Deducting Qualified Business Income

The Tax Cut and Jobs Act of 2017 (TCJA) created a new deduction for small business owners who operate pass-through entities. That includes domestic companies operated as sole proprietorships or through S corporations, partnerships, certain LLCs, trusts, and estates. Income from such entities may allow business owners to deduct 20% of their qualified business income Read more about Deducting Qualified Business Income[…]

New Tax Law Enhances the Appeal of C Corporations

Many owners of private companies have been leery of operating as a regular C corporation because it exposes them to double-taxation of business income. First, a corporate income tax applies to the company’s profits. Second, any dividends that pass to shareholders are subject to personal income taxes. Making matters even more expensive, C corporations don’t Read more about New Tax Law Enhances the Appeal of C Corporations[…]

New Tax Law Enhances the Appeal of C Corporations

Many owners of private companies have been leery of operating as a regular C corporation because it exposes them to double-taxation of business income. First, a corporate income tax applies to the company’s profits. Second, any dividends that pass to shareholders are subject to personal income taxes. Making matters even more expensive, C corporations don’t Read more about New Tax Law Enhances the Appeal of C Corporations[…]

IRS Says Business Meal Deductions Still Apply

The Tax Cuts and Jobs Act (TCJA) of 2017 generally disallowed all deductions for business entertainment, amusement, and recreation. However, the TCJA did not specifically turn thumbs up or down on the deductibility of business meal expenses. Under the old law, business meals were partially tax deductible, but some questioned whether that was still the Read more about IRS Says Business Meal Deductions Still Apply[…]