When you own your own business and you are a sole proprietor, you can set up a retirement plan for yourself and your employees if you have them. Once you have set up a retirement plan, the contrbutions that you make for yourself are deductible on your tax return. There are a few times of
S Corporation Officers and Wages
When an officer of an S Corporation performs services for the corporation and are entitled to receive payment for those services then their compensation should generally be considered wages. Under the Internal Revenue Code, corporate officers are specifically included in the definition of an
How to Make Your Business Meals Deduction Audit-Proof
Nearly everyone enjoys eating, so an obvious and fun way to entertain your business prospects and to motivate your employees is with food. However, if your record keeping is inadequate or simply incorrect, you could run into trouble in an audit. There are several important requirements you must
Deductions for Charitable Contributions
On your personal form 1040 you may only deduct charitable contributions if you itemized your deductions (use Schedule A). In order for the contribution to be deductibe it must be made to a qualified charitable organization. When contributing cash you must maintain a record of the contribution.
Deducting Travel, Entertainment, Gifts, and Meals – overview
For business owners with questions about deducting expenses for travel, meals, entertainment, and gifts, here is a small overview. Generally meals and entertainment are deductible as long as they are ordinary and necessary expenses that are directly business related. An ordinary expense is one
Deducting Travel, Entertainment, Gifts, and Meals – overview
For business owners with questions about deducting expenses for travel, meals, entertainment, and gifts, here is a small overview. Generally meals and entertainment are deductible as long as they are ordinary and necessary expenses that are directly business related. An ordinary expense is one
Upcoming tax and credit deadlines
Individual 1040's: On October 15th all Individual tax returns (form 1040) are due to be filed with the IRS. If you fail to file your return by the October 15th deadline you will be subject to a late filing penalty. The late filing penalty is usually 5% of the tax due per month with a maximum
Expanded 529 Plan Features
What is a 529 Plan? It is a way to invest your money to be used for future educational expenses for college. Distributions from 529 plans can be used to pay for tuition, books, and other expenses for college. The American Recovery and Reinvestment Act of 2009 has added computer technology to the