12Law Arrow 12Law Arrow  Easy Questions  
12Law Arrow 12Law Arrow Instant Legal Documents
 
 
FINANCIAL & MARITAL

Cohabitation Agreement coming soon!
Separation Agreement coming soon!
No-Fault Divorce coming soon!
Bankruptcy coming soon!
 
 

The Best Tax Deductions for Your Small Business in Zip Code 94151

The Best Tax Deductions for Your Small Business in Zip Code 94151


Since FDR's New Deal, corporations and wealthy families have been non-stop finding new ways to get tax breaks, deregulation and entitlements from the government.
 
- Adam McKay


Legitimate tax deductions can significantly lower your taxes at the end of the business year.

Expenses of Operating a Business

Starting a business involves expenses on utilities, office supplies, repairs and advertising. This can be deducted as current business expenses as long as you already open your doors for business. Business cost can be deducted as capital expenses. You can deduct $5,000 in your first year of business and the remainder can be deducted in equal amounts during the next 15 years.

Bookkeeping, Legal and Professional

Fully deductible as part of a cost of doing business are the business books and those that help you do business without legal and tax professionals. It can also include the fees paid to lawyers, tax professionals, or consultants as long as it is deducted in the year incurred.

Auto Expenses

If you own the vehicle you use for business, you can deduct the cost of operation, maintenance and depreciation of this vehicle to make it road worthy. The rules can be tricky to master but it will be worth your while to know how it is done. There are two available methods of claiming auto expenses:

• Actual expense method•. Keeping track and deduct all the actual expenses.

• Standard mileage rate method. Keeping track of each mile driven plus all the business-related tolls and parking fees.

If the car you use for business is new (purchased in the tax year), the actual expenses method can provide a large deduction during the tax season. If using an actual expense method, you should also include the depreciation in the deduction for the vehicle. You cannot claimed accelerated depreciation deductions in prior years or use the Section 179 deduction for the vehicle.

If you only have one car and are use for both business and pleasure, only the business part will be qualified for a tax deduction. Careful tracking of business use is a must. IRS will not let you get away in claiming a 100% business related use.


Bad Debt

Bad debts because somebody stiffs your business may or may not be deductible depending on the products you sell.

• Goods. You can deduct the cost of goods that you sell but weren't paid for.

• Services. Business that provides services cannot deduct the losses as part of tax deduction.

Business Entertaining

Fifty percent of the cost for entertaining a present or prospective customer can be claimed for deduction if:

• The event is business related and business is discuss like a catered meeting in the office

• The entertainment takes place before or after a business discussion

Make sure to indicate on the receipt the specific business purpose.

Travel

Traveling for business can include the cost of the plane, cost of operating the car, lodging, meals, shipping business materials, phones calls, faxes, tips, taxis and other expenses related to your travel. If you combine business with pleasure, it is okay as long as business is still the primary purpose of the trip.

Interest

If you use your own personal credit card to finance business-related expenses, the interest incurred is tax-deductible. It can also be applied to personal loans where the proceeds is use for business. Just make sure you keep a record that the money was use for business.

New Equipment

Small businesses can write off the full cost of the new assets in the year they buy them, than deducting their cost over the years by capitalizing them.

Moving Expenses

Moving related to business or job can be tax deducted as moving cost. The workplace must be at least 50 miles farther from your old workplace.

Software

Software bought for business must have a depreciating period of 36 months with some important exceptions:

• Computer software placed in service from January 1, 2003 through December 31, 2013 is eligible for a Section 179 deduction, which means that 100% of the cost of software can be deducted in the year purchased.

• When software comes with a computer, and its cost is not separately stated, it's treated as part of the hardware and is depreciated over five years. However, under Section 179, you can write off a whole computer system (including bundled software) in the first year if the total cost is within the Section 179 annual deduction amount.


Charitable Contributions

Your business can make a charitable contribution and pass through the deduction through you as long as the type of business you have is a Partnership, LLC's, or an S corporation. If you own a C corporation the corporation can deduct the charitable contributions.

Taxes

Depending on the type of tax, taxes that incurred in operating the business are generally deductible.

• Sales tax on items you buy for your business's day-to-day operations is deductible as part of the cost of the items; it's not deducted separately. Excise and fuel taxes are separately deductible expenses.

• If your business pays employment taxes, the employer's share is deductible as a business expense.

• Federal income tax paid on business income is never deductible. State income tax can be deducted on your federal return as an itemized deduction, not as a business expense.

• Real estate tax on property used for business is deductible, along with any special local assessments for repairs or maintenance.

Educational Expenses

Educational expenses can be deducted as long as they are related to your occupation or business. The expense must be to improve skills required in your present employment.

Advertising and Promotion

Business cards, yellow page ad, and other advertising are deductible as current expenses. Promotional costs are also deductible as long as there is a clear connection between the business and the sponsorship.

