The answer to that question will vary from business to business. It is probably safe to assume that you did not go into business to worry about whether you should be a sole proprietor or an S Corporation.
You probably did not give a lot of thought to payroll taxes, quarterly taxes, qualifying deductions, how you will track your expenses, or what record keeping system you will use. And have you thought about a retirement plan?
Your primary concern is operating your business: getting customers and generating revenue.
Before starting a business, however, it is important to determine if your venture is a business or a hobby in the eyes of the IRS.
- According to IRS estimates, incorrect deductions of hobby expenses account in part for a portion of the overstated adjustments, deductions, exemptions, and credits that amount to $30 billion per year in unpaid taxes.
The tax professionals at Bayshore CPA’s, P.A. will help you with the tax details and various accounting aspects of maintaining your business.
- If you just started or plan to start a new business, did you know you can write off the expenses you incur related to starting your business before you actually open for business?
Equally important to making sure you are reporting all of your qualified deductions is making sure your are not overstating your deductions.
- One common mistake many small business owners make is falsely assuming they can deduct 100% of meals when traveling or entertaining clients. Such actions can raise a red flag with the IRS and trigger an audit.
Different phases of business ownership have different tax implications.
- Fox example, closing a business involves more than simply closing and locking the doors.
- Will you be declaring bankruptcy or selling the business?
At Bayshore CPA’s, P.A. we are small business owners and understand the workings of small businesses.
- Knowledge of the tax laws specific to the various types of small businesses could help you save money.
- Many of our clients are small business owners, and we have helped them resolve a number of tax problems as well as organize and manage their businesses.
Your peace of mind is our motivation. Here are some of the services we offer small business owners:
- Filing back taxes
- Compiling required financial records
- Releasing tax liens and levies
- Ending wage garnishment
- Preparing Offers in Compromise
- Negotiating Installment Agreements
- Tax penalty abatement
- Resolving payroll tax problems
- IRS tax audit representation
- Home office qualifications and methods
- Determining other qualified deductions
- QuickBooks® support and training
Avoid the common tax mistakes small businesses make that may cost you money.
Trust your business to the people at Bayshore CPA’s, P.A. who know the workings of a small business first hand and the tax laws that govern it.
Call our office now located in Mooresville, NC at 704-660-9317 to schedule your consultation.