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Advantages of keeping your business separate from its real estate
October 9, 2024
Categories: Business Property, C Corp, Pass-through entity
Does your business require real estate for its operations? Or do you hold property titled under your business’s name? It might be worth reconsidering this strategy. With long-term tax, liability and estate planning advantages, separating real estate ownership from the business may be a wise choice. How taxes affect a sale Businesses that are formed as C corporations treat real estate assets as they do equipment, inventory and other business assets. Any expenses related to owning
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Closing a business involves a number of tax responsibilities
August 22, 2024
Categories: C Corp, Corporate Tax, Form 1065, Form 1120-S, Form 966, Partnership, Schedule C, Scorp, Sole proprietorship
While many facets of the economy have improved this year, the rising cost of living and other economic factors have caused many businesses to close their doors. If this is your situation, we can help you, including taking care of various tax responsibilities. To start with, a business must file a final federal income tax return and some other related forms for the year it closes its doors. The type of return that must be filed depends on the type of business you have. For example: Sole Proprietors will
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Should you convert your business from a C to an S corporation?
July 30, 2024
Categories: C Corp, LIFO, Scorp
Choosing the right business entity has many implications, including the amount of your tax bill. The most common business structures are sole proprietorships, partnerships, limited liability companies, C corporations and S corporations. In some cases, a business may decide to switch from one entity type to another. Although S corporations can provide substantial tax benefits over C corporations in some circumstances, there are potentially costly tax issues that you should assess
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Tax tips when buying the assets of a business
July 24, 2024
Categories: asset purchase, C Corp, PTET
After experiencing a downturn in 2023, merger and acquisition activity in several sectors is rebounding in 2024. If you’re buying a business, you want the best results possible after taxes. You can potentially structure the purchase in two ways: Buy the assets of the business, or Buy the seller’s entity ownership interest if the target business is operated as a corporation, partnership or LLC. In this article, we’re going to focus on buying assets. Asset purchase
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The tax advantages of including debt in a C corporation capital structure
July 18, 2024
Categories: C Corp, Shareholder, Tax rates, TCJA
Let’s say you plan to use a C corporation to operate a newly acquired business or you have an existing C corporation that needs more capital. You should know that the federal tax code treats corporate debt more favorably than corporate equity. So for shareholders of closely held C corporations, it can be a tax-smart move to include in the corporation’s capital structure: Some third-party debt (owed to outside lenders), and/or Some owner debt. Tax rate considerations Let’s
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The tax advantages of including debt in a C corporation capital structure
July 11, 2024
Categories: C Corp, double taxation, Shareholder, Tax rates, TCJA
Let’s say you plan to use a C corporation to operate a newly acquired business or you have an existing C corporation that needs more capital. You should know that the federal tax code treats corporate debt more favorably than corporate equity. So for shareholders of closely held C corporations, it can be a tax-smart move to include in the corporation’s capital structure: Some third-party debt (owed to outside lenders), and/or Some owner debt. Tax rate considerations Let’s
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2023 Q4 tax calendar: Key deadlines for businesses and other employers
September 26, 2023
Categories: #hh, C Corp, Deadlines, Extension, FICA tax, IRA
Here are some of the key tax-related deadlines affecting businesses and other employers during the fourth quarter of 2023. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us to ensure you’re meeting all applicable deadlines and to learn more about the filing requirements. Note: Certain tax-filing and tax-payment deadlines may be postponed for taxpayers who reside in or have businesses in federally declared disaster areas. Monday,