Category: Small Business
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What options are available to employers who wish to help employees afford the cost of health care?
Provisions of the Affordable Care Act dramatically changed the tax treatment of employer-paid health benefits. Some of the most popular traditional health plans of the recent past now trigger an extremely harsh tax on the employer. Taxes of up to $36,500 per employee per year kicked in on July 1, 2015 for businesses with less than…
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How to compare financial service companies
What are the key differences between your bank and its major competitors? What about your insurance company, payroll service provider or investment company? Would one of them offer you a better deal if you had specific information to make that request? The financial services industry is fiercely competitive and each firm is impressively skilled in promoting…
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Do readers want an accountant’s emotions?
I made an interesting observation this past month: my most popular business writing in the month of September had nothing to do with the many important legal issues in the news that affect small businesses, tax deadlines or money saving tips. The two most popular posts were about my personal feelings and emotions. My first reaction…
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1099 and W2 penalties are higher this year
The Trade Preferences Extension Act of 2015 doubled the amounts of penalties for businesses that mishandle filing of W2 forms for employees and 1099 forms for contractors and customers. W2 is the primary tool for tracking wages and benefits. Form 1099 is one of the IRS’s main weapons in fighting under-reporting by self-employed taxpayers. The recently…
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An easy but overlooked payment solution to avoid credit card risk and fees
It seems that suddenly with less than a week until the new credit card risk policies go into effect, small businesses are finally talking about the issue. I’ve covered the topic with my clients a couple of months ago and posted on LinkedIn and this blog on the topic from a low volume small business…
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Notes on 2015 taxation of small business health plans
INCOMPLETE/UNEDITED – This post consists of notes and a rough draft of an article to be published in early 2016 at the beginning of tax filing season. The article covers the tax liabilities and tax reporting requirements of small businesses that provide employee health benefits in 2015. The requirements for a small business fall into to categories:…
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New report on Sandy devastation to NJ fishing-related businesses
A new report published this month by the National Oceanic and Atmospheric Administration (NOAA), The U.S. Chamber of Commerce and the National Marine Fisheries Service shows the devastating impact of Sandy on New Jersey’s fishing-related businesses. I’ve been speaking and writing about the accounting aspects of this topic for almost three years now based on…
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S corporation vs. single member LLC
This issue comes up again and again in my tax practice: why do business owners and professionals establish S corporations when a single member LLC will suffice? Let professionals continue to set up one owner S corps. Single member LLCs offer the same legal protection but are considered “disregarded entities” for tax purposes. An LLC is…
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Is your small business ready for the change in credit card rules?
We are now only six weeks away from a major shift in financial risk that affects every small business that accepts credit card payments. Yet many small business owners are still unaware of the change or have not considered the immediate impact of this fundamental change in their business. Beginning October 1 2015 a business that accepts a stolen…