Tax tip to avoid late payment penalties,Taxpayers should keep copies of tax returns and all supporting documents for at least three years. This will help when adjusting withholding, making estimated tax payments, and filing next year’s return. File and pay taxes on time to avoid a potential late filing/ late payment penalty.
Taxpayers can pay tax bills directly from a checking or savings account free with IRS Direct Pay. Taxpayers receive instant confirmation once they’ve made a payment. With IRS Direct Pay, taxpayers can schedule payments up to 30 days in advance. They can change or cancel a payment two business days before the scheduled payment date. Taxpayers who are unable to pay their tax debt immediately may be able to make monthly payments. Before applying for any payment agreement, taxpayers must file all required tax returns.
A retirement plan can provide several tax benefits for you, your business and your employees. Below are few of the benefits :
– Employer contributions are tax deductible
– Assets in the plan grow tax free
– You are able to attract and retain better employees
Tax tip to business owners for petty cash account activities Don’t be nonchalant about keeping accurate records of your petty cash fund. Each time you dip into petty cash, you must make some sort of record in order to keep track of the amount being spent. Reconciliation of your petty cash account regularly will help you finding out where your money has been going and reduce risk of theft.
Tax benefits of Hiring your Kids to work for your Business: If you hire your children as employees to save tax, you can deduct the salaries you pay them. If your child is under 18, you don’t even need to pay Payroll taxes – that is payments such as FUTA and FICA that are required for other employees.
Recent Comments