Roth IRAs tend to get a lot of hype, and for good reason: because you pay the taxes upfront, your eventual withdrawals (assuming you meet the age and holding-period requirements—more on these below) are completely tax-free. While we like “tax-free” as much as the next...
Here’s good news for business meals: the Tax Reform removed the “directly related and associated with” requirements from business meals. The net effect of this change is to subject business meals once again to the pre-1963 “ordinary and necessary” business expense...
What tax effect would death, retirement, or disability have on you or your business? Here’s an easy example to illustrate. Let’s say that in 2017, you purchased for business use a pickup truck with a gross vehicle weight rating greater than 6,000 pounds. Asserting...
If you operate your business as a sole proprietorship, there are many strategies to reduce your taxes. Let’s start with the following 10: 1. Use the Section 105 plan to make your health insurance a tax-favored business deduction on your Schedule C. 2. Employ...
If you own more than 2 percent of an S corporation, you have to do three things to claim a deduction for your health insurance. Three things you must do 1. You must get the cost of the insurance on the S corporation’s books. 2. Your S corporation must include...
If you’re not good at paperwork, the corporate form of business is probably not for you. Let me tell you about a tax court case involving William H. Bruecher III. He learned a lesson by paying more than $27,000 in taxes on monies his corporation supposedly loaned to...
