Posts Tagged ‘Taxes’
What is the Schedule K-1 Tax Form for Businesses?
According to the U.S. federal tax code, businesses can be arranged as pass-through entities. This designation means that instead of a business being taxed separately at the corporate level, its taxes, deductions, losses, and other activities pass through to the personal tax requirements of its owner(s). Some examples of these business structures include a general…
Read MoreIs Your “Business” Actually a Hobby?
You may have started a home-based business and now it is tax time and you don’t know what to do. You’re operating a business, so your expenses are deductible, right? Not. So. Fast. If you’re not making a profit, the IRS may regard your business as a hobby. If this happens, you may not be…
Read More2016 Tax Guide Part 3: Personal & Business Tax Credits
Tax credits are an excellent option for reducing your actual tax bill, as opposed to reducing your taxable income through a tax deduction. There are IRS tax credits for both individual taxpayers and those who earn self-employment income through a small business or contract work. In Part 3 of our 2016 Tax Guide, consider claiming…
Read MoreSell or Trade a Business Vehicle?
From time to time business owners will replace vehicles used in their business. When replacing a business vehicle, the tax ramifications are different when selling the old vehicle and when trading it in for a new vehicle. If the vehicle is sold, the result is reported on the taxpayer’s return as an above-the-line gain or…
Read MoreInternships A to Z
College and high school students are frequently utilized by businesses and non-profit organizations as interns. These arrangements can be beneficial to the organization as the organization may get the services and insights from the intern, even though the organization receives no immediate tangible benefit. The intern may benefit by obtaining valuable on-the-job training, an entree…
Read More2016 Tax Guide Part 1: Personal & Business Tax Returns
Whether you’re an individual with a full-time W-2 job, a freelancer who earns 1099 income through independent contractor work, or a small business owner, you’re likely on the hook for filing at least one federal income tax return each year. In addition to these IRS tax forms, you may be required to file state and…
Read MoreSmall and Home Businesses Commonly Overlook These Deductions
Most small business owners are so busy managing their everyday businesses, that when tax season rolls around they just want to get the dreaded task out of the way as soon as possible. However, by not taking the time to thoroughly review all available deductible expenses, many end up paying Uncle Sam much more than…
Read MoreThe Ultimate Guide to IRS Tax Audits & How to Avoid an Audit
Most people cringe when they hear the word audit. Going through the ropes and ultimately resolving an audit is no fun and could be costly, so it’s important to determine a plan of action to avoid being audited in the first place. What is a Tax Audit? A tax audit takes place when the Internal Revenue…
Read More2016 Tax Law Changes You Need to Know About
After the giant ball drops in Times Square to signify a new year, the IRS is notorious for making some adjustments to the federal tax code. Some years have brought significant change, while other years remain very similar to previous years. For tax year 2016, there are some expected changes, but not much is dramatically…
Read More1099 Filing Date Just Around the Corner
If you operate a business and engage the services of an individual (independent contractor) other than one who meets the definition of an employee and you pay him or her $600 or more for the calendar year, you are required to issue him or her a Form 1099 at the end of the year to…
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