subject: IRS Tax Debt Self-Employed? You're a Prime IRS Target and It's Not What You Think [print this page] IRS Tax Debt Self-Employed? You're a Prime IRS Target and It's Not What You Think
Cheater? If you own, watch out! The IRS claims that most tax cheats are self-employed. The IRS is watching you closer than they wage earners to see. In fact, the IRS 's is small business / self-division is the largest of all, with 47,000 employees. If you are a small company and you have a little thing wrong is, the IRS can be found.
A familiar scenario will fight your small business. The distribution is down. You pay yourStaff wages and rent, but not the payroll tax. Months pass, and the business world are still break-ins. You sell your assets to pay creditors. They barely avoided bankruptcy. They have not filed income tax for the last four quarters. Do not do that! The IRS is that the creditor is earlier. The IRS can do that most of the damage. So Uncle Sam give his first cut!
The IRS Self-Employed Checklist: If the IRS examined a case with a small business, they goconsider the following:
Have all your business report revenue?
Do not write off as deductible personal living expenses?
Way of life is reported to exceed the amount of income?
Do you have recurring expenses for the trip was not business-related write-?
Did you claim large entertainment expenses?
Dynamite IRS income tax. Avoid the explosion. The # 1 reason why small businesses get into trouble with the IRS, is not the sourceTaxes from the paycheck of each employee. This should be a high priority. If you can not pay, you should not perhaps in the economy.
Automatic Employees: The following are automatically considered employees. You have to withhold taxes from their salaries.
Food and Laundry Drivers
Full-time sellers who sell goods for resale.
Full-time life insurance agents working mainly for one company.
At-home workers who are supplied with material and given specificationsshould be carried out for the job.
Cover your bases: The IRS is on to you. Now you know the IRS is just for small businesses closer than any other. To cover your bases and take care of your IRS issues in the first place. Do not let the IRS to close down.
