The Small Business Tax Help Blog

Posts Tagged ‘business’

Question: Do you pay payroll taxes to partners in a California LLC?

There are four partners who work and all own a share of our California LLC. Do we pay taxes to the EDD for Payroll, or do we pay Self-Employment taxes at the end of the year, or do we do both?
Note: The four partners are the only employees of the LLC.

Answer: Members (what you refer to as “Partners”) of LLC’s are not considered employees, and thus do not pay payroll tax. Each member will be issued a K-1 at the end of the year w/ their share of the LLC’s income/loss which each member will report on their own individual income tax return.

The one thing to beware of is that LLC’s in CA have a tax that is calculated on gross receipts and not net income. If your gross receipts are greater than $5M, you will be taxed $11,700, regardless of whether you actually have any net income. So if you are in that situation, there may be other entity structures that would provide more tax efficiency.

Going into business with a foreign partner

To avoid adverse tax consequences, the owners of the LLC interest should be corporations.

Lawline.com Legal Tip of the Day: Advantages of an S Corporation

Question: Would this be an excellent version of “Hell” to send politicians to?

Day in, day out, for eternity, they need to file taxes for me:

Married filing jointly, 2 kids
One of us owns a small business
Income in 2 states (one being New York)
Home office deductions
Meals and travel expenses related to small business
Capital gains realized from stock sales
401k distribution from an old employer who corrected some math

They need to do all of this without the benefit of a tax professional or software to help. Just the IRS and it’s lovely forms and publications.

After spending a weekend doing our taxes – WITH help – I am certain this would be a special version of Hell which would make politicians wonder why they have created this crazy complicated monster.
It was both created and has evolved.

Every little stupid step and extra hoop is someone’s election promise brought to life.

Answer: Love it!
You forgot to depreciate your vehicles and other equipment.

When The Tax Man Cometh (In Person)

Only a small percentage of taxpayers face a full-fledged IRS audit. If you’re picked for one, it’s a serious matter. Here’s what to expect.

Self Employed Federal Tax Deduction Tips for 2009, 2010.mov

Question: what are the rates for business income tax in Nevada?

I am making a business plan… but in my proyected finances… I don’t know how to calculate the income tax expenses… what are the rates in the state of nevada….

Thanks

Answer: Nevada has no state income tax, not for personal or for corporate
so,, to answer your question,, 0.00%

Tax Extenders Bill Fails In Senate

Financial regulation reform and tax change bills affecting traders, investment managers and professi

Future of your tax, taxation, business success and profit

Question: Will the Turbo Tax Home and Business edition help on quarterly payments?

Will Turbo Tax Home and Business edition help me to determine whether or not I have to make quarterly tax payments?

Will it help me determine what amounts those quarterly payments should be and how to make them?

Answer: yes. It will base estimates on the assumption that the following year will be a lot like the previous year as far as income, dependents and deductions and credits.

Useful tax tool

Many are the reasons – we didn’t say excuses, now did we? – advanced by North Carolina business interests who think a penalty that’s used to boost compliance with state tax law should be thrown overboard.

Making WI Business Tax Payments and Printing – Updated – My Tax Account

Question: What computer software would best help me to manage the finances of my very small business?

I run a private counseling practice, so I don’t have any inventory or employees to manage. I don’t even need to send invoices most of the time. I operate the business as a sole propriator, and I include the business income on my personal tax returns. I just need to keep track of my income and expenses and plan my taxes. What software would be best for this? The software also needs to be affordable.

I have thought to use Quickbooks, or maybe Quicken since my business is very simple. But if I chose Quicken, which version would be best? Or would another program be better?

Answer: Sounds like Quickbooks, the smallest version they have. I use Quickbooks online, but it is because I’m a consultant that is always at my client’s place of business. I can send invoices, run credit cards, access my client data anywhere there is an internet connection.

Small business owners need a crash course in taxes

Estimated taxes. Self-employment taxes. Tax accounts. These are words that quickly enter the vocabulary of people who have been laid off and are making the transition to working for themselves.

Small Business Income Tax Planning & Preparation 2009, 2010.mov