The Small Business Tax Help Blog

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Question: Taxes on rental income from my C corporation.?

I am 50% partner in a construction company which my partner and I work at full time. We have formed an LLC, which has purchased the land and building on which our shop is on. This LLC will be taxed as a partnership. Do I have to pay self employment taxes on the rental income?
The C corporation is the construction company. The LLC was formed strictly to buy the business and property. They are separate entities.
Oops, I meant building and property.

Answer: there are some exclusions for a partner not paying self employment on the partner income
since you probably do not actively participate in the LLC, I believe one of the exclusions is the amount of time you participate in the LLC
rental income is passive income, not earned income

Beat the January 31 tax deadline

The clock is ticking for the nine million people who have to file a self-assessment tax form each year.

Income Recording Service.

The encouraging response to low/mid-segment housing could lead to more such projects coming up soon, augmenting supply, says a report

The second quarter of the year was a tale of two halves. The first half saw continued pessimism characterized by the liquidity crunch owing to high cost of debt and reluctance of funds to invest, irate customers exiting stalled projects, sliding rentals and muted demand across all real estate segments. The election result was one of the reasons for sentiments to improve as the sector anticipated the formation of a stable government that would bring about sooner-than-expected economic recovery. In the second half of this quarter, residential sales volume showed a marginal increase.

Small is big

Low- to mid-segment houses continued to drive the demand in the residential sale market across the country, which is likely to improve as prices stabilize and buyers who were anticipating further decline in rates eventually decide to purchase properties, says Colliers International in its property market overview for the second quarter of 2009.

It says that encouraged by the responses received by low/mid segment projects announced recently, more such projects are expected to come up in the near future and this will augment new supply in this segment.

Great expectations

The real estate sector had a number of expectations from the Budget 2009 such as tax benefits for affordable housing, reduction in home mortgage interest rates and widening of bracket for priority lending for houses of up to Rs 30 lakh among others; but none were fulfilled, affecting the sentiments of the market in the short term.

The government’s focus on infrastructure development, however, is expected to help the sector in the long term.

“There are properties specific transactions across markets, more focused on the mid- and affordable segment,” says Poonam Mahtani national director, residential services and knowledge systems, Colliers International. “The overall sentiments are positive, however, for this to translate into consistent action would realistically begin by 2010.

“The residential lease market remains under pressure with oversupply, whereas demand remains low. The positive side to it is that potential lease requirements are now being predicted by MNCs which are expected to materialize over the next six months, giving the residential landlords something to smile about.”

Premium properties

The number of inquiries for residential properties from both domestic and NRI buyers increased during the second quarter of 2009. But the ratio of inquiries to conversions remained low.

New supply of premium properties continued to remain limited in most of the prime markets and no significant improvement is likely in near future due to the increased focus of developers on mid-segment housing projects.

Emigration of expatriates that affected demand in premium residential lease markets during the past few quarters showed some signs of improvement as expats’ movement in the country picked up reasonably in the second quarter of 2009.

Furthermore, as business activities in India gain momentum with the recovery, the demand for high-end housing in the country is expected to revive.

Courtesy:- HT Estates dt:- 19-09-09

Minister of State Ablonczy Reaffirms Government’s Commitment to Cutting Red Tape for Business

OTTAWA, ONTARIO–(Marketwire – 01/11/10) – Today, the Honourable Diane Ablonczy, Minister of State (Small Business and Tourism), reaffirmed the Government of Canada’s commitment to reducing the paperwork burden for small business. “During the first Canadian Federation of Independent Business (CFIB) Red Tape Awareness Week, from January 11 to 15, Government of Canada remains committed to making …

Arcuri Manages Debate on Rule for Small Business Tax Relief Act

Question: Form 8829 Carryover from Operating Expenses and closing business?

I have had a personal business run from my home for the last 10 years, but last year I had no income and am now closing the business. I have money in the “Carryover of operating expenses from 2005 Form 8829, line 41″. I was told I could write this off on this year’s taxes, but how do I do this? I have no equipment, inventory, or other assets that are being sold or need depriciating.

Answer: If you will not be filing Form 8829 for 2006, you cannot use the carryover of operating expenses. You cannot use expenses for Business Use of Your Home to generate a loss.

Since you had no income in 2006, the carryover cannot be applied against your income.

KnowledgeTree And CAPSYS Announce Integration

KnowledgeTree, an Enterprise Content Management (ECM) provider focusing on affordable document management software, and CAPSYS, a leading provider of web-based document capture and capture process management software, recently announced the commercial availability of a release module that integrates KnowledgeTree's commercial SaaS and on-site editions with CAPSYS CAPTURE.

IT Contractor training courses - discounts available

Residents jam room for meeting

A suspension of Parliament won’t mean a suspension of the Halton MP’s workload, Lisa Raitt told concerned residents. That assurance came Saturday morning, in a kick-off to a series of town hall-style meetings across her riding.

Have You Seen This Flow Chart From The GOP Don’t Believe It

Question: How do I get a loan with My EIN Number for my LLC ?

Is the Employer Identification Number (EIN) like a SSN or how does it work?
Can I still get a loan if my personal credit is bad?
I just need to get a loan to buy my equipment for my company. Limited Liability Company (LLC)

Answer: since your company is probably new - the bank will look at the personal credit of the primary officers, who will have to be the guarantors on the loan.

TSX Venture Exchange Daily Bulletins for April 01, 2010

VANCOUVER, BRITISH COLUMBIA-- -

WDR TV Reportage - Ein Deutscher erobert Kurdistan 1/3