Beginning in 2018 several small businesses may be able to write off their inventory for tax purposes. Under old rules, the use of inventories was necessary to clearly determine the income of the taxpayer. Effective for tax years beginning after 2017, a taxpayer with average gross receipts of $25 million or less is not required
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The new tax law lowered the corporate tax rate to a flat 21% starting in 2018. This corporate rate reduction helped out large companies, but most small businesses are organized as pass through entities where the income from the business passes on to the owners such as S corporations, LLCs, partnerships and sole proprietorships. To
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Sales tax compliance has always been a challenge for CO businesses. To make matters worse, effective Dec. 1, 2018, the Colorado Department of Revenue will adopt new sales tax rules. The new rules state that sales tax must be collected and remitted based on the jurisdiction’s tax rate at the point of delivery for the
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It’s been estimated that the number of people who itemize deductions will fall by more than half in 2018 because of changes made by the Tax Cuts and Jobs Act. The standard deduction for a joint tax return will increase to $24,000 in 2018. Unless your itemize deductions (state and local taxes up to $10,000,
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Under the new tax law there are major changes to one of the more common business expenses—outlays for meals and entertainment. Many, but not all, entertainment expenses are no longer deductible after 2017. For example, costs related to entertainment activities including membership dues, sports tickets and social clubs are no longer deductible. However, a number
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2018 New Tax Law E-Newsletter
