US Business Law / Taxes Sitemap - Page 2 2016-09-26
Before Hiring Employees - An Easy 12-Step Checklist
Before you hire employees, run through this checklist, which includes new hire forms and setting up payroll systems.
Lat Minute Tips for Filing Schedule C
Last minute tips for filing Schedule C for your small business, including Schedule SE, where to get software, how to file, and how to file an extension.
Startup Business Loans - Why Banks Deny Startup Business Loans
Reasons banks give for denying startup business loans and how you can overcome these objections and get a business loan.
Legal Consequences of Not Paying Employees on Time
Attorney Michael Helfand discusses the legal obligation of employers to pay employees, and what happens if employees are not paid.
IRS Backup Withholding Notice - What to Do With It
IRS backup withholding notices (
How Do I Register a Trademark Internationally?
How to register a trademark internationally using the Madrid Protocol.
Are Your Sales People Employees or Contractors?
Sales people can be independent contractors or employees. A recent court case, while unique, may answer some questions.
Expenses for Business Use of the Home - Tax Form 8829
This article describes how to file IRS Form 8829 to calculate the space deduction for business use of your home.
5 Steps to a Business Record Keeping System That Works
A system for keeping business records includes capturing information, checking, recording, reviewing, and acting on the information. Here's how it works.
How Cash Businesses Can Avoid Tax Audits
How does a cash business avoid being audited? What can a cash business do to verify income when audited? CPA Gail Rosen answers these questions.
Home Business Tax Schemes to Avoid
Unscrupulous companies try to get people to buy their services to set up home business tax avoidance schemes. The IRS carefully monitors these schemes.
Incorporation - Incorporating - Incorporation Process
Checklist for starting a corporation, including forming the corporation, setting up your board of directors, and paperwork needed.
Incorporation - Incorporating - Incorporation Process
Checklist for starting a corporation, including forming the corporation, setting up your board of directors, and paperwork needed.
How to Calculate Cost of Goods Sold
This article takes you through the process of determining cost of goods sold for your business tax return, step by step
A Guide to Taxes for Online Auction Sellers
Selling online at sites like Amazon, Etsy, and eBay? Here's a guide to taxes - income tax, sales tax, VAT tax, foreign taxes - and tax recordkeeping.
The Maximum Social Security Withholding for 2016
Describes the annual maximum social security tax for the current and previous years, and how it affects earnings from employment and self-employment.
Keeping Track of Business Mileage - the Easy Way
The right way to keep track of business mileage, so you can deduct mileage costs. Record mileage
Responsible Party for Employer ID Application
The IRS attempts to clarify the difference between
How Long Does it Take to Start a Business?
Ready to start a business? Want to know how long it will take? It depends on the business type, location, financing, and more.
Things You Need to Know Before Taking Someone to Court
What you need to know about the civil litigation process and your part in that process as a business person.
Independent Contractors or Employees?
Are these massage therapists and truckers independent contractors, or are they employees? Tax Court opinions provide insight into the IRS view.
Developing Policies for Holidays - Paying and Working
Federal employment laws do not require employers to pay employees for holidays. Read about holiday laws and other holiday pay issues.
Deducting Your iPad for Business Use
Considering buying an iPad or tablet to use in your business? First, consider the tax deduction implications of purchase & use of these devices.
W-9 Tax Form: What to Consider Before You Sign
Have you just been hired as an independent contractor? Before you sign a W-9 form to verify your tax ID, some things to think about.
What Is a Foreign vs. Domestic LLC?
A discussion of the difference between domestic (in-state registered) limited liability companies (LLCs) and foreign (out-of-state registered) LLCs.
Employees Can Sue for Non-Payment of Wages
If your business is in trouble and you have to cut costs? Cut overhead or lay off employees, but don't expect employees to go without getting paid.
Why Do Businesses Take Inventory?
Why businesses take inventory, what is the value of inventory, and how it affects cost of goods sold and a business valuation.
Cost vs. Expense - What is the Difference?
What is the difference between cost and expense? An explanation of costs and expenses for business accounting and tax purposes.
What are Authorized Deductions from Employee Pay?
Employers can't deduct money from employee pay without their consent. Some involuntary deductions may be limited. A complete discussion here.
Should I Form a Holding Company for My Businesses?
Are you considering forming a holding company to combine multiple businesses? Holding companies are discussed, including tax and legal considerations.
What to Do Before You Sell Your Business
If you are considering selling your business, take these steps to prepare, including valuing the business and getting systems in place.
Payroll Issue: When There Are 27 Pay Periods In a Year
How to pay employees when there are 27 pay periods in a year, i.e. a leap year. How payroll taxes and employee benefits are affected by your decision.
When Should I Use a Payroll Processing Service?
Reasons to use a payroll processing service, and some general costs of these services.
How Much Tax Do Small Businesses Pay?
How much tax does a small business pay? An SBA report and a discussion of the effective tax rate for different types of businesses.
The Best Way to Put Money Into Your Startup Business
Starting a business? Should you invest in or loan to the business? Risks and advantages to both options.
Which Is Lower - Personal or Business Tax Rates?
A comparison of personal and corporate tax rates to determine if it makes a difference if your business is taxed at the corporate or personal rate.
What is My Principal Place of Business?
This article explains the
5 Next Steps After Business Tax Season is Over
After tax season is over, 5 strategies to make next year's tax filing easier and less expensive, and maybe save you some money on taxes.
Where to Get W-2 Forms and 1099-MISC Forms
Where to get W-2 forms and 1099-MISC forms for annual reporting to employees and contractors.
Error Correction in Business Documents
People make errors in documents. There is a right way - and a wrong way - to fix these document errors. Here's the right way to make an error correction.
Reporting 1099-MISC Income on Your Tax Return
If you perform services for someone else, you will receive a 1099-MISC at tax time showing income paid. How to include that form on your tax return.
Being a Sole Proprietor - 5 Myths and the Truth
Five facts owners of sole proprietor businesses need to know, from start to finish. Facts include taking money from the business and liability issues.
5 Ways to Protect Your Business from Employee Theft
5 ways to reduce losses due to employee theft and embezzlement, including setting procedures, separating duties, and physical safeguards.
Credit and Collection Laws Your Business Needs to Know About
Credit and collection laws, including restrictions on collections, providing credits with information, and non-discrimination in giving credit.
