An audit is an examination of a business’s financial reports by an independent auditor or organization. The main purpose of an audit is to ensure the information included in the financial reports is true and reflects the company’s financial position at a given date. So, an audit is not necessarily bad for your business; it […]
Tax and Accounting
7 Important Tax Tips for Small Businesses
Starting a small business is no easy feat for owners, that’s why you have to be smart when it comes to finances if you want your company to grow. But when handling your employees or taking care of your products and services, it can get easy to forget to sort out your taxes amidst the […]
5 Simple Tips Employers and Insurance Providers Need for 2023 ACA Reporting
We are a few weeks into the new year, and employers and health insurance providers should begin their ACA (Affordable Care Act) reporting process if they haven’t already. This can be a lengthy and complex process and requires preparation. Starting early is the best way to ensure a successful reporting season for your business organization. […]
What Nonprofit Businesses Should Know About Form 990
Every year, nonprofits must file a 990 series return to stay compliant with the IRS. If you have never filed a 990 series return, you may have a few questions about the form. This article tells you everything you need to know about Form 990. What is Form 990? Form 990 is an annual information […]
5 Clever Ways To Navigate Tax Season for Your Small Business
Tax season will soon be upon us, and for small businesses whose accounting resources are already stretched, it can be a stressful and busy time. The good news is there are some steps you can take to make sure that Jan. 1 until the April 15 filing deadline goes as smoothly as possible. Read on […]
A Small Business Guide to Filing 1099 Series Forms in 2022
As a small business owner, there is an endless list of tasks at any given time. Running your own business often means wearing many different hats and playing many different roles. One of the most important, but intimidating of these tasks can be your IRS tax filing requirements. The end of the year is a […]
Inflation Reduction Act 2022: Winners And Losers
MYTH vs FACT: Tax Title of the “Inflation Reduction Act of 2022” Democrats claim their tax-and-spend bill, the mislabeled “Inflation Reduction Act of 2022,” will ensure the wealthiest Americans and corporations pay their “fair share” by closing tax loopholes and boosting IRS funding, all without raising taxes on anyone making less than $400,000 per year. However, […]
IRS Fact Sheet Causes Reporting Confusion
Congress created pandemic-related sick and family leave refundable credits for eligible employers. The rules apply slightly differently for leave taken 1) before April 1, 2021 (“Initial Period”) and 2) from April 1, 2021 through September 30, 2021 (“Voluntary Period”). In each period, the IRS allowed eligible employers to retain an amount of the payroll taxes […]
What is Effectively Connected Income?
Unlike FDAP income, the United States taxes effectively connected income (“ECI”) on a net basis. Effectively connected income is income that is effectively connected with the conduct of a U.S. trade or business. It also includes gains from the disposition of U.S. real property under FIRPTA, which are treated as ECI. Generally, when determining whether income constitutes effectively […]
Understanding the Foreign Earned Income Exclusion
U.S. citizens and resident aliens who live abroad are taxed on their worldwide income. But such taxpayers may qualify for the foreign earned income exclusion, which allows certain taxpayers to exclude up to $112,000 (in 2022) of their foreign earnings from income, as well as to exclude or deduct certain foreign housing costs. Note, however, […]