Stick Like Glue Radio #124 On this episode of Stick Like Glue Radio I interview entrepreneur and tax coach Diane Gardner, which works with entrepreneurs and small business owners all over country. This is a nugget rich and money saving show - do not miss it!

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 Overpaying Your Taxes

On this episode of Stick Like Glue Radio I interview entrepreneur and tax coach Diane Gardner who works with entrepreneurs and small business owners all over country. This is a nugget rich and money saving show - do not miss it!

Main Questions Asked

  • What is a tax coach and why do small business owners and entrepreneurs need one?
  • What are the biggest mistakes you see entrepreneurs and small business owners make when it comes to tax?
  • How would a small business owner work with someone like yourself?
  • Are there any general rules about LLC versus S-CORP?
  • How does a business owner decide what type of business they should have?
  • If someone is a solopreneur, how do they decide at what point to get financial help?
  • What is the difference between tax preparation, tax projection and tax planning?

Key Lessons Learned

  • Billions of dollars are overpaid each year by small business owners due to not taking advantage of deductions
  • Less than common deductions can mean thousands of dollars each year on tax
  • A tax coach takes a look at your tax and financial information, conducts analysis and identifies areas where you are possibly overpaying taxes

Tax Mistakes 

  • Businesses often outgrow their initial entity type e.g sole proprietor, LLC or S-Corp
  • Having the wrong entity for your business is a big tax mistake that can cost you

Deciding on your Entity

  • An LLC is very flexible and can act like a sole proprietorship or a general partnership, S-Corp or C-Corp
  • LLC are state controlled and some states don’t recognize or ‘like’ it
  • When deciding on what kind of business you should be, it pays to do an in depth analysis from a liability and tax standpoint
  • Ask yourself how much liability exposure you have in your business, how important is continuity of life and fringe benefits?

When to Get Assistance & How It Works

  • Its best to have a professional assist with your tax return from the beginning
  • When you have employees is a good idea to have a book keeper as some laws are federal and some state
  • These days you can work with a professional easily; Email, phone, skype, mailing, Dropbox is all part of working with a remote tax assistant or tax coach

Tax Preparation, Tax Projection and Tax Planning?

  • Tax Preparation -  Recording history of what happened in the previous year
  • Tax Projection – A separate engagement and takes historical data and have consultation on what business is doing in the current year
  • This estimates the business expenses as well as gross and net income
  • This gives the business an idea of how much tax they owe in the coming year
  • Tax Planning – Working into the future 3-5 years
  • Takes an all encompassing look at the personal and business life
  • Look for money already being spent that could potentially be a tax deduction

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Links to Resources Mentioned

Adept Business
Obama Care Survival Guide
The Newsletter Guru
Stop Waiting For It To Get Easier
Tax Coach 4 You

Diane@adeptbussiness.biz

 

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What is the top tax mistake businesses make? Find out with tax coach @gardner_diane www.getjimpalmer.com

Are you overpaying your taxes? Find out with tax coach @gardner_diane www.getjimpalmer.com



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