It’s a fact… If you liquidate your S corporation the right way, you can use any losses as tax deductions on your personal tax return — and keep the assets personally! But you have to know how to play the game. You see, lawmakers and the IRS have made things tricky. (No surprise!) Which is why it’s so important to make sure that both corporate and personal gains and losses are … [Read more...]
Choice of entity
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The right way to reimburse S corporation travel
Do you operate your business as an S corporation or a C corporation? If the answer is “yes,” you need to remember that your corporation is a separate legal entity. Why is this so important? Because if you incur travel expenses on behalf of the corporation, you have to be careful about how those expenses are reimbursed. If you don’t, you could find yourself in hot water with … [Read more...]
How to buy a business the right way
If you’re thinking about buying a business, now or in the future, remember this important fact: The manner in which you buy the business will have a huge impact on the taxes you pay long after the date of purchase! That’s why reading my new article is so important. You see, it explains the tax and liability implications of buying the assets of a business as opposed to buying … [Read more...]
The smart way to incorporate your proprietorship
Thinking of turning your sole proprietorship into a corporation? This could be a great idea — but be careful! You see, when you incorporate your business, you have to decide which assets you want to transfer to your new corporation and which you want to keep in your own name. For some assets, you get better tax benefits and better liability protection when you don’t transfer … [Read more...]
Time to say farewell to your S corporation?
To paraphrase Bob Dylan, “the tax laws they are a changin.” This means that if you’re running your business as an S corporation you need to understand the current law and make plans accordingly. For example, consider this… High individual-rates and low corporate-rates might make a switch to a C corporation a very smart decision. Why should you consider making the change? … [Read more...]