There are tax advantages to working for yourself. Full-time or part-time, if you are self-employed, you can take advantage of a variety of tax breaks. Here are some of those benefits available to entrepreneurs:
If you intend to deduct business travel expenses on your income tax return, you need to keep organized and adequate records. In the event that you are audited, having proper documentation will ensure that you will be able to substantiate your deductions and get the tax savings for which you are eligible.
Are you considering withdrawing funds from your traditional IRA to pay unexpected medical costs?
You may be hesitating because of the 10% penalty imposed on withdrawals made when you're under age 59½. Since the 10% is calculated on the total you withdraw, the tax hit could be substantial. Worse, the penalty typically is not withheld from the cash you receive, so you'll need to come up with the money when you file your tax return.
In the last few years, have you purchased stock in a dot-com that's now out of business? Do you hold other shares that are now worth only pennies? In some cases, you may be able to take a tax loss for a worthless security. Here's a quick look at the tax planning rules:
Would you like to delay paying taxes? Most business owners would answer, “yes!” to this simple question. The good news is that there is a way to defer your taxes. Here’s how:
Small businesses may be missing out on an important new tax savings related to health insurance. The stakes are high in 2014, so DC area small businesses should take these health insurance tax credits into account when doing their financial and tax planning.