Archive for the ‘Tip Of The Day’ Category

Deduction #14 Advertising to Attract Tenants

If you have rental property, you want to have tenants. Every day the property is open means reduced cash flow. And real estate is all about cash flow. So, advertising to attract tenants is an obvious deduction for your real estate. And advertising early can be a big benefit when it comes to taxes. That’s ...

Deduction #13: Advances to Employees Calculated as Bonus

If you give an employee an advance and then later forgive the amount, you have created a deduction for yourself and taxable income for your employee. As far as the bookkeeping entries, initially, the entry would have been to debit a notes receivable for employee advances. At this point, the employee has to pay the ...

The New Form 1099-K

If you’re new to selling online or have always operated under the radar, you’re likely to get a big surprise this next January. There is a new requirement for PayPal and other merchant service providers. Beginning this year, they need to report the gross sales on Form 1099-K for anyone who sells more than $20,000 ...

Quarterly Check-ins on Nexus

Today’s tax tip is a shorter one. But if you get caught by this, you could end up paying a lot of taxes, penalties and interest. Pay attention as your business changes and as state tax laws changes. You might have no state tax nexus issues today, but the laws could change tomorrow and your ...

Keep Track of Your Tax Deadlines

One of the worst things you can do is blow a tax deadline. The penalties have gone up! Even though it’s not tax season (unless you extended your return), here’s a handy reference of when things are due: Corporate returns due 2 ½ months past year end: 12/31 year end 3/15 1/31 year end 4/15 ...

Role of Your Bookkeeper and of Your CPA

Do you have your financial team together? One of the secrets that the most successful business owners know is that they’re not in it alone. But that doesn’t mean you can simply hire someone and turn over the keys to your business. You do need to understand the roles of the experts you need in ...

Should You Have a Member Managed or Manager Managed LLC?

A lot of people get into trouble when it comes to setting up their business structure. Usually that happens when they try to do-it-yourself to save a few dollars or hire someone to do it who isn’t a qualified expert. One of the questions that comes up is whether you should have a member-managed or ...

Taking a Section 179 Deduction with Leases

Generally speaking, a lease means that you don’t own something. It means that you are renting something over a longer period of time. But the tax treatment for leases can be very different depending on the type of lease you have. There are regular leases and capital leases. Capital leases are still leases, but they ...

Taking a Section 179 Deduction for Your Vehicle (2010 year end)

Deductions that are changing often (like the Section 179 deduction for vehicles) get confusing come tax time. Congress and/or the IRS changes the rules for a particular year when there may still be an open year. In this case, you need to make sure you’ve got the right information for the year you’re filing the ...

What is a Section 179 Deduction?

Small business owners who buy or lease (in some cases) equipment can make an election to take an immediate expense deduction for it under Section 179. Otherwise, the property will have to be depreciated over a period of years. That’s the simple description, but there is actually a whole lot more to the Section 179 ...