When setting up an LLC, one critical decision to make is how you want it to be taxed. The two common options are: Let’s break down the differences and the potential tax savings between these two options. LLC Taxed as Sole Proprietorship An LLC taxed as a sole proprietorship is the default tax classification for […]
Single Member LLC, How to Save Payroll Taxes Read More »
What is Form 1099-K? Form 1099-K, also known as the Payment Card and Third Party Network Transactions form, reports the total gross amount of transactions processed through payment card companies, payment apps, and online marketplaces. It helps the IRS track income from these sources. Why Report 1099-K? Reporting Form 1099-K ensures accurate income reporting and
Form 1099-K: Key Updates for 2024 Read More »
Ensuring compliance with Beneficial Ownership Information (BOI) is essential for businesses. Here’s a comprehensive guide to help you understand the key aspects of BOI filing. What is BOI? BOI stands for Beneficial Ownership Information, which refers to the details of individuals who own or control a company, directly or indirectly. This information is crucial for
What is BOI (Beneficial Ownership Information)? Read More »
Cost segregation can be a powerful tax strategy for real estate investors. It involves breaking down a property into its components to accelerate depreciation deductions, resulting in significant tax savings. Let’s explore how cost segregation works, including examples and a comparison to traditional depreciation. What is Cost Segregation? Cost segregation is a tax planning tool
Cost Segregation for Rental Property Read More »
When it comes to structuring your business, a Limited Liability Company (LLC) offers a blend of benefits that many find appealing. Let’s delve into what an LLC is, the pros and cons, and the different ways you can structure your LLC, specifically as a Sole Proprietorship or an S-Corporation. What is an LLC? An LLC,
Understanding LLC: Pros and Cons Read More »
Indexed Universal Life (IUL) Insurance is a type of permanent life insurance that offers both a death benefit and a cash value component.
Indexed Universal Life (IUL) Insurance Read More »
What is Revocable Living Trust? A Revocable Living Trust is a powerful estate planning tool that offers a range of benefits. In this post, we’ll explore the pros and cons of a revocable living trust, how to create one, its comparison with an irrevocable living trust, and its role in asset protection. Pros and Cons of a
Understanding Revocable Living Trusts: Pros, Cons, and Comparisons Read More »
IRS Wants You to Know About Schemes, Scams and Cons “If it sounds too good to be true, it probably is!” Don’t become a victim to any scheme that offers instant wealth or exemption from your obligation as a United States citizen to file tax returns and/or pay taxes. Some of these schemes can literally
Tax Fraud Alerts From IRS Read More »
Modified Adjusted Gross Income (MAGI), is a crucial figure in the tax world. It’s used to determine eligibility for certain tax deductions and credits.
MAGI (Modified Adjusted Gross Income) Read More »
A Designated Roth Account is a special type of account that you can have in a 401(k) or 403(b) plan. Unlike traditional contributions, the contributions you make to a Designated Roth Account are not excluded from gross income and are taxed in the year they are made.
Designated Roth Account in 401(k) Read More »
