What Can Small Businesses Do to Plan for Tax Season?
There are only a few days remaining in 2015. The bad news is your time for tax saving for this year has almost expired. The good news is you still do have a few days to make some moves that can help you save on taxes for your small business. Not every move is right for every company, but many of these options are commonly employed by smaller business, especially when they are looking for a few more deductions at the end of the year. Let’s take a closer look.
Do you need a new truck? Although not every vehicle will qualify, getting a tax break is a great excuse to buy a new heavy truck, van or SUV, as if you needed an extra reason to buy a new truck. These types of vehicles are great for almost any business for day-to-day operations, but they can also give you a great tax deduction thanks to the Section 179 instant depreciation deduction privilege.
Another smart move to make before the year ends is to defer taxable income. If your business is eligible you can defer some of your income from 2015 to 2016, which could lower your tax liability for the current tax year. You can even purchase items in 2015 with a credit card and get the deduction counted towards 2015 even though you won’t pay the bill until 2016.
In addition, you can make payments for bills and other expenses with checks that won’t be deposited until next year, and still get the deduction for 2015. As long as you mail the checks in 2015 it counts towards this year’s taxes. You can also claim 50 percent first-year bonus depreciation for any new software and equipment your company purchases, which is another big tax break for small businesses.
It’s true that the sun is about to set on 2015 for good, but you can still check with GROCO to see how we can help you save money on your small business taxes before 2016 kicks off. Click here or give us a call at 1-877-CPA-2006.
First Half of Current Fiscal Year a Record-Breaker for U.S. Treasury
It’s been another record year for the federal government so far, which is in the midst of its current fiscal year. At the end of March, when the government reached its halfway point of the 2016 fiscal year, it had already collected $1.48 trillion. One might think that this massive haul would help ease the…
Why Is Almost Half the Country Paying no Federal Income Tax?
One of the biggest tax debates that will likely always exist is whether or not the nation’s wealthy are paying enough in taxes? It’s easy for some to argue that they don’t but there are many factors that must be considered. Plus, all the while, nearly half of the country’s would-be taxpayers don’t actually pay…
Where Is Your Paycheck Going?
While many of the nation’s high net-worth individuals make much of their income through capital gains, those who still collect a paycheck are doling out of cash to the IRS every time they get paid. The same is true for all taxpayers no matter what income level they fall in. In fact, according to a…
Should the IRS File Your Taxes for You?
Imagine a world where you didn’t have to file your own taxes. Of course, you can use an experienced and professional tax and accounting firm like GROCO to do your taxes for you, but what if you didn’t even have to send your tax return information to an accountant? Could that ever really happen? In…