2009 Year-End Tax Planning – Part 2

Year-End Tax Planning for Small Business Owners
For 2009, there are plenty of year-end tax planning opportunities available to the small business owner.  Some new provisions help businesses that have been dramatically affected by the recession while others help businesses that have had very a profitable year.  Below is a general overview of several of the [...]

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Office In Home and Mileage Deductions

There is often a lot of confusion surrounding an office in home and the mileage deduction and the difference between commuting and business miles.  I have heard many accountants over the years selling the deductions like in an infomercial, claiming that by simply setting up an office in the home used exclusively for the business [...]

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Travel Expenses and Business Planning Trips

It is the that time of year again, when most people are on vacation – or at least they wish they were.  With the current heat wave in Portland, many would probably go for an Alaskan cruise right about now.  Whether it is colder weather you are looking for or a tropical paradise, if you [...]

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Oregon Business Tax Increase Update

As many of you may already know, there was a bit of drama last Wednesday in the Oregon Senate when House Bill 3405, which increases taxes on corporations and businesses in Oregon, was derailed by just one vote.  However, Thursday the vote changed and bill passed the Senate,  and now it is on its way [...]

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LLC vs. S-Corporation, Round 1

When setting up a business and deciding on entity type, most people are looking for 1) liability protection and 2) tax savings – specifically lowering self-employment tax liability.  For small businesses, the two best options are the LLC or the S-Corporation, and many tax or legal professionals seem to advocate for one team or the [...]

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Tax Return Adjusting Entries

When you get your corporate, LLC, partnership, or other business tax return from your CPA or tax preparer, do they give you adjusting entries to import or manually input into your accounting system?  Do they review your QuickBooks file and advise you on how to record the transactions in a more effective manner?
Adjusting journal entries [...]

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City of Portland Tax Extension Reminder

We are at the 11th hour for filing tax returns today – hopefully you have filed already or have sent in an extension.
Just a quick, last-minute reminder for those of you who have not yet filed the 2008 return for your corporation, LLC, partnership, or sole proprietorship business and do business in the City of [...]

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Self Rental Recharacterization

We have had passive activity rules for over 20 years and passive income recharacterization rules for close to 15 years, and it is surprising that there is still a lot of confusion and bad advice out there.  In paticular, self-rental income and recharacterization are a prime example – especially for business owners who lease real [...]

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Partnership Late Filing Penalty Abatement

If you have filed a partnership late in the last few years, chances are you received a penalty notice for late filing with a $50 “per partner, per month” late penalty.  I hope none of you simply paid the notice without consulting your CPA or accountant as you may have paid the IRS a penalty [...]

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The IRS Does Not Value Your Time

This is a simple tax issue but surprisingly one that I get a lot of questions on.  Here is the common scenario…
I get a call from a small business owner who recently provided their services to a school at no cost as a “charitable contribution” (or at least in their mind).  The question is always [...]

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