J.K. Lasser's Small Business Taxes 2024 (eBook)

BARBARA WELTMAN is an attorney and a nationally recognized expert in taxation for small businesses, as well as the author of many top-selling books on taxes and finance, including J.K. Lasser's 1001 Deductions & Tax Breaks. She is also the publisher of Idea of the Day¯® and Big Ideas for Small Business¯®, an award-winning blogger and quoted regularly in major publications (including the New York Times, the Wall Street Journal, and Consumer Reports). Visit her at www.BigIdeasForSmallBusiness.com.

Preface v

Introduction ix

Part 1 Organization 1

1. Business Organization 3

2. Tax Year and Accounting Methods 37

3. Recordkeeping for Business Income and Deductions 52

Part 2 Business Income and Losses 63

4. Income or Loss from Business Operations 65

5. Capital Gains and Losses 97

6. Gains and Losses from Sales of Business Property 116

Part 3 Business Deductions and Credits 129

7. Employee Compensation: Salary, Wages, and Employee Benefits 131

8. Travel, Meals, and Gift Expenses 164

9. Car and Truck Expenses 186

10. Repairs, Maintenance, and Energy Improvements 210

11. Bad Debts 227

12. Rents 238

13. Taxes and Interest 248

14. First-Year Expensing, Depreciation, Amortization, and Depletion 263

15. Advertising Expenses 297

16. Retirement Plans 303

17. Casualty and Theft Losses 346

18. Home Office Deductions 360

19. Medical Coverage 378

20. Deductions and Tax Credits for Farmers 397

21. Qualified Business Income Deduction 408

22. Miscellaneous Business Deductions 422

23. Roundup of Tax Credits 456

Part 4 Tax Planning for Your Small Business 469

24. Income and Deduction Strategies 471

25. Distributions from Your Business 485

26. Tax Strategies for Opening or Closing a Business 489

27. Tax Strategies for a Sideline Business 502

28. Tax Strategies for Multiple Businesses 506

29. Alternative Minimum Tax 511

30. Other Taxes 515

31. Filing Tax Returns, Paying Taxes, and Making Refund Claims 532

32. Retirement and Succession Planning 545

33. Working with CPAs and Other Tax Professionals 553

34. Handling Audits with the IRS 557

Appendix A. Information Returns 563

Appendix B. Tax Penalties 571

Appendix C. Checklist of Tax-Related Corporate Resolutions 577

Appendix D. List of Dollar Limits and Amounts Adjusted for Inflation 579

Index 583