By month: April 2011
Setting the owner of an S corporation’s salary so that the owner saves money on self-employment taxes requires attention to some details. This article shows how a CPA with S corporation earnings of $246,000 had a reasonable salary of $91,000 according to the IRS. If you follow the principles used by the IRS to identify the $91,000 salary, you build audit-proof support for the salary.
You have at least three parties in your divorce: you, your soon-to-be ex, and your Uncle Sam. Yes, as with almost everything, there are tax consequences to a divorce. This article puts you on a path that will help you protect your money and your assets.
This is the second article in our series on the best small-business retirement plans. Here we identify the four major advantages and three disadvantages to the SEP.
You need preventative steps to ensure that you are paying the wages you think you are paying to your employees and that your payroll tax deposits are actually being sent to the IRS and not to an embezzler’s pockets.
Tax law limits depreciation deductions on cars, trucks, and vans that don’t qualify for Section 179 expensing. The IRS updates the limits each year for inflation. This article explains how the limits work and gives you a link to the 2011 revenue procedure that contains all limits for both purchased and leased cars, trucks, and vans.
You want repairs and maintenance deductions on your business and rental properties. Here are tax tips on finding tax deductions in your lawn, landscaping, and other land improvements.
When you operate your business as a corporation, you need to pay attention to the details if you want the corporation respected by the IRS. If you fail in the details, your corporation could lose its status as a corporation and cause you big trouble.
The taxpayer in this case made three major mistakes, one of which was the probable cause of his IRS audit. His assertion of being an investor and not a dealer defied most of the nine factors the courts use in deciding the dealer versus investor question.