Tag Archives: Internal Revenue Service

Taxes Become More of A Networking Opportunity For Small Business

Every year millions of people scramble to do their taxes, and companies have been noticing a swell of people that want to go online to get things done. That’s where companies like Turbotax Online, and others have come together to connect those millions of people that have been using their line of products, with others that are like minded. From gathering in a connection setting like “QuickBooks Connect”, to other meet ups and information that is getting people together, the notion of taxes has never been more social than ever. This is a huge Networking Opportunity For Small Business.

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Decades of Connecting Small Business With Tax Help

QuickBooks - Networking Opportunity For Small Business

QuickBooks (Photo credit: Wikipedia)

No matter what the size of your company is, taxes are a big matter. This becomes obvious when you’re pushing forward as an entrepreneur. Entrepreneurs, small businesses, and accountants are not alone, and that’s why more social, networking events are being held. These vents, attract a great deal of people from all sorts of industries, and the main goal is to connect everyone into a far easier tax filing ideology. It’s at these types of events, that all walks of life, backgrounds, industries, and more find news on the latest software releases, and so much more.

The Move To Online

Looking at how taxes have changed in the past 20 years, you will find that there are a variety of different changes that have come through for the better. If you haven’t used Turbotax Online just yet, you will definitely be connecting in the near future. From developers to entrepreneurs, more and more people are using online solutions and learning about the latest tax incentives, laws and more through online means and social events like “QuickBooks Connect”, and it’s going to be a mainstay year to year.

Whether you have been doing things the old way, or you have adopted a new path towards doing your taxes, there’s nothing quite like knowing that technology is right there to help you get the most out of filing quarterly, and even annual returns. As more people get together to discuss changes, and build a broader network of clients, colleagues, and more, you’ll find that greatness abounds.

Get Ready For The April 15th Tax Deadline With TurboTax

Stay Ahead of the April 15th Tax Deadline

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You may be surprised at how many people wait until close to the tax deadline to finish and file their taxes. This may have nothing to do with pure procrastination and everything to do with feeling overwhelmed about the process.

Many people may be focused on the prospect of dealing with penalties for improper filing, but following the good advice from TurboTax can eliminate these types of fears.

File Electronically

Electronic filing is safe and straightforward with TurboTax, and your return will be received much faster than if you mail a paper income tax return. The Internal Revenue Service will inform you within 48 hours whether or not your income tax submission has been accepted.

April 15th Tax Deadline

No Income Tax! (Photo credit: sjrankin)

You can receive a tax refund by a traditional paper check, but selecting direct deposit is quicker and safer as well. Electronic filing and direct deposit eliminates the potential for lost documents, lost checks, and longer waiting due to document delivery time. TurboTax even has free Federal tax filing options for qualifying income tax filers.

File Now, Pay Later

You should file your taxes as soon as possible even if you end up owing the government. The IRS will let you submit your income taxes and set up a payment for a later date, and you may set up an automatic withdrawal. You can pay through your bank account, debit card, or credit card without penalty as long as you make your payment by the April 15th deadline.

H and R Block Surveys Eliminating Tax Fraud Options

Americans might be willing to wait longer for their tax refunds (60% responded) and would like to see stronger requirements for tax preparers to help reduce tax fraud. H&R Block ran a survey of tax payers this year related to tax fraud and ways to reduce it. 70% of those responding to the survey wouldn’t mind answering additional questions on their returns if it would help out. Here’s what they found about Eliminating Tax Fraud.

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Eliminating Tax Fraud - H&R Block Business Center
H&R Block Business Center (Photo credit: EVRT Studio)

An H&R Block executive explained that tax preparers do not have any requirements or licensing in 48 or the 50 states. He made comparisons to hair barbers who need to be licensed everywhere. But he doesn’t stand with the courts which decided against making tax professionals get training and pass tests before they could work in the field.

Those against preparer requirements of testing and training think the certification should be optional so that it benefits young tax preparers without placing a new burden on seasoned professionals that are already trusted in the community. The lawyers fighting the IRS in court also argued that certification would benefit the big players in the field that could absorb the costs while putting smaller operators out of business. Return to our site for additional information on Eliminating Tax Fraud.

What Does Obamacare Mean For Your Tax Future?

Obamacare TaxesThe implementation of the Affordable Care Act continues to move forward. Failing to adjust withholding strategies and medical expenditures may result in added tax liability. What do the increased cost of healthcare and decreased deductions mean for you and your family? Here are some of the most significant changes to tax laws under the Affordable Care Act.

