Cash Basis vs Accrual Accounting
Is your business on Cash Basis or Accrual Accounting? It’s accounting jargon that small business owners don’t understand. You have no idea what this means, you just want to run your business. Don’t worry, we are going to demystify what the difference is between Cash Basis vs Accrual Accounting so you will know what’s better […]
Employee Retention Credit: Frequently Asked Questions
Employee Retention Credit FAQ Small business owners are asking about the Employee Retention Credit (ERC). Is my business eligible? Which employees qualify? How much can I get? Is it too late? The ERC is very, very complicated and I wish it weren’t. The IRS and Congress have updated the rules for the ERC numerous times […]
Employee Stock, Options, and Taxes
In today’s job market, companies are having a hard time hiring talent. When a prospect walks through the door, the expectation has become, “Show me the money!” Common ways companies show employees “the money” is through employee benefits such as: 401(k) retirement matching, family health insurance, on-site child day care, remote work, and company stock […]
1099 Reporting and Thresholds
Starting next year, if you’re an independent contractor, hosting an Airbnb, or are a gig worker, you are more likely to start receiving 1099s. The American Rescue Plan Act of 2021 was signed into law by President Biden last March, and lowering the 1099 threshold was part of the bill. Popular apps like Venmo and […]
DMV Fees Deduction
List of States for DMV fees Did you know that you could deduct a part of your DMV fees from your personal income taxes? That’s right, if your DMV fees are based on the value of the vehicle, you can deduct it. Here are links to some State websites that help you figure out your […]
How to Deduct Your Car
Everybody wants to deduct their car, but nobody knows how to do it. If you use your car for your business, you’ll be able to deduct it and pay less tax. Whether you’re an Uber driver or a painter, you can write off your vehicles. But guess what? Deducting your vehicle turns out to be […]
QSBS Exemption
One of the lesser known tax breaks that’s available for small businesses is the Qualified Small Business Stock Exemption. It was originally passed into law in 1993 to encourage small business growth and entrepreneurship. It’s very technical, but if you qualify you can legally avoid getting taxed. What is Qualified Small Business Stock? Qualified Small […]
Hiring your kids in your company
You have kids and want to know if there are any tax breaks besides the child tax credit. Lucky for you there is another way to save money from Uncle Sam, – that’s giving your kids a job. That’s right, hire your kids! The truth is, not only can you hire your kids, the government […]
Should I Open a Corporation or an LLC?
Should I open a Corporation or an LLC? A corporation and an LLC are two very different entities. Both entities come with their own advantages and disadvantages; many of which relate to ownership structure, tax implications and how the business is formed. Both LLCs and corporations also have similarities, too. For example, both business structures offer […]
How do I pay my taxes when I own a business?
When you start a new business it can be pretty scary. You have no idea what you’re doing when it comes to setting up your new company and the same is true with paying your taxes. We are going to let you know how to pay your taxes and when you need to pay them, […]