Get Your Taxes Ready to File Before Your Extension is Due!
If you haven’t filed your taxes yet this year, we seriously hope that you were able to file an extension. Otherwise, you’ll be in big trouble with the Franchise Tax Board (read our previous post about this!) and it’s likely you’ll get hit with penalties and other charges when you do get around to filing. […]
How and Why to File an Extension on your Taxes
April 17th is almost upon us. Yes, that’s right. We said April SEVENTEENTH. It’s not a typo—this year April 15th, the usual tax-return deadline, is on a Sunday, and there’s a holiday in the District of Columbia on Monday the 16th. You can thank Emancipation Day for your extra few days to file your taxes. […]
Does Alternative Minimum Tax Apply to Everyone?
When it comes to tax laws, it is very important that you remain up to date on all changes and modifications. If left unchecked, you could end up owing the Internal Revenue Service more than you thought by simply overlooking a recent update. In 2011, the IRS reworked what is known as the Alternative Minimum […]
Is Obama’s Tax Proposal Good for Small Businesses?
A few weeks ago, President Obama released a proposal to lower the corporate tax rate, but we noticed it wasn’t getting rave reviews from either the left or the right. At first, many people thought that this proposal would be good news for small businesses, yet small-business advocates say that Obama’s plan will benefit only […]
Are You Confused By Vehicle Tax Deductions?
Many business owners are stumped by the question of how and when to deduct vehicle use from their yearly income, and we know this because it’s one of the questions we hear most. The answer can be quite convoluted and vague when trying to research a solution from the IRS website and forums. The truth […]
Should I Use a Certified Public Accountant or a Tax Preparation Firm?
We’ve already talked about how using tax preparation software can lead to all sorts of problems on your tax return, including a potential audit. Even though the software might be helping you along, it does not have an actual brain to advise you on deductions or expenses. In which case you may be thinking—“You’re right! […]
How Do I File My Taxes with a Short Sale or Foreclosure
Many people have asked me recently: How do I report my property when I’ve had a short sale or foreclosure? There’s no easy answer, even though there’s a lot of information out there, for sure. But even true professionals don’t know how to handle foreclosures in a tax-return situation correctly. For example: I told a […]
Independent Contractor or Employee: How Do You Know?
Last week we discussed how important it is for a business owner to be classifying their workers appropriately or risk increased penalties from the IRS. But how do you know how the IRS classifies an individual working for you? How can a business owner determine the business relationship between themselves and an individual, and how […]
How To Classify Your Employees and Why: SB 459
Many business owners have a lot to deal with on a day-to-day basis, whether it is managing staff, dealing with clients, working through administrative paperwork—there are few California business owners who have the time to look at every Senate Bill that gets passed. Here’s one that we think you should all know about: California Senate […]
Should You Use Tax-Preparation Software, or Not?
You’ve seen infomercials boasting about free software programs that allow you (yes, you!) to file your own tax returns. But the question is: How reliable are these programs, and should you use them? The answer is pretty simple. If you have a general understanding of the US tax law and if you have enough common […]