We don't want to rush you but you have:
left until your taxes are due

Tax Tips Small Business

Reimbursing Your Employees for Business Expenses

What method should you choose?

Attracting and keeping good employees is a goal in any business. One way to make life easier for your employees is to have an easy to use reimbursement plan. Travel, transportation, moving, and educational expenses are common reimbursable expenses. As the employer, you have the option to set up an accountable or nonaccountable reimbursement plan. Under either plan, you can deduct many of the business expenses paid to or for employees. However, the plan you choose can make a big difference to your employees.

Read more...

Small Business Quick Tip

If you are disposing of property used in your business, you may want to consider a like-kind exchange to defer the taxable gain on the sale.
Tax Credit Available for Hiring Certain Employees
Work Opportunity Tax Credit saves employers tax dollars

The Work Opportunity Tax Credit (WOTC) is available to employers who hire individuals from one of nine targeted groups. Recent legislation extended the credit through August 31, 2011. To take the credit, the employee(s) you hire must be from one of the following targeted groups:
  • Families eligible to receive benefits under  the Temporary Assistance for Needy Families program.
  • High-risk youths.
  • Qualified ex-felons.
  • Vocational rehabilitation referrals.
  • Qualified summer youth employees.
  • Qualified veterans.
  • Families receiving food stamps.
  • Persons receiving certain Supplemental  Security Income (SSI) benefits.
  • Qualified long-term assistance recipients.
The credit is generally 40 percent of qualified wages paid in the first year of employment, up to $6,000 in wages for a maximum credit of $2,400. The maximum credit for summer youth employees is $1,200, which is 40 percent of the first $3,000 of wages. Certain qualified veterans and long-term assistance recipients have higher limits.
< Prev   Next >
 
Tuesday, 09 March 2010
EASEAL_L

What is an Enrolled Agent and why should I care?

Click Here to find out

 

find-us-on-facebook

 

Tax Tips Personal

Interest on Summer Recreation May Be Deductible

Your motor home or boat could yield a deduction

If you own a boat or motor home that is fully equipped with kitchen and sanitary facilities and you use it as a "second" home, the interest you pay on it is probably deductible on your tax return. Although a fishing boat without facilities won't qualify, most motor homes and campers do. If you're looking to buy a boat that doesn't qualify as a second home, you may want to consider paying for it with a home equity loan. That way, the interest is generally deductible. As with most tax rules, there are exceptions and limits so check with a tax expert before you sign on the dotted line.

Personal Quick Tip

Are you planning on making any substantial gifts? Talk to your tax preparer first. Gifts with values exceeding $13,000 must be reported to the IRS.