My wife comes to me with the following tax saving strategies:
Computer Consulting received $7900 from customers in the last week of December. Can she just hold on to the money and include it in January 2005 receipts?
She would like to purchase a car in the name of Computer Consulting. What are his options?
She would like to employ Jim and Rosa in his computer business.
Comment on whether these would be good tax strategies.
Solution Preview
With the assumption that this is an unincorporated business reporting on a Schedule C, the following responses would be appropriate:
The $7900 of receipts can be held over, but it isn't right and they would be moved back to December if discovered. Granted it is a common practice which also makes it a common area for audit. IRS and State auditors perform cut-off ...
Solution Summary
The solution presents a paragraph in response to each question about income and expense reporting for a small business. The explanations provide possible consequences in using certain strategies.
... such as auditing, penalties of different businesses those pay taxes. ... by providing valuable and cost saving services (Berry ...Tax Savvy for Small Business (12th ed ...
... of the over-60 "depression generation" and their saving behavior. ... We do more than prepare taxes. ... to optimize their profitability and minimize their tax exposure ...
... of the wealth in property in form of the tax and spends ... know that the property will be heavily taxed after death ... In this sense then estate taxes can be said to ...
... cost saving of the $100 billion over the 15 years but ... to pay taxes on the medical devices or the drug ... drug development that would cause an increase in the tax. ...
... CRTC might implement charges and taxes, which will ... alone (eg, Currently focused on long distance savings). ... networks in its marketing strategies to highlight ...
... returns; they help with tax planning, financial ... you establish retirement and savings plans that ... elements influences the entrepreneur's strategy options, and ...
... for the two years transactions = ($3,960) - savings b. The ... it is always better to pay taxes later ... from manipulating recognition of losses for tax purposes when ...
... of one-half of your self-employment tax or your ... expenses on state and federal income taxes related to your ... when, for instance, your income was taxed at low ...
... of existing sources of funding, and cost-saving measures. ... payments are exempt from federal income tax as well as any state income taxes for bondholders ...
