Business owners are preparing to file for taxes under a whole new federal income tax regime. The Tax Cuts and Jobs Act (TCJA) passed last year led to the biggest change to the tax code in decades. A number of these changes directly impact small and medium sized businesses. Three specific changes to keep in mind when gathering data and documents for your returns include:
Legal tools can help the longevity of a family business. Two options to consider when aiming to keep a family business in the family include trusts and shareholder or buy-sell agreements.
The Tax Cuts and Jobs Act (TCJA) led to major tax reform. One specific section of the Act has produced some confusion for small business owners: the qualified business income deduction. This deduction has gone into effect for 2018 tax returns. As such, it is important to have a basic understanding of how the deduction could impact your taxes related to your business income.
Understanding elements of business law is essential for new business owners. The United States Small Business Administration (SBA) reports there are 30.2 million small businesses in the United States. This translates to 99.9 percent of all businesses in the country. Small businesses provided new jobs for over 1.9 million workers in 2018 alone. Roughly 400,000 businesses are started every month, of which about 10% hire employees.
A strong tax planning strategy can save your business money. Amazon received press earlier this year after its tax bill became public. The retail giant paid only $1.4 billion in income taxes between 2008 and 2017. This is significantly lower than another giant in the retail market, Walmart. Walmart reportedly paid over $64 billion in income taxes during the same time period.
At some point in time, a business owner may face a lawsuit. This suit could be the result of any number of things such as an employee who alleges employment law violations like discrimination or harassment, a client who has issues with the business' products or services, or a slip and fall accident involving a member of the public.
Clickwrap agreements result when a user clicks a button or checks a box to confirm that he or she accepts the agreed upon terms. Businesses often use these contracts for those who are setting up an email account, using an online banking system or purchasing a product through the Internet.
We are pleased to announce the addition of Braden Burgess to the corporate transactions section at Stephenson Fournier. Mr. Burgess works with a wide range of businesses, from sole proprietors to multinational companies. He guides clients in corporate transactions including mergers and acquisitions, equity financings, and tax strategy and planning, as well as a wide range of contracts such as employment agreements, buy-sell agreements and master service agreements.
Savvy business owners know the importance of a well thought out business plan prior to starting their venture. One specific area to carefully plan for: tax obligations.
There are many advantages to incorporating a business. One of the most notable is the ability to protect yourself from personal liability. In theory, if the business is sued, your personal assets are protected.