We don't want to rush you
but your taxes are due in:


Do you qualify for simplified reporting?

Spouses who operate a business together have a new option for reporting their business income. In the past, husband and wife joint owners were considered a partnership for reporting purposes. New rules, which took effect in 2007, give spouses the option of reporting their business income as two separate sole proprietorships.

Filing as two sole proprietorships reduces the number of returns that are required while reporting the income from the business just as before. The income and expenses from the business are allocated to each spouse based on their respective ownership interest. In most cases, income and expenses are split equally. Each spouse will report their share of the net earnings and pay self-employment tax on the total.

There are a few key points to consider before making this election. First, the spouses must file a joint return. Second, the spouses can be the only owners of the business. Third, each spouse must agree to the treatment as sole proprietorships. And lastly, both spouses must materially participate in the trade or business.

Tax Tips Small Business

  • Thinking of Selling Your Corporation?

    Carefully review your options before making a decision

    When it come time to sell your corporation, you have two options. You can either sell the corporation stock or have the corporation sell the assets and distribute the proceeds. The tax implications of the two sales are very different. If you choose to sell the stock, you are the seller. The corporation is not affected by the transaction. The new owner steps into your shoes as the shareholder and takes over the existing corporation. If your share of the proceeds exceeds your basis in the stock, you'll have a capital gain to report on Schedule D.

    Read more ...

Small Business Quick Tip

  • Personal Assets to a Business

    If you have contributed personal assets, such as a computer or vehicle to your business, the lower of the fair market value or your cost basis of these assets qualifies as a business deduction, subject to depreciation limitations, beginning with the date of conversion.
Friday, 23rd March 2018

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Tax Tips Personal

  • Direct Deposit of Your Tax Refund

    More options are available to you

    The IRS is now allowing taxpayers who are due a tax refund the option of having that refund split up and deposited in up to three different bank accounts.

    Read more ...

Personal Quick Tip

  • Medical and Charitable Mileage

    Do you use your auto for charitable purposes? What about going to and from the doctor or dentist? Your mileage for both medical and charitable purposes may be deductible on your tax return. It is important to set up a mileage log and keep it handy so you can track your deductible mileage throuhghout the year.