The Tax Cuts and Jobs Act (TCJA) made historic changes to the federal tax code. While all types of business entities have received a significant tax break, some have fared better than others. Depending on your business, it may be to your advantage to rethink your current business structure. Keep in mind, though, that there are […]
Business Entity
Advice from the Experts: What You Need to Know to Found an LLC
Compared to other business models, forming an LLC is generally the least intensive option; it’s affordable, there’s limited paperwork, and the barriers to entry are low. That being said, plenty of things can still go wrong. Before you dive into the LLC process, be aware of these common mistakes—and talk to a few experienced founders. […]
How to Set Up a Business Entity as a Freelancer
So you’ve decided that freelancing is the right career move for you. Bravo! You’ve become part of the growing number of people making a living in the gig economy. But where should you start? And what should you know about setting up your own business before you dive right in? Here’s how to set up […]
5 Fundamentals of Limited Liability Corporations
A Limited Liability Company (“LLC”) is a hybrid business entity which contains elements of a partnership and a corporation. LLCs consist of members and managers. An LLC may provide tremendous benefits for its members, which include asset protection, intergenerational transfers, tax saving strategies, wealth preservation, flexible management structures, and clarity on the roles of all […]
Tax Planning for Pass-Through Business Entities After Tax Reform
Tax planning under the TCJA for pass through entities is a post for small business owners everywhere paying US income taxes. Now that the Tax Cuts and Jobs Act (TCJA) is in full swing, many of you have been clamoring for tax planning strategies. This post addresses some essential aspects of the Act and suggest some strategic […]
Best Business Entity Structure After Tax Reform: S Corp and C Corp
There’s no easy answer to this question, though the entity choice considerations have undergone some changes due to the new tax law. For tax years beginning in 2018 and beyond, the Tax Cuts and Jobs Act (TCJA) created a flat 21% federal income tax rate for C corporations. Under prior law, C corporations were taxed at […]
Pros and Cons of Entity Formation for Independent Contractors
One of the first and most important decisions independent contractors make is how to structure their business. The IRS offers a number of different legal business structures independent contractors can form under. Each of these types of entity formation have specific pros and cons that independent contractors should consider. Sole Proprietorship Whether they’re an athlete or a […]
Is Your Business Ready for the Next Tax Season?
It feels like tax season is always just around the next corner. And that’s why you should make a point, particularly if you own a business, to always have everything ready and organize so the process of taxes can go as smoothly and efficiently as possible. There are all sorts of things that you can […]
Basics of Business Structure: Choosing the Right Entity for Your Biz
So you’re starting your own business and contemplating which business structure to give it. One way to make this determination is to think about the relationship you want to have with your business partners, investors, employees, vendors and, perhaps most importantly, customers (or clients). Here are some basics to help you make that decision, depending […]
A Brief Overview on How Tax Reform Affects Choice of Entity
The Tax Cuts and Jobs Act (TCJA), signed by President Trump in Dec. 2017, has significant implications for how businesses will assess the choice of entity. Prior to reform, partnerships were a very common choice of entity, but with the new provisions in TCJA, the C corporation has become an appealing option once again (but […]
