My husband and I own a residential/small commercial electrical company. We have 10 employees and 5 trucks. Besides having the cost of insurance on the vehicles, we have to pay workman's comp, payroll taxes, estimated taxes...etc. It seems like every time I turn around, I am getting another letter in the mail telling me I owe some other fee. Is there any kind of program for small businesses that will reduce the taxes, or will we just have to keep on going and pray it gets better? We are already an LLC, we were told that would give us some tax breaks. So far all I see is more bills!
We became an LLC to also keep our personal stuff seperated from our business in case of lawsuits or such.
2007-09-05 09:17:35 · 8 answers · asked by GreeneyedCowgirl 5 in Business & Finance ➔ Taxes ➔ United States
If you want to minimize your tax liabilities and and simplify your tax affairs the best thing you can do is to go and get advice from a company tax consultant. It will be money very well spent.
2007-09-05 09:30:07 · answer #1 · answered by Anonymous · 0⤊ 0⤋
LLC doesn't give you any better tax break than not being an LLC. No program for small businesses to reduce the taxes, just keep accurate records for all income and expenses, and if you feel you can afford it, maybe bring your information to a CPA (things have slowed down this time of year) and have her/him review it to see if you are not taking all the expenses that you are entitled to take. I don't know what state you are in, but I am a CPA in Massachusetts and would be willing to give you some free advice (just remember though, you get what you pay for) to try and help you.
2007-09-05 16:38:27 · answer #2 · answered by Anonymous · 0⤊ 0⤋
The obvious advantage from owning your LLC is to provide liability protection, but do remember to Always seperate business transactions from personal ones.
In addition if you keep a really good book record, there are many ways you are able to deduct your business expense against your tax liabilities. Since you mentioned that you have vehicles, you might want to learn how to maximize your vehicle usage deduction. On the other hand for your employees, there are different compensation plans and employee benefit plans, which if is properly and purposely setup, could save you large amount of taxes.
This website has products regarding to business tax saving strategies:
2007-09-05 17:54:50 · answer #3 · answered by Finance Girl 1 · 1⤊ 1⤋
Sorry, no tax breaks for LLC. LLC's only advantage is keeping personal stuff separate from company stuff. Good luck to you and your husband. My hubby and I just closed our electrical LLC.
2007-09-05 16:26:25 · answer #4 · answered by momofmodi 4 · 0⤊ 0⤋
LLCs offer no tax breaks. The advantage is the legal separation from your personal items.
2007-09-05 16:22:02 · answer #5 · answered by Wayne Z 7 · 0⤊ 0⤋
Recently, I have received a form "ANNUAL MINUTES DISCLOSURE STATEMENT" FOR A CALIFORNIA CORPORATION # xxxx. It said that it "is to be replied no later than September 10, 2007." Fees required were $125.
I was confused, so I contacted a CPA. Within a few minutes I received this reply: "This is solicitation, so please ignore it. They are smart in selling, made it like govt publication."
Then I again checked the form, and it was evident to me that it was not from CA State. In short, if you receive any mail telling you that owe a fee, then double check to make sure that it is not a solicitation.
2007-09-05 16:37:46 · answer #6 · answered by MukatA 6 · 1⤊ 1⤋
Take some seminars for from SBC. They are offered by local counties. At least in NJ.
2007-09-05 16:22:56 · answer #7 · answered by Anonymous · 0⤊ 0⤋
You seem very driven. Wish you worked with me.
Click here for a 8 minute audio overview.
http://www.arbonne.com/company/sizzle.html
2007-09-05 16:22:30 · answer #8 · answered by coloradolivn 1 · 0⤊ 2⤋