As a small business, taxes and otheraccounting termscan be confusing and intimidating. But to put it simply, withholding tax is the portion of an employee’s paycheck that is set aside in order to pay income taxes as they earn money, instead of paying everything as a lump sum during tax...
If you have a physical presence in a US state, your corporation may owe state income taxes in addition to federal income taxes. Your accountant can advise you on whether your company has a filing requirement in the state(s) in which it physically exists or does business and can help you ...
It can be painful to see a big chunk of your company’s profits being eaten up by taxes. Although most small business owners realize that income tax is a necessary evil, they would love to findsmall business tax deductionsand other ways to cut down their tax bill. Fortunately, this is p...
If you have a physical presence in a US state, your corporation may owe state income taxes in addition to federal income taxes. Your accountant can advise you on whether your company has a filing requirement in the state(s) in which it physically exists or does business and can help you ...
How to report mileage on taxes So, how do you claim mileage on your taxes? When you file your taxes, you use Form 1040. Form 1040 is your U.S. Individual Income Tax Return, which lets the IRS know whether you owe more taxes or should be reimbursed. Use Schedule C to claim business...
Reporting Self-Employment Business Income and DeductionsTips to Reduce Self-Employment TaxesTax Topics for Freelancers, Contractors, and ConsultantsHome Ownership Tax DeductionsWorking at Home More inSmall Business Taxes Starting a BusinessPenalties for Missing the 1099-NEC or 1099...
The business use of your car can be one of the largest tax deduction you can take to reduce your business income. This is a big, big deal. Why two “bigs”? Because your business income is used to calculate two taxes: your personal income tax and your se
Business taxes are one of the few common themes in a diverse economy—every company has to pay them. Here’s a quick guide to business taxes.
Step 1: Gross Income Calculation The initial step for calculating annual net income is to gather all your business’s revenues to determine the gross income, which is essentially the total money earned by your business over a year from various sources such as sales and services, investments, a...
The income statement is the primary financial statement used by businesses to record their expenses and determine their taxes. Most have three categories of expenses, broken down by direct costs, indirect costs, and interest. Direct Costs The value ofinventoryon hand at the beginning and the end ...