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Tag Archive for Small Business

Recent Tax Law Changes Affecting Small Business

IRS - Tax Law Changes Affecting Small Business

The Internal Revenue Service wants business owners and the self-employed to know that a publication on IRS.gov has information they can use to learn which recent tax-law changes impact their bottom line.

This news release is part of a series called the Tax Time Guide, a resource to help taxpayers file an accurate tax return. Additional help is available in Publication 17, Your Federal Income Tax, and the tax reform information page.

Publication 5318, Tax Reform: What’s New for Your Business, is a 12-page electronic document. Pub. 5318 provides a general overview of many of the Tax Cuts and Jobs Act (TCJA) changes enacted in December 2017 that impact business taxes.

Publication 5318 Includes Sections On:
  • Qualified Business Income Deduction
  • Depreciation
  • Business related losses
  • Business related exclusions and deductions
  • Business credits
  • S corporations
  • Farm provisions
  • Miscellaneous provisions
A Few Key Provisions Include:
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IRS To Highlight Tax Reform Changes Affecting Small Businesses

IRS to highlight tax reform changes affecting small businesses

Small business owners, self-employed should plan now for new changes

With just a few months left in tax year 2018, the Internal Revenue Service today urges small business owners to learn about how the new tax law changes may affect them.

The Tax Cuts and Jobs Act, passed in December 2017, made tax law changes that will affect virtually every business and individual in 2018 and the years ahead. Among other things, the new law may change their tax rates and impact the quarterly estimated tax payments they are required to make during the year. Read more

IRC Section 965 Transition Tax – Part 8

John-Richardson- Investigating the Transition Tax

This small business thought it was saving to invest in business expansion – Wrong, they were saving to be robbed by America!

This is the eighth in my series of posts about the Sec. 965 Transition Tax and whether/how it applies to the small business corporations owned by taxpaying residents of other countries (who may also have U.S. citizenship). These small business corporations are in no way “foreign”. They are certainly “local” to the resident of another country who just happens to have the misfortune of being a U.S. citizen. Read more

IRS Urges Small Businesses: Protect IT Systems From Identity Theft

WASHINGTON – The IRS, state tax agencies and the nation’s tax industry are warning small businesses to be on-guard against a growing wave of identity theft attempts against employers.

Small business identity theft is big business for identity thieves. When businesses and their employees have their identities stolen, their sensitive information can be used to open credit card accounts or file fraudulent tax returns for bogus refunds. Read more

US Tax Reform: 5 Things Americans Overseas Need To Know

What Are The Important Updates One Needs To Know About U.S. Tax Reform?

The New Tax Bill “Tax Cuts and Jobs Act” presents the first major overhaul of the United States federal income tax system in more than three decades. The major benefits will be mostly felt by the large and small businesses. But what’s about tax reform’s impact on Americans overseas?

What Has NOT Changed For Americans Overseas?

  1. You can still use Foreign Earned Income Exclusion or Foreign Tax Credit to lower your tax bill. In 2018 a U.S. expat can exclude up to $104,100 of foreign earned income.
  2. The reporting requirements for FBAR stay in place: you need to file FinCEN Form 114 if you have an aggregate value of over $10,000 in any foreign financial accounts you own or have a signature over.
  3. FATCA and Form 8938 also didn’t have any changes (unfortunately).

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Small Business Tips: How To Expand Your Business

Congratulations on successfully starting your business! If you’re ready to take the next step, but don’t know exactly how to go about that, here are some ideas for thinking about growing your business. Turn your business into a franchise – If your business model is easily replicated, and you want to see your business grow quickly, think about franchising. As the owner, now referred to as a franchiser, of the name or trademark sells that right to a franchise. Read more

Research Credit Can Offset Payroll Taxes For Small Businesses

Does your small business engage in qualified research activities? If so, you may be eligible for a research tax credit that you can use to offset your federal payroll tax bill.

This relatively new privilege allows the research credit to benefit small businesses that may not generate enough taxable income to use the credit to offset their federal income tax bills, such as those that are still in the unprofitable start-up phase where they owe little or no federal income tax.

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Tax Expert Series- Learn Why Small Business Owners Have No Money After Paying Taxes

Kat Jennings, Brett Thompson

This interview with Tax Lawyer and CPA Brett Thompson is part of our Tax Expert Series. We encourage you to interact with these experts at TaxConnections AskTaxQuestion.com. You are also encouraged to make comments below this post.

Kat: What is the number one problem faced by small business owners and/or taxpayers today?

Brett: Actually, you could ask what the number one problem is faced by all Americans today. Read more

Start-Up Companies Are Now Receiving Their R&D Tax Credit Payroll Refund Checks

The Protecting Americans from Tax Hikes Act of 2015 (“PATH Act”) significantly enhanced the Research and Development Tax Credit Program (“RTCP”) on a myriad of levels by making the RTCP a permanent tax incentive within the Code and considerably restructured the program to: Read more

How To Structure Value Priced Services

One of the most important things for your business to do is to price your businesses services appropriately. This will maximize how much value you can extract from your customers and creates a solid foundation for a business that will prosper into the future. There is no clear strategy or formula which you can use to price your services; however, there are some factors to consider when determining how much we can charge our clients: Read more

Protecting your Company—Asset Control

What controls should be put in place to protect the company’s assets from fraud?

Company assets such as inventory, equipment and vehicles are highly susceptible to fraud and need to be protected. Internal controls should be put in place to protect these assets.

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The Enhanced R&D Tax Credit Program Provides A True Path To Significant Tax Savings For Small Businesses

Peter Scalise

The Protecting Americans from Tax Hikes Act of 2015 (hereinafter the “PATH Act”) significantly enhanced the Federal-Level R&D Tax Credit Program (hereinafter “RTC Program”) under I.R.C. § 41 on a myriad of levels for both eligible “Small Businesses” and eligible “Start-Up Companies”. More specifically, the enhanced RTC Program has been considerably restructured for these aforementioned eligible companies to now:

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