In their effort to control more of our lives, the Biden administration has chosen to change the rules on determining if people are considered employees or self-employed - and it could cost businesses massive amounts of money that have been employing people as independent contractors.
The IRS charges interest on a variety of non-compliance issues and adjust them quarterly based on how the economy is doing. These apply to both personal and business returns.
I sometimes run into clients who have to take large distributions from their traditional IRAs and it bumps them into higher tax brackets even though they don't really need the money to live on. Here is one solution to avoid some of that taxation and do some good for the world.
One of the most common questions I get from people opening a business for the first time is, 'How do I deduct all of the many expenses incurred before the business actually opens its doors?' Most of these can be handled as either start-up expenses or organizational expenses. You can think of organization expenses as creating the paperwork part of a business and start-up expenses as setting up the physical structure of a business.
One of the biggest headaches that those of us who design and maintain websites have are spammers. Those nefarious people who try to invade your website and use your servers to send out their junk to the masses. Since I maintain my own virtual private server (VPS), one of the biggest problems was spending the time to go in and delete the bogus accounts that were created or checking the logs to see if someone had found a way to insert malicious code into the site.
The Consolidated Appropriations Act (CAA), 2023 that just passed Congress includes the retirement package, SECURE 2.0. Here are the major changes that can affect you and/or your small business:
The Saver's Credit is becoming the Saver's Match for tax years beginning after December 31, 2026
The Internal Revenue Service has issued the 2023 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes.
Beginning on January 1, 2023, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:
It's the beginning of new year (2023) and of course, Congress has passed some new taxes for all the corporations in the country. While this will not affect most small businesses, I will briefly discuss them here for your consideration.
The first is contained in Notice 2023-2, which provides interim guidance regarding the application of the corporate stock repurchase excise tax until the issuance of proposed regulations.