Questions specific to small businesses, generally under 100 employees and revenues less than $1,000,000.

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3
votes
1answer
71 views

Starting a new online business

I have just started to work on an online business mode website. My dream is to make it live and bring revenue from the website. However, the project is in Incubator phase. In this situation, can i ...
1
vote
1answer
72 views

Can I count a 2015 expense, if I paid the bill in 2016? [duplicate]

I incurred an expense in 2015, put it on a credit card, but didn't pay it off until January 2016, can I count that as an expense for 2015?
3
votes
0answers
59 views

How to report house used for 100% business?

Self employed as sole proprietor, was using 1/3 of home as home office. Have moved across state line to new house on July 1st, but keeping old house solely to see existing clientele for the ...
0
votes
1answer
44 views

How to have a small capital investment in US if I am out of the country?

I would like to invest some money in US, but I don't know how I can grow my money or what business can be a good choice for my small capital (hundred of dollars). I am located at Mexico.
3
votes
1answer
36 views

Income tax exemptions for small business?

I'm a single, young engineer in CA making 100k/year and paying approximately 35k income tax per year. I'm planning to start a side business next january, and setting up the business has been consuming ...
3
votes
1answer
163 views

What happens to your spouse's sole proprietorship if they die?

In this case, it is a construction company located in the United States. It is owned by one spouse, all bank accounts/credit cards etc. are co-signed by both. However, the business is a sole ...
7
votes
1answer
258 views

Can I deduct coffee as a business expense if I work from cafés? (UK)

I have a UK limited company of which I am the sole director and employee. I work from home most days, but occasionally work from my laptop in a local coffee shop when I need to get out of the house. ...
1
vote
1answer
34 views

California resident, Delaware C-Corp - Taxes for 1-person software freelancer?

I'm a one person software contractor / freelancer / app store developer who lives in California (although I spend most of my year traveling to other places). I incorporated a Delaware c-corp earlier ...
1
vote
0answers
36 views

Finding funding for a not-for-profit vs a for-profit [closed]

I am planning on registering a business in Canada in the near future. I am developing a tool, the longterm goal of which is to improve conditions in impoverished areas of the world. However, this tool ...
3
votes
2answers
74 views

Charging sales tax for goods sold out of state?

Do I need to charge sales tax for goods sold in DC if I'm a florist based in Oregon (a no sales tax state)?
3
votes
1answer
133 views

Using cash back rewards from business credit card

Are there any tax constraint I should be aware of when using cash back rewards from a business credit card (a C-Corporation with just 1 person, me)? Would taxes go through directly to me for using the ...
0
votes
1answer
81 views

When to register for a bank account for a C-Corp with no official money

In Feb this year, I registered a C-Corp for administrative purposes only (for things that require a DUNS number, e.g., to get an Apple Enterprise Dev account, etc) and have thus far not passed any ...
0
votes
0answers
40 views

Home Office Rent Expense Payment via C-Corp

I am a 1 person incorporated C-Corp software development company. (Although, I currently usually do not use the C-corp for most checks and contracts which just go straight to me as an individual.) ...
2
votes
2answers
82 views

Does a small business need to register in every state its clients might be in?

Let's say that you have a small business, like a 1-man software consulting firm. I know that if you do business in California, you have to pay its $800+ franchise tax. Is there a similar requirement ...
1
vote
1answer
49 views

Professional tax for employees - startup in India

If I have online business with one employee who will be working from home, do I need to deduct professional tax as applicable from his salary and submit or I can avoid professional taxes for the ...
3
votes
1answer
130 views

Should an independent mobile game developer incorporate a business?

The story is thus: I am on the verge of publishing my first app, but I was thinking whether I should incorporate or not. I am an accounting student, albeit in second year with a budget of $1000. I am ...
7
votes
3answers
206 views

Can time invested be considered capital?

