Businesses can also be disrupted by tax identity theft
A great deal of attention is paid to individual tax identity theft — when a taxpayer’s personal information (including Social Security number) is used to fraudulently obtain a refund or commit other crimes. But businesses can also be victims of tax identity theft. Significant consequences Business tax identity theft occurs when a criminal uses the […]
Documentation is the key to business expense deductions
If you have incomplete or missing records and get audited by the IRS, your business will likely lose out on valuable deductions. Here are two recent U.S. Tax Court cases that help illustrate the rules for documenting deductions. Case 1: Insufficient records In the first case, the court found that a taxpayer with a consulting […]
What’s the best entity choice for your business?
A principal consideration for any new or existing business is choosing an appropriate legal entity. Available options in most states include C corporations, S corporations, general and limited partnerships, limited liability companies (LLCs), limited liability partnerships (LLPs) and sole proprietorships. Tax implications Each entity type has advantages and disadvantages. It’s important to consider the tax […]
To deduct business losses, you may have to prove “material participation”
You can only deduct losses from an S corporation, partnership or LLC if you “materially participate” in the business. If you don’t, your losses are generally “passive” and can only be used to offset income from other passive activities. Any excess passive loss is suspended and must be carried forward to future years. Material participation […]
Business Tax Preparation
TAX PREPARATION – TAX SERVICES IN INDIANAPOLIS OnTarget CPA has experienced and knowledgeable licensed tax professionals with comprehensive knowledge of tax laws and IRS regulations that will prepare compliant personal and business returns while maximizing tax benefits for each client. Trained accountants assist our clients in navigating the tax code, ensuring compliance, helping them meet deadlines and […]