Business Tax Credits and Deductions for "Going Green"
Your business can get tax credits and deductions for saving on energy costs and having a
Small Business Tax Changes - Updated for 2015
Current changes to taxes, to use in preparing your current business tax return. Changes in Social Security maximum, business mileage, depreciation.
Barter Transactions and Business Taxes
Barter between businesses is explained, how barter income and expenses affect business taxes, and how barter income is reported to the IRS.
How to Make Sure You Get Paid for Your Work
Tips for independent contractors and freelances, to make sure you get paid by clients, and what to do if you don't get paid.
The Most Important Part Missing From Your Business Plan
Why a business plan is essential for starting a small business and how to include the missing element - getting the money to implement your business plan.
Single-Member LLC Tax Questions and Answers
How single-member LLC's report independent contractor income for federal income tax purposes, and employment taxes and excise taxes.
How to Complete the New Easier W-9 Form
The new version of Form W-9 is easier to use. Form W-9 is required for individuals working as non-employees, to verify taxpayer ID and certifications.
What to Look for in a Business Partner
Before you start a business partnership, ask these tough questions about a potential business partner, and prepare these documents.
The Work Opportunity Tax Credit for Employers
The Work Opportunity Tax Credit provides tax benefits for employers hiring employees in specific targeted groups. How to qualify and apply.
Collections Agency vs. Small Claims Court - Which is Best?
A discussion of the best way to collect money from non-payers, including a comparison of collections agencies and small claims court.
How to Solve Business Cash Flow Problems
Tips to keep a business going when cash flow fluctuates, as in startups, seasonal businesses, builders, and contract companies.
Mandatory Arbitration Clauses
This article discusses benefits and drawbacks to mandatory arbitration and issues with mandatory or forced arbitration clauses in consumer contracts.
Mistakes in Buying a Business
7 mistakes people make when buying a business, including not doing due diligence, making assumptions, and figuring nothing will change.
Filing Your First Business Tax Return
Filing business taxes for a new business made easy. Setting up your accounting system, understanding and preparing your first business tax return.
E-Filing Forms W-2 and 1099-MISC
Benefits of electronically filing W-2 forms for employees and 1099-MISC forms for non-employees, including details on how to set up e-filing for these forms.
How Businesses Get Into Trouble with the IRS
Three ways business owners commit willful tax fraud - under-reporting income, over-reporting expenses, and failing to report. Fines and penalties are steep.
6 Common Questions About IRS Audits of Businesses
Some common questions about IRS audits, including home office space deductions, entertainment expenses, what to do with a 1099 form, and hobby losses.
Beware of Employer ID Number Scams
Beware of fake employer ID number application sites, claiming to help you file Form SS-4, for a cost. The IRS is only legitimate SS-4 site.
5 Ways to Start the New Year with a Business Makeover
This year, get started right, with a business makeover. Start a new business, buy a business, change your business location or expand your business. Here's how.
Additional Medicare Tax Information for Employers
Details about the Additional Medicare Tax are provided for employers and self-employed individuals.
Want to Change Your Business Legal Type? Here's How
Why change your business type, how to change from one business legal structure to another, and a checklist of business change tasks.
Sorting Out Inventory - A Vital Business Asset
What is inventory, how to keep track of inventory, inventory costing, and how inventory affects your business taxes.
LLC Income Taxes - LLC Tax Options
There are several LLC tax options, which are discussed in this article. Optional taxing forms for an LLC are as a corporation or as an S corporation.
How a Contractor Files a Worker's Comp Exemption
Independent contractors (business owners) in some states can get a waiver from paying worker's compensation insurance. Here's how it works.
Responsibilities of Corporate Board Officers
One of the first tasks in starting a corporation is to set up a corporate board of directors. Read on for an outline of the corporate officers duties.
Crowdfunding Legal Issues for Small Businesses
This article discusses the new concept of crowdfunding and the legal issues involved, including securities law and intellectual property law.
What is Breach of Contract in Business Lawsuits?
A definition of breach of contract, how a breach of contract comes about, defenses against breach of contract, and remedies if a contract is breached.
Important Unemployment Tax Questions for Employers
Information about unemployment taxes for employers, including how to collect, report, and pay federal and state unemployment taxes.
7 Questions to Ask Before Buying a Business
Before you buy a business, ask yourself these 7 questions to help you decide if this is the business you want and if you can make a living at the business.
Paying Your Children to Work in Your Business
How to pay your child as an employee in your business, so you can deduct wages as a business expense. In general, treat the child like other employees.
Buying Business Equipment? How to Save on Taxes
How to save on business taxes by taking Section 179 deductions for business equipment purchases.
5 Neglected Business Accounts - And How to Fix Things
Five neglected business accounts, why they are important to your business success, and how to fix the neglect problem.
New Business? Get Ready for Business Taxes!
Starting a business? How to set up your business for paying taxes and for keeping good business records. And where to get help.
Who Must Receive Form 1099-MISC?
Who must receive a 1099-MISC form from an employer? Everyone who has been paid $600 or more in the previous year, with a few exceptions.
7 Year-end Payroll Tax Mistakes
7 mistakes small businesses make preparing and sending year-end payroll tax reports to employees and contractors.
Tax Year End - Timing Income and Expenses
How to time business income and expenses at the end of a tax year to place the income or expense in the best tax year for minimizing business taxes.
How to Prove Your Business Tax Deductions
Want to prove your business tax deductions? Records you need for all types of deductions, including bank records, credit card slip, mileage logs.
Don't Make These 5 Small Business Money Mistakes!
Don't make these 5 common small business money mistakes, relating to cash businesses, checking accounts, advisors, and taxes.
Reasons You Should Not Use a Free Contract Form
The Internet is full of websites listing free contract or agreement forms you can download & use in your business. Here are reasons why you shouldn't.
5 Ways to Simplify Business Finances
Here are five ways to simplify your business finances and tax tasks so you can keep track of all the important transactions and make it easy to do taxes.
5 Reasons You Shouldn't Rely on Business Advisors
Why you shouldn't rely on business advisors. Do what you can and get good business advice before you make business decisions.
The Naked Truth About Self-employment and Taxes
How self-employed business owners are taxed and how liability is handled by self-employed people.
How Do I Deduct My Cell Phone as a Business Expense?
How cell phones are treated as business property for deduction as a business expense, and how cell phone expenses are taxed.
