Recent News & Blog / Business Tax
Understanding and controlling the unemployment tax costs of your business
As an employer, you must pay federal unemployment (FUTA) tax on amounts up to $7,000 paid to each employee as wages during the calendar year. The rate of tax imposed is 6% but can be reduced by a credit (described below). Most employers end up paying an effective FUTA tax rate of 0.6%.
The chances of an IRS audit are low, but business owners should be prepared
Many business owners ask: How can I avoid an IRS audit? The good news is that the odds against being audited are in your favor. In fiscal year 2018, the IRS audited approximately 0.6% of individuals.
What to do if your business receives a “no-match” letter
In the past few months, many businesses and employers nationwide have received “no-match” letters from the Social Security Administration (SSA).
R&E with Angi: What activities qualify for the R & E Credit?
If you have not read our last installment on who can take the R&E Credit, please click here to read that first.
R&E with Angi: Who can take the R & E Credit?
A question we are often asked is, “can my business or industry take the R & E Credit?” In most cases, the answer is “yes, if you have qualifying activities, you can certainly claim the credit no matter what industry you are in.”
It’s a good time to buy business equipment and other depreciable property
There’s good news about the Section 179 depreciation deduction for business property. The election has long provided a tax windfall to businesses, enabling them to claim immediate deductions for qualified assets, instead of taking depreciation deductions over time.
R&E with Angi: Are You an Innovator?
You are a company who feeds on making new products. You are a company who wants to meet customer needs by customizing a current product that you already offer.
Which entity is most suitable for your new or existing business?
The Tax Cuts and Jobs Act (TCJA) has changed the landscape for business taxpayers. That’s because the law introduced a flat 21% federal income tax rate for C corporations. The TCJA also cut individual income tax rates, which apply to sole proprietorships and pass-through entities, including partnerships, S corporations, and LLCs (treated as partnerships for tax purposes). These changes have caused many business owners to ask: What’s the optimal entity choice for me?
Put a number on your midyear performance with the right KPIs
We’ve reached the middle of the calendar year. So how are things going for your business? Conversationally you might say, “Pretty good.” But, analytically, can you put a number on how well you’re doing — or several numbers for that matter?
Consider a Roth 401(k) plan — and make sure employees use it
However, despite the prevalence of employers offering Roth 401(k)s, most employees aren’t choosing to contribute to them. Perhaps it’s because they don’t understand them. If you offer a Roth 401(k) or you’re considering one, educate your employees about the accounts to boost participation.