The Small Business Tax Help Blog

Posts Tagged ‘freelance’

Question: What should my friend do to fix not paying self employment taxes for the last three years.?

He started a cleaning service in 2006 and hasn’t gotten around to see a accountant yet about paying taxes. He apperently kept records of invoices and expenses. What is your advice?

Answer: Have him see a tax professional. Have him gather his two years banks statements.

Each year he should identify all deposits and all checks and follow the categories on IRS form Schedule C. He should pick up a tax program such as Quickbooks Pro to organize the information.

Start with the earliest years and work forward. He should pay something in by Jan 15,2009 to at lease have something paid in for 2008. This can be done with IRS form 1040ES and respective state

Sunday is not a day of rest as HM Customs and Revenue Tax self assessment deadline approaches

Chartered accountants are warning taxpayers that they will still be liable for a fine if they fail to submit their self assessment online by the deadline of 31 January, even though it's a Sunday this year. (11/01/2010 12:09:35)

Tax Tip 3 : Have you claimed all your tools?

Question: Can I use my small business company’s profit for personal purpose?

Can I use my small business company’s profit for personal purpose after paid small business and personal tax obligations?

Answer: Declare that as your bonus for the year, and use it. But ensure that personal and company accounts must be kept independently, clear and answerable.

CA-BUSINESS Summary

LONDON (Reuters) - The risk that deteriorating government finances could push economies into full-fledged debt crises tops a list of threats facing the world in 2010, according to a report by the World Economic Forum.

Bookkeeper Small Business Accountant Gold Coast

Question: accounting question help?

Terrific Accounting Company receives its annual property tax bill for the calendar year on May 1 1, 2009. The bill is for $32,000 and payable on June 30, 2009. Terrific paid the bill on June 30, 2009. The company prepares quarterly financial statements and had initially estimated that its 2009 property taxes would be $30,000.

Instructions
Prepare all the required journal entries for 2009 related to the property taxes.

Answer: I presume calendar year means Jan to Dec 2009. Since the company prepares quarterly financial statements and had initially estimated that its 2009 property taxes would be $30,000, it would have passed this entry:
March 31st
Dr Property taxes expense $7,500
Cr Property taxes payable $7,500
(to accrue for estimated 1st qtr taxes)

Then it rec'd the bill on May 11th, and found out that the actual amount is $32,000.
May 11th
Dr Property taxes expense $500
Cr Property taxes payable $500
(to take up under-accrual of taxes)

June 30th
Dr Prepaid property taxes $16,000
Dr Property taxes expense $8,000
Dr Property taxes payable $8,000
Cr Cash $32,000
(being payment of taxes)

Sept 30th
Dr Property taxes expense $8,000
Cr Prepaid property taxes $8,000
(to reverse prepayment to expense)

Dec 31st
Dr Property taxes expense $8,000
Cr Prepaid property taxes $8,000
(to reverse prepayment to expense)

A look back at 2009 in Sanger From the pages of the Sanger Herald

The city manager’s annual salary and perks of $157,005 is five times higher than the private sector annual wage in Sanger of $31,148, according to the Department of Labor, 3rd quarter, 2007 statistics.

Southern Avenue slated for improvement