Dealing With Taxes
It's not fun...
Florida Tax Solvers
2627 Northeast 203rd Street #213, North Miami Beach, FL 33180
(305) 682-1118
Owning a business can be rewarding, being in control of your own work schedule and doing a job you are really passionate about can really be fun. But when April 15th rolls around owning a business can be downright terrifying. Filing taxes for a business can be really hard and if mistakes are made it can cost a business. Here are some of the most common mistakes business owners create, and the penalties the IRS imposes related to taxes. The penalties, may be monetary, the government may also seize property, or even hand out jail time. The best ways to avoid penatilty are to know the most common mistakes, what penalties they carry and how to avoid them all together. Here are some of the most common mistakes.
· Under estimate and late payment penalties. All taxpayers are required to pay or withhold a certain amount of income taxes before the end of the year. Businesses have to pay these taxes quarterly. If you underestimate the amount of income you will or have generated for the quarter, your penalty has interest added to it, for the amount that should have been paid. Late payments add interest plus additional charges.
· Tax Fraud. If a business doesn’t report all of their own earnings and tries to avoid paying taxes to the government this is considered tax fraud. This is federal offense and could lead to jail time. It is very important to keep accurate records of earnings and report them honestly to the IRS.
· Withholding taxes. Companies are required to withhold income and social security taxes from their employees. Failure to do so, and pay that amount to the government, can result in freezing of assets. This penalty pays 100 percent of what is has not been issued to the government. The IRS can go after the company, seizing property and freezing bank accounts. They will also go after the person in charge of handling the taxes and can seize their assets to pay the penalty also.
Good and accurate record keeping will help to keep your small business out of tax trouble with the Internal Revenue Service. If you have problems keeping track of your finances there are many software suites dedicated to getting you ready to pay taxes, and track your employee’s withholding taxes. Also you may want to look into a professional account that will help you pay your taxes to keep your earning any penalties.
Further Reading can be found at the Tax Info Blog. Resources are strictly for informational purposes. If you have serious tax problems, you should contact and IRS tax attorney for legal advice.
It's not fun...
Florida Tax Solvers
2627 Northeast 203rd Street #213, North Miami Beach, FL 33180
(305) 682-1118
Owning a business can be rewarding, being in control of your own work schedule and doing a job you are really passionate about can really be fun. But when April 15th rolls around owning a business can be downright terrifying. Filing taxes for a business can be really hard and if mistakes are made it can cost a business. Here are some of the most common mistakes business owners create, and the penalties the IRS imposes related to taxes. The penalties, may be monetary, the government may also seize property, or even hand out jail time. The best ways to avoid penatilty are to know the most common mistakes, what penalties they carry and how to avoid them all together. Here are some of the most common mistakes.
· Under estimate and late payment penalties. All taxpayers are required to pay or withhold a certain amount of income taxes before the end of the year. Businesses have to pay these taxes quarterly. If you underestimate the amount of income you will or have generated for the quarter, your penalty has interest added to it, for the amount that should have been paid. Late payments add interest plus additional charges.
· Tax Fraud. If a business doesn’t report all of their own earnings and tries to avoid paying taxes to the government this is considered tax fraud. This is federal offense and could lead to jail time. It is very important to keep accurate records of earnings and report them honestly to the IRS.
· Withholding taxes. Companies are required to withhold income and social security taxes from their employees. Failure to do so, and pay that amount to the government, can result in freezing of assets. This penalty pays 100 percent of what is has not been issued to the government. The IRS can go after the company, seizing property and freezing bank accounts. They will also go after the person in charge of handling the taxes and can seize their assets to pay the penalty also.
Good and accurate record keeping will help to keep your small business out of tax trouble with the Internal Revenue Service. If you have problems keeping track of your finances there are many software suites dedicated to getting you ready to pay taxes, and track your employee’s withholding taxes. Also you may want to look into a professional account that will help you pay your taxes to keep your earning any penalties.
Further Reading can be found at the Tax Info Blog. Resources are strictly for informational purposes. If you have serious tax problems, you should contact and IRS tax attorney for legal advice.