Multiples and Ratios
This article will expand on some of the information presented in previous articles, and focus on what types of debt and growth targets you should aim for, and what type of margins or other financial ratios are acceptable for your business. Below are some of the main points covered. Margins and Profitability: How to analyze […]
Reading and Interpreting Financial Statements
The income statement, balance sheet and cash flow statements are three important tools that you can use to analyze your small business, and provide financial information for banks and potential investors. This article will explain the benefits of analyzing each financial statement, and provide examples of how these statements are all connected. Our other article, […]
Inherited Property Tax Treatment
It can be difficult to plan for and navigate the changing legal landscape when you are deciding how to pass on a property or other assets to your family. There are many different federal and state tax laws for you to consider when you write a will. Luckily, there are many incentives at the federal […]
Strategies to Avoid Taxes on Property Sales
If you own a real estate property and plan to sell it soon, there are many strategies that can allow you to either lower your capital gains taxes or even completely eliminate the need to pay capital gains taxes. These benefits are available for anyone who wants to sell their personal property or investment property. […]
C-Corporations: Stock Sales, Tax Laws, and Stock Options for Employees
This article will cover some of the common tax considerations that C-corporations have to make and will also provide information about how corporations can offer employees stock options. 1) An overview of the stock sale process for C-corporations and how investors can avoid paying taxes on stock sales. 2) An overview of how capital gains […]
Ratio Analysis
This article will cover some of the most common financial ratios, which can be found using income statements, cash flow, and balance sheet items, to help analyze your business. Analyzing these ratios can help you analyze many aspects of your business, including the following: Profitability: These ratios can help you measure how profitable your business […]
What Type of Business Entity Should I Start?
This article will address some of the common types of companies that you can form, including a sole proprietorship, limited liability company, C-corporation, or S-corporation. Once you are familiar with the benefits of each entity type, it can become much easier to answer the following questions: Should I file an LLC or S-corp? Should I […]
Opportunity Zones
Investors who want to lower their capital gains taxes should focus on identifying investments in Qualified Opportunity Zones. People who Invest in these areas of the United States can either defer capital gains taxes or avoid paying capital gains taxes if they hold the investment long enough. This article will discuss some of the laws […]
199A Deductions
The Tax Cuts and Jobs Act, known as TCJA, created multiple benefits for all types of small business owners looking for ways to lower their income taxes. One new addition to the TCJA is 199A deductions, which can provide tax benefits for sole proprietors, partnerships, and other pass-through entities. While these new additions can provide […]
The Benefits of Delaware Statutory Trusts
It is challenging for many investors to gain exposure to institutional quality real estate investments. There are not very many options for investors who want to invest a small amount of money into larger projects. Forming a syndicate with other investors can be confusing, so most investors choose to invest alone in REITs or individual […]
Opportunity Zones
Investors who want to lower their capital gains taxes should focus on identifying investments in Qualified Opportunity Zones. People who Invest in these areas of the United States can either defer capital gains taxes or avoid paying capital gains taxes if they hold the investment long enough. This article will discuss some of the laws […]
The tax benefits of municipal bonds
Investors who are interested in lower-yielding investments that carry lower risks should consider municipal bonds over other fixed-income investments due to the tax benefits. Municipal bonds provide investors with state and federal tax exemption in many cases. Moreover, the amount of interest income that you can earn from these products is attractive relative to other […]
Roth 401K and Roth IRA Accounts
This article will discuss some of the benefits of Roth 401K and Roth IRA accounts and determine which type of account is best for your investment objectives. Some high-income investors may not be allowed to open a Roth IRA account, and some companies may not offer their employees Roth 401K accounts. In some cases, both […]
Section 179 depreciation and MACRS Depreciation Categories
Section 179 and MACRS are two very important depreciation categories that can allow businesses to rapidly depreciate assets in the first year to enjoy tax saving benefits. This article will cover some of the benefits of Section 179 and MACRS depreciation, and explain some of the new tax benefits that were created under the Tax […]
Depreciation under the TCJA, including Bonus Depreciation
It is crucial for small business owners to be aware of some of the new changes in the Tax Cut and Jobs Act ( TCJA), as these changes can help small businesses initially pay less in taxes. New changes under the TCJA allow small businesses to enjoy bonus depreciation in the first year, of up […]
When Does the IRS Consider my Money-Making Busines a Hobby?
There often is a fine line between having a hobby that makes a little money and a business that shows little profit. While it likely doesn’t make much difference to you whether you are pursuing an activity as a hobby or business, it can significantly impact your federal income tax bill.
President Biden’s Tax Plan Could Raise Taxes on Corporations and the Wealthy
It was not the centerpiece of his campaign, but President Joe Biden took office in January touting a tax plan that he says will help the middle-class Americans by shifting some of their tax burden back to corporations and the wealthy. Among other things, Biden has proposed returning the top individual income tax rate to […]
Portability Ensures that Couples Receive Full Benefit of their Estate Tax Exemptions
The term “portability” describes a provision added to the federal estate tax law in 2010 that allows the surviving spouse’s estate to take advantage of any estate tax exemption that the deceased spouse did not use. Until the estate tax exemption was made portable, if the estate of the deceased spouse did not take full […]
Revocable vs. Irrevocable Trusts for Estate Planning
Trusts have long provided an estate planning tool for individuals and couples with significant assets who are seeking benefits beyond those offered by a traditional will. However, once you have decided to place your assets in a trust, you must then decide whether a revocable or irrevocable trust will best suit your needs. In essence, […]
Everything You Need to Know About End-of-Year Taxes
The festive month of December not only marks the season of family gatherings, for entrepreneurs and self-employed professionals all over the country, it also signifies the start of the tax season. If you want to get ahead of these looming deadlines, here are some things you need to keep in mind: What are estimated taxes? How […]
