Taxes are an integral part of every business – you can’t evade them. Dealing with taxes is a fact of life for small business owners. Most likely, taxes are the biggest expenditure per year, aside from payroll.
Beyond payments to the government for all of the taxes you pay there are other tax-related costs: your time and effort in record keeping and fees to your tax advisors. So, taxes are really big deal according to a recent article,, 5 Things You May not Know about Small Business Taxes, by Barbara Weltman.
Things to know about taxes:
- Taxes are a main concern
- The vast majority of small businesses hired tax experts
Several years ago NFIB found that 88 percent of small businesses in staffed flexible offices used paid preparers for completing their tax return. Today, the percentage of using paid preparers is getting higher.
- Taxes are time consuming
Many tax related tasks are still responsibility of small business owners in small office space orlando or their employees. These include record-keeping, monitoring tax payments, and meeting and discussing with preparers.
The cost of compliance is higher on small businesses than on large ones. This burden is estimated to cost small businesses $18 to $19 billion per year.
Also planning to have the cash on hand to pay tax bills is also up to you. Budgeting for various tax obligations can take up some time throughout the year.
- The cost related to taxes — over and above the taxes — is high
Because small businesses depend on professionals from executive office space, the cost for tax return preparation and other tax matters can be $10,000 each year. And, unfortunately, it’s all too easy to commit mistakes, which can cost you additional interest and penalties.
- The future for taxes is uncertain
The tax rules for 2015 are not yet settled, even though the first quarter of the year is over. The 50+ tax rules that had expired at the end of 2013 and were extended for 2014 have again expired. The House has been trying to make many favored rules for small business, including the high Sec. 179 deduction and the 100 percent exclusion for gain on the sale of qualified small business stock. The Senate has yet to take up the question of permanence, and of course, concerns about a Presidential veto of any permanent tax legislation remain.
Paying taxes is a responsibility of every business thus keeping abreast on tax matter is important to be a responsible business owner. The Smarter Way To Office. Whether you are a small business owner or a large enterprise, everything you need to optimize your business performance is right here – from day one. Your workplace comes complete with furniture, telephone lines and equipment, secure high-speed Internet access and a world-class business support team.