Tax audits can be time-consuming, taxing, and possibly expensive. Small business proprietors who might be navigating complex tax policies for the first time or who work in businesses such as restaurants where errors are easy to make are particularly likely to draw unnecessary attention for the IRS.
An audit doesn’t need to be a painful, endless, and invasive process if you follow these tips.
Accounting mistakes happen occasionally, but you can avoid numerous common mistakes with proper preparation and planning. Remember, it typically takes more time to rectify an error than to get it right initially. Interestingly, it’s also cheaper to recognize and rectify errors early instead of waiting to correct the issue later. While some accounting...
If you’ve decided to start a business, one of the most important decisions you’ll need to make is choosing a legal entity. It’s a decision that impacts many things–from the amount of taxes you pay, to how much paperwork you have to deal with and what type of personal liability you could face.
If you discover a mistake on your tax return after you’ve already filed, don’t panic. In most cases, all you have to do is file an amended tax return. Here’s what you need to know.
If you’ve ever used–or provided services for– Uber, Lyft, Airbnb, Etsy, Rover or TaskRabbit, then you’re a member of the sharing economy; and it could affect your taxes. But, there is good news: if you’ve only used these services (not provided them), then there’s no need to worry about the tax implications.
However, if you’ve rented out a spare room in your house – through a company like Airbnb, then you need to be aware of the tax consequences. You may not realize that the extra income you’re making could impact your taxable income–especially if you have a full-time job with an employer.
If you happen to be one of the many who had to file an extension, here are some recent tax items you want to keep in mind – as you prepare to file your taxes. On the other hand, those who are anticipating what the rest of the tax year is going to be like, these pointers may apply to you as well.
Monday, April 15, 2019, was the tax deadline for most taxpayers to file their tax returns. If you haven’t filed a 2018 tax return yet, it’s not too late.
Tax-related identity theft occurs when someone uses your stolen Social Security number to file a tax return claiming a fraudulent refund. It presents challenges to individuals, businesses, organizations and government agencies, including the IRS.
Like clockwork, every year, there’s a new twist on old scams. This year, it is the IRS impersonation phone scam whereby criminals fake calls from the Taxpayer Advocate Service. The TAS is an independent organization within the IRS that help protect your taxpayer rights. TAS can help if you need assistance resolving an IRS problem, if your problem is causing financial difficulty, or if you believe an IRS system or procedure isn’t working as it should.
Typically, a taxpayer would contact TAS for help first, and only then would TAS reach out to the taxpayer. TAS does not initiate calls to taxpayers out of the blue.
As the driving force in today’s economy, small businesses benefit from numerous tax breaks in the tax code. One of these, the Qualified Small Business Stock (QSBS), was made permanent by the PATH Act (Protecting Americans from Tax Hikes Act of 2015). If you’re a small business investor, here’s what you need to know about this often-overlooked tax break.