Category Archives: Business Tax

Business Tax

Business Tax Tips

1)      Don’t forget the 1099s. If you paid anyone that is not incorporated $600.00 or  more during the last calendar year, you need to send them a 1099-MISC.  Be sure the name on the 1099 matches the name on the checks you paid to them and that you include their Social Security Number or Tax ID.  Just to make things interesting, you must also send 1099-MISC to anyone to whom you paid $600.00 or more for legal services even if they were incorporated.

2)      If your business is incorporated, remember the due date of your corporate tax return this year is March 15th.  If you can’t file on time, be sure to file for an extension. The penalties for being late can get quite expensive.

3)      If you started your business in 2015, there are a number of important elections you need to consider:  accrual vs. cash basis on your tax return, amortize vs. capitalize organizational expenses, election of inventory method, along with other important elections that can have a lasting effect on your business.

4)      Doing business out of your home? You could qualify to deduct a home office. As long as you maintain a separate space that is used exclusively and regularly for business and your business does not have any other fixed location. This could reduce both income and self employment tax. But beware that if you are incorporated, this won’t work for you.

5)      S-Corporation shareholders can’t deduct the cost of medical insurance paid by their Corporation if they own or are directly related to a 2% or greater stockholder. The good news is they can deduct 100% of the cost of medical insurance on their personal tax return, but to do so they must meet two tests: 1) The cost of said medical insurance must be included in their W-2 for the Corporation. (It is not however subject to FICA.) 2) The W-2 income must be greater than the cost of the health insurance.

6)      If you put your children to work, be sure to pay them. A child can earn up to $6,200 before any income tax is due. If you are a Sole Proprietorship, payment to your children may also escape FICA; but even if you have to pay the FICA, because they are employees of your Corporation, it’s still a good deal for both you and the kids.

7)      If you are not already incorporated, think about converting your business to a Subchapter S Corporation. This will reduce your liability, give you more control over the FICA taxes you pay, enhance business credibility and separate your business from your personal assets.

8)      Choose your accountant carefully. Don’t look for the lowest fee. It’s much more important to get someone with not only the experience to assist you in finding every deduction and tax advantage available, but someone who also will be available to spend time with you learning about your business and teaching you how to get the most out of it.

Pay the Lowest Tax the Law Allows: LLC, Partnership and Corporate Tax Preparation

One of our tax professionals will review your business and personal income tax situation with you. Then our tax professional will work with you to make sure you pay the lowest income tax allowed by law. Our corporate tax preparation service includes tax planning as well. In addition to getting your corporate tax preparation right and completed the first time, our tax professional will also assist you with tax planning to help you reduce next year’s business taxes as well.

The tax professionals at RMS Accounting are here year round to answer your questions and help you with all your business and corporate tax preparation needs. There are no surprises with us, one of our tax preparers will sit down with you and review your information with you, explain what needs to be done and provide you with a written fee quotation. Best of all, the fee we quote is the fee you pay, there are no surprises when you pick up your completed return.

Anyone can put numbers on a tax form. Only the tax professionals at RMS Accounting can help you uncover every deduction the law allows.  At RMS we double check every income tax return. When RMS Accounting prepares your income tax return you can rest assured you are not paying one penny more in tax than is absolutely required.

We stand behind the income tax returns we prepare.  No one wants to be audited, but should it happen you can rest easy because our tax professionals are enrolled to practice before the IRS and they will represent you and your income tax return as filed free of charge. No other tax preparer offers this kind of protection.

Have a question once your return is complete? Our tax professionals are here to answer your income tax questions year round. Once we prepare your income tax return you will receive FREE year round tax help from our tax professionals and tax accountants. At RMS there is never a charge for responding to an IRS notice or answering a client’s tax questions. In fact all RMS Accounting clients receive a FREE year end tax planning consultation.

Call us today at 800-382-1040 for a FREE no obligation consultation.

Business Tax – The RMS difference…

The RMS Accounting Interview is the most thorough you have ever experienced. We provide more than 100 propriety worksheets, designed to discover every imaginable tax-related personal and occupational tax-saving opportunities.
Everything is reviewed for mathematical accuracy, and proper application of tax theory. Nothing is taken for granted. We demand total accuracy in each phase of the preparation of your return.
After computer processing, your return is quality checked one more time for accuracy prior to the preparer signing. We produce a tax return that reflects the lowest tax to which you are entitled.
TAXATION IS NOT A SIDELINE ACTIVITY WITH US – We are full-time, year-round specialists in this profession. Our motivation springs from the philosophy that there is a great deal more involved than merely entering figures on government forms. Regardless of its simplicity or complexity, we handle your tax return with the deepest sense of responsibility.


us FREE:
We will check your completed form, and if we can’t legally and honestly save you AT LEAST our full standard fee,YOU WILL OWE US ABSOLUTELY NOTHING.

Open Year-Round – Free Audit Representation -Over 20 Years of Experience.

There is no need for you to incur the cost of an office, equipment, insurance, FTEs, or reference materials!