I’ve written about reasonable compensation (as recently as two days ago, I might add). Which is a complicated way of saying that when you are the owner of a company, you must receive a salary that reflects your efforts and your worth.
As long as you do not operate as a partnership (partners only get a draw, fully subject to all taxes, including payroll taxes), the owners of an enterprise are expected to be paid a salary. That’s the IRS position- the one that counts.
Continue reading Are you reasonable?
Today, I am going to talk about taxes- but for the small business owner. Like it or not, taxes are going to go up- not for everyone, but small business is a ripe target. Part of the reason is that small business- just like big business- has found ways (or paid advisors to find ways) to pay the minimum amount of axes required.
Continue reading Congress (and the IRS) is going after S Corporations and their owners
