Tax preparation and planning insights for business owners and individuals with complex needs in Roanoke, VA and beyond. Covers filings, compliance, and proactive strategies to reduce taxes and improve outcomes.
79 articles
May 30, 2025
Q: Can I deduct expenses that provide a personal benefit – like business suits, cosmetic work, therapy, or pet care? A: Almost never. The IRS allows a deduction only when a cost is both “ordinary & necessary” for the business and provides no personal benefit that’s adaptable to everyday life. Rare exceptions exist but require […]
May 22, 2025
Q: Does moving income through a licensing agreement between my S-Corp and a C-Corp safely reduce tax? A: Only if it’s real. The deal must serve a bona-fide business purpose, charge arm’s-length royalties / commissions, and be fully documented – otherwise the IRS can disallow the deduction and you could end up paying tax on […]
May 16, 2025
Q: Does pairing a C-Corp with an S-Corp actually lower your overall tax bill? A: Only in narrow cases. Splitting income lets you defer the second layer of C-Corp tax, but you must leave profits inside the C-Corp for years and avoid Accumulated Earnings Tax penalties. TL;DR Defers double taxation only if profits stay in […]
May 9, 2025
Q: Does the 21% corporate tax rate make a C-Corp cheaper than an S-Corp? A: No. After double taxation and lost pass-through benefits, most owners pay more overall with a C-Corp. TL;DR Corporate tax (21%) plus dividend tax (up to 23.8%) usually exceeds a top-bracket S-Corp rate. You lose the 20% QBI deduction and state […]
May 2, 2025
Q: What happens to my taxes when the Tax Cuts and Jobs Act expires after 2025? A: They almost certainly go up. The 20% QBI deduction vanishes, tax brackets shift higher, AMT thresholds plunge, the standard deduction shrinks, and dozens of “temporary” breaks end – unless Congress extends the legislation. TL;DR QBI gone. Pass-through owners […]
January 2, 2025
2025 and all of its tax deadlines are upon us! Below is a quick guide of the most important dates to keep in mind this calendar year. January 15th: due date to pay 4th quarter estimated taxes. January 31st: Due date to send out 1099s and W-2s to recipients. Due date to file 1099-NECs and […]
January 2, 2024
2024 and all of its tax deadlines are upon us! Below is a quick guide of the most important dates to keep in mind this calendar year. January 16th: due date to pay 4th quarter estimated taxes. January 31st: Due date to send out 1099s and W-2s to recipients. Due date to file 1099-NECs and […]
January 3, 2023
2023 and all of its tax deadlines are upon us! Below is a quick guide of the most important dates to keep in mind this calendar year. January 17th: due date to pay 4th quarter estimated taxes. January 31st: Due date to send out 1099s and W-2s to recipients. Due date to file 1099-NECs and […]
January 3, 2022
2022 and all of its tax deadlines are upon us! Below is a quick guide of the most important dates to keep in mind this calendar year. January 18th: due date to pay 4th quarter estimated taxes. January 31st: Due date to send out 1099s and W-2s to recipients. Due date to file 1099-NECs (formerly […]
January 4, 2021
2021 and all of its tax deadlines are upon us! Below is a quick guide of the most important dates to keep in mind this calendar year. January 15th: due date to pay 4th quarter estimated taxes. February 1st: Due date to send out 1099s and W-2s to recipients. Due date to file 1099-NECs (formerly […]
January 2, 2020
2020 and all of its tax deadlines are upon us! Below is a quick guide of the most important dates to keep in mind this calendar year. January 15th: due date to pay 4th quarter estimated taxes. January 31st: Due date to send out 1099s and W-2s to recipients. Due date to file 1099s/1096s with […]
June 7, 2019
Bookkeeping is the bane of most business owners’ existence. But ignoring our books or putting them on the back burner can be one of the costliest mistakes we ever make. A few years back, SCORE conducted a poll asking entrepreneurs what was the worst part of owning a small business. A whopping 40% answered bookkeeping and taxes. […]