Small Business Tax

Section 179 vehicles should be a key part of your small business tax deduction strategies. Can Section 179 property fit in with your business tax strategies?

Let Business Management Daily help you get each and every rental property depreciation credit and business tax deduction you’re entitled to.

Q: In a recent Mail Call answer, you said a person can deduct donations to some charities in Canada, Mexico and Israel. (5/30/05 issue) Do you have authority for that statement? M.L.

Q: I've been working for a company that is rapidly losing money. I've heard through the grapevine that the owners haven't paid the employment taxes for the past year. Could that cause me trouble personally with the IRS? E.L.C., Cleveland

Nobody's getting any younger. But if you own a small business and you're older than most of your employees, you may be able to max out on your retirement plan and jump-start your nest egg. That's especially true if your company doesn't have a retirement plan in place or you haven't been able to max out on plan contributions.

With the rapid growth of e-filing and online assistance, the IRS will close 68 taxpayer assistance centers in 29 states by year-end.

Starting June 27, if you set up a charitable remainder trust (CRT), you'll need to jump through new IRS hoops.

In a recent article, we discussed several ways to chop down the rising property taxes on your personal residence. (5/30/05 issue) But escalating property taxes aren't limited to homeowners. Small business owners are getting socked lately as the value of their business property has gone up, too.

Before you know it, summer will be over and another school year will be under way. In our last special report, we focused on deducting your child's education costs. But what if you are the one going back to school or enhancing your learning in conferences or seminars? As long as you make the tax grade, you can deduct the work-related education cost as a business expense. But it's easy to flunk out when you file your return. Read on to learn the rules.

Issue: You're paying for time that employees aren't working because they punch each other's timecards.
Risk: Such "buddy punching" can cost companies thousands in wasted payroll dollars.
Action: Stop ...

Q: My mother has extensive medical expenses that aren't fully covered by insurance. But the tax deduction doesn't do her much good because her income is low. Can I deduct the expenses if I pay them for her? L.L., Bangor, Maine

Q: I'm retiring soon and would like to move to a low-tax state. Do you know where I can find this information? J.B., Jericho, N.Y.