I am looking at my business taxes. There is a section for
Hello, I am looking at my business taxes. There is a section for depreciation schedule for the year. do I record the current depreciation from that schedule into my accounting system? If so, I would debit depreciation expense and credit accumulated depreciation for the tax year, correct? The confusion is I see Federal and Maryland Depreciation which do I record?
I have a small business and I have a mortgage on a rental
I have a small business and I have a mortgage on a rental property. My business is about to receive enough money to pay off the mortgage. My idea was to have my business buy my rental property from me and use that big purchase as a business expense, then have the renters pay my company, & I would report the income from the property that I receive monthly as business income for my business. Is this legal, and can I claim the purchase as a business expense so long as I report the income from the property on the business taxes and pay all the property taxes etc?
Sr Financial & Tax Consultant
If a couple is married, both living in CT, one is working in
If a couple is married, both living in CT, one is working in NYC, the other has a CT home business - the wage earner working in NYC has NYC taxes withheld from their pay, but the at-home worker in CT makes more money so the percentage of tax due to NYC based on the income earned in the city is inflated because the partner is bringing the NYC partner into a higher tax bracket. Is there a remedy for this? Why should the CT business owner have to pay NYC taxes?
My husband elected to change his business tax filing status
Hi there! My husband elected to change his business tax filing status from single member LLC to LLC taxed as an S-corp effective Jan 1, 2016. He made the change because we'd like to sell the business in a few years and our attorney said that this conversion would make it easier. I haven't been very involved with his business in the past, but since I recently completed my accounting degree, he would like me to take a bigger role. Prior to this, we had a family friend doing his books & taxes, but I'm realizing now that may have been a big mistake. As I'm in the process of setting up his "new" books, I have a few questions related to assets and equity. He had one truck (acquired in 2008 for about $50k, brand new) that will continue to be used for business (approx 95% business usage). He also has various pieces of office equipment (acquired in 2010) that have been fully depreciated on past on his Schedule C. My understanding is that to "move" the assets to the S-corp books as contributed capital, I'm supposed to do so at FMV as of the date of conversion, correct? How do I do this when, in the case of the office equipment, it's FMV is now negligible? Also, regarding his truck, I think it was depreciated incorrectly on prior returns (2008-2013). From what I can see, it looks like only $26k in depreciation was taken over those years. My understanding is that you only get 5 years to depreciate vehicles...and with the books still showing $24k left to depreciate, are we out of luck? Is there a way to "move" this unused depreciation over to the S-corp and take it on future returns? If not, how do I record his truck contribution on the new books? Any help on these issues would be greatly appreciated!JA: The Accountant will know how to help. Is there anything else the Accountant should be aware of?Customer: I think those are the major issues.
I paid $40,000 in back taxes to the city of Philadelphia.
I paid $40,000 in back taxes to the city of Philadelphia. Can I write this off next year on my Federal and State Tax?JA: The Accountant will know how to help. Please tell me more, so we can help you best.Customer: there is no more to tell. If I had paid the tax as required this would have come out of my federal and state taxes as non taxable income. Retroactively can I do this?JA: Is there anything else important you think the Accountant should know?Customer: no
I filed my business taxes as being self employed last year
I filed my business taxes as being self employed last year but I now need to go back and do a w2 as being an employer of the business which means I will owe taxes(fed, state, medicaid). Is that possible to do? Filing 940, 944 and submitting w2 info that late
Vocational, Technical or Trade School
Currently, my father in-law pays my wife a salary and takes
Currently, my father in-law pays my wife a salary and takes out taxes, social security etc.We formed a LLC. We are wondering if my father in-law paid the LLC vs. my wife, if there are tax advantages for us or would we have to pay more because of state business tax on that income + state taxes, fed, and social security?
We prepared inhouse, business tax retrun, 1120s. this
we prepared inhouse , business tax retrun, 1120s. for efile this return, software asks for Tax prepared ID number or efin number. As it is prepared as a "self preparer" we dont have any of above mentioned number. I called IRS, they said to apply for efin number. But it seems long procedure. And size of business is so small , it is not worthwhile. So which is most cost effective method to efile business tax retuen 1120s? And NYS IT 201?