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Title: need to talk about taxes Post by: WEB slicer on May 17, 2014, 02:50:42 AM i started a S corp and need to get educated about tax write offs. if you can help me out i would appreciate it.
thank you. Title: Re: need to talk about taxes Post by: mrhelpful on May 17, 2014, 03:15:17 AM Why not get or talk to good CPA? lol.
It also depends on what your business does in the line of work. Title: Re: need to talk about taxes Post by: WEB slicer on May 17, 2014, 03:25:40 AM never heard of CPA. just looked it up. i plan to go to H&R block this weekend. i'm assuming they are CPA. i'm sure they can provide some good information. but i've noticed that it's usually a good idea to talk to more than one person. some people have more experience or know some tricks that others don't know. the company focus is technology sales and consulting.
Title: Re: need to talk about taxes Post by: jonald_fyookball on May 17, 2014, 11:58:54 PM You can look into r&d tax credits.
Most any expenses for the business are fully deductible. Certain things are partially deductible. (meals and entertainment) are only 50% deductible so you should put them under "travel" If applicable to get the full deduction. Other things are fully Deductible but must be amortized over time. Check on that If you are making large equipment purchases. Then There also cost of good considerations to think about. You also can pay yourself payroll and take some of your profits as dividends, so you pay less social security tax. That's all I can say for now on the forum. Title: Re: need to talk about taxes Post by: WEB slicer on May 18, 2014, 12:20:25 AM i don't know how i would qualify for research and development write offs.
i know meals are deductible but only for business related meals, right? would me being on lunch qualify or only for me and a client? what kind of activities would qualify as entertainment? i don't understand how i would amortize expenses. amortize means to pay off gradually in payments, right? but how does that work when you only pay taxes once a year? how does paying myself equate to paying less social security tax? Title: Re: need to talk about taxes Post by: jonald_fyookball on May 18, 2014, 12:29:37 AM i don't know how i would qualify for research and development write offs. i know meals are deductible but only for business related meals, right? would me being on lunch qualify or only for me and a client? what kind of activities would qualify as entertainment? i don't understand how i would amortize expenses. amortize means to pay off gradually in payments, right? but how does that work when you only pay taxes once a year? how does paying myself equate to paying less social security tax? These are mostly basic questions that you should more more about online... There is a a lot of really available information. With the last point, if you make $100,000 profit and pay yourself a $4000 monthly salary, 4*12=48 the remaining 52k could be paid as a dividend, which you wouldn't pay social security on. Pleas consult your tax professional though. Title: Re: need to talk about taxes Post by: WEB slicer on May 18, 2014, 12:31:04 AM thanks for the tips
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