491 plain-English guides on small business & bookkeeping, each one ending in what to do next.
Page 3 of 21, newest first.
Both Section 179 and 100% bonus depreciation allow full first-year deduction of asset costs, but they differ in loss treatment, income limits.
Small Business & BookkeepingProper bookkeeping starts with a chart of accounts that matches IRS expense categories on Schedule C. Schedule C expense categories (the tax return drives.
Small Business & BookkeepingThe IRS requires adequate records to support income, expenses, and deductions. Minimum bookkeeping requirements for tax compliance: 1.
Small Business & BookkeepingSmall business owners must track expenses in the correct categories to maximize deductions and prepare for tax filing. The Schedule C expense categories.
Small Business & BookkeepingDIY bookkeeping with QuickBooks or Wave works for simple businesses under $200,000 in revenue with few transactions. When to DIY vs.
Small Business & BookkeepingWhen a C-Corp converts to S-Corp status, any unrealized appreciation in the corporation's assets at the time of conversion is subject to the built-in.
Small Business & BookkeepingWhen a C-Corporation elects S-Corporation status, the Built-In Gains (BIG) tax under IRC 1374 imposes a corporate-level tax on any appreciation.
Small Business & BookkeepingBusiness bad debts are deductible as ordinary losses under IRC 166. Cash-basis taxpayers can only deduct bad debts they previously included in income.
Small Business & BookkeepingA separate business bank account simplifies bookkeeping, strengthens audit defense, protects LLC liability shielding, and makes tax preparation faster.
Small Business & BookkeepingBusiness credit card tax rules: 1. The purchase is the deduction, not the payment: For cash-basis taxpayers, the expense.
Small Business & BookkeepingBusiness credit card expenses are deductible when charged for legitimate business purposes. Business credit card tax rules.
Small Business & BookkeepingSeparating business and personal finances protects your deductions and limits IRS audit exposure. How commingling creates problems for businesses.
Small Business & BookkeepingDocumentation that supports each of the 9 factors: 1. Manner of conducting the activity: - Separate business bank account.
Small Business & BookkeepingAll ordinary and necessary business insurance premiums are deductible. Business insurance premiums are deductible as ordinary and necessary business.
Small Business & BookkeepingBusiness insurance proceeds are taxable to the extent they exceed the adjusted basis of the property destroyed or damaged.
Small Business & BookkeepingGeneral liability, professional liability, commercial auto, workers' comp, and business property insurance are deductible business expenses.
Small Business & BookkeepingAll ordinary and necessary business insurance premiums are deductible under IRC 162. Deductible business insurance premiums: Always deductible.
Small Business & BookkeepingBusiness meals are 50% deductible if the meal has a clear business purpose and is properly documented. What is 50% deductible: - Meals with clients.
Small Business & BookkeepingThe 50% business meals deduction requires contemporaneous documentation of 5 elements: amount, date, place, business purpose, and business relationship.
Small Business & BookkeepingRelocating a business triggers multiple tax considerations: moving expenses are generally deductible as ordinary business expenses under IRC 162 (though.
Small Business & BookkeepingTax changes after marriage for business owners: 1. Filing status: MFJ nearly always produces a lower total tax than MFS.
Small Business & BookkeepingBusiness travel is deductible when the taxpayer travels away from their tax home overnight for business purposes. Includes IRS rules, documentation.
Small Business & BookkeepingBusiness travel expenses are deductible under IRC 162(a)(2) when the travel requires the taxpayer to be away from their 'tax home' overnight (or long.
Small Business & BookkeepingMost small business owners use personal assets for business: their phone, internet connection, computer, vehicle, and sometimes their home.