If a business owner works for no salary, but puts time and effort into the business, can those hours be considered a capital investment? If so, is there a term for that kind of work? Example 1: A ...
1
vote
1answer
96 views

how to show income from paypal as export income

I am selling herbal products from India to US on eBay and receive money via paypal. My CA said I am exporting goods so I'll get rebate in tax. When I told him I get money via Paypal he said it is not ...
5
votes
3answers
105 views

What are the benefits of doing a “cheque exchange” when contributing services-in-kind?

Scenario: A consultant provides services-in-kind (let's say valued at $x) to a charitable organization. There are two options for how this can be accounted in a manner that creates a paper trail for ...
1
vote
0answers
35 views

Does Gross Margin exclude sales tax collected on “price includes sales tax” retail sales? [closed]

In a retail business that sells products where sales tax is included in the purchase price, should sales tax collected as part of the purchase price be included or excluded from Revenue in the ...
3
votes
2answers
90 views

Single employee - paying for health insurance premiums with pre-tax money

I am about to join a new US company and will be the only employee for a while. I am not a shareholder or anything similar. The employer cannot offer a group health plan as they normally require at ...
0
votes
1answer
48 views

Down Payment for new Company Car [closed]

Is there a limit on the amount a business can place on a down-payment for a business vehicle; in the United States of America? Total Cost: $25,000 Estimated Down-payment: $10,000 Is it ...
1
vote
0answers
65 views

Small income through website. Is there a service that saves you all bureaucracy? [closed]

would like to raise a website with a small income (1000$ per month) via PayPal | Credit Card. would like to save all bureaucracy, which probably will cost me more. Is there any service (or any other ...
2
votes
0answers
15 views

Ontario resident working contract job in British Columbia

If my corporation is registered in Ontario and I am an Ontario resident, then if I take a contract in Vancouver, will it be legal? Do I pay taxes once for British Columbia and once for Ontario?
0
votes
3answers
74 views

Taxable income on full-time job + business earnings

If I have a full-time job and a business on the side, will the full-time work and the business both contribute to the total taxable income or will only the business contribute. i.e. If business is ...
5
votes
1answer
107 views

Is it OK for a UK company to have costs that will exceed the reserves? Insolvent now or later?

I am sole director of a limited company. The costs this year will exceed the available funds if everything was settled up. The company still has good cash in bank because it owes money to the director ...
2
votes
2answers
122 views

How do owners in a partnership earn income?

I am 1 of 2 partners (no employees) in a recently registered consulting business. Essentially we are 2 former sole proprietors joining forces. We are currently working on forming our partnership ...
2
votes
1answer
131 views

As a small business owner should I have a separate account for payroll? [closed]

Note: I'm currently using cash basis accounting. Just recently I've started using QuickBooks Online to keep track of my profit and loss as well as pay my employees. The problem I'm facing is that ...
1
vote
1answer
60 views

New business owner - How do taxes work for the business vs individual?

I have a business that is in it's 2nd year and has now made $400ish. I have the money just sitting in the business bank account. I do have a business partner. A couple of questions? If we leave ...
1
vote
2answers
130 views

What should one look for when opening a business bank account?

I've created an LLC under my name for my contract work (taxed as a sole proprietorship). Because of this, I'm planning to open a Solo 401k, and due to that I'm planning to pay myself income based on ...
1
vote
1answer
38 views

Tax Allocation - Business Asset Transfer

I'm selling my sole proprietorship. It is a technology company with few / no tangible assets or customer base, mostly just software. This is being done as an "Asset Transfer" to new owners in another ...
0
votes
1answer
352 views

Start a Holding Company? [closed]

I'm 23 I've recently graduated college with two bachelor's degrees and have studied finance extensively in my spare time. I work as a software engineer, and even though I don't hate the work I know ...
1
vote
0answers
35 views

Can a business operate in one state ie. NY and have an office in another?

My prospective business is going to operate in NYC but due to unforeseen consequences my "office" or base of operation will be in another state. What sort of consequences or altercations can I ...
0
votes
1answer
81 views

Would the purchase of a car for a business through the use of a business loan be considered a business expense?

So I want to purchase a vehicle through a business loan. The loan would increase my liabilities this I understand. My question is, if I were to use the extra capital to buy a vehicle, would that be ...
2
votes
0answers
115 views

Salary vs Dividend: is this example wrong?