Member-Managed LLC vs. Manager-Managed LLC
An explanation of the difference between an LLC managed by members and one managed by a manager. Pros and cons are discussed.
What is a PLLC - Professional LLC?
A professional limited liability company (PLLC) is a special kind of LLC. The PLLC is described, including liability, and compared to an LLC and a PC.
LLC Operating Agreement
Here are some frequently asked questions about LLCs and operating agreements, including questions about operating agreements and LLC liability.
Should I Form an LLC or a Partnership?
A detailed comparison of the limited liability company and the partnership, including different types of partnerships, in this article.
Your Month-by-Month Business Tax Calendar
A month-by-month calendar of payroll tax due dates and income tax due dates for businesses, including estimated tax due dates.
Incorporate in New Jersey - Steps to Incorporate in New Jersey
How to incorporate in New Jersey, including information necessary to file Articles of Incorporation with the state of New Jersey.
How a Partnership Makes a Profit - or a Loss
An explanation of how a partnership functions, to make money for the business and for the partners, and how an LLC owners are taxed.
3 Documents You Need When Hiring a Contract Worker
New hire paperwork when hiring an independent contractor, including Form W-9, a resume for the worker, and a copy of the employment contract.
Paying an Independent Contractor
Options for paying an independent contractor and payment terms that should be included in a independent contractor agreement.
Independent Contractor - Section 530 Relief Requirements
Employers may be able to continue to classify workers as independent contractors if they meet the requirements for Section 530 (IRS Code) relief.
10 Facts About Independent Contractors
What you should know about independent contractors, including hiring paperwork, how a contractor is paid, laws relating to independent contractors and more.
Independent Contractor Agreement
What to include in an independent contractor agreement, including restrictive covenants, discussion of terms, and more.
Watch Out for This Trademark Renewal Scam
How to spot this trademark registration scam letter, and the correct procedure to maintain your trademark registration.
Can I Trademark My Personal Name?
Laws regarding trademarks and restrictions on trademarking a personal name.
A Complete Small Business Income Tax Guide
This guide gives information on how to prepare your small business income tax return, including documents needed, filing an extension, and more.
Can I Use "March Madness" to Sell Products/Services?
Before you use a phrase like
Filing Small Business Taxes on Schedule C
Filing your own small business tax return? Five easy steps to filing Schedule C for your small business taxes.
When your small business can file Schedule C-EZ for small business taxes and how to complete Schedule C-EZ.
Employer Responsibilities to Employees
Employer responsibilities to employees, regarding payroll and payment, compensation, OSHA, ADA, and employee responsibilities to employers.
Overtime Rules for Exempt and Non-exempt Employees
Discussion of overtime rules for exempt and non-exempt employees, including the new higher minimum overtime level for exempt employees.
Complete Corporate and S Corporation Income Tax Guide
This guide will take you through the top pieces of information to help you prepare for corporate taxes, amend or extend your corporate tax return.
When an Auditor or Inspector Comes to your Business
When inspectors or auditors from federal, state, and local agencies come to your business. How to prepare, what to do during the audit, and after.
8 Questions to Ask When Hiring a Business Accountant
Questions to ask when hiring a CPA or small business accountant, including fees, experience, and tax philosophy?
How to Pay Yourself as a Business Owner
How business owners are paid. Most business owners don't take a salary but are paid from profits. How corporation business owners are paid.
How Does an LLC Owner Get Paid?
How an LLC owner is paid, taking a draw from business profits. How LLC owners pay self-employment taxes.
Getting Organized for Business Tax Season
How to create and maintain a business records system to avoid missing deductible business expenses and incurring high tax preparation costs.
What is Gross Pay and How is it Calculated?
A definition of gross pay and how to calculate gross pay for hourly and salaried employees, including overtime calculation.
What is an Employee Earnings Record?
An employee earnings record shows gross pay, deductions and withholding, and net pay for each pay for that employee throughout his or her employment.
Bankruptcy Attorney - Find Bankruptcy Attorney
Finding a bankruptcy attorney, with a list of online resources, and questions to ask when selecting an attorney.
How to Select a Tax Preparer
How to find a tax preparer and get help with preparation of business taxes.
Selecting a CPA for Business Taxes
More information on finding a CPA for tax preparation and tax planning. Page 2.
Difference Between Self-Employment and Employment Tax
This article describes the difference between self-employment taxes (SECA tax) on self-employment income and employment taxes (FICA tax) on income from employment.
How Does My Business Type Affect Self-Employment Tax?
This article describes how self-employment taxes are determined for owners of business types - sole proprietors, LLCs, partnerships, corporations.
What Is Earned Income? How Does it Affect My Taxes?
Earned income is defined as income from work. A discussion of how your earned income affects your taxes as an employee or self-employed person.
How to Keep Great Business Records - The Easy Way
Keeping good business records is important to your business. Learn how to make the task of capturing information and keeping records easier.
Important Facts about Business Property
A discussion of business property - types of property, how property affects business balance sheet, business taxes, and sales of business property.
Research and Development Tax Credits for Businesses
How to take a tax credit for research and development activities. How the credit works, and types of activities that qualify.
9 Business Tax Deductions to Take with Caution
Take any of these business expense deductions with caution, including depreciation, driving, travel, home business, dues, gifts, and bonuses.
Calculating Your Home Business Space Deduction
Here is a discussion of how to calculate your home business space deduction, using either the simplified method or more detailed method.
Home Business Expenses You Can Deduct
Learn about types of home business expenses you can deduct. Page 2.
Deducting Telephone Expenses for Your Home Office
Deducting telephone expenses for your home office is different from other expenses. Here is a discussion of how this deduction works. Page 3.
Calculate Your Home Business Space Deduction
Here is a discussion of the limits on home office business deductions. Page 4.
5 Things You DON'T Need to Start a Small Business
5 things you really don't need to start a small business, including a business plan and employees. And 5 things you really do need.
Getting Help with an Employer ID Application
How to get help with your application for an Employer ID Number (EIN), including details on how to make the application process easier.
Business Equipment vs. Supplies for Tax Deductions
We'll look at the two types of purchases and how they are considered for both accounting and tax purposes.
6 Most Misunderstood Business Tax Deductions
Clearing up confusion about these business deductions: startup expenses, entertainment, bad debts, health care tax credit, home office, and business driving.
