First, the bad news: As we explained previously, tax reform wiped out 50 percent business-entertainment deductions. Which means you can no longer write off “directly related or associated” business-entertainment expenses. In other words, you can wave good-bye to deductible business meals, ballgames, etc., with clients and prospects. Now, for the good news: All is not … [Read more...]
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Don’t Make This S Corporation Mistake
Ronnie Craft learned an expensive lesson. You see, he inadvertently waved a red flag in front of the IRS which resulted in an audit — an audit that cost him every penny of his S corporation business deductions. Where did Ronnie Craft go wrong and how can you avoid his fate? You’ll find out when you read my new article titled Tax Tips: Tax Savings Trap Crushes S … [Read more...]
S corporation health-insurance update
S corporation owners may remember that (for 2014, 2015, and 2016) the IRS allowed you to avoid the $100-per-day penalties on S corporation reimbursements for individually-purchased health insurance. But what about 2017 and 2018? What’s your health-insurance status now? The good news is that your 2017 and 2018 S corporation health-insurance treatment continues as before. And … [Read more...]
Get paid for hiring your child!
Want to get a tax deduction for yourself and tax-free income for your youngsters? It’s child’s play when you hire them to work for your proprietorship or partnership. That’s right. There’s lots of money to be made and saved if you know how to play the game and keep the IRS happy. Luckily, we do, and we’ll pass on all our money-saving knowledge to you when you read my new … [Read more...]
A new way to deduct 100% of employee meals
You probably know that Uncle Sam limits most of your business-meal deductions to just 50% of what you spend. You also probably know that you can ignore the 50% limit and write off 100% of meal-costs under certain circumstances (like throwing an employee party or holding an employee meeting on your business premises). What you may not know is that because of a recent … [Read more...]