Introduction For small business owners, choosing the right vehicle and the optimal acquisition method can significantly impact their bottom line. While purchasing a vehicle is a common approach, leasing offers a viable alternative with distinct financial and tax implications. This white paper explores the tax strategies and benefits associated with auto leasing for small business…
Introduction The Augusta Rule, officially known as Section 280A(g) of the Internal Revenue Code, offers a unique tax benefit for small business owners who use their personal residence for business purposes. This rule allows taxpayers to rent their home to their business for up to 14 days per year and exclude the rental income from…
Introduction For small business owners who own or are constructing commercial real estate, cost segregation offers a powerful tax planning strategy to accelerate depreciation deductions and significantly reduce current tax liabilities. By properly classifying building components, a cost segregation study can identify assets that qualify for shorter depreciation periods, leading to increased cash flow and…
Introduction For owners of closely held family businesses, managing wealth, planning for succession, and minimizing tax liabilities are often intertwined and complex objectives. Implementing a family management company (sometimes referred to as a family office, though often on a smaller scale) can provide a structured approach to addressing these challenges. While not suitable for every…
Introduction Acquiring necessary equipment is a critical aspect of running a successful small business. While purchasing equipment outright is a common approach, leasing offers a viable alternative with distinct financial and tax implications. This white paper explores the tax strategies and benefits associated with equipment leasing, providing a comprehensive overview for small business owners considering…
Introduction For small business owners, attracting, retaining, and motivating key employees is crucial for sustained growth and success. Traditional compensation packages may not always be sufficient to achieve these goals, particularly in competitive industries. Structured ownership programs, which offer employees a stake in the company, can be a powerful tool for aligning employee interests with…
Introduction Choosing the appropriate business structure is a critical decision for small business owners, impacting everything from liability protection to tax obligations. While sole proprietorships and partnerships offer simplicity, they can also expose owners to higher self-employment taxes. Electing S corporation (S corp) status can offer significant tax advantages for certain businesses, primarily through the…
Introduction For small business owners, managing finances effectively is crucial for long-term success. One strategy that can offer both tax advantages and valuable family experience is employing children within the business. While the idea might seem straightforward, there are specific rules and regulations that must be followed to ensure compliance with tax laws and labor…
Finding the right way to plan for ones’ retirement is one of the most important yet challenging aspects for small business owners. It is quite common for a businessman to get involved in day-to-day running of the business and forget about retirement savings. Nevertheless, it is necessary not only to provide for one’s own financial…