Business Tax Advisor

Technology, Business, and Taxation, Part 4
May 12, 2007, 9:35 PM
On April 21, 2007, a press release announced a partnership between Dynamedia and Pizza.net "to bring real world food to Second Life." ...

Taxes and Divorce
April 03, 2007, 11:30 PM
Andre and Lana got divorced in January, 2006. The two children, aged 8 and 10 live with their mom and have periodic visitation with their dad. The divorce decree calls for the couple to file a joint return for 2005 and for each party to pay ½ of any tax due, or to split any refund equally. The decree also says that Andre will be entitled to take the dependency exemption for the two children on his tax returns for as long as he pays child support.

Technologh, Business, and Taxation part 3
April 03, 2007, 10:40 AM
I noticed an article today on the Discovery Channel online that illustrates how technology can cause major changes in the way things are done: GIANT MACHINE DESIGNED TO PRINT HOUSES.

Technology, Business, and Taxation
April 02, 2007, 9:35 PM
2020 and beyond: the Singularity (intelligent machines begin to produce discoveries that are too complex for humans to understand) ...

Technology, Business, and Taxation Part 2
April 02, 2007, 9:30 PM
Today, it's impossible to read through a newspaper or news website without seeing at least one or two discussions of the evils of one technology or another ... For as long as we have any freedom of choice in how to live our lives, our choice regarding technlogical advancement is not whether or not to allow it to happen but, rather, how to deal with it.

HOW FAST SHOULD YOUR BUSINESS GROW?
March 01, 2007, 12:06 AM
I recently viewed a video called Forty-Five Days. It was about the short, hellish life of broiler chickens that have been genetically engineered to put on weight much faster than normal chickens. The poor creatures had trouble standing on their spindly little legs, whose growth does not keep up with their bloated bodies. During the 20 years I´ve worked with start-up businesses, I´ve seen too many that were rather like those poor chickens. Take as an example two fictional, but representative business owners, Misty and Julie, both of whom have been working as real estate agents for four years. Both ...

TAX EFFECTS OF TRANSFERRING ASSETS TO AN LLC
February 28, 2007, 11:22 PM
Several readers have written to ask what happens to business assets when a sole proprietorship becomes a Limited Liability Company (LLC). Last time I wrote about the legal aspects of transferring non-cash assets from the individual sole proprietor´s name into the name of the LLC. Today I would like to discuss the tax effects of the transfer. Since the single member LLC with no election to be taxed as a corporation is the simplest situation, I would like to talk about the one-person, disregarded entity first. In a later article, I´ll look at more complex situations where a single-member LLC ...

TRANSFERRING ASSETS TO A CORPORATION OR LLC
February 26, 2007, 2:25 PM
Several readers have asked questions about transferring assets from their individual names to a Limited Liability Company (LLC). HT writes: I have been running my business as a sole proprietor (Sch C) and want to change to an LLC. I have been depreciating several assets on Schedule C. Do I need to do anything to transfer them to the LLC? If so, how do I do this? Does it make any difference whether I choose corporate taxation for the LLC? Questions dealing with transfers of assets to LLC´s always have to be answered on two levels. There are the state ...

Employee Use of Company Vehicle
January 29, 2007, 10:16 AM
It´s getting to be that time of year when business owners become concerned with the mechanics of getting tax returns completed — or at least getting a close enough estimate to file an extension without worrying about substantial penalties (an extension only extends the due date of the return, not the deadline for payment of the tax). As long as I keep getting questions from readers, I´ll answer them here if the question and answer might be of general interest. MW writes that she and her son run a business together. They incorporated the business two years ago. MW´s Question ...

C Corporation Losses
January 03, 2007, 5:24 PM
A reader writes: I have a two year old "c" corp. with a lot of deductions, but I do not [have] enough personal deductions. Is there a way to use some corp. deductions on my personal tax return? You can´t directly carry corporate deductions to your personal return, but in some cases there are things a shareholder can do to decrease the corporation´s net operating loss while decreasing the shareholder´s individual taxable income. Here´s an example: Ed owns 100% of the shares of Infinite Wisdom Consulting, a C Corporation that has a net operating loss of $5000 for 2006. Ed ...