Loans Between Loved Ones
Loaning money to family and friends is a tricky business for many reasons. Taxes are among them. Funds received as proceeds of a loan aren’t taxable if the borrower is expected to pay it back. However, the moment some or all of the debt is forgiven (doesn’t need to be paid back), the IRS will […]
IRS Steps Up ACA Compliance Enforcement
The current administration doesn’t have a glowing opinion about the Affordable Care Act (ACA) mandate, but that doesn’t mean it won’t pursue revenue where it can. The IRS is stepping up enforcement of ACA provisions for large employers, and the penalties can reach millions of dollars. Applicable large employers (ALEs) are subject to the employer […]
IRS Urges “Paycheck Checkups” With New W-4s
Starting in 2020, your newly hired employees will need to submit redesigned Form W-4s. According to the IRS, the new design replaces complicated worksheets with more straightforward questions. The forms, coupled with the agency’s new Tax Withholding Estimator, are designed to help taxpayers get closer to their correct withholding each year. New employees and those […]
Liberty Tax Settles Federal Fraud Case
Just because a nationwide tax preparation company is well known doesn’t mean the advice given by its representatives is wise or even legal. Liberty Tax Services drove home that point earlier this month. It settled with the federal government for failing to maintain adequate controls over tax returns prepared by its franchisees and, in some […]
Your Three Types Of Taxed Income
Taxes are fickle. One classification misunderstanding and the IRS could blindside you with a tax or tax rate you weren’t expecting. Small business owners are especially vulnerable since their personal and business assets can be uncomfortably intertwined. The key to tax savings is in understanding three main types of taxed income and how the money […]
How Sales Tax Affects Your Bids
Correctly estimating your bids is essential to creating trust with your customers and, yet, many factors can throw a project’s original price tag out the window. These often include elements mostly out of your control, such as working with inaccurate specifications, getting hit with rising material and labor costs, and more. Click To View
Home Sweet Home: Office Deductions
Work from home regularly? Many people do these days. Thanks to technology, an increasing number of executives and business owners find that working from home can be just as productive as heading into the office. You can even get a tax deduction for your home office if you meet IRS criteria. Click To View
5 Business Money Resolutions To Keep In 2020
As we roll into 2020, it’s time to focus on making it the best year yet for your business. That means staying on top of changing regulations, pivoting with the changing needs of your business and financial goals, and addressing some nagging business decisions that may be long overdue. 1. Heed the New Overtime Rules […]
TurboTax’s $216 Million Tax Filing Mistake
Who knew part-time work at a thrift store could be so lucrative? Donna Smith was shocked to discover a tax bill from the IRS claimed she owned $216 million in taxes from the modest $10-an-hour job. The bill was obviously a mistake, but one that managed to make its way back into Smith’s hands for […]
When to consider outside payroll help
Every thriving business experiences growing pains when it comes to “keeping the books” at some point. It doesn’t take much for payroll and other expenses to get complicated. In fact, one of the first things we do when small businesses hire us is to help the business owners regain control of their books and payroll. […]