cash vs. accrual accounting methods Archives

Year End: Tax Planning Considerations for Businesses & Business Owners

The tips below were included in our 2018 Year-End Business Client Guide. Tip #1 – For tax years beginning after 2017, taxpayers other than corporations may be entitled to a deduction of up to 20% of their qualified business income. For 2018, if taxable income exceeds $315,000 for a married couple filing jointly, or $157,500 for [...]

More Small Businesses Able to Use the ‘Cash Method’ Now

More “small businesses” are able to use the cash (as opposed to accrual) method of accounting in 2018 and later years than were allowed to do so in earlier years. To qualify as a “small business” a taxpayer must, among other things, satisfy a gross receipts test. Effective for tax years beginning after Dec. 31, 2017, [...]

cozbycpa2018-11-29T15:53:53-05:00November 29th, 2018|Categories: Planning Strategies, Self-Employed, Small Business, Year End|Tags: accelerating business expenses, cash vs. accrual accounting methods, Cozby & Company, gross receipts test, small business accounting methods, what qualifies as a small business|