1 / 10

New Business Start Up Highlights

New Business Start Up Highlights. Starting and Operating a New Business Presented By: Leonard Steinberg, EA, CMC Steinberg Enterprises, LLC. New Business Start Up Highlights. Business or Hobby Profit incentive Entity Type Sole Proprietorship – Schedule C

anascampbell
Download Presentation

New Business Start Up Highlights

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. New Business Start Up Highlights Starting and Operating a New Business Presented By: Leonard Steinberg, EA, CMC Steinberg Enterprises, LLC

  2. New Business Start UpHighlights • Business or Hobby • Profit incentive • Entity Type • Sole Proprietorship – Schedule C • Limited Liability Company – Schedule C • Partnership – IRS Form 1065 • S-Corp – IRS Form 1120S

  3. New Business Start Up Highlights • Cash Basis vs. Accrual Basis • Most are on Cash Basis • Concept of Co-Mingling • Personal versus Business • Separate Bank Account • Can be linked to personal account • Separate Credit Card(s) • Can be linked to personal account

  4. New Business Startup Highlights • Stationery • Business Cards • Brochures • Newsletters • Seminars

  5. New Business Startup Highlights • Income: • 1099-MISC forms • Other forms of business income • Expenses: • Review the handout • Meals – 50% Federal; 100% in New Jersey • Entertainment, no longer federally deductible- state no change.

  6. New Business Start Up Highlights • Home Office Deduction: • Review Handout – IRS Form 8829 • NOT A RED FLAG – MISCONCEPTION!! • Real Estate Taxes – no cap of $10,000 • Home Equity Loan – • Equity vs. Acquisition • Depreciation – 27.5 years • Recapture on Sale

  7. New Business Start Up Highlights • Record Keeping: • QuickBooks • Quicken • Spreadsheets • Receipts - $75 or more • Bank Statements • Credit Card Statements • Keep at least 4 years

  8. New Business Start Up Highlights • Travel: • Auto – mileage log - handout • Buy vs. Lease – Percentage of Use • Mileage vs. actual costs • Need receipts for gas, insurance, maintenance, etc. • Out of town travel

  9. New Business Startup Highlights • Tax Filings • Estimated Payments – Federal and State • April 15th, June 15th, September 15th, January 15th • Payment methods • IRS Direct • EFTPS • Vouchers – Federal and State • New Jersey Webfile • How Much to Pay • 90% rule • 100% rule • 110% rule

  10. New Business Startup Highlights • Receiving IRS and/or State Correspondence • Don’t Panic • Read the notice carefully!! • Contact your tax advisor immediately • Respond to all correspondence quickly • Do NOT represent yourself • Penalties may be abated; Interest is statutory

More Related