The Tax Cuts and Jobs Act (TCJA) tax reform gives you a valuable 20 percent deduction on your pass-through business income if you have the right business and the right taxable income. The S corporation is a pass-through entity. That’s one step in the right direction. But beware: not paying yourself an appropriate salary as …
Did Tax Reform Put More Pressure on S Corporation Reasonable Compensation? Read More »
After New Tax Law, Did Federal Taxation on Social Security Benefits Change? This is one of the most frequently asked questions we get on the new tax law. The basic answer is: No. The rules remain intact. For many Social Security recipients, the benefits aren’t taxed. Others are not so lucky and may have to …
After New Tax Law, Did Federal Taxation on Social Security Benefits Change? Read More »
Employee or Independent Contractor? In order for a business owner to know how to treat payments made to workers for services, he or she must first know the business relationship that exists between the business and the person performing the services. A worker’s status determines what taxes are paid and who is responsible for reporting …