Corporate Tax Rates, and Calculating What You Owe
Current federal corporate tax rates, charged to owners of corporations, including the accumulated earnings tax, and how to calculate this tax.
What is a Section 179 Deduction?
Section 179 deductions, a form of accelerated depreciation, are available for purchase of business equipment and vehicles. Current limits explained.
Self-Employment Taxes Explained
Self-employment taxes are paid by business owners for Social Security and Medicare taxes. How this tax is calculated and paid.
5 Recent Scams and Frauds Businesses Should Avoid
Watch out for these business scams, including OSHA scams, phony emails from the IRS, fake business registration and employer ID number applications.
Net Earnings Calculation for Business Taxes
How net earnings are used in business reports and calculations, and how net earnings is calculated for income taxes and self-employment taxes.
Giving Employee Bonuses? Know the Tax Implications
Employee bonuses and their tax implications - tax deductible to employers and taxable to employees.
How Business Losses Work to Offset Income
How business losses affect business owner tax returns, and how business losses may be limited, depending on business type.
Trademarks and Service Marks - What's the Difference?
If you have created a trademark for your business, you want to protect it. This article discusses the difference between a trademark & a service mark.
Business Tax Preparation Software Compared
This article shows a comparison of the three top business tax software providers - TurboTax, TaxAct, and H&R Block, including e-filing and state business taxes.
How to File a Business Tax Extension Online
Several tax preparation software programs can help you file a business tax extension online, or you can print out a form and mail it in.
Selecting a Business Organization Type
You are ready to start a business & you want to select a business type. Understanding the factors that you consider important will help you to choose.
10 Questions about Business Tax Extensions - Answered
Answers to questions about filing business tax extensions, including form to use, online filing, filing late, paying taxes, and rejected extensions.
How and When to File Form 1096 with the IRS
Describes how to submit Form 1096 for 1099-MISC and other information returns for non-employee payments.
What are the 4 C's of Credit?
This article describes the four C's of credit -- character - capacity - collateral - capital -- and shows how to use them to get a business loan.
Information Needed to Prepare
Information you need to complete employee W-2 forms, and where to find that information.
IRS Form 1099-K for Payment Card & Network Transactions
Learn who must complete and send out Form 1099-K, and what to do if you receive an IRS notice about it.
Inactive Business - Answers to Commonly Asked Questions
The inactive business - answers to questions. What is an inactive business? Must an inactive business pay taxes? What notifications are required?
Commercial Real Estate Lease Documents Explained
Common sections in commercial real estate lease documents, including subleasing, defaults, disputes, deposits, restrictions.
Amortization and Business Taxes
How amortization works for intangible assets for a business; amortization as compared to depreciation; amortization and business taxes.
Capital Expenses Defined and Explained
Capital expenses of a business are explained and compared to operating expenses. Tax implications of capital expenses.
Collateral for Business Loans
What is collateral, why collateral is important for business loans, what to use as collateral, and how to set the value of collateral.
How to Get the Best Terms for a Commercial Lease
Tips for getting the best deal when negotiating for commercial office space. What to say and what to ask. Expert advice on leasing for your business.
How to Use Demographics for Business Advertising
How demographic analysis is done, and how demographics are used in a business plan and business marketing and advertising.
What is an Hourly Employee? - Definition
What classifies an employee as hourly, how hourly employees are paid, and answers to other questions about hourly workers.
What is a Lien - Types of Liens
Liens are claims against property. Description of liens, types of liens, and the process involved with liens.
What Is a Pay Period? Are there different types?
Pay periods are important and have many laws to be aware of. Here are different types of pay periods explained and how they affect different workers.
What is a Safe Harbor Law or Provision?
Definition of a safe harbor, as it relates to tax laws, health care laws, and other U.S. laws, and some examples of safe harbor provisions.
Payroll Taxes - The Basics for Employers
Payroll Taxes include federal income tax withholding and FICA taxes - Social Security and Medicare tax - and state payroll taxes.
What is a Salaried Employee? Your Questions Answered
All about salaried employees, their exempt status, how they are paid, employment contracts, and answers to other questions.
Home Based Business - Home Business Taxes - Home Business Tax Myths
Home business tax myths and information on submitting tax deductions for home businesses, including home office space and deducting home expenses.
Resolve Business Disputes with Arbitration or Mediation
Arbitration and mediation are forms of alternative dispute resolution. This discussion describes the similarities and differences - with a chart.
Small Claims Process - Taking Someone to Court
You may have to take someone to small claims court. Here are the steps in the small claims process, including how to collect the money.
How to Select Your Corporate Board of Directors
A discussion about selecting board members for a corporation, including what to look for in a board member and who to avoid.
How an Owner's Agreement Can Help Your Family Business
How a shareholder agreement for a corporation or an operating agreement for an LLC can help solve problems and deal with issues in a family business.
Home Based Business Deduction Limits with a Tax Loss
Deductions for home business expenses are limited if the business does not make a profit for the year.
What Does a Corporate Board of Directors Do?
Describes the duties of the Board of Directors for a Corporation including board fiduciary responsibility.
Types of Corporations Explained
What type of corporation will you have? Decisions regarding sale of stock, publicly held vs. privately held corporations.
How to Deduct Business Insurance Expenses
A discussion of business insurance expenses you may be ale to deduct from business taxes, and some non-deductible business insurance expenses.
Can I Deduct the Cost of a Non-Compete Agreement?
An agreement not to compete is sealed with a payment. This article discusses how the payment is tax deductible.
Deducting Miscellaneous Business Expenses
Miscellaneous expenses can include any allowable business expenses, like bank fees, credit card fees, damages, small purchases or petty cash expenses.
How Do I Use E-File for Federal Business Taxes?
How to file and pay federal business taxes electronically, including income taxes and payroll taxes. Payment systems differ for types of taxes.
How to Correct a Tax Payment or Business Tax Return Error
How to deal with tax return errors, missed tax payments or failure to file a tax return, including information on filing an amended tax return.
What Products and Services Are Subject to Sales Tax?
What states have sales taxes, why sales taxes on services are growing, and how to get information on what's subject to sales tax in your state.
How to Report Backup Withholding on Form 945
All about IRS Form 945, for reporting backup withholding, including information needed and how to complete the form.
What Are Home Office Expense Deductions?
Learn about the home office expense deduction if you're self-employed, including eligibility requirements for claiming it and how to calculate it.
