February 28, 2023
Tax Filing Deadlines for 2023
You must file your taxes on time to avoid penalties and interest charges. Here are a few reminders for upcoming tax deadlines for businesses and individuals
Sole Proprietorships and Single Member LLCs: These are considered pass-through businesses by the IRS, which means their income is reported on the owner's personal tax return (1040). The tax filing deadline for sole proprietorships and single-member LLCs is the same as the individual income tax filing deadline, which is April 18th, 2023.
November 28, 2020
Preparing for the Tax Season
Now is the time to get your financial and business information organized so you are prepared for the tax season.
Tips to get organized and prepared for the new year
If you are one of those business owners who are behind with your bookkeeping now is the time to get your books done. This will help your Tax Accountant to better advise you about things you can do before the year ends to reduce your taxes. If your books are not up to date and accurate you cannot get professional advice on how to reduce taxes.
April 8, 2020
Cares Act Summary
The CARES Act (Coronavirus Aid, Relief, and Economic Security Act) was signed into law on Friday March 29, 2020 by President Trump. The Act brings economic relief to individuals and businesses impacted by COVID 19. We are providing a summary of the main provisions in the bill that relates to individuals and small businesses to help you understand and access relief that might be available to you under the Act.
We cover the most relevant provisions, but the bill is 900 pages long, so not everything is captured in our summary.
September 30, 2019
Three Ways to Keep Your Business on Track
Separate Personal and Business Expenses
As a small business owner, it is critical to know your cash flow: the money going in and out of your business. Many business owners make the mistake of mixing business and personal expenses. If you keep your business and personal funds in one account, it's impossible to tell how much cash your business is generating. Knowing your business cash flows will help you make informed decisions about how to manage your cash most efficiently. Read more.
July 16, 2021
The Advance Child Tax Credit (CTC) Payments in 2021
The advance child tax child payment started yesterday, July 15. The IRS will pay qualifying taxpayers with kid(s) under the age of 18 half of the total credit based on their 2019 or 2020 tax return filed.
You can check if you are enrolled to receive the six monthly payments on the 15th of each month for the rest of the year or opt out on IRS website https://www.irs.gov/credits-deductions/advance-child-tax-credit-payments-in-2021 .
You can opt-out to stop getting advance payments. Here is why you might want to unenroll or opt out:
Your income increases or you have capital gains this year. That could make you ineligible for CTC or reduce the amount you usually get and require you to pay back the advance payments you received when you file your taxes for 2021 next year. This is because the IRS is using your most recent tax return (2019 and 2020) to determine if you are qualified and the amount you should receive.
Divorced parents should also be aware that the advance payments will go to the parent that claimed the child on their 2019 or 2020 return. If the situation has changed that parent may owe the IRS if they don’t opt out of the advance payments.
January 12, 2023
Issues Related to Paying Outstanding and Estimated Taxes Online
Taxpayers who file as married filing jointly and make the balance-due payment online may find out that their payment does not get credited to their account. This may happen if the secondary person (spouse) on the tax return makes the balance due or estimated tax payment online in his/her name and social security number (SSN) and not the primary person. The system does not reflect the payment on your taxes if you are the secondary person paying and use your name and social security number.
The taxpayer’s spouse will get a CP-14 notice saying that you still owe the balance due on your taxes. The ‘primary’ person means the first person’s name on the tax return and ‘secondary’ means the second person’s name on the tax return.
The IRS is aware of this and issued a statement on July 27, 2022: "The IRS is aware that some payments made for 2021 tax returns have not been correctly applied to joint taxpayer accounts and these taxpayers are receiving erroneous balance-due notices (CP14 Notices) showing the incorrect amount." https://www.irs.gov/newsroom/irs-statement-on-balance-due-notices-cp-14
Keep track and record of all your payments and contact the IRS if you have this issue. The IRS also states that, “Taxpayers can ensure that their payment is on their account by checking Online Account under the SSN that made the payment.”