Tag Archives: S corporation

Is Your Hobby a For-Profit Endeavor?

FS-2008-23, June 2008 The Internal Revenue Service reminds taxpayers to follow appropriate guidelines when determining whether an activity is engaged in for profit, such as a business or investment activity, or is engaged in as a hobby. Internal Revenue Code Section 183 (Activities Not Engaged in for Profit) limits deductions that can be claimed when […]

S Corp Info

Today TaxMama hears from Steven in Connecticut who says. “Are the salaried employees liable to pay the taxes or does the company pay? Any info on S-Corp and tax payouts would be deeply appreciated.”

I Want to do it Myself

Today TaxMama hears Lana in Illinois who says . “I started a new S corporation last year, but let the paperwork get behind. I read your book and I would like to take care of my taxes on my own to save money and not involve a pro. My earnings need to be limited because […]

S Corp Charity

Today TaxMama hears from Diane in Florida who’s very generous. “My friend and I have an LLC. We elected to be treated as a sub chapter “S” Corp. We plan to donate 50% of our net profits to charity. Can our LLC make this donation each year and take the business deduction? This annual donation […]

Filing Corp Late

Today TaxMama hears from Lori in Illinois who’s trying to catch up. “I started an S corporation last year . My attorney/ accountant friend advised me that I could skip the first round of estimated taxes. Well time has gotten away from me and I have the paperwork the government has sent to me, but […]

The LLC Advantage

Today TaxMama hears from Roy in Virginia, who wants to know. “Is there any advantage to form an LLC for my speaking and consulting. I am an employed physician and heard there may be a tax advantage of forming an LLC.”

Ticket to the Future

Today TaxMama hears from Kevin in Florida with this interesting idea. “I need advice setting up a corporation (or partnership, LLC, etc…). The question is which one? I, and 3 good friends want to incorporate ourselves to form a business for the sole purpose of purchasing season tickets under one name. The advantage – with […]

IRS Report Card

Fiscal Year 2007 Enforcement and Services Results The IRS continues to make strong progress in a number of key enforcement areas. The IRS is showing consistent improvements in areas critical to maintaining a fair, efficient tax system while bringing billions of additional dollars into the Treasury. At the same time, the agency continues to improve […]

S Corporation and Health Insurance for Shareholders

IRS Notice 08-01, recently released, discusses the treatments of various arrangements of health insurance in connection with an S Corporation and its 2% shareholder/employees. This Notice clarifies an issue from two years ago. First ­ a review of law involving the health insurance deductions. Section 162(l) permits a self-employed person, a partner, and an S […]

S Corp Auto Expense

Today TaxMama hears from Peter in Massachusetts who has this question. “I am a 100% owner of my S corporation. I used my car, registered in my name, for my business and commuting. I keep a detailed record of mileage and expense. Can I deduct the vehicle expenses on my 1120S?” http://www.audioacrobat.com/play/WSKWQgVf

LLC and SE Income

Today we hear from Dave in Idaho who tells us, “Some of my friends have a rather successful business formed as an LLC. Their CPA told them that they could file as a partnership and not report any self-employment income, even though they are all actively working in their business. Is this true? And where […]