Higher Taxes on Investment Income

If you derive a significant percentage of your income from investments, you can expect somewhat higher taxes for the 2013 fiscal year. This typically applies to individuals who earn more than $200,000 and married couples who make over $250,000 jointly. Most other investors and taxpayers will see little or no change in the rate of taxation for their income-producing investments.

Upper Income Brackets Will See Medicare Tax Increases

Payroll taxes are often overlooked by individuals when considering their overall tax liability. Since these taxes are taken out of paychecks before workers receive them, changes in these rates can easily go unnoticed. However, couples who earn more than $250,000 jointly may get an unpleasant surprise at tax time: An increase in Medicare hospital taxes of nearly one percent may not be withheld by employers who are unaware of the joint income levels of the married couple. High-earning married couples may be responsible for any amount due that is not withheld as payroll taxes.

Reduced Deduction Percentages for Medical Expenses

Prior to the implementation of the Affordable Care Act, individuals could deduct their medical expenses if those expenses reached 7.5 percent of their adjusted gross income. That figure has now risen to 10 percent, reducing the availability of these deductions for rich and poor alike.

Changes to Flexible Spending Accounts

For 2013, only the first $2,500 deposited into flexible spending accounts (FSAs) will be tax-free. All other deposits will be liable to the regular tax rates applied to other earned income. As a result, many firms are now implementing limits of $2,500 on FSAs to eliminate the need for specialized W-2 forms and to protect their employees against potential financial liabilities when tax time rolls around once more.

New Taxes on Durable Medical Goods and Devices

The Affordable Care Act requires a new excise tax on medical devices including braces, gloves, pacemakers, nebulizers and many other items of medical equipment. While this new tax will not affect patients directly, it is likely to increase the costs of these items and may shift a greater percentage of the financial burden for advanced systems to the private individual as medical supply companies adjust their rates to make up for these added costs.

What You Can Do

Making the necessary changes to withholding, FSA contributions and other healthcare-related activities can help consumers manage the new requirements of the Affordable Care Act and can provide an added level of defense against increased taxes and reduced services in the medical arena. Make sure you consult with experienced and qualified tax experts who can advise you on the latest tax-related changes and help you navigate them.

The Best Tax Tips For Your Business

Small business owners know that taxes can be confusing. This is true whether you have filed for several years now, or this is your first year in business. The laws change from year to year, and making sense of the federal tax laws is nearly impossible for anyone except an accountant or an attorney. If you are not careful, you could end up paying far more than you really owe. You could also end up paying too little, which will cause complications with the IRS later. In this article, we will look at some of the most important tax tips to consider and use so you are ready for your taxes.

Keep Track of the Expenses  

It is extremely important that you keep track of all of your expenses throughout the year. You should use software and apps to log each of these expenses and have a central database where you can gather all of them. Keep them sorted by different criteria including type of expense, date, and overall cost. The more detailed the notes, the better. Another tax tip is to make sure you create a backup of your files, so you do not lose them. Keeping the information in the cloud can be a great way to make sure you can always access it from anywhere. Check this recent article to find out some fresh 2014 tax tips

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Deductions

Many small companies are unwittingly paying too much for their taxes because they are not taking advantage of all of the deductions they could and should take. These deductions are legal, and you should use them whenever appropriate. Some of the various types of deductions you could use include meals, travel, entertainment, and even health insurance. Just make sure you keep track of those expenses and keep your receipts so you can prove that they are related to your business if necessary. This tax tip makes things easier when it comes to filing. In some specific countries there is very low to zero tax rate, one of the is the BVI or the British Virgin Islands, which is an option to consider in case you pay a lot of taxes. Check this article here about the BVI tax company benefits

Another deduction that many companies are not using is for equipment. Since 2011, small businesses can deduct up to half a million dollars in equipment purchases, as well as equipment repairs. However, the catch is that the business must spend two million dollars or less on equipment for the entire year. Still, for many small businesses, this tax tip could be a huge and beneficial deduction.

Insurance for Employees

Small businesses that have employees and that offer coverage may be able to take the small business health care tax credit. The requirements for eligibility can sometimes be difficult to parse through, so talking with an accountant or an attorney about the matter is a good idea.

Charity Deductions

Just as individuals can reduce their taxes based on their charitable donations, businesses can do the same. When your business donates goods and services, it is possible to deduct the dollar amount or valuation of the items from the taxes.

These tax tips are things you should keep in mind all year long so you can save on your taxes. Make sure you get into contact with a professional when it comes time to go over and file your taxes, just so you can be sure you aren’t paying too much.