The extremely tight margin of the controlling party in the House of Representatives has led to some interesting, historic, and some might say chaotic outcomes on U.S. government operations this year. Legislation involving the basic functions of our government has become significantly more difficult to pass. We narrowly avoided a national debt default this past… [Read More].
One of the prominent areas of my legal practice is taxpayer representation—and one component involves representing clients in tax examinations (audits) by the IRS and state departments of revenue. Fortunately, most taxpayers have never had a tax return examined by the IRS. But because IRS activity is picking up, I thought it might be useful… [Read More].
This month’s blog was mostly inspired by a YouTube video I saw recently about the story of Nathan Barry, who is the founder of Convertkit. Convertkit is a software app that many small business owners use to push email notifications to their clients. Though Convertkit has now surpassed $30 million in annual revenue, it had… [Read More].
Back when I started my career in accounting (circa 2005), CPAs were in love with S Corporations. Tax classification as an S Corporation was highly recommended to almost all small business owners—mostly due to the potential payroll tax savings. At that time, I was working at a small firm of about 30 or so CPAs—and… [Read More].
I hope that everyone reading this article has had a Merry Christmas (or other enjoyable holiday) and a Happy New Year! As we embark upon another tax season as small business owners (as well as a new year of recordkeeping), I just wanted to provide all of my readers with an update on the IRS… [Read More].
Last week, Hurricane Ian wreaked havoc upon the states of Florida, North Carolina, and South Carolina. My sincerest thoughts and prayers are with everyone who has experienced loss of life, health, property, and security associated with this hurricane and other recent disasters. Most readers of my blog are aware that I live in North Carolina,… [Read More].
Christmas has come a bit early this year for millions of taxpayers who filed late tax returns for tax years 2019 and 2020. The IRS recently announced in Notice 2022-36 that it will be providing automatic penalty relief to individuals and businesses who failed to file a timely tax return. This relief applies to 2019… [Read More].
After the demise of the legislation known as “Build Back Better” and several congressional false starts on smaller packages, the 50-50 Senate has recently passed a much smaller package known as the “Inflation Reduction Act”. Now that the hard part is over (passing a bill in the Senate), the legislation has a much smoother path… [Read More].
Now that Tax Day has passed, after the initial relief that you may feel in getting your tax return filing accomplished, you may wonder what you should do next. Many of you are familiar with the typical next steps such as setting up estimated tax payments, engaging in a comprehensive tax plan, and resolving to… [Read More].
One of the greatest advantages of small business ownership is the opportunity to do what you love and in large part the ability to do it your way. But one of the caveats that small business owners must be aware of is that only businesses engaged in for profit may deduct expenses. If your endeavor… [Read More].