Self-employed individuals can use a portion of their home in order to conduct business as a home office. Whether you rent or own your home, both are eligible to claim a home office. The IRS defines a home office using these two requirements: The home office must have a regular and exclusive use for your business [...]
Community property laws affect how you figure your income on your federal income tax return if you are married, live in a community property state or country, and file separate returns. If you are married, your tax usually will be less if you file married filing jointly than if you file married filing separately. However, sometimes [...]
Choosing the correct filing status is critical in the preparation of your tax return, because it determines what tax bracket you fall in and how your tax is calculated. The filing status options you must choose from are: single, married filing jointly, married filing separately, head of household, or qualifying widow/widower. Filing Status: Single To qualify [...]
Q: Abe! I was recently filling out my tax organizer and I saw that I can receive a copy of my tax return with something called Abacus Access. What is Abacus Access? A: Great question! Abacus Access is your online portal for viewing and exchanging any of your sensitive documents electronically. It is a great tool [...]
Q: Abe! I was wondering if I should lease a truck or try to purchase one outright. What are some of the differences that I might see for my taxes? A: This is a great question! The good news that whether you are making lease payments or purchasing outright, this is considered an ordinary and necessary [...]
Running your business well is great, but to truly OWN IT and recognize what that means will be the difference between just getting by year after year and/or really succeeding. When you manage your business profits and your business’s financial responsibilities with an owner’s mentality you will likely see growth, as you will no longer have [...]
WOW! What a year 2020 was. I don’t know about you, but I am ready for a fresh start this New Year. 2020 had its challenges for Everyone. At Abacus, we are so grateful for our Transportation clients, who helped keep our country strong during these difficult times. We hope you and your family got to [...]
Q: What is a tax organizer and why do I have to fill out a tax organizer for every year I file? Abe: The Tax Organizer is a required document that we use to prepare and final your taxes for each year you have Abacus CPAs prepare a tax return. The tax organizer verifies all of [...]
We have all had a disappointing experience with a business before, and with the internet and social media these days it is easier than ever to express our opinions about those businesses. In the blink of an eye we have blasted that company, probably received 20 other opinions from people we don’t know, and we affected [...]
Hey Abe! What counts as a deduction for my business? Abe: The guidelines to remember with business expenses are that they must be ordinary and necessary. From the IRS website, IRS.gov, ordinary and necessary expenses are broken down thusly: “An ordinary expense is one that is common and accepted in your trade or business. A necessary [...]
