Ronika Khanna CPA,CA

DECEMBER 2, 2022

If you do decide to pay yourself dividends, it is important to ensure that you prepare the proper documentation for Revenue Canada (CRA) and if you live in Quebec, Revenue Quebec (MRQ) since this must be reported as investment income on your personal tax return in the calendar year in which the dividends are paid.

tax return 98

tax return Non-Profits income tax Tax 98

Snyder

JANUARY 3, 2023

But the most important aspect of any business is accounting. All small business owners need to be familiar with basic accounting and bookkeeping, as it gives them a clear picture of the state of their finances, allows them to make informed business decisions, and lets them react to any adverse changes faster.

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xendoo

FEBRUARY 15, 2022

The National Society of Accountants (NSA) reports that tax consultants typically charge between $176 and $457. It may cost more if you are filing more complex and specialized tax forms. It costs $323 on average for an individual filing a tax return Form 1040 and a state return with itemized deductions.

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tax consultant Tax tax return business tax 103

LyfeAccounting

APRIL 27, 2021

But as a CPA who prepared at least hundreds of returns, we can tell you that a tax refund is usually the result of a mistake. A tax refund is a refund of the taxes you OVER paid. So in actuality, you paid more in income taxes than was necessary by law. The Child Tax Credit or CTC. But not really.

Tax 52

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LyfeAccounting

JUNE 24, 2021

Does not file a joint return with the individual’s spouse for tax year 2021 or files it only to claim a refund of withheld income tax or estimated tax paid. Advance Child Care Tax Credit FAQs #4. Question: If my 2020 tax return has not processed yet, will I still get the advance child tax credit payments?

Tax 52

Tax tax return income tax accounting and finance 52

Ronika Khanna CPA,CA

JANUARY 7, 2022

I knew that sometime around February an envelope would appear on my desk with a tax document that I would need to reflect on my tax return. These tax documents (also called tax slips) are referred to as a T4 (and an additional slip called the RL1 in Quebec).

quickbooks 52

quickbooks tax return Non-Profits income tax 52

CPA Practice

APRIL 17, 2023

While the economy and supply chains may still have some hiccups related to the end of the pandemic, one thing is clear: The demand for the services of accounting, finance and tax professionals is growing strong. Unfortunately, there’s also a “critical talent shortage,” says Tom Hood, CPA, a vice president with the AICPA. ( [link] ).

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LyfeAccounting

JANUARY 30, 2021

On the other hand, if you’ve paid very little attention to some of the tax changes or programs then you’ve got a lot to catch up on. Regardless of where you are our team at, LYFE Accounting specializes in business tax returns and we’re ready to help you this year. This is more tied to personal incomes.

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LyfeAccounting

JUNE 11, 2021

Earlier this year, the American Rescue Plan Act of 2021 excluded $10,200 in unemployment compensation when calculating taxable income. But a lot of taxpayers already filed their tax returns and paid the tax on this income. By the end of this post, we want you to be 100% clear on this new unemployment tax refund.

Tax 52

Tax tax return tax preparation accounting and finance 52

LyfeAccounting

DECEMBER 31, 2020

Employees complete Form W-4 so that you (as the employer) can withhold the correct federal income tax from employee pay. If too little tax is withheld, the employee will owe taxes when they file their tax return. If too much tax is withheld, the employee will be due a refund when they file their tax return.

payroll tax 52

payroll tax payroll Tax tax return 52

LyfeAccounting

JULY 1, 2021

But in 1931, Capone was found guilty of 22 counts of federal income tax evasion and was convicted to 11 years in federal prison, in addition to $215,000 plus interest due on back taxes. You see, despite publicly displaying his wealth, Capone never filed a Federal tax return. The FBI didn’t have enough evidence.

Tax 52

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xendoo

APRIL 20, 2021

Just like a traditional brick-and-mortar business, your eCommerce business needs a good bookkeeping system for essential functions like tracking revenues and expenditures and filing tax returns. Choose an Accounting Method. An invoice dated in December would go on December’s books, even if it gets paid in January.

