There are two main types of expenses for business tax purposes. Current expenses involve the daily cost of operating a business, such as paying for electricity or rent for your office space. By contrast, capitalized expenses consist of purchases that...
A business owner generally must file Form 1099-MISC when they pay an unincorporated independent contractor at least $600 in a year for work performed in the course of the business. You do not need to file this form if you make electronic payments by ...
Near the end of each year, business owners should evaluate the steps that they can take to reduce their tax obligations. One common strategy is to buy equipment for their business before the end of the year so that they can deduct it in that year. In...
Learn about important changes to the business meal and entertainment expense deductions under the new tax law. ...
If you are self-employed, or if you work as an independent contractor, you will need to pay taxes on your estimated annual income at four-month intervals rather than in a single chunk on April 15. These estimated tax payments cover income taxes and s...
In addition to paying taxes to the IRS, a business or its owners likely will need to pay taxes on any profits of the business to taxing authorities in the state where the business is located. A state even may impose a tax on a business if it does not...
On January 1, 2018, the Tax Cuts and Jobs Act went into effect. This federal law affected both personal taxes and business taxes. (You can read more here about the impact on personal taxes.) Perhaps the most notable feature of the Act is the reduced ...
If spouses run a business together as co-owners, the business will be classified as a partnership for tax purposes unless they take steps to change the classification. Filing a tax return as a partnership can be especially complicated and onerous, so...
People who receive income from renting property may wonder whether this activity qualifies as a business. One of the main benefits of qualifying as a business for tax purposes is that you can potentially claim the pass-through deduction under the Tax...
Real estate agents typically receive special tax protections as statutory independent contractors. In other words, they are classified as independent contractors regardless of whether they actually would be considered independent contractors under th...
