Don't file your taxes until you talk to me 1st. I can save and make you some extra side cash or teach you got to earn a 6 figure income.
435-689-1751
Most people starting a business for the first time don't really ever stop to think about the tax situation that they are in. However it is one of the first things they should do.
1. Because structuring your self correctly in the beginning stages can eliminate a lot of double taxation or overpaying of taxes when the business start producing revenue.
2. Planning now will create several taxes deductions that a lot of business start ups did not realize were tax deductible expenses. Having the maximum possible tax deductions for your business will be very favorable to have at tax time. Especially for pass through entity structures.
Most people starting a business for the first time dont really ever stop to think about the tax situation that they are in. However it is one of the first things they should do.
1. Because structuring your self correctly in the beginning stages can eliminate a lot of double taxation or overpaying of taxes when the business start producing revenue.
2. Planning now will create several taxes deductions that a lot of business start ups did not realize were tax deductible expenses. Having the maximum possible tax deductions for your business will be very favorable to have at tax time. Especially for pass through entity structures.
These are important things to know in the beginning stages of your business which is why we are having this conversation today.
We have been around for a long time and have seen many businesses come and go. We've seen great success that ended up in failure because of the lack of planning and money management in the early stages. We have seen failures that have leveraged their tax deductions and recouped their investments through tax savings alone because they did plan ahead and structure their business correctly. We have basically seen it all and every scenario and the fact is we have never had a business regret planning ahead.
Every person and every business have different situations, which really requires a consultation to figure out whats going to be the best fit for each individual. Some business may be better off setting up an S-corp because they are already at a profitable state in their business.
Another individual may be better off setting up an LLC taxed as a partnership so that its easier to manage until they start showing a profit. One thing that is cool is you can actually elect for your LLC to be taxed as an S-corporation later on when the business is profitable and that is something we can discuss the benefits on on a more personal consultation.
It could even be better to establish a C-Corporation. This is for companies that want to be public traded companies or need an entity that is non pass through for certain financial situations.
So it is always our recommendation to get some tax advising in the start up phase of a business. So many businesses have just ran as a sole proprietor ignorantly not understanding how many tax benefits they are missing out on. They have lost 10's of thousands of dollars being double taxed in social security taxes alone that they would not have had to pay with a correctly formed corporation.