How to Deduct Business Travel Expenses
All the expenses you can deduct for business travel, including special travel like conventions and cruise ships, and how to document these expenses.
Taxes Paid by Limited Liability Companies
Lists all the taxes a limited liability company pays including income taxes, self-employment taxes and property taxes.
Income Taxes and Other Taxes Paid by an S Corporation
All the taxes an s corporation pays including income taxes, employment (payroll) taxes, sales and excise taxes, and property taxes.
Preparing Schedule K-1 for Partnership or S Corporation
Preparing Schedule K-1 for a partner in a partnership, member of an LLC, or shareholder in an S corporation. Professional tax help is recommended.
How an LLC and a Corporation are Different
Should you choose an LLC or corporation for your business? A discussion of the differences, including liability and tax affects.
Lean the Difference Between a C Corp and an S Corp
Learn about the difference between a C Corporation and an S Corporation, including issues involving legal status, taxation and ownership.
How to Determine a Company's Fiscal Year End
What is a fiscal year? Why does it matter? How do I determine the date for my company's fiscal year end?
3 Steps to Create an Independent Contractor Business
Working for yourself means you are self-employed, as a contractor or independent contractor. Here is why you should set up a business entity.
Difference Between a Tax ID, Employer ID, and ITIN
This article explains the different types of taxpayer identification that may be used for federal tax purposes - Tax ID, Employer ID, and ITIN.
What Business Asset Records Do I Need to Prepare My Tax Return?
Learn what business access records to keep on hand for tax time and why they're important for depreciation calculations and capital gains and losses.
Standard Mileage vs. Actual Business Driving Expenses
Discusses how standard business mileage deduction and actual expenses work, and the benefits of each method.
Capital Loss - Net Operating Loss Carryback
Net Operating Loss Carryback provisions for 2008 and 2009
Which Business Legal Type Is a Disregarded Entity?
A disregarded entity helps to protect your personal assets from business bankruptcy or lawsuits, and to save money on tax preparation.
Who Can Act As My Business's Tax Representative at an IRS Audit?
Who can represent a business before the IRS? Learn who qualifies and what you should look for in a tax representative.
Understanding the VAT Tax - Benefits and Drawbacks
What is a VAT tax, how a VAT compares to sales tax, and benefits and drawbacks to a VAT tax in the U.S.
Employment Contract - Employment Agreement - Employment Contract Terms
Terms of an employment contract, including description of the work requirements, restrictive covenants, and dispute processes.
Difference Between Independent Contractor and Employee
The IRS sets requirements for categorizing workers as independent contractors or as employees. Here is a brief discussion of the distinctions.
What's a Reasonable Salary for a Corporate Officer?
Salaries for corporation officers must be reasonable. What does that mean? Some considerations for paying S corporation owner/employees.
How Do I Change the Name of My Business?
How to change your business name, what to do before and after changing a business name, and who to notify about a business name change.
What is a Non-compete Agreement?
Many partnerships, business sales, and employment contracts include non-compete agreement. Here are the elements of these agreements
Seller's Permit - Sellers Permit - Sales Tax Registration
How to determine if your business must deal with sales taxes, and how to register to collect, report, and pay sales taxes in your state.
How and When to Make Payroll Tax Deposits
Information for employers on how and when to make federal payroll tax deposits, including the semi-weekly and monthly deposit rules and EFTPS.
The Difference Between Form W-2 and Form 1099-MISC
This article explains the difference between a W-2 to report income to employees and a 1099-MISC to report income to independent contractors.
What Should be Included in a Partnership Agreement?
A list of terms to be included in a partnership agreement, when starting a partnership, especially restrictive covenants like non-compete clauses.
What Are the Different Types of Partnerships?
Understanding Partnership Types: Limited Partnership, Limited Liability Partnership, General Partnership and Limited Liability Company
Deducting Accounting and Tax Expenses for a Business
Expenses for accounting, auditing, and taxes that you can deduct on your business tax return; and some expenses you cannot deduct.
Filing Federal Tax Returns on Time by Mail
Be sure your federal tax return is filed before the deadline and received by the IRS, including mail and private delivery services and e-filing.
Filing for a Tax Extension - Form 4868 - What is Form 4868?
Filing Form 4868 gives you more time to file your business tax return. Find out how to do it and how much more time you'll have.
IRS Form 940 Unemployment Tax Report Explained
IRS Form 940 for reporting federal unemployment taxes - who must file, when to file, and the basics of completing this form.
What Business Taxes Can I Deduct as a Business Expense?
Many taxes that businesses pay are deductible. Some are not. Details on deductible and non-deductible business tax payments.
Changing Your LLC Tax Status to a Corporation or S Corp
How to elect to have your LLC be taxed as a corporation or an S corporation. Included are benefits and effects and filing forms.
How a Sole Proprietor Pays Income Tax - and Other Taxes
How a sole proprietor business pays income taxes, self-employment taxes, sales taxes, and other business taxes.
How Do I Get Information on State Unemployment Taxes?
State unemployment taxes and how the state unemployment systems work with federal unemployment system.
What Information is Needed for a Business Valuation?
When a business valuation is done by an appraiser, and all the documents and information needed for this business valuation.
Adjusting Income Statements for Business Valuation
Business financial statements, including income statement and balance sheets, may be adjusted for valuation purposes if you're selling your business.
Why Should I Have a Business Valuation Done?
Reasons why a business valuation is needed.
Absolute Privilege as a Defamation Defense
Absolute privilege as a defense against defamation, for legislators, in trials, in political rhetoric, and other specific cases.
Notifying Employees About the Earned Income Tax Credit
An explanation of the earned income tax credit and your responsibility as an employer to notify eligible employees about this credit.
Annual Meeting of a Corporation - Definition
What happens at the annual meeting of a corporation, who can attend, and how the annual meeting process works.
What is an Arms-Length Transaction?
Definition of an arms-length transaction, why arms-length transactions are necessary, and how to make sure a contract is arms-length.
What are Articles of Organization
Articles of Organization for setting up a Limited Liability Company - what to include in the Articles of Organization and how to file with a state.
Using Bad Debt Deductions to Reduce Business Taxes
How to claim a bad debt expense deduction, if your business uses the accrual accounting method.
What Is Basis (In an Asset)?
Definition of the basis in an asset, including how asset basis is affected by depreciation and capital gains taxes.