Additional List of Overlooked Business Expenses that can be Routinely Deducted

• promotion and publicity

• seminars and trade shows

• taxi and bus fare

• telephone calls away from the business

• business gifts

• business-related magazines and books

• casual labor and tips

• casualty and theft losses

• coffee and beverage service

• commissions

• office supplies

• online computer services related to business

• parking and meters

• petty cash funds

• postage

• consultant fees

• audiotapes and videotapes related to business skills

• bank service charges

• business association dues

• credit bureau fees

Keep track of the small items that matters like a receipt that can be use to deduct your expenses.

 
Personalize & Print a Free CA Partnership Create This Document
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Related Legal Services near Zip Code 94151
Robert K Johnson
1125 W Avenue M14 Ste B
Palmdale, CA 93551
(661) 575-9811
Attorneys,  Family Law Attorneys,  General Practice Attorneys,  Legal Service Plans,  Bankruptcy Law
Laguna Beach Legal Document Services Aka Legal Assistance Center of Laguna Beach
1400 S Coast Hwy Ste 106
Laguna Beach, CA 92651
(949) 497-9800
Paralegals,  Attorneys,  Family Law Attorneys,  Divorce Attorneys,  Legal Service Plans,  Estate Pla
Wharton James C
PO Box 2166
Livermore, CA 94551
(925) 455-9243
Estate Planning Attorneys,  Attorneys,  Probate Law Attorneys,  Estate Planning, Probate, & Living
Cimino Law Offices
352 3rd St Ste 308
Laguna Beach, CA 92651
(949) 494-9211
International Law Attorneys, Attorneys
L. Rob Werner
27257 1/2 Camp Plenty Rd
Canyon Country, CA 91351
(661) 252-9022
Attorneys,  General Practice Attorneys,  Criminal Law Attorneys,  Family Law Attorneys,  Divorce Att
Fair Divorce Inc.
1125 W Avenue M14
Palmdale, CA 93551
(877) 214-8797
Family Law Attorneys, Attorneys, Divorce Assistance
Windrem Law Firm
5716 Main St
Kelseyville, CA 95451
(707) 279-8700
Attorneys,  General Practice Attorneys,  Legal Service Plans,  Real Estate Attorneys,  Personal Inju
John C. Bigler
1037 West Avenue N #201
Palmdale, CA 93551
(661) 947-8499
Divorce Attorneys, Family Law Attorneys, Attorneys
Challa Law Office PC
2900 Gordon Ave, Suite 100-19
Santa Clara, CA 95051
(408) 733-8472
Immigration Law Attorneys
Anderson & Kriger
41319 12th St W
Palmdale, CA 93551
(661) 273-8333
Construction Law Attorneys, Attorneys
Sheri Laughlin Law Offices
303 Broadway St Ste 204
Laguna Beach, CA 92651
(949) 497-8285
General Practice Attorneys,  Legal Service Plans,  Attorneys,  Family Law Attorneys,  Divorce Attorn
Management Pro Tem
944 Glenneyre St # B
Laguna Beach, CA 92651
(949) 715-8130
Bankruptcy Law Attorneys, Management Consultants, Attorneys
Segall Brian F Law Offices
1409 Glenneyre St
Laguna Beach, CA 92651
(949) 497-8074
General Practice Attorneys, Attorneys, Legal Service Plans
Total Attorneys - Divorce
PO Box 273818
San Miguel, CA 93451
(805) 203-8057
Divorce Attorneys, Attorneys, Family Law Attorneys, Legal Service Plans
Andrade Kimberly A
352 3rd St # 305
Laguna Beach, CA 92651
(949) 494-7785
Family Law Attorneys, General Practice Attorneys, Legal Service Plans, Attorneys
Gerald L Marcus Law Offices
1543 East Palmdale Blvd. #S
Palmdale, CA 93551
(661) 274-7774
Personal Injury Law Attorneys, Attorneys, Legal Service Plans
Ivan Morse
4435 1st St
Livermore, CA 94551
(925) 551-7676
General Practice Attorneys, Attorneys, Estate Planning, Probate, & Living Trusts, Probate Law Attorn
Alemayehu Immigration Law Office Inc.
40005 10th St W
Palmdale, CA 93551
(661) 273-7355
Immigration Law Attorneys, Attorneys, Immigration & Naturalization Consultants, General Practice Att
Skikos Crawford Skikos & Joseph
410 Broadway St Ste 100
Laguna Beach, CA 92651
(415) 546-7300
Accident & Property Damage Attorneys, Personal Injury Law Attorneys, Attorneys
Tri-Valley Process Service
51 Wright Brothers Ave Suite F
Livermore, CA 94551
(925) 336-6540
Divorce Assistance, Private Investigators & Detectives, Foreclosure Services, Process Servers, Attor
Fishman And Associates, CPA
1053 Santa Ana St
Laguna Beach, CA 92651
(949) 288-6405
Accountants-Certified Public,  Bookkeeping,  Taxes-Consultants & Representatives,  Accounting Servic
Storey Scotty J
100 Saratoga Ave
Santa Clara, CA 95051
(408) 920-6300
General Practice Attorneys, Attorneys
Kennard Elizabeth
21203 Jimpson Way
Canyon Country, CA 91351
(661) 259-5998
Paralegals
Empowering Enterprises
21203 Jimpson Way
Canyon Country, CA 91351
(661) 259-5998
Paralegals
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US