Small Business Tax Deduction Strategies

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. An employee has requested one hour of unpaid intermittent FMLA leave. Can we require him to use up a half or full day of leave instead?

No one knows if and when a disaster will strike. But the IRS wants you to be prepared for the possibility. The IRS is warning taxpayers to safeguard their records. It points out six simple steps to help protect individuals and businesses concerning disaster preparation.

An employee approved for intermittent FMLA leave says she only needs to take an hour this week. Can she take leave in such a short increment? Could she take even less?

The IRS has yet to issue formal guidance on whether multiple vehicles can qualify for the new vehicle sales tax deduction. But taxpayers can expect some good news on the way. Alert: There’s no limit per taxpayer, an IRS spokesperson recently told tax publisher CCH. Therefore, if you qualify, you can write off sales and excise taxes for two or more vehicles purchased this year.

A 2008 tax law temporarily suspended the rule for required minimum distributions (RMDs) from qualified plans and IRAs for the 2009 tax year, but confusion still exists. To provide assistance to taxpayers, the IRS recently updated the FAQs on its web site.

The IRS may hold an individual personally liable for a “willful” failure to pay employment taxes on time. Even a hands-off business owner could be socked with a seven-figure tax bill, as the following case shows.

Q. Regarding your recent article, Any tax impact if I don't take IRA distributions in '09, I question why you would pay income tax quarterly when the RMD is taken in the last quarter. Is your answer accurate?

The New Jersey Legislature’s Office of Legislative Services has clarified that the state’s new family leave law isn’t to be funded with taxes on retirees’ pension payments.

Under the new economic stimulus law—the American Recovery and Reinvestment Act of 2009—you can deduct state and local taxes paid to purchase a new vehicle. The rules seem straightforward enough, but watch out for a few interesting twists and turns. Strategy: Do the tax homework before you buy a new set of wheels.

Suspending contributions to employees’ retirement accounts can immediately save an organization some cash. As the recession wears on, more businesses are looking at that option. Still, few are actually taking this step, and the ones that are have said it is temporary.