As we enter mid-March, taxpayers begin to become very interested in deductions. Following are a few that you may be entitled to claim.
Deductible Expenses
· Office expenses
· Rent or lease payments
· Advertising
· Costs of goods sold
· Insurance costs
· Utilities
· Payments to independent contractors [file form 1099]
· Accounting fees
· Legal fees
· Communication expenses
· Credit Card Interest for business charges
· Travel expenses
· Vehicle expenses
· Business-related meals and entertainment
· Uncollected receivables
· Bank fees on business accounts
· Interest payments on notes
· Excise and fuel taxes
· Employment taxes
· Real estate tax paid on business property
· Special local assessments for repairs or maintenance to business property
· Promotional costs that create goodwill such as sponsoring a youth team
· Business association dues
· Business-related magazines
· Casualty losses
· Beverage services
· Credit bureau fees
· Taxi fares
· Telephone calls made on trips
· Self-employment tax [if applicable]
Sales Tax Deduction Option
The American Jobs Creation Act of 2004 provides all taxpayers with the option to claim a deduction for state and local sales taxes instead of state and local income taxes. If you purchased a high cost item during 2004, you may find that the total sales tax you pay far exceeds your state income tax payment. If so, you should determine whether you should claim a larger deduction by using the IRS Optional State Sales Tax Tables found in IRS Publication 600.
The new sales tax deduction is a windfall for taxpayers in Alaska, Florida, Nevada, Texas, Washington, South Dakota and Wyoming. These states do not tax the income of their residents, which makes the sales tax deduction a very valuable deduction indeed! Regardless, taxpayers in all states should the possibility of claiming a sales tax deduction.
Richard Chapo is CEO of http://www.businesstaxrecovery.com - Obtaining tax refunds for small businesses by finding overlooked tax deductions and credits through a free tax return review.
For many business owners the answer to this quandary is... Read More
The United States is a nation of entrepreneurs. There are... Read More
Just image, you are a small manufacturing company, business has... Read More
One way to maximize your business profits is by reducing... Read More
With the massive losses caused by Katrina, the economy of... Read More
Self-assessment relies on taxpayers voluntarily meeting their tax obligations. This... Read More
"Settle for Pennies on the Dollar! IRS debts settled for... Read More
Many Americans believe that an IRS debt is a debt... Read More
Hit a big one? With more and more gambling establishments,... Read More
Anyone who is closely related to an accountant knows that... Read More
Tilting the Tax Laws in Your Favor.In order to accelerate... Read More
Marketing is a necessary expense in running practically any business... Read More
In a past article I relayed the plight of the... Read More
Over 50% of marriages end in divorce in the United... Read More
As a small business owner or self-employed person, one of... Read More
The means and types of businesses have transformed with advent... Read More
As an employer, you must pay employment taxes if you... Read More
The end of tax filing extensions is quickly approaching. What... Read More
Beware of advertisements that claim to settle tax debts for... Read More
A Federal Tax Lien (FTL) is a legal instrument that... Read More
Many small businesses complain when confronted with the expense of... Read More
As a small business owner, it's wise to familiarize yourself... Read More
All tax authorities to e-commerce transactions should investigate the record... Read More
Import duties continue to be significant elements in the cost... Read More
In elementary school, kids come up with creative excuses why... Read More
April 15 - The most dreaded day of the year... Read More
Deduction of Refinance PointsAny points that you pay in the... Read More
The IRS has obtained civil injunctions against more than 100... Read More
Managing a business small, medium or big requires you to... Read More
The 100 year old investment-banking firm of... Read More
In the rush to get tax returns prepared and filed... Read More
While accountants are reaching for aspirin, millions of Americans are... Read More
One can never underestimate the enthusiasm that politicians have for... Read More
Small Businesses Filing Amended Federal Tax Returns to... Read More
On June 3, 2005, the IRS released guidance on charitable... Read More
If you have employees, you are responsible for paying a... Read More
Adding Your First Additional Stream of IncomeMost new wealth builders... Read More
Six Urban Myths ? Taxation"I am proud to be paying... Read More
The 100 year old investment-banking firm of... Read More
Are you in the middle of a disagreement with the... Read More
Marketing is a necessary expense in running practically any business... Read More
All tax authorities to e-commerce transactions should investigate the record... Read More
You're at your office, or home, and the doorbell rings... Read More
Running a home based business reaps many wonderful tax deductions... Read More
Beware of advertisements that claim to settle tax debts for... Read More
Millions of people file tax return extensions every year. The... Read More
Someone once remarked, "Next to being shot at and missed,... Read More
In a past article I relayed the plight of the... Read More
If you are a Small Business Owner or Self-Employed Person,... Read More
Knock-Knock-KnockWho's there?The IRS!The next quarterly payment of estimated income tax... Read More
Over 50% of marriages end in divorce in the United... Read More
Deducting Your Auto ExpensesAuto deductions are a very complex topic.... Read More
It's a major fear for most Americans: A notice from... Read More
Media reporting of a new EU savings tax directive has... Read More
In the rush to get tax returns prepared and filed... Read More
If your identity is stolen, your finances can quickly become... Read More
Taxpayers have two easy and convenient options for getting copies... Read More
Most people trying to make a crust online (or offline... Read More
Statistics for IndividualsUnfortunately, the IRS increased its rate of auditing... Read More
Recently, I stumbled across a concept that could change your... Read More
One of the most important, but least understood or appreciated... Read More
"Depreciation." For business owners, this word is the one most... Read More
At the present time a company incorporated in the Isle... Read More
As a gentleman was leaving my class recently, he wanted... Read More
As teachers and students head back to school following a... Read More
An early distribution from an Individual Retirement Arrangement (IRA) or... Read More
Tax |