Search


So you've started a business and you're not sure if you should structure your business as an LLC or an S-Corp??

I get this question so much. There are a few things to keep in mind to help you understand the difference between the two:

  • An LLC is a legal entity, while S-Corporation is a tax structure

  • When determining if your business should be an LLC, consult with a lawyer to make sure you cover all bases

  • When determining if your business should elect to be taxed as an S-Corp, consult with a tax professional before making the change

Need help deciding on your tax structure? We're here for you! Schedule your free 15-minute strategy session with me ---> linktr.ee/jeanetteandrada


ADDITIONAL RESOURCES:


> Learn How to Pay Yourself When You Own a Private Practice

> Simple Practice Reports You Should Be Reviewing

> Should Your Private Practice Become an S-Corp


#privatepracticeaccounting #therapist #nursepractitioner #lpc #lcsw #pmhnp #lmft #privatepracticeowner #counselor #psychiatrist #mentalhealth #therapistaccounting #counseloraccounting #smallbusiness #bookkeepingtips #accountingtips #taxtips #businesstaxes #businessowner #taxsavings #pmhnpaccounting #enrolledagent #businessaccountant #mentalhealthprovider #taxplanning #bookkeeping #accountingservices #cpa #scorps #simplepractice



Do you ever feel overwhelmed with your taxes and bookkeeping? You're definitely not alone. When I talk to business owners, they often tell me that they are overwhelmed with organizing their books and getting good systems in place. Working with us, you'll find that we are all about creating systems that streamline accounting processes. Never feel overwhelmed again!


Schedule your free 15-minute confidential strategy session with me ---> linktr.ee/jeanetteandrada


ADDITIONAL RESOURCES:


> Learn How to Pay Yourself When You Own a Private Practice

> Simple Practice Reports You Should Be Reviewing

> Should Your Private Practice Become an S-Corp


#privatepracticeaccounting #therapist #nursepractitioner #lpc #lcsw #pmhnp #lmft #privatepracticeowner #counselor #psychiatrist #sanantoniocounselor #mentalhealth #therapistaccounting #counseloraccounting #sanantoniotx #smallbusiness #bookkeepingtips #accountingtips #taxtips #businesstaxes #businessowner #taxsavings #pmhnpaccounting #enrolledagent #businessaccountant #mentalhealthprovider



Since 1986, lawmakers have limited business meal deductions: first to 80%, and then to 50% (unless an exception applies).


But on December 27, 2020, in an effort to help the restaurant industry due to the COVID-19 pandemic, lawmakers enacted a new, temporary 100% business meal deduction for calendar years 2021 and 2022.


To qualify for the 100 percent deduction, some criteria must be met.

  1. You need a restaurant to provide you with the food or beverages. The law requires only that the restaurant provide the food and beverages. You don’t have to pay the money directly to the restaurant. For example, you qualify for the 100 percent deduction if you order a restaurant meal that’s delivered by Uber Eats or Grubhub.

  2. Your deductible business meals must be tax code Section 162 ordinary and necessary business expenses, and they must not be subject to disallowance under tax code Section 274 (entertainment expenses).

  3. You must be present at the business meal, and you must provide the business meal to a person with whom you could reasonably expect to engage or deal with in the active conduct of your business, such as a customer, client, supplier, employee, agent, partner, or professional advisor, whether established or prospective.

Remember, to qualify for the 100 percent deduction, you need a restaurant. The IRS recently provided definitions and examples of what is and is not a restaurant.

A restaurant is “a business that prepares and sells food or beverages to retail customers for immediate consumption, regardless of whether the food or beverages are consumed on the business’s premises.” It is not any of the following:

  • Grocery stores

  • Specialty food stores

  • Beer, wine, or liquor stores

  • Drug stores

  • Convenience stores

  • Newsstands

  • Vending machines or kiosks

In general, the 50 percent limitation applies to business meals from the sources listed above.


The restaurant creates the 100 percent deduction.


Need help with your taxes? Schedule your free 15-minute strategy session here ---> https://linktr.ee/jeanetteandrada


ADDITIONAL RESOURCES:


> Learn How to Pay Yourself When You Own a Private Practice

> Simple Practice Reports You Should Be Reviewing

> Should Your Private Practice Become an S-Corp


#privatepracticeaccounting #therapist #nursepractitioner #lpc #lcsw #pmhnp #lmft #privatepracticeowner #counselor #psychiatrist #mentalhealth #therapistaccounting #counseloraccounting #smallbusiness #bookkeepingtips #accountingtips #taxtips #businesstaxes #businessowner #taxsavings #pmhnpaccounting #enrolledagent #businessaccountant #mentalhealthprovider #taxplanning #bookkeeping #accountingservices #cpa #scorps #simplepractice

1/7