Author Archives: Wayne Davies
Small Business Tax Questions: How Do You Pay The Owner of a Small Business?
Do you own a small business and need to know how to compensate yourself? The way you pay yourself depends on the type of business entity you own from a legal standpoint. There are five possible scenarios: 1. Sole proprietorship. … Continue reading
Small Business Tax Questions: What Are The Tax Advantages of a Corporation?
Do you currently run your small business as a sole proprietorship and wonder whether it makes sense to incorporate? There are many potential tax advantages to forming a corporation. Here are a few to whet your tax-savings appetite. 1. Deduct … Continue reading
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Small Business Tax Deductions: Top 3 Ways to Deduct All Your Medical Expenses
As a small business owner, do you wonder how to deduct medical expenses on your tax return? This article will help you sort out that issue. Medical expenses are deductible on Schedule A, but most don’t get to take advantage of … Continue reading
Small Business Tax Questions – Are You Required To Deduct Expenses This Year?
If you’re a small business owner or self-employed person, what do you do if you have little or no income this year, along with substantial expenses? Do you have to report and deduct those expenses in the year in which … Continue reading
Small Business Taxes – How to Get an Employer Identification Number (EIN)
Do you need an Employer Identification Number (EIN) for your small business? You may be required to get an EIN for any number of reasons, such as: 1. Hiring employees 2. Forming a corporation 3. Forming a partnership 4. Buying … Continue reading
Posted in payroll taxes, tax forms
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Self-Employed Tax Questions: How Does Freelance Income Affect Your Taxes?
Do you make money as a freelancer? Whether you make a living as a full-time freelancer or just do it part-time, what are the tax consequences of this income? This article will answer that question. For tax purposes, a freelancer … Continue reading
Small Business Tax Questions – Is An S Corporation Required to Make Quarterly Estimated Tax Payments?
Do you own an S Corporation and are wondering if you must make federal quarterly estimated tax payments? Read on to find out. Generally speaking, an S Corporation usually does not incur any federal income tax. This is because it … Continue reading
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Small Business Tax Questions – What Bookkeeping Software Should You Use?
Any small business needs a good bookkeeping system. Without it, you’ll never know how the business is doing and whether it is profitable. Without it, you’ll have big problems at tax time because you won’t have accurate information to report … Continue reading
Self-Employed Tax Questions: How Is Freelance Income Taxed?
As a freelancer, you must realize that you may incur federal and state taxes on your freelance income. This article will help you sort out the possible tax consequences of making money as a freelancer or independent contractor. First, you … Continue reading
Small Business Tax Questions – What Expenses Are Tax Deductible?
When starting a new small business, one of the most common questions is simply this: “What’s deductible?” It’s a great question and this article will attempt to answer it. An expense is deductible provided it is ordinary and necessary. Ordinary … Continue reading