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LyfeAccounting

FEBRUARY 19, 2021

This basically means that the IRS can ignore the business for tax purposes and instead collect taxes through the business owner’s PERSONAL income tax filing. How a Single Member LLC is Taxed. The primary business taxes you will pay are federal income taxes and self-employment taxes.

Tax 52

Tax income tax tax return accounting and finance 52

xendoo

MAY 9, 2021

Under “S” corporation status, the small business owner’s income, losses, deductions, and credits “flow through” to you and are reported on your personal tax returns and assessed at your individual income tax rate. Tax-preferred retirement savings . How is an LLC Different from an S Corporation?

tax return 52

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LyfeAccounting

JULY 12, 2021

This simply means that business profits, losses, and any taxes, pass through to your personal tax return where you pay for those taxes. Second, the self-employed pay taxes on their net earnings also known as profit, and not their revenue. How to Pay Self-Employment Taxes.

Tax 52

Tax income tax payroll tax tax return 52

LyfeAccounting

JUNE 22, 2021

For tax purposes, sole proprietors are considered disregarded entities. All this means is that you do not have to file a business tax return when you file your taxes. Instead, you will file a Schedule C when you file your personal tax return. What Taxes Do You Have to Pay as a Sole Proprietor?

tax return 52

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LyfeAccounting

JANUARY 5, 2021

How Do You Claim Tax Deductible Donations? To claim tax deductible donations, you will have to itemize on your tax return by filing Schedule A of IRS Form 1040 or 1040-SR. A tax professional like the team here at LYFE Accounting will be able to help you decide what is best for you.

Tax 52

Tax tax return audit accounting and finance 52

LyfeAccounting

JUNE 4, 2021

Here at LYFE Accounting, not only do we help people pay themselves correctly as an LLC… …but we’ve also started one of the fastest-growing LLCs according to Inc Magazine and the financial times in 2021. You are simply transferring money from your business to your personal bank account. self-employment taxes.

CPA 52

CPA income tax Tax accounting and finance 52

LyfeAccounting

MAY 3, 2021

But in this post, we want to explain the differences between tax credits vs tax deductions so you can spend your time wisely! Now as tax preparers for many years, finding tax credits and tax deductions for our clients is one of the most satisfying parts of preparing a tax return. Child Tax Credit.

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MyIRSRelief

NOVEMBER 19, 2021

In this article we will go over 10 different tax credits that you may be able to claim in order to reduce your taxable income, and therefore the amount of taxes you owe. My name is Mike Habib and I’m here to tell you about tax credits for this year that can help save you some money. Tax credits to look out for.

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LyfeAccounting

DECEMBER 30, 2020

Are you tired of paying taxes? Taxes stink. But recently, I heard that some people pay very little in taxes. In fact, the president’s tax returns show he paid just $750 in federal income taxes in 2016 and 2017. This helps make the tax system fair. How to Calculate Your Taxes.

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Real Estate Tax income tax Gaming 52

LyfeAccounting

JULY 16, 2021

You did not submit a Schedule 8812 with the original return to claim the Additional Child Tax Credit and are now eligible for the credit after the unemployment compensation exclusion; 2. According to the IRS, you do not need to file an amended return if you fall into one of these categories: 1. the Advance Premium Tax Credit.

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Tax tax return tax preparation income tax 52

LyfeAccounting

MARCH 5, 2021

Sole proprietorship and partnerships are both taxed the same, they just file in different places on their tax returns. Sole proprietors report business income on their individual tax returns, or 1040. And they use Schedule C to report the business income or loss from your business.

Tax 52

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LyfeAccounting

MARCH 10, 2021

5 Things You Should Know About Tax Penalties. Common IRS Tax Penalties and How You Get Penalized. Failing to file a tax return on time. Well, the deadline for filing your federal income tax return and paying any tax you OWE is April 15th (or usually the next business day if April 15th falls on a weekend).

Tax 52

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LyfeAccounting

JANUARY 13, 2021

?. People are paying WAY too much in taxes because they are missing out on tax deductions. More than 2 million people overpay on their income taxes every year because they are missing out on tax deductions that can LEGALLY lower their tax liability. Taxable income. Tax Deductions and Tax Write-offs.