I saw a link to a great article in old (2012) question. http://vereecke.ca/index.php/articles/will-that-be-salary-or-dividends/ I've tried understanding the article well, but I think that the author ...
1
vote
1answer
25 views

Equity - date of offer, or date of joining?

I made major contributions to a startup and am being offered equity - 11% of total stock. I have been at the company for 2.5 years, and am being offered equity with a 4 year vest, starting 1.5 years ...
0
votes
0answers
54 views

Pros and cons accepting partial ownership of company as opposed to inheriting

My father owns property (buy to rent) and manages this through a small business in the UK. He probably has assets worth in the region of 750,000 GBP but is also still paying down the mortgages on each ...
2
votes
1answer
62 views

Company registration for Small business

I am doing trading of goods and also provide services to various organisation. The companies would like to have all future payments made to an organization to which I am proprietor and not directly to ...
2
votes
1answer
61 views

How to move (or not move) an LLC from Illinois to New Mexico?

I'll be moving from Illinois to New Mexico soon and am wondering the best way to deal with my LLC. It is a design services LLC, electing S-Corp taxation. Currently revenues are all over the place - ...
0
votes
0answers
32 views

Are gross receipts tax (New Mexico) charged on services performed out of state / for out of state projects?

I'll be moving soon to New Mexico, but keeping architectural/design projects in Illinois and possibly elsewhere. Would I need to pay the gross receipt tax on those project which are out of the state? ...
0
votes
2answers
94 views

What are the “perfect” conditions for selling a small private business?

As the title says. What the general opinion seems to be is that now is the best time ever to sell a small business because of low: interest rates, tax rates, and inflation, plus many large M&A ...
1
vote
1answer
34 views

What is the contribution limit for a SEP-IRA?

I have a small business that will file taxes as an S-Corp for the year of 2015. The company has 1 employee (me). I pay myself a decent salary. In order to bring the company's taxable revenue down, I ...
2
votes
0answers
46 views

Valuation of service-based small business

I have a small transcription business that I want to sell, but I'm not sure how much to ask for it. Searching around for evaluating businesses gives me lots of formulas for calculating the value of ...
0
votes
1answer
64 views

What kind of taxes should I expect from a business loan interest?

For example, if I lend a small business $100,000, and they'll pay me back $10,000 in one year. How would I expect taxes to be done? Would the $10,000 be considered ordinary income, or capital gains, ...
0
votes
1answer
105 views

Raising Funds: What happens when you issue new shares by adding authorized capital?

Suppose, I have a company Authorized capital - 100,000 Indian Rupees. Divided into 100 shares - 1000 Indian Rupees each. 2 Directors Totally. Director A holds 75 Shares and Director B holds 25 ...
10
votes
2answers
3k views

Can my US company buy my foreign company for $1 USD?

I'm a non-US resident and I'm the owner of a Delaware C-corp Inc. I also own a company (equivalent to LLC) in the EU. Although I could "sell" or transfer ownership of my EU company to my US company ...
0
votes
1answer
132 views

Freelance trading of products in India

I am an Non Resident Indian living in Saudi Arabia. I have a query for starting freelance trading of products in India. Is it possible for me to trade without a license or registration with the ...
1
vote
1answer
54 views

Income and taxes with subcontracting?

If I'm a 1099/independent contractor and I need to contract a sub portion of that work to another independent contractor, does that "income" get taxed twice? As in when I bill the work back to the ...
2
votes
1answer
84 views

At what point do recurring small business losses become a problem with Canada Revenue Agency?

How many times can a small business owner claim an overall yearly loss, when filing income taxes, before the Canadian Revenue Agency (CRA) will consider it a problem? A friend who runs her own small ...
3
votes
1answer
118 views

How should I be taxed on my returns on investment in capital?

If I paid a business owner $10000 for the purchase of capital and in return and am being paid $150 per week for the next two years in return, how do I file these returns? Using a 1099-MISC? Edit: ...