Category: Taxation


Reporting the Cost of Goods Sold

  • Robert S. Thomas,
  •   Taxation
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Reporting the Cost of Goods Sold

When you run your own business, the importance of accurately preparing your taxes cannot be understated. Part of getting things right include identifying and claiming all deductions for which your business is eligible to reduce your taxable income. If your business makes or resells goods, the “Cost of Goods Sold” is a significant business tax  … Read more

Employee or Independent Contractor?

  • Robert S. Thomas,
  •   Taxation
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Employee or Independent Contractor

If you own a small business, you know that every operational decision matters. One of the more important decisions is when to hire employees for your business or when to utilize independent contractors. The two are entirely distinct classifications and knowing the difference matters a great deal. If you misclassify your employees as independent contractors,  … Read more

Your Small Business and Payroll Taxes

  • Robert S. Thomas,
  •   Taxation
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Your Small Business and Payroll Taxes

When you run your own business, you wear a great many hats. You find that you have responsibilities that you didn’t anticipate, and find yourself spread pretty thin. It is therefore critical for new business owners to learn to prioritize their responsibilities and to discover and develop systems to operate efficiently. One of the duties  … Read more

Understanding Tax Scams

  • Robert S. Thomas,
  •   Taxation
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Understanding Tax Scams

Taxpayers lose millions of dollars per year due to scammers stealing from honest, hard working people. The IRS has invested a lot of time and money attempting to thwart the problem, but the criminals involved continue to advance in their technology and adjust their tactics to continue to steal. For your own protection, you should  … Read more

IRS Modifies Approach to Bitcoin Scrutiny

  • Robert S. Thomas,
  •   Taxation
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  For the last several years, Bitcoin has been world’s hottest digital currency. Initially disregarded by many, the market value of one single Bitcoin has skyrocketed from an initial value of $13 in 2013 to a current market value of thousands of dollars per coin in August 2017. This has potentially left many people who  … Read more

Business Asset Appraisals

  • Robert S. Thomas,
  •   Taxation
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  Ownership of a business or an interest in a business is generally one of the most valuable assets a person owns. Not only is this true from a financial standpoint, but it is often the culmination of hard work and ingenuity, wise investment, or it may represent your family’s legacy. When it comes to  … Read more

The Work Opportunity Tax Credit

  • Robert S. Thomas,
  •   Taxation
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  If you own a business, it is wise to look for ways to save money, such as looking at opportunities for tax deductions and credits. One such opportunity that has been utilized by businesses nationwide is the Work Opportunity Tax Credit (WOTC). Originally created in 1996, this is a federal income tax credit meant  … Read more

Tax Implications of Your Student Loans

  • Robert S. Thomas,
  •   Taxation
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  Going to college, or sending your children to college is a big part of the American dream. For many, it is an expectation. Sadly, college tuitions and expenses continue to rise beyond people’s income levels or beyond their savings. This compels many to take out expensive student loans, either for themselves or on their  … Read more

Preparing for Illinois’ Income Tax Increase

  • Robert S. Thomas,
  •   Taxation
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Preparing for Illinois Income Tax Increase

No one likes when tax increases hit home and impact our personal finances. Unfortunately, in a controversial move, the Illinois state legislature has overridden a veto by Governor Bruce Rauner and increased the personal income tax from 3.75% to 4.95%. This is intended to increase tax revenues by $5 billion to address the state’s enormous  … Read more

What Constitutes an “Abusive” Tax Shelter?

  • Robert S. Thomas,
  •   Taxation
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  Everybody wants to pay lower taxes, and there are many wise and legal ways to accomplish this goal. One of these methods is a tax shelter, which may include transactions or investment accounts that reduce a taxpayer’s taxable income. An example of a legal and popular tax shelter is a 401(k) plan, which reduces  … Read more