Posts by Bill Wortman
Consultant’s Corner: Sales Tax on Out of State Sales
Question: We are beginning to get out of state orders, how do we handle the sales tax on these out-of-state transactions? State and local sales and use tax laws vary; however, for sales made to customers in the U.S., when a business has no physical presence in a state, it typically has no obligation to…
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State Income Tax Withholding
In most states, 41 in fact, employers are required to withhold state personal income tax from each separate taxable wage payment made to an employee. The states of Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming do not impose a personal income tax on wages or other compensation for services earned…
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Becoming an Employer
As any business grows, it is likely to grow from being just one person to including any number of employees. There might be just one other person, or it could be many more. When it comes time to hire your first employees, it is vitally important to find the right person—but you also must make…
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Is This a Business Trip?
Was that trip really a business trip? Read the article below to learn more about what constitutes a business trip. Requirements to Substantiate a Deduction In order to substantiate the deduction, have the following on hand: All lodging expenditures require a receipt All non-lodging expenditures over $75 require a receipt Keep a contemporaneous tax diary…
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Consultant’s Corner: Tax Lien Certificate Investing – Too Good to be True?
I have been told that there is an investment vehicle available through counties called a “Tax Lien Certificate,” which supposedly offers a high rate of interest and is ‘safe’ to own. I would very much appreciate any information on this subject as it appears to be either “too good to be true” or “one of…
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What Insurance Policies are Deductible?
As a small business entrepreneur, you probably have a variety of forms of insurance related to your business. With some of these policies, you are able to deduct the cost of the premiums you pay from your taxes, while with others you are not able to deduct the premiums. For still others, you can deduct…
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10 Tax Planning Tips
Here are ten tax planning tips to help you make the most of your money. 1. Learn to Work With “What Ifs” The most important planning tool is the ability to project your tax bill for the year and to understand how your tax bill will change based on actions that you take. The process…
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What Do I Need to Know About Sales Tax?
Sales tax is a tax on retail sales transactions. Sales taxes are set up by each individual state and local jurisdiction, and can be administered in a variety of ways. Some sales taxes are on the retailer directly, while others are on the consumer, but collected by the retailer. Exemptions to the tax are also…
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Deducting Car and Truck Expenses
If you use your car or truck in your business, you can deduct the costs of operating and maintaining your vehicle. You can deduct expenses for local transportation and traveling away from home overnight on business. Local Transportation Expenses Local transportation expenses include the ordinary and necessary costs of all of the following: Getting from…
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Federal Taxes
In addition to Social Security and Medicare tax, employers must also withhold federal personal income tax from each separate taxable wage payment made to employees. Employee personal income tax liabilities vary widely, so the exact amount of federal income tax that an employer must withhold from an employee’s pay also varies. Basically, how much federal…
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