How to Get Your S-Corp Acceptance Letter from the IRS

Posted by on Nov 8, 2023 in S-Corp, Small Business Tax |

Your S-Corp Request and Acceptance Letter An S-Corp has its advantages and disadvantages and these must be considered before you choose this tax status. It’s not automatic. Before you choose to go down this path you should know that in order to qualify as an S-Corp you first must meet the following requirements: Have no more than 100 shareholders Individuals who are shareholders must generally be U.S. citizens or U.S. residents (trusts and...

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How to Take Money Out of an S-Corp

Posted by on Nov 6, 2023 in S-Corp |

So you’ve set up your S-corp and now are at the point where you need to take money out. What’s the best way to do it? Will I have to pay tax on the money? These are all common questions for new S-Corp owners. We will go over the different payments and discuss the impact they can have on your taxes. Distributions S-Corporations are pass-through entities. This means that the income that the business makes will be passed on to the owners who then...

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Can an LLC Have Employees

Posted by on Oct 23, 2023 in Small Business Tax |

All big businesses were once small businesses. Many were small mom and pop shops or one-person operations. You may be in a situation now where sales has improved and you are thinking about hiring your LLC’s first employee. Congratulations! That’s a great accomplishment but, now that you will wear the hat of an employer, there will be new responsibilities to be aware of. A good starting point when determining if, or when, to make your first hire...

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Does an S-Corp Get a 1099

Posted by on Oct 22, 2023 in S-Corp |

Form 1099 is just one of several statements that are issued to report activity for the prior year. When are they due? Do I have to provide them to certain people? Does an S-Corp get a 1099? We’ll discuss these topics and more. If you are thinking about starting an S-Corp, or have business relationships with S-Corps, it is important that you understand the rules and potential reporting obligations.   Who Should Get a 1099 A “1099” is a...

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Bookkeeping for Gas Stations

Posted by on Oct 15, 2023 in Small Business Tax |

If you own a gas a station you likely already have plenty of responsibilities. Bookkeeping is probably not at the top of your list but it should be. Your bookkeeping is the compass of your gas station business. It guides you and helps you make better business decisions. Are certain types of gas selling better on certain days? Are promotions effective? Is your profit margin increasing or decreasing? These are questions that you can only answer...

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Pros and Cons of Limited Liability Company (LLC) Partnership

Posted by on Nov 18, 2021 in Small Business Tax |

When starting a business the entity structure can be a source of confusion. However it’s not a decision to take lightly because the business structure can have an impact on not only your liability risk but also your taxes. If you have more than one owner you have choices. What is a Partnership? On a basic level a partnership is a business with at least two owners. A partnership is a pass-through entity which simply means that the profits and...

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