If you are a member of the gig economy, you are not alone. Millions of others have made the same choice, voting with their feet and their time, and leaving the world of traditional employment behind. As a member of the gig economy, you have a lot to look forward to, but tax season… Read More
Working at a tender age is an American tradition. What isn’t so traditional is the notion of kids contributing to their own IRA, especially a Roth IRA. But it should be a tradition, because it’s a really good idea. Here’s what you need to know about IRAs for kids. Let’s start with the Roth… Read More
A growing number of people are voting with their skills and leaving the world of traditional employment behind. These are the folks who are opening their own small businesses, the people who are embracing freelancing, and the men and women who are using gig work to make a good income. As this trend continues,… Read More
One of the biggest stories in the world of business is the growing shift toward self-employment. An ever-increasing number of men and women are saying goodbye to their colleagues, their cubicles, and their corporate overlords, choosing instead to make their own way in life. If you are one of these self-employed individuals or a… Read More
If you are running a small business, you have one unwanted partner that will dig into your pocket every year, it’s the IRS. The IRS wants to know what you are doing, how much you are earning and most importantly how much you are paying in taxes, and the tax agency is becoming increasingly aggressive… Read More
Opening the mailbox and finding a letter from the IRS is frightening, but what happens next can be even scarier. The tax agency wields incredible power, and if they claim you owe additional taxes they have many different options for forcing you to pay. When the IRS claims you owe additional money, they will… Read More
The old saying that nothing is certain in life except death and taxes has never been truer, or more frightening. In the current environment, fear of the IRS is creeping in, and nothing will get your heart racing quite as fast as opening the mailbox and finding a letter from the tax agency. When the… Read More
When the individual production activity of a partner is outside his or her capacity as a member of the partnership, the partnership has two choices: Allocate the production income to the partner, and have the partner treat the expenses as unreimbursed partner expenses (UPE). Treat the partner as a 1099 independent contractor for the individual… Read More
If you hire an employee for your Schedule C business, you can qualify for several valuable tax credits. Each credit is different, and certain limitations apply to all or most employer tax credits. Remember, tax credits are the best. They beat deductions. Note the difference below (using the 32 percent bracket): A $1,000 deduction for… Read More
Cryptocurrency has become an incredibly popular way to invest, but the tax side of this virtual coin can be difficult to navigate. The IRS has gone back and forth over the years on it’s stance on cryptocurrency, making it confusing even for the most diligent investors. In March of 2021, the IRS announced Operation Hidden… Read More