If you are a small-business owner, you are undoubtedly on the lookout for any and all ways that you can save your company some money. One way to save money is to take advantage of tax breaks, and to make sure you receive the highest return at the end of the year possible. The following article may be able to help you out, as it outlines some tax tips for small-business owners. For more information about help with your taxes, speak with one or two tax experts, such as the ones you can find at Arbitrage Compliance Specialists.
Tax Tips for Small-Business Owners
Running a small business can be hard work, and anything you can do to give yourself a leg up would be advantageous. Since tax season is right around the corner, now is the time to make sure you are doing everything you can to save money. If you are hoping to take advantage of the many tax breaks available to small-business owners, the following list may be able to help you out, as it offers some tips for doing just that.
- Take advantage of the Small Business Jobs Act: This bill was developed in 2010, and many of the tax deductions for small businesses (17 in total) can be implemented in the 2013 fiscal year. Make sure you are aware of what deductions can be applied for your small business, and take advantage of them.
- Look into tax breaks from the Affordable Care Act: The Affordable Care Act allows small-business owners to put 35% of the health insurance premiums it pays to cover their workers towards tax credits. This amount will increase to 50% in 2014, so make sure you take advantage of this aspect of the law.
- Keep immaculate records: Not only will keeping immaculate records make your tax accountant’s job easier but it will allow you to take advantage of more tax incentives and deductions, and will help you out immensely if you get audited.
- Avoid IRS traps that may get you audited: Small-business owners are more susceptible to IRS audits than anyone else. To avoid being audited, be careful when deducting home office expenses and payroll taxes. Do not sign up every employee as an independent contractor, especially if you are unsure of what that means.
- Ask an expert for help: No one should do their taxes by themselves, and this is even more true when it comes to small-business owners. Taxes can be complicated, and you want to avoid getting penalties or incurring interest on your taxes. In addition, experts such as those at Arbitrage Compliance Specialists can help you take advantage of all of the tax incentives and rebates that are available to small-business owners.