The Planner Blog
How to File Taxes Without a 1099
1099’s are the forgotten form of small businesses. The IRS uses 1099’s to collect information from various sources to help them with compliance, read make sure you file all of your income.
How to Take Earnings Out of an S Corporation
How is your business taxed?
Many business owners assume that if they have set up a corporation or an LLC that they can automatically be treated as an S-Corporation. Fake news! Any newly created legal entity (e.g. corporation, LLC) can be elected to be taxed as an S-Corporation, but it requires filing the request with the IRS. Failure to do so will default to the tax type normally associated with the type of entity. For a corporation the IRS could default to taxing you as a C-Corporation, for an LLC, the default is to be taxed as a partnership.
Employee Retention Credit Expands Under Consolidated Appropriations Act 2021
Previously, I have written about the new round of PPP Loans and the grants for shuttered venue operators that were in the Consolidated Appropriations Act. The Act also extended and expanded the Employee Retention Credit.
How to File Taxes When Working Remotely
Due to the pandemic, it’s likely that you or someone you know works remotely, at least temporarily. Here are a few factors to keep in mind when filing your taxes, potential problems that may arise, and relief opportunities that may be available to you. When in doubt, our experts at Core Group can help you devise the tax strategy that’s right for you.
Home Office Depreciation Recapture: Tax Implications for Creative Entrepreneurs
Meet Penelope, a fictional, full-time freelancer who offices from her small (but cozy!) home. Since her home office takes up about 25% of her home, she’s been deducting 25% of her maintenance costs as business expenditures for the past five years. But now she’s ready to sell her home. What tax implications can she expect to face? Does the IRS now classify 25% of her profit as business income? Here’s what to expect when selling a home with a home office.
Grants in the Consolidated Appropriations Act of 2021
There are more than just PPP loans in the Consolidated Appropriations Act of 2021. Live event operators will eligible for grants up to $10 million, which can be used for eligible expenses. At least $2 billion in grants are set aside for small employers. Small employers are defined as those with not more than 50 full-time employees.
PPP Continues in Consolidated Appropriations Act, 2021
To answer your question, no Congress is not done. In the wee hours of December 21st, they passed the Consolidated Appropriations Act 2021 and included an extension of the popular Paycheck Protection Program (PPP) for 2021.
What is the Difference Between Short Term and Long Term debt?
Question:
What is the difference between Short Term and Long Term debt? Why do I see my loans on the balance sheet twice?
On Hoarding Ramen and other Unpredictable Growth
First, it was toilet paper, now people are hoarding ramen. At least with ramen, it makes some sense. If you are going to be locked up in your house, you need something to eat. Toilet paper made absolutely no sense to me, but that is the point.
Telework, Taxes and Your Business
Working from home was already building momentum before “social distancing” became a household buzzword. Now, some studies predict that 50% of employees from one-third of companies may continue working from home long after the pandemic ends. Many businesses are beginning to hire employees who already reside in other states, which comes with drawbacks and perks. Employers have more options than ever before when recruiting new talent. Yet welcoming more remote workers aboard doesn’t just mean more employees are now working in dress shirts and sweatpants. If only it could be that simple . It has implications for your taxes as well –– especially if some of your employees have relocated to other states either temporarily or permanently. Here are some factors to consider when navigating this uncharted territory.
Why do You Want to Grow?
Ask any entrepreneur if they want to grow, and with few exceptions, the answer will be YES! Ask them why they want to grow, and likely you will hear crickets. The why is critical, without it, you will fold when challenges arise. If you know the why, and you are passionate about it, you will figure out the how.
A Tax on Toilet Paper? Really?
I know that no one likes taxes, and it would be a major coup to have 100 people agree on what is the best taxation method, but we’ve truly gone through the looking glass folks.
Pigs Get Fat and Hogs Get Slaughtered
Sometimes for the fun of it, I read Tax Court cases. In a recent case, the IRS prevailed against a taxpayer who was trying to game the system and avoid payroll taxes by taking out little salary and a lot of dividends.
Growing from “Start-Up” to “Grow-Up”
I recently wrote about determining why you want to grow your business. In this article, I want to go a little deeper into the idea of changing to grow. As I stated before, what brought you initial success in your business will not grow you to the next level. I have had it explained to me as, “What got you here, won’t get you there.”
The Monster in Your Closet: Local Tax Codes
As a child, you fear the monster in your closet. There are dark shadows peeking out of the cracked door. As soon as you turn on the light you see what you thought was a big one eyed monster was actually just your winter coat. The fear of the unknown does not disappear when you become an adult. Now you fear your finances and tax season, which without guidance, can be just as dark and scary.
Taxes and the Grand Canyon
Everyone says you have to see the Grand Canyon before you die. It is a life changing experience and photos do not do it justice. You hire a travel agent to book the trip for you and your spouse. Would you trust the travel agent to write your itinerary without ever meeting with you? The next thing you know you have tickets to take a helicopter tour around the Grand Canyon which is perfect except for your spouse’s fear of helicopters. It is important that you are a part of the planning process because you could have quickly informed the agent that it might be better to see the canyon from the observation deck instead.
Don't Quit - Simple, But Not Easy
Originally this post was going to be on the need for continued Personal Growth. It was going to be about how I choose to stretch myself by completing an Ironman Triathlon (half) and a marathon at age 50 in the same year. But a funny thing happened along the way.
Does Profit First Work?
The Profit First System makes a bold claim. It is 100% successful when implemented. So how can a small business fail with Profit First? In a word, behavior. The process is full-proof, changing human nature, not so much.
Small Business Culture
You’ve certainly heard of business culture before. You’re savvy enough to know that corporate cultures like you’d find at Apple or Trader Joes play a significant role in those companies’ success.
How I Overcame My Persistent Ignorance
According to Merriam and Webster, Ignorant and Ignore share a root Latin word which meant “to ignore, be ignorant of”. So the Latin word really included both definitions of our words Ignorant and Ignore. Why the etymological lesson? Let me tell you a story.