You’re looking for a loan. Your bank wants information to gauge if you have a healthy company. Therefore, the more a lender knows about your business and can see into its financial workings, the better your chances are for securing. Sufficient financial transparency can help obtain your loan. As you ask for more money, banks […]
When can you use bad debt to reduce business income? Even when you take the customer to court and you still don’t get your money, there’s a way to make lemonade from this lemon of a customer. If your business has already shown this amount as income for tax purposes, you may be able to reduce […]
You may be wondering whether the money you spent on a day care center, a babysitter, summer camp or other provider to care for your qualifying child under age 13 or a disabled dependent of any age can earn you tax credits. The child and dependent care credit provides a tax break for many parents […]
The tax reform passed at the end of 2017 runs to about 70,000 words. It’s a large and complicated piece of legislation, and we can look forward to additional guidance and clarifications. For now, here are summaries of some of the key provisions: Key changes for individuals Standard deduction amount increased. For 2018, the standard deduction […]
Running a business, or thinking of starting one? You may need investors. Here are the top suggestions for securing the interest of investors and eventually raising funds: Create a realistic budget to gain traction. To show investors you have what it takes, you’ll need a budget to get your first customers and to make sure that […]
Tax avoidance? Accelerating tax deductions, deferring income, changing one’s tax status through incorporation, and setting up a charitable trust or foundation. All of these are legal tax shelters. Tax evasion — that’s a different story. In tax evasion, you plan to reduce tax payable through illegal means. Abusive tax shelters reduce taxes, promoting the promise […]
You can be self-employed as a sole proprietor/an independent contractor, or a member of a partnership or of a limited liability company. As such, you need to file an annual income tax return and pay estimated taxes throughout the year on your income. Also, you may have to remit self-employment (SE) tax payments as well […]
Most of the papers you need to document the income, interest and withheld taxes you report arrive in your mailbox in January, with investment-related 1099s often coming in February. Get ready for their arrival by creating print and online folders. It’s a good idea to create a paper and an email tax folder for messages […]
Executive compensation has evolved dramatically in recent years — in creativity, complexity and dollar value. How so? Stock options, deferred compensation, fringe benefits and other noncash alternative forms of compensation are becoming increasingly popular, comprising larger and larger parts of executives’ overall compensation packages. Why is the IRS taking note? There are multifaceted tax implications, […]