All About Your Corporation's Board of Directors
All about the board of directors of a corporation, including selection, liability, compensation, duties, first board meeting, and the annual meeting.
What Is the Book Value of an Asset?
What is the book value of an asset, how book value is calculated, and how book value of assets affects business finances and taxes.
What are Bylaws for a Corporation?
Corporate bylaws are described in this article, what to include in bylaws and how the bylaws are used by a corporation's board of directors.
Capital and Capital Structure of a Business
A definition of capital, including capital structure of a business, capital gains, capital improvements, and other related terms.
How a Business Owner's Capital Account Works
How a business owner's capital account works, including capital contributions. How the balance in an owner's capital account is determined.
What are Capital Gains and Losses for Businesses?
How capital gains and capital losses work for businesses, including the difference between capital gains and ordinary business income.
What is Cash Flow and Why Is It Important?
What is cash flow, how cash comes in and out of a business and why it's important in a small business to manage cash, especially at startup..
What Is a Certificate of Organization?
Describes a certificate of organization for an LLC, states requiring this certificate of organization, and what must be included.
What Is a Closely Held Corporation?
Learn the definition of closely held corporation, and the qualifications and operation of a closely held corporation.
COBRA Benefits for Terminated Employees
Learn about the eligibility requirements for COBRA for terminated employees and the pros and cons of this coverage.
What Is a Restrictive Covenant in Business Law?
Courts aren't big fans of restrictive covenant agreements, and you might not be either when you understand what they involve and issues of enforceability.
What Is a Debt Service Ratio In a Business Loan?
Debt service and their ratios affect the ability of businesses to borrow. Learn how to calculate these for your business financial statements.
What Does "De Minimis" Mean for Business Taxes?
Definition of the term
What Are Depreciable Assets for a Business?
This article discusses depreciable assets (assets that can be depreciated), assets that cannot be depreciated, and how the depreciation process works.
Depreciation Defined and Its Effect on Business Taxes
What is the definition of depreciation? How is it calculated, and how does it affect business taxes? Plus, read recent updates in depreciation laws.
Disregarded Entity - Clearing up the Confusion
A disregarded entity as a business entity which elects not to be separate from its owner for tax purposes.Tax and liability issues discussed.
Taking a Draw from Your Business
What is owner's draw and how does a business owner draw money out of a business? Owner's draw is not a salary.
What are Business Earnings and How are They Calculated
Earnings definition, earnings per share, EBITDA, and other related terms. How earnings and earnings per share are calculated.
Electronic Federal Tax Payment System - Definition
Answers to questions about the Electronic Federal Tax Payment System (EFTPS), including how to enroll, what taxes can be paid, and how to enroll.
What Is an Employee and Why Is It Important
A definition of the term employee, and why it's important to know if someone is an employee or an independent contractor, for tax purposes.
What Is a Business Establishment?
A definition of an establishment or place of business, and how that term applies to state sales taxes, income taxes, and business regulation.
What Does Exempt Mean? What is an Exempt Employee?
The requirements for an employee to be exempt from overtime, including details on types of employees, and minimum weekly salary.
The Fair Labor Standards Act - How it Affects Employers
The Fair Labor Standards Act (FLSA) is the federal law that regulates employment matters such as overtime and minimum wage rates.
How Businesses Pay Franchise Taxes
Your state may impose a franchise tax on your business. What states have franchise taxes, and how these taxes are determined.
What Is Business Gross Income and How is it Calculated?
Gross income for a business is defined and calculated, compared to other income terms, and used in financial analysis.
What is a State Gross Receipts Tax?
What is a gross receipts tax, what is taxable, how this tax is different from a VAT tax, and which states impose a gross receipts tax.
I9 Form - Employment Eligibility Verification
Information about the I9 Form: Employment Eligibility Verification. Required by the IRS for businesses.
What is an Incorporator or Organizer of a Business?
Description of an incorporator in setting up a corporation, or an organizer in setting up an LLC. Requirements for an incorporator or organizer.
Installment Loans for Business Financing
A discussion of business installment loans, terms and conditions, and how to get an installment loan for business startup.
How Is the Investment Value of a Business Determined?
In this article, the concept of
What is a Limited Liability Company (LLC)?
Limited liability company (LLC) is described, LLC ownership and taxation and history are discussed in this article.
What are Liabilities in a Business?
Business liabilities - short-term and long-term, the difference between liabilities and expenses, the concept of leverage, liability (debt) ratios.
LIFO (Last-In-First-Out) Inventory Costing Explained
A description of the inventory accounting term LIFO and how to calculate inventory cost using the LIFO (last in first out) method.
Limited Liability Partnership Definition
A limited liability partnership defined, how it differs from other types of partnerships, and how to form a limited liability partnership.
How Does Listed Property Affect Home Business Taxes?
Describes listed property, what types of property are listed, and restrictions on depreciating and deducting listed property for business taxes.
What Does Material Participation in a Business Mean?
Defines material participation of a business owner, for the purpose of determining the owner's participation in the business for tax purposes.
What Is a Member of a Limited Liability Company?
The owners of a limited liability company (LLC) are called members. LLC membership eligibility,taxation, liability, and management is discussed.
IRS Standard Business Mileage Rate - Updated
IRS Standard Mileage Rates for each year from 2012 to the current year, including information on how to calculate business mileage.
Multiples of Earnings Business Valuation Method
Describes how a business is valued using the multiple of earnings valuation method. What to watch out for with a multiples of earnings number.
Non-Solicitation Agreements in Business Contracts
The non-solicitation agreement keeps employees and customers from soliciting and recruiting from a company. Details and common issues are discussed.
What Is a Non-Stock Corporation? (Definition)
Definition of a non-stock corporation, why a corporation is formed without stock, and types of non-stock corporations.
1099-MISC For Reporting Independent Contractor Income
Describes a 1099-MISC form, how it is filed and how the recipient includes it in his or her income taxes.
How and When to File Form 941 for Payroll Taxes
How and when to file Form 941, the employer's quarterly payroll tax report, including due dates and reminders.
Form 7004 - Automatic Extension for Tax Returns
How to apply for an automatic extension of partnership or corporation taxes on Form 7004, including how to complete the form, and deadlines.
IRS Form 944 - Employer's Annual Federal Tax Return
IRS Form 944 is an annual filing report for smaller employers, to use instead of Form 941 for filing payroll tax reports.
