Posts Tagged 'IRS'

Five Basic Tax Tips for New Businesses

Five Basic Tax Tips for New Businesses

If you start a business, one key to success is to know about your federal tax obligations. You may need to know not only about income taxes but also about payroll taxes. Here are five basic tax tips that can help get your business off to a good start.

1. Business Structure.

  As you start out, you’ll need to choose the structure of your business. Some common types include sole proprietorship, ...

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Your Rights as a Taxpayer

Your Rights as a Taxpayer

The Internal Revenue Service recently announced the adoption of a “Taxpayer Bill of Rights” that will become a cornerstone document to provide the nation’s taxpayers with a better understanding of their rights.

The Taxpayer Bill of Rights takes the multiple existing rights embedded in the tax code and groups them into 10 broad categories, making them more visible and easier for taxpayers to find.

These are core concepts about which taxpayers should be ...

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Get Credit for Child and Dependent Care This Summer

Get Credit for Child and Dependent Care This Summer

 

Many parents pay for childcare or day camps in the summer while they work. If this applies to you, your costs may qualify for a federal tax credit that can lower your taxes. Here are 10 facts that you should know about the Child and Dependent Care Credit:

 

1. Your expenses ...

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Make Plans Now for Next Year’s Tax Return

Make Plans Now for Next Year’s Tax Return

Most people stop thinking about taxes after they file their tax return. But there’s no better time to start tax planning than right now. And it’s never too early to set up a smart record keeping system.

Here are six tips to help you start to plan for this year’s taxes:

Take action when life changes occur.

Some life events, like a change in marital status, the birth of a child or buying a home, can change ...

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Don’t Overlook the Child and Dependent Care Tax Credit

Don’t Overlook the Child and Dependent Care Tax Credit

Many people pay for the care of their child or other dependent while they’re at work. The Child and Dependent Care Credit can reduce that cost.

Here are 10 facts from the IRS about this important tax credit:

1. You may qualify for the credit if you paid someone to care for your child, dependent or spouse last year.

2. The care you paid for must have been necessary so you could work or look for ...

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Five Facts about Unemployment Benefits

Five Facts about Unemployment Benefits

If you lose your job or your employer lays you off, you may be able to get unemployment benefits. The payments may be a welcomed relief. But you should know that they’re taxable.

 Here are five important facts from the IRS about unemployment compensation:

 1. You must include all unemployment compensation in your income for the year. You should receive a Form 1099-G, Certain Government Payments. It will show the amount paid to you ...

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Seven Facts about Dependents and Exemptions

Seven Facts about Dependents and Exemptions

There are a few tax rules that affect everyone who files a federal income tax return. This includes the rules for dependents and exemptions. The IRS has seven facts on these rules to help you file your taxes.

1. Exemptions cut income.

  There are two types of exemptions: personal exemptions and exemptions for dependents. You can usually deduct $3,900 for each exemption you claim on your 2013 tax return.

2. Personal exemptions.

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Hire Your First Employee

Hire Your First Employee

 

If your business is booming, but you are struggling to keep up, perhaps it’s time to hire some help.

The eight steps below can help you start the hiring process and ensure you are compliant with key federal and state regulations.

Step 1. Obtain an Employer Identification Number (EIN)

Before hiring your first employee, you need to get an employment identification number (EIN) from the U.S. Internal Revenue Service. The EIN is often ...

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Why Should I Keep Records?

Why Should I Keep Records?

Everyone in business must keep records.  Keeping good records is very important to your business.  Good records will help you do the following:

  • Monitor the progress of your business
  • Prepare your financial statements
  • Identify source of receipts
  • Keep track of deductible expenses
  • Prepare your tax returns
  • Support items reported on tax returns

Monitor the progress of your business

You need good records to monitor ...

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