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As 2018 winds down, there is still time to reduce your potential tax obligation. Here are some ideas to make your 2018 tax return less of a burden on your wallet: Accelerate expenses. Individual taxpayers are on the cash basis for income tax purposes. This means your income is taxable when you receive it and …
For the first time since 2013, the IRS is raising the contributions limits for IRAs. The maximum contribution for 401(k) accounts and IRAs is increasing by $500 for 2019. If you have not already done so, now is the time to plan for contributions into your retirement accounts in 2019. Check out the tables below …
Continue reading Retirement Contributions Get a Boost in 2019
Fueled by the law known as the Tax Cuts and Jobs Act of 2017 (TCJA), P.L. 115-97, and a market of retiring Baby Boomers looking to divest ownership interests, the marketplace recently experienced a wealth of transactions. Among this crowd are S corporations engaging in shareholder redemptions — with some also contemplating a subsequent conversion …
Continue reading S corporation redemptions: Navigating Secs. 302 and 301
Sec. 280G, relating to "golden parachute payments," and its Sec. 4999 excise tax counterpart are two of the more draconian provisions in the Internal Revenue Code. Sec. 280G disallows a deduction to a corporation for an excess parachute payment made to an individual, and Sec. 4999 imposes a 20% nondeductible excise tax penalty on a …
Continue reading Revisiting the application of Sec. 280G on partnerships and LLCs
Entertainment includes any activity generally considered to provide entertainment, amusement, or recreation (Regs. Sec. 1.274-2(b)(1)). Meal and entertainment expenses incurred by a taxpayer to entertain a client, customer, employee, or other business associate are deductible only if the expenses satisfy the following strict requirements imposed by the Code: Ordinary and necessary: Meal or entertainment expenses …
Continue reading Proving a Business Connection for Meals and Entertainment
Being a small business owner presents its own unique set of challenges, and one of the main ones is not having the budget to do all you need to do. A successful business needs constant investing to keep it growing—more marketing spends, product or service improvement, getting more people to join the team, and so …
Continue reading 4 Strategies to Keep Cash Flowing in Your Small Business
Every small business struggles with its cash flow from time to time, but with the right planning, the occasional emergency doesn’t have to become a crisis. So, what can you do to minimize the disruption caused by late payments from customers or a sudden cyclical downturn? Here are a few of the secrets behind cash …
Continue reading 5 Secrets to Successful Cash Flow Management
Business owners and employees who drive for business purposes can deduct expenses for the use of personal cars or company cars for business purposes. In both cases, the expenses must be documented (more on this below) and specifically business-related. Personal expenses and other expenses that are described below are not allowable business driving expenses. Before …
Continue reading Business Driving Expenses You Can – and Can't – Deduct
Maybe you’ve decided to start your own business (congrats), or maybe you’re already running one (also congrats). In either case, you need to make a budget. But where to start? A budget is the financial plan for your business. It’s the blueprint for how you achieve your goals and ultimately make your business thrive. It’s …
Struggling to find funding for your great idea? These tips will help you get started when looking for money to launch your business.Business ideas come easy to some, but what happens when you have a good idea but no money to get started? Countless entrepreneurs have run into funding challenges when looking to build a …
Continue reading 10 Ways to Get Money to Start a Small Business
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