Obsolete - Definition in Accounting and Inventory
What makes a business asset obsolete and how obsolescence affects business taxes.
Open Car Lease or Closed Car Lease Terms
Difference between an open car lease and a closed car lease.
What is Owners Equity - Definitions
Definition of owners equity, for a small business and a corporation. How owners contribute equity to and withdraw equity from a business.
What Is a Partnership? How Does It Work?
The partnership business is defined, types of partners and partnerships explained, how a partnership is formed, and how it pays income taxes.
How Passive Activity Affects Business Taxes
Passive activity is defined, and tax limits on passive activity losses are explained in this article.
What Is Personal Property of a Business?
A discussion of personal property, the difference between personal property and real property, and more on listed property.
Petty Cash - Why It's Important to Small Businesses
Petty cash - what is it? Why is petty cash important to your financial system? How petty cash affects taxes. How to set up a petty cash system.
Piercing the Corporate Veil - Definition and Analysis
What Is a Plaintiff in a Lawsuit?
What is a plaintiff in a business lawsuit? How a plaintiff files a case and what burden of proof means for a plaintiff.
How is a Profit and Loss Statement Used in a Business?
Describes a profit and loss statement (income statement) and how this statement is used in business, for tax and planning purposes.
Should You Form a Public Company or. Private Company?
The difference between public company and private company is explained in this article, including an explanation of a closely held company.
What is Qualified Privilege in a Defamation Lawsuit?
An example of qualified privilege is the immunity from defamation for statements made in the course of an employer's duties.
What is a Qualified Joint Venture?
Describes a Qualified Joint Venture, which is a specific type of husband-wife business that may file two Schedule C forms instead of a partnership form.
Filing Schedule SE for Self-Employment Taxes
This article gives Schedule SE instructions for self-employment taxes -- how to complete this form and where to file your personal tax return.
What Does it Mean to Be Self-employed?
What it means to be self-employed and pay self-employment taxes. Self-employed as the opposite of being an employee or corporate shareholder.
What is Solvency in a Business?
Business solvency is explained here, including some ratios to measure solvency, and the difference between solvency, liquidity, and viability.
What is a Stock Corporation?
The difference between stock corporations and non-stock corporations and changing between corporate types.
What is a Shareholder or Stockholder of a Corporation?
Stockholders or Shareholders of a corporation, how share ownership works, including share ownership and taxes.
What is the Uniform Commercial Code
Describes the Uniform Commercial Code (UCC), which regulates business transactions in all states, and the UCC-1 Form.
Fixed and Variable Expenses in Business Budgets
Fixed and variable expenses in a business budget, and why it's important to keep fixed expenses low, especially during startup.
What is Business Viability?
Viability of a business and how to create a viable business. Viability is compared to solvency and liquidity.
Tax Write-offs Save on Business Taxes
Tax write-offs are business expenses you can deduct. An explanation of how write-offs work on yo ur business tax return.
Attorney - Attorney for Incorpoation
Role of an Attorney in Incorporation - What an attorney can and should do and what you can do yourself to incorporate a business.
What are Articles of Incorporation for a Corporation?
Definition of articles of incorporation, the sections of this document, and an overview of how it is filed with the state.
What Is a Corporate Records Book? - Definition
Why it's important to keep corporate records, what to include in your corporate record book, who keeps the records, and how to set up these records.
Basic Facts about the W-2 Form
A W-2 form is a statement that must be prepared by employers each year for employees, showing the employee's total gross earnings, and withholdings.
How to Complete and File Form W-3
Not exactly sure what a W-3 form is? Describes the W-3 transmittal form for W-2 forms, how to complete it and when and how to file W-2 and W-3 forms.
How to Create a Business Startup Budget
How to create a budget for business startup, including estimates for
How to File Articles of Organization for an LLC
Filing Articles of Organization for an LLC. Information you need to file articles of organization for an LLC in your state.
How Do I Correct an Error in Form 941?
Learn more about common errors on IRS form 941 and how to file your Employer's Quarterly Payroll Tax Return to correct errors.
Dividend Taxes - Taxes on Dividends - How Dividends are Taxed
How dividends are taxed to shareholders and business owners.The effect of
How Do I Pay and Report Excise Taxes for a Business?
This article explains excise taxes, how excise taxes are calculated, and when these taxes must be paid and reported to the IRS.
How To Complete Form 941 Tax Return
Form 941 - 941 Form - How to Complete Form 941
Applying for Worker Status Determination on Form SS-8
How to apply to the IRS for a determination on worker status - employee or independent contractor - using IRS Form SS-8.
Do I Need to Collect Sales Tax in My State?
Discussion of whether a business selling products or services in several states must collect sales tax.
How to Find Local Laws, Licenses, and Permits
If you need to know about local zoning, local option taxes, and other city/town/county information, here are some places to look .
Depreciation Deductions for State Taxes
U.S. states that have different Section 179 deductions than those of the federal government and how this applies to your business taxes.
4 Easy Ways to Apply for an Employer ID Number (EIN)
You can apply for an Employer ID Number online, by phone, by fax, or by mail. Details on each application process and how to spot a fake ID site.
What Are Commuting Expenses and Can I Deduct Them?
Defines commuting expenses and describes what car/truck expenses a business owner can deduct for commuting and which cannot be deducted.
Am I a Business Owner or an Employee?
Discussion of the different legal business types and the status of the owner in each - as owner or employee.
Personal Guarantee for a Business Loan
Personal guarantees are often required for business loans. Your questions about personal guarantees answered.
Travel Tax Deduction for Home Based Business
Information on deducting car expenses for traveling to and from a home based business.
Why Your Business Needs an Employer ID Number (EIN)
Find out if your new business requires an EIN number, what it's used for and how you can get one.
Depreciation on Financial Statements and Tax Documents
Discussion of how depreciation is included on the balance sheet and income statement of your business and on your business tax return.
Can My Business Deduct Charitable Donations?
Any business can make contributions to charitable organizations but there may be limits on these deductions.
Depreciation Calculation Methods
This article shows how depreciation is calculated, using the straight-line method, and basic accelerated depreciation methods.
Using a Section 179 Tax Deduction for Business SUV Purchase
How to get a section 179 tax deduction for purchase of an SUV or other similar vehicle. Requirements and restrictions explained.
When to Pay Employees for Travel Time
When employee travel time is paid and when it is not, including a discussion of commuting time and overnight travel.
