Purposes
Inflation Enhances The 2023 Amounts For Health Savings Accounts
The IRS recently released guidance providing the 2023 inflation-adjusted amounts for Health Savings Accounts (HSAs). High inflation rates will result in next year’s amounts being increased more than they have been in recent years. HSA basics An …
READ MORE about Inflation Enhances The 2023 Amounts For Health Savings Accounts
How Do Taxes Factor Into An M&A Transaction?
Although merger and acquisition activity has been down in 2022, according to various reports, there are still companies being bought and sold. If your business is considering merging with or acquiring another business, it’s important to understand …
READ MORE about How Do Taxes Factor Into An M&A Transaction?
Businesses Will Soon Be Able To Deduct More Under The Standard Mileage Rate
Business owners are aware that the price of gas is historically high, which has made their vehicle costs soar. The average nationwide price of a gallon of unleaded regular gas on June 17 was $5, compared with $3.08 a year earlier, according to the …
READ MORE about Businesses Will Soon Be Able To Deduct More Under The Standard Mileage Rate
Important Considerations When Engaging In a Like-Kind Exchange
A business or individual might be able to dispose of appreciated real property without being taxed on the gain by exchanging it rather than selling it. You can defer tax on your gain through a “like-kind” or Section 1031 exchange. A like-kind …
READ MORE about Important Considerations When Engaging In a Like-Kind Exchange
Businesses: Prepare For The Lower 1099-K Filing Threshold
Businesses should be aware that they may be responsible for issuing more information reporting forms for 2022 because more workers may fall into the required range of income to be reported. Beginning this year, the threshold has dropped significantly …
READ MORE about Businesses: Prepare For The Lower 1099-K Filing Threshold
Businesses may receive notices about information returns that don’t match IRS records
The IRS has begun mailing notices to businesses, financial institutions and other payers that filed certain returns with information that doesn’t match the agency’s records. These CP2100 and CP2100A notices are sent by the IRS twice a year to …
