Title: 10 Ways To Reduce Tax Burden For Your Small Business
Author: Paul Wilson
An ideal lawyer will not just have a string of impressive
credentials or gold lettering on his door. He or she will be
caring, concerned, and devoted to their work. You need to think
carefully before laying your trust in a lawyer after all in some
cases your life, future, money or property will be in his hands.
Apart from doing extensive research to short list possible
lawyers you must ensure that there is not conflict of interest,
that you understand everything the retainer agreement states,
and that you have checked the references and details regarding
You will know the lawyer you have chosen is the perfect one if:
1. He makes an effort to spend time to understand your case
himself. He will not assign a legal assistant to take facts of
the case down.
2. From experience and knowledge he will know what is relevant
and what is not. He will set aside and ignore irrelevant facts,
opinions, and personal emotions that cloud the case on hand.
3. He will insist that the footwork for the case be done
thoroughly. All facts must be checked for accuracy and solid
arguments jotted down with backing of earlier rulings.
4. He will not just focus on the problem at hand but examine the
problem from all sides. This will create a complete picture
highlighting all factors of relevance and the different ways one
can approach the case.
5. He will use his foresight and anticipate moves by the
opposition or opinions of the jury or judge and plan way ahead.
Like a master chess player he will plan the case not by the day
but by many hearings ahead.
6. He will not waste time beating around the bush or create
verbose statements--many words strung together which look
impressive but mean nothing. He will insist that the case and
its arguments be clearly stated.
7. He will be self-disciplined, thorough, and self confident.
Courteous at all times he will respect you as well as all the
staff who work for him.
8. He is recommended by not just his friends and relatives but
by other professionals of good standing and from his field.
9. He will not just present to you his victories but be happy to
tell you why and how he lost certain cases.
10. He will lay the cards on the table and tell you clearly
whether your case stands to win or loose. He will not claim that
winning is guaranteed. He will be honest and upfront about his
opinions and advice.
The bottom line is that the lawyer must be worthy of your trust.
Use your inborn instincts and don't go by the lawyer's good
looks or fancy car or office. After all it is competence in law
and in court that is of essence to you.
Everyone worries about taxes and looks for ways and means of
reducing the tax burden. When you have a small business of your
own you must up date your knowledge of tax laws that pertain to
"small businesses." As a business owner you must understand
clearly about accounting systems and tax planning. Sit down with
your accountant and plan on ways of maintaining business
expenses, filing receipts, planning on "tax saving" investments,
and a strategy for running the business in the most beneficial
Did you know that:
1. According to law you can reduce your tax liability by hiring
family members to carry out work in your business. Pay your
children and spouse to perform assigned duties. This way you can
shift from higher tax rates to lower ones. 2. Consider hiring
independent contractors instead of employees. You will save on
payroll taxes. However ensure that you meet the IRS's criteria.
3. Think about "deferring income" postpone receiving money to
January instead of December. This means that payments received
will be up for "tax" calculations a year away. However ask your
accountant's advice as the benefits are dependant on profit and
losses for the year and your corporate legal structure.
4. Take advantage of tax deductions allowed for charitable
donations. Make donations in November or December instead of
January so that you can include the donations for tax deductions
in the current year.
5. Maximize your expenditure on equipment and office supplies.
Buy in advance for a quarter and use the tax deductions allowed
in the current fiscal year.
6. Include expenses of business related travel in the current
7. Pay all bills due before the end of the year. Payment to cell
services, rent, insurance, and utilities related to the business
can be included for accounting and applicable tax waivers.
8. Plan a retirement plan and make payments before the end of
the year. This will reduce your income for the year and
proportionately the tax due. Be sure to check on the limits.
Plan a feasible and beneficial strategy with your accountant.
9. Be sure to deduct from your taxable income money paid to
licensing fees, businesses taxes, and annual memberships to
businesses related organizations. Be sure to deduct interest
paid on borrowings for running the business and related fees.
Insurance premiums paid to insure the business office and
machinery are eligible for tax deductions. Make a list of your
memberships and check which ones are eligible for tax deductions.
10. Check whether you have deducted management and
administration expenses as well as money spent on maintenance
and repairs of equipment.
Decide whether a cash accounting system or accrual one will
benefit your business. The tax deductions are different
depending on the system you use. When setting up your small
business take the advice of a tax and accounting professional as
to which accounting system would be most suitable.
About the author:
Paul Wilson is a freelance writer for
http://www.1888Discuss.com/legal-advice/ , the premier REVENUE
SHARING discussion forum for Legal including topics on legal
advices, information, lawyers, laws, tax, insurance and more. He
also freelances for the premier Taxes Article Submission