Tax Services Ooltewah TN

There are plenty of business tax savings in the system without resorting to illegal strategies that can come back to bite you. Stay away from tax evasion schemes. Here are a few legitimate strategies you can implement now.

Larry Daniels
8966 Dayton Pike
Soddy Daisy, TN
Company
Title: Financial Advisor / Agent
Company: Mountain Wealth Management
Type
Registered Investor: Yes
Education
BS Business Administration University of Tennessee
Years Experience
Years Experience: 25
Service
Health Care Insurance,Retirement Planning,Real Estate Investment Planning,Commission-Only Financial Planning (Full Disclosure),Insurance & Risk Management Planning,Retirement Income Distribution Planning,Education Funding & Financial Aid Planning,Hourly Financial Planning Engagements,Alternative Investments,Disability Insurance,Annuities,Alternative Asset Class Planning,Investment Consulting & Allocation Design,Business Succession & Liquidation Planning,Estate Tax Planning,Asset Protection Strat

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H&R Block
(423) 899-1029
6016 SHALLOWFOrdrdSTE 400
CHATTANOOGA, TN

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Taylor, Thomas W
(423) 648-8272
7633 E Brainerd Rd
Chattanooga, TN

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Wells, Jefferson W CPA
(423) 892-3331
5751 Uptain Rd Ste 522
Chattanooga, TN

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H&R Block
(423) 296-0816
5337 RINGGOLD rd
CHATTANOOGA, TN

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Dixon & Irwin CPA's
(423) 265-9222
6727 Heritage Business Ct #714
Chattanooga, TN

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Stophel, Larry CPA
(423) 855-8700
6716 Heritage Business Ct Ste 2
Chattanooga, TN

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Liberty Tax Service
(866) 871-1040
480 Greenway View Dr # 106
Chattanooga, TN

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Bradley Bookkeeping
(423) 479-2498
129 Kent St NW
Cleveland, TN
 
Liberty Tax Service
(866) 871-1040
9736 Dayton Pike
Soddy Daisy, TN

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Tax Saving Strategies

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It's Not What Your Business Makes That Counts — It's What You Get To Keep!
By Patrick Astre

There are two things in life you don’t want to watch closely as they’re made; the first is sausages, the second is tax laws. While death and taxes are inevitable, death doesn’t get worse every time Congress meets. The constant push-pull of special interests, partisan, and “pork barrel” politics left us with an income tax system that is convoluted and overly complex.

There are a great number of tax-saving opportunities available to business owners. Sad to say, many of these opportunities are not well known and often ignored even by tax planners, CPAs and attorneys. By not using them, you will have “volunteered” to pay more taxes.

Let’s get one thing out in the open at the get-go: Everything this article covers is legal, audit-tested, and rooted well within the IRC (Internal Revenue Code.) So let’s get started so you can keep more of that hard-earned money from your business.

There are plenty of business tax savings in the system without resorting to illegal strategies that can come back to bite you. Stay away from tax evasion schemes. Here are a few legitimate strategies you can implement now:

• Rent part of your home to your business. Many business owners use part of their homes for business, second office, storage, etc., and yet those expenses are not deducted. Determine the portion of your home that is used for business, and rent it to your corporation or LLC. Rent should be reasonable and average for your area. You must report the income on Schedule E of your personal tax return (1040), but you will apply a percentage of deductions against that income such as utilities, home insurance, maintenance, and depreciation, etc. that you cannot use otherwise.

• Don’t fear the home office deduction. If you operate as a sole proprietor, you cannot rent part of your home to yourself; however, you can use the home office deduction. A court ruling in the late ‘80s resulted in that deduction being outlawed and denied to many businesses. Legislation two years later overturned this ruling and restored the deduction. Home office deductions are legitimate and allowed by the IRC. As in all deductions, be sure to keep documentation to back it up.

• Don’t neglect business use of your automobile. Simply because you don’t use your car often in your business, it doesn’t mean you shouldn’t deduct the amount that you do use. Keep a log of your business mileage, reimburse yourself by using the IRS mileage rate, and deduct it on your business tax return. Do not include commute to and from your business, and make sure to document the business reason for auto usage.

• Make your spouse part owner (shareholder) of your Sub S Corporation. A recent tax court ruling held that any money paid sole shareholders of “S” corporations from the business must be taken as payroll. That’s because “S” distributions are not subject to payroll taxes, and the...

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