5 Tax Tips for
Starting a Business
you start a business, a key to your success is to know your
You may not only need to know
about income tax rules but also about payroll tax rules.
Here are five tax tips that
can help you get your business off to a good start:
An early choice you need to make is to decide on the type of
structure for your business. The most common types are sole
proprietor, partnership and corporation. The type of business
you choose will determine which tax forms you will file.
There are four general types of business taxes. They are
income tax, self-employment tax, employment tax and excise
tax. In most cases, the types of tax your business pays
depends on the type of business structure you set up. You may
need to make estimated tax payments. If you do, use IRS Direct
Pay to pay them. It's a fast, easy and secure way to pay from
your checking or savings account. Don't hesitate to call if
you need assistance or have any questions about IRS Direct
Employer Identification Number.
You may need to get an EIN for federal tax purposes. Call the
office to find out if you need this number. If you do, help is
available to make sure this process goes smoothly.
An accounting method is a set of rules that you use to
determine when to report income and expenses. You must use a
consistent method. The two that are most common are the cash
and accrual methods. Under the cash method, you normally
report income and deduct expenses in the year that you receive
or pay them. Under the accrual method, you generally report
income and deduct expenses in the year that you earn or incur
them. This is true even if you get the income or pay the
expense in a later year.
Employee Health Care.
The Small Business Health Care Tax Credit helps small
businesses and tax-exempt organizations pay for health care
coverage they offer their employees. A small employer is
eligible for the credit if it has fewer than 25 employees who
work full-time, or a combination of full-time and part-time.
The maximum credit is 50 percent of premiums paid for small
business employers and 35 percent of premiums paid for small
tax-exempt employers, such as charities.
The employer shared responsibility provisions of the
Affordable Care Act affect employers employing at least a
certain number of employees (generally 50 full-time employees
or a combination of full-time and part-time employees). These
employers' are called applicable large employers. ALEs must
either offer minimum essential coverage that is "affordable"
and that provides "minimum value" to their full-time employees
(and their dependents), or potentially make an employer shared
responsibility payment to the IRS. The vast majority of
employers will fall below the ALE threshold number of
employees and, therefore, will not be subject to the employer
shared responsibility provisions.
Employers also have information reporting responsibilities
regarding minimum essential coverage they offer or provide to
their full-time employees. Employers must send reports to
employees and to the IRS on new forms the IRS created for this
Give the office a call if you're thinking about starting a
business but don't know where -- or how -- to start.
SMEED CPA Adds Financial
Services To Help Clients With
Investments & Insurance
often we here at SMEED CPA are asked about financial issues
that impact our clients investments and their portfolios.
We always offered our opinion and suggestions but in order to
help our clients actually execute the changes we suggest,
SMEED has created a Financial Services division.
SMEED Financial Services, Inc. will be able to
work with both individual and business clients on their
investment portfolios and manage assets on their behalf.
SMEED Financial will include Michael Uadiale,
ACA, CPA, CGMA; and Pablo Blanco who has
recently joined SMEED and comes with over 18 years of
financial sales and advising experience with affluent
Watch your inbox and mail boxes for more specific information
on services SMEED Financial Services, Inc will make available
Would You Give Me Your
Feedback & Testimonial
on Our Hotline?
Hello it’s Michael Uadiale, CPA of
SMEED CPA Inc. We’ve just installed a toll-free
number that I would like for you to call and tell me how you
think we are doing as your CPA firm.
Just dial 800-609-9006
extension 3638 and follow the instructions. If we’ve
done a good job please let me know. And if we can
improve on anything, please mention that too.
Us Be Found on
Also as we expand our business,
we find more and more people are using
YELP and Google
to look for us by searching Brentwood accountant or
When they do this we want to
be FOUND on GOOGLE. One way you can help us
is to give us an
ONLINE REVIEW on our Google Maps/Places listing --->
or check us out at our YELP local listing
click here to go to our Google Listing for SMEED CPA and
click on the
YELP link to go there.
Scroll down to the Review area.
On either site it may say: Been here?
Rate and review
You will click on the Rate and
review link and then log in, then
give us a review!
You can choose between 1 and 5
STARS and write in what you think about the tax or accounting
work we have done for you.
It's that simple. Thank
you in advance for your help and cooperation!
As always you can call our offices if you have any
questions about these or any other accounting related issues, at
Regards, Michael Uadiale, CPA,
Managing Partner, SMEED CPA,