What is Chapter 11 Business Bankruptcy - Chapter 11 Business Bankruptcy Definition
Chapter 11 business bankruptcy explained, including the process and the difference between Chapter 11 and Chapter 7 bankruptcy for businesses.
What is Remuneration? What are the Types of Remuneration?
Remuneration or compensation is payment for work done, in general. The article includes a discussion of types of remuneration and employee taxes.
What is Working Capital? How to Get a Working Capital Loan
The concept of working capital is explained, how working capital is valued and measured, and how to get a working capital loan or line of credit
Requirements for Keeping Paycheck Records for Employees
Federal law requires that certain records be kept for each employee, including paycheck records. Find out what you have to keep and how to do it.
Bookkeeper? Accountant? CPA? What is the Difference?
What Is the Role of an Enrolled Agent?
This article discusses the role of an enrolled agent and how this tax preparer can assist a business owner with tax preparation, tax audits, and related tasks.
Preparing for a Small Claims Court Case
Small claims court is your opportunity to present or defend a money claim against you. It's your opportunity to convince the judge to rule in your favor.
Employee Pay Items Not Required
7 things federal labor laws, including Fair Labor Standards Act, do not require of employers. What you as an employer are not required to do for employees.
Why Petty Cash is Important for Your Business Finances
How to set up and manage petty cash, including setting up a petty cash box and preventing employee theft of cash.
What Can I Do if a Customer Just Won't Pay?
When a customer will not pay, you can take a tax deduction for this bad debt. Just be sure you have documentation to prove you were not able to collect on this debt.
What is the Fair Debt Collection Practices Act (FDCPA)?
Information about the Fair Debt Collection Practices Act for businesses - what you can and can't do when contacting debtors.
Common Restrictive Covenants in Business Contracts
The types of restrictive agreements in business contracts: non-compete agreement, confidentiality agreement, and non-solicitation agreement.
Collecting on a Small Claims Judgment
Options for collecting money owed you from the small claims process. Be persistent and be realistic.
What to Do If You Receive a Summons or a Subpoena
What if you receive a summons or a subpoena? The difference between a summons and a subpoena and what to do if you receive one.
Tips for Small Claims Court
This article details some tips to help you be successful in small claims court, including preparation and showing up.
Prepare and Use an Accounts Receivable Aging Report
How to run an accounts receivable aging report, how to read the report, and how to make decisions on what you have read.
Disregarded Entity - Qualified Joint Venture
How a husband-wife business can choose to be a qualified joint venture to file taxes on two Schedule C forms. Answers to questions about the QJV.
Accumulated Depreciation on Your Business Balance Sheet
How accumulated depreciation works, how it works on a business balance sheet, and how it affects your business taxes.
How Does an LLC Pay State Income Taxes?
How an LLC pays state income taxes, depending on the state determination of net profit and how the state classifies the LLC as a taxing entity.
Should I Elect to Have My LLC Taxed as a Corporation?
Read this discussion of the advantages and disadvantages of having your LLC taxed as a corporation, and how and when to make this tax election.
What is a Business Owner's Distributive Share?
Distributive share of partners in a partnership is explained, including how distributive share is determined and how partners are taxed.
What are the Tax Advantages & Disadvantages of an LLC?
The LLC form of business has some tax advantages and disadvantages you should be aware of before starting an LLC.
What is the Alternative Depreciation System?
Alternative Depreciation System (ADS) is one of two possible depreciation methods. ADS is explained, when it is required and when it can be elected.
When Does Business Actually Start?
How to determine when a business actually starts and why it's important to know your business start date.
What is Double Taxation on Corporations?
The term double taxation is explained and discussed, including why double taxation only applies to corporations.
How to Calculate Tax Withholding from Employee Pay
How to calculate federal income tax (FIT) withholding from employee paychecks.Information needed and a step-by-step guide.
How to Change or Cancel Your Employer ID (EIN)
How to notify the IRS of a mistake on your EIN application or if you have a business change that affects your EIN, including canceling the EIN.
Giving Employee Awards? Know the Tax Implications
Discusses employee awards, when they are deductible as business expenses for employers and when they are taxable to employees.
What are Social Security Wages for FICA Tax?
Payments to employees that are included and not included in Social Security wages, for Form W-2 and retirement benefit calculations.
How Do I Calculate the Amount of FICA Tax Deductions?
How to calculate the deduction for FICA taxes from employee paychecks, including maximum Social Security withholding and Additional Medicare Tax.
How to Withhold State Income Tax from Employee Pay
This article describes the process of calculating state income tax withholding amounts and deducting those amounts from employee pay.
Disregarded Entity - Tax and Liability Issues
The concept of disregarded entity is confusing. Atty. Robert Warwick discusses real questions about tax liability issues for a tax disregarded entity.
What is a Single-Member Limited Liability Company
The single-member LLC (SMLLC) is described in this article, including advantages, the SMLLC as a disregarded entity, and how income taxes are paid.
Employment Taxes for a Single-Member LLC
How a single-member LLC pays employment taxes.The IRS has clarified this issue.
Single-Member LLCs and Operating Agreements
Benefits of having a an operating agreement for a one-person LLC are explained, and this document is compared to corporate and partnership agreements.
Preparing for an IRS Audit of a Home Office
How to prepare for an IRS home audit of your home based business. If the IRS finds you violated the
How To Deduct Business Startup Costs on Business Taxes
Sorting out deductions for business startup costs, including non-deductible costs, when costs must be amortized, and other restrictions.
Affordable Care Act Reporting Requirements for Employers
Affordable Care Act reporting requirements for employers: What you need to report and when, including W-2 reporting and Form 1095-C.
Difference Between Depreciation and Amortization
This article explains the difference between depreciation and amortization, in terms of what kind of business assets they apply to.
Ways Depreciation Benefits Your Business
CPA Gail Rosen answers questions about depreciation and accelerated depreciation, including Section 179 deductions and bonus depreciation.
Do I Need an Attorney for Business Startup
Do you need an attorney for business startup? Pros and cons are discussed, with reasons for and against using an attorney for business startup.
Contesting a Non-compete Agreement
A discussion of non-compete agreements and how someone might be able to breach (break) an unfair non-compete agreement.
Preparing an Income or Profit and Loss Statement
How to prepare a profit and loss statement and a pro forma (projected) profit and loss statement for a business startup.