CPA 52

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LyfeAccounting

OCTOBER 27, 2020

Now some people see this every year on their tax return and think it’s just another required payment to the IRS. But an estimated tax penalty is something that you DO NOT have to pay and can be completely avoided. Also, I’m going to show you how to calculate and pay your federal estimated taxes.

Tax 52

Tax tax return income tax Start-ups 52

LyfeAccounting

MAY 12, 2021

Double taxation means the C-Corporation pays taxes on its income and when you take money out, like a dividend, you, as the shareholder, are also taxed. So with a C-Corporation, you are paying taxes twice on the same income. The income is first taxed through the business with corporate income taxes.

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CPA Legal Tax tax return 52

LyfeAccounting

NOVEMBER 16, 2020

For starters, lawmakers have spent the last few months fighting over the next round of relief, including another round of PPP, which has some accountants recommending to their clients that they should hold off on applying for PPP loan forgiveness. Now obviously debt can be especially overwhelming for any person or small business.

payroll 52

payroll income tax Tax accounting and finance 52

LyfeAccounting

JANUARY 14, 2021

If you are self-employed, congratulations, you now have to make tax payments every quarter of the year or Uncle Sam will pay you a visit to drop off interest and penalties. I myself have to pay quarterly tax payments and here at LYFE Accounting, we help business owners pay theirs. Who has to pay quarterly taxes?

Tax 52

Tax accounting and finance tax preparation income tax 52

LyfeAccounting

JULY 9, 2021

Foreign earned income is simply the income you receive for services you performed in a foreign country during which your tax home is in a foreign country. What are Foreign Earned Income Exclusions? So the foreign earned income exclusions mean that you do not have to pay U.S. federal income tax return.

income tax 52

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LyfeAccounting

NOVEMBER 3, 2020

?. Every year, more than 2 million taxpayers overpay their income taxes. This could be due to poor tax planning, or because they’re missing some of the biggest business tax write-offs. Meanwhile, the top 1% are using the tax law to their advantage to minimize their tax liability, oftentimes leaving us clueless….

Tax 52

Tax tax return business tax accounting and finance 52

LyfeAccounting

AUGUST 10, 2021

Other than taking the standard deduction or itemized deduction, there is very little that the average taxpayer can do to lower their income taxes… …outside of contributing to a retirement account to defer taxes until a later date. While for our accounting firm, it might be technology and software.

Real Estate 52

Real Estate Tax tax return tax preparation 52

LyfeAccounting

FEBRUARY 9, 2021

Note, that’s $9,180 more income, even after you take out Federal and State income taxes. In short, S-Corps can greatly reduce your self-employment tax obligation by only paying self-employment tax based on your salary and not on the total business income. Tax Benefits #2: Pass-through Taxation.

Tax 52

Tax audit New Hampshire income tax 52

LyfeAccounting

OCTOBER 29, 2020

With the US presidential election is right around the corner, and since we’re an accounting firm that loves taxes, it’s only right that we make a post discussing President Trump’s Tax Plan vs Former Vice President Joe Biden. A fair tax system should produce similar outcomes. What are the differences? Why does it matter?

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tax planning Tax corporation tax Real Estate 52

LyfeAccounting

APRIL 29, 2021

Lastly, any income after $523,601 or more will be taxed at 37%. Married Filing Jointly Tax Brackets. Married filing jointly meaning you are married by the end of the tax year and want to file your tax return jointly with your spouse. Here are your 2021 taxable income brackets. How Tax Brackets Work!

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Tax tax consultant income tax tax return 52

LyfeAccounting

MAY 5, 2021

For those people, we edited the chart and made a slight adjustment, so you can see their tax rate would be closer to the 40% range. of the 154 million people who filed a tax return in 2018. During the same year, let’s say you earned $100,000 and that puts in you the 24% tax bracket.

Tax 52

Tax Real Estate Start-ups income tax 52

LyfeAccounting

MAY 8, 2021

Well, because these tax write offs for rental property that we’re going to share with you today have the potential to show a LOSS on your property allowing you to reduce your tax liability to zero. Active vs Passive Income Tax Example. And that is even if you had positive cash flow. But here’s the catch.

Real Estate 52

Real Estate Tax Legal audit 52