Understanding the tax responsibilities that come with starting a business
Small business owners have a variety of tax responsibilities. The IRS knows that understanding and meeting tax obligations is vital to the success of all businesses, especially a new one. IRS.gov has the resources and information to help people through the process of starting a new business.
Here are some tips for new entrepreneurs:
Choose a business structure.
The form of business determines which income tax return a business taxpayer needs to file. The most common business structures are:
- Sole proprietorship: An unincorporated business owned by an individual. There’s no distinction between the taxpayer and their business.
- Partnership: An unincorporated business with ownership shared between two or more people.
- Corporation: Also known as a C corporation. It’s a separate entity owned by shareholders.
- S Corporation: A corporation that elects to pass corporate income, losses, deductions and credits through to the shareholders.
- Limited Liability Company: A business structure allowed by state statute.
IRS: Tax relief now available to Ida victims in Pennsylvania; Oct. 15 deadline, other dates extended to Jan. 3
WASHINGTON — Victims of Hurricane Ida in parts of Pennsylvania now have until Jan. 3, 2022, to file various individual and business tax returns and make tax payments, the Internal Revenue Service announced today. The IRS has also provided relief to Ida victims in Louisiana, Mississippi, New Jersey and New York.
The IRS is offering relief to any area designated by the Federal Emergency Management Agency (FEMA) as qualifying for individual or public assistance. Currently, this includes Bucks, Chester, Delaware, Montgomery, Philadelphia and York counties, but taxpayers in Ida-impacted localities in other parts of Pennsylvania, subsequently designated by FEMA, will automatically receive the same filing and payment relief. The current list of eligible localities is available on the disaster relief page on IRS.gov.
Renewed tax credit can help employers hire workers; key certification requirement applies
IRS in there latest release (Issue Number:IR-2021-184) covers about the tax credit help for employers.
WASHINGTON – With many businesses facing a tight job market, the Internal Revenue Service reminds employers to check out a valuable tax credit available to them for hiring long-term unemployment recipients and other groups of workers facing significant barriers to employment.
During National Small Business Week, the IRS is highlighting tax benefits and resources designed to help new and existing small businesses. For any business now hiring, the Work Opportunity Tax Credit (WOTC) may help.
IRS resources to help small business employers understand and meet their tax responsibilities
This is National Small Business Week. The IRS acknowledges that small business employers have unique tax responsibilities, and they make valuable contributions to the economy. The agency has a variety of information and resources to help employers understand and meet these unique tax responsibilities. Most of these resources are available anytime at IRS.gov.
Due to the COVID-19 pandemic, new legislation was enacted to aid not only struggling business owners, but also individuals. Employers have direct access to people who may be eligible for advance Child Tax Credit payments. The IRS is asking employers to help spread the word about these payments during National Small Business Week.
Materials for employers and others who can help are available on the IRS website at 2021 Child Tax Credit and Advance Child Tax Credit Payments: Resources and Guidance. Continue reading
Women In Trucking Association to offer LeadHER Trucking mentor program
Oprah Winfrey once said, “A mentor is someone who allows you to see the hope inside yourself.” We know that mentors are important to each of us in advancing our careers and finding the hope inside ourselves. The Women In Trucking Association (WIT) is offering a program focused on matching female drivers who are new to the industry, with women who have been behind the wheel for years.
In an effort to understand the needs of female commercial drivers WIT partnered with Sawgrass Logistics to conduct research identifying their challenges. One of the questions involved their driver training and whether they were offered a mentor or not. Unfortunately, 84 percent said they had not been given the option to work with a mentor. Those drivers who were provided with a mentor reported that twelve percent were matched with a male mentor and only three percent were given a female mentor.
August 31 is the deadline and just 9 days to go, efile Form 2290 today.
Tax2290.com is the fastest and easiest website to efile 2290 HVUT returns with the IR, the best way to Receive the Schedule 1 proof copy instantly.
The Form 2290 to report and pay the Federal Heavy Highway Vehicle Use Tax returns with the IRS for the Tax Filing Period July 2021 through June 2022 is now due for renewal. It’s trucker tax season again. Taxpayers who register, or are required to register, large trucks and buses should get ready to file Tax Year 2021 Form 2290, Heavy Highway Vehicle Use Tax Return.
Fierceness and female drivers
If you were asked to name the fiercest animal in the animal kingdom, how would you respond? Would your initial reaction be to say it would be a bear, a lion, or a tiger? How about a snake or crocodile?
Notice I used the word, “fiercest,” and not words like intimidating, scary or deadly. One of the definitions of fierce is, “intense in activity or feeling, vigorous or ardent.” I used this term because I think the most amazing and intense and vigorous animal is the hummingbird.
Support in advancing our mission
For fourteen years the Women In Trucking Association has been the only organization whose mission is to encourage and advance the employment of women in trucking. We have always represented ALL women in the industry, or as we like to say, the women who design, build, fix, drive, or own trucks.
Since 2007, we have been the lone voice for our members, but now that is changing. We are being joined by other groups that share our goal to bring more women into the industry. We are extremely proud to be an integral part of three national initiatives.
The first step of good tax planning is good recordkeeping
Year-round tax planning is for everyone. An important part of that is recordkeeping. Gathering tax documents throughout the year and having an organized recordkeeping system can make it easier when it comes to filing a tax return or understanding a letter from the IRS.
Good records help:
Identify sources of income. Taxpayers may receive money or property from a variety of sources. The records can identify the sources of income and help separate business from nonbusiness income and taxable from nontaxable income.