Category: Business Tax

Food goes bad. Medications, skincare products, and batteries all expire. But what about IRS’s written guidance? Can IRS guidance go bad? What if it is guidance for a particular taxpayer and about a specific transaction or seires of transactions? What happens when tax laws change after the IRS has issued its determination? Can businesses continue…

Did you know that as an employee, you may be able to exclude the value of lodging provided by your employer from your income taxes? According to Sec. 119 of the Internal Revenue Code, there are certain conditions that must be met in order for an employee to exclude employer-provided housing costs from their income.…

Can you avoid paying tax by paying your personal expenses from your corporate bank account? Is avoiding tax that easy? No, our system doesn’t work that way. The Moacir Santos v. Commissioner, T.C. Memo. 2019-148 explains how the IRS handles these situations. Facts & Procedural History The taxpayer owns a engineering and paving company. It…

The IRS collection notices and other tax notices on this page are commonly sent to business filers that use forms 941, 1065, and 1120 to file their federal tax return. Here is a listing of the most common IRS forms for businesses. CP 101 – Math Error, Balance Due on Form 940 The IRS sends CP 101…

Q: Is an S-Corporation required to pay quarterly estimated tax? Rarely does an S corporation make estimated tax payments. An S Corporation must make installment payments of estimated tax if the total of these taxes is $600 or more: The tax on built-in gains, The excess net passive income tax, and The investment recapture tax. Q:…