Customer Based Tax Incentives For Businesses

May 1, 2017 Shamsey Oloko Leave a comment Business Expenses, Disabled Access Credit, IRC Section 162, Ordinary and Necessary Expenses

Taking advantage of tax incentives makes good sense for businesses. One reason a business owner should use tax incentives is to help underwrite the cost of maintaining its existing customer base, while continually striving to increase it. Whether a sole proprietorship, partnership, corporation, S corporation, or limited liability company (LLC), certain customer-based tax incentives may help a business reduce taxes.

The first priority for the owner of a business enterprise is to reduce taxable income by taking all of the deductions to which it’s entitled as business expenses. If the expense is ordinary and necessary to the business, it may be deducted under I.R.C. § 162. As defined by the Supreme Court:

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Tax Treatment of Business Entities Part 3: Partnership

January 30, 2017 Shamsey Oloko Leave a comment Business Expenses, Partnership Tax, Taxable Income

Startup business owners must consider the legal and tax considerations associated with selecting a particular type of business structure. This is the third part of a series of blogs on the tax treatment of business entities. This blog will address the tax treatment of partnerships.

A partnership is an association of two or more persons who carry on a trade or business. Each partner shares in the profits and losses of the business enterprise, while contributing money, property, labor or skill to its operation.

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Tax Treatment of Business Entities Part 1: Introduction

January 25, 2017 Shamsey Oloko Leave a comment Business Expenses, Corporate Tax, Limited Liability Companies, Ordinary and Necessary Expenses, Partnership Tax, S Corporations, Taxable Income

When starting a business enterprise, one of the most significant and important decisions to make is the choice regarding the legal form to use in operating the business. The alternatives include sole proprietorship, partnership, corporation (C corporation), S corporation, and limited liability company (LLC). Startup business owners must consider the legal and tax considerations associated with selecting a particular type of business structure. This is the first part of a series of blogs on the tax treatment of business entities.

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Is Income Of An LLC Member Subject To Self-Employment Tax?

January 23, 2017 Shamsey Oloko Leave a comment Self-Employment Tax

Unlike corporations which are treated as separate tax entities, the IRS and the Tax Code treat LLCs as “pass-through” entities. Thus, an LLC or “Limited Liability Company” is a business structure that combines the pass-through taxation of a partnership or sole proprietorship with the limited liability of a corporation. The IRS treats an LLC like a sole proprietorship or a partnership, depending on the number of members.

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Extending Time To File A New York State Income Tax Return

August 3, 2016 Shamsey Oloko Leave a comment New York Income Tax, New York State Tax, New York State Tax Law

It’s no surprise that not every taxpayer timely prepares and files their taxes in any given year. Whether there are no funds available to pay the tax bill or there is simply insufficient time to prepare the return, a variety of reasons exist for this failure. However, a little information and foresight may alleviate the stress caused by the realization that a tax return will be untimely filed. The tax professonals at the Thorgood Law Firm can help any New York taxpayer deal with any looming tax deadline.

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