How the New Tax Law Affects Small Business Owners

small business owner tax team

There are only a few months left in 2018. If you are a small business owner and you haven't reviewed the new tax law changes, it's time to do so! The Tax Cuts and Jobs Act (TCJA), passed in December 2017, made tax law changes that will affect virtually every business and individual in 2018 and the years ahead. Among other things, the new law may change their tax rates and impact the quarterly estimated tax payments they are required to make during the year.

The tax team at Pittsburgh's favorite accountant firm will help small business owners determine how the new tax laws will affect them come tax time. Contact us today at (412) 931-1617. 

Here are some helpful tips for IRS.gov:

"For many passthrough (sole proprietorships, partnerships, trusts, and S corporations) businesses, the law changes created a new 20-percent qualified business income deduction. Other deductions and credits have been changed as well, including revised depreciation methods and expanded options for expensing business property. There are also new rules for like-kind exchanges and fringe benefits. In addition, small business employers who provide paid family and medical leave to their employees during tax years 2018 and 2019 may qualify for a new business credit. Business owners can refer to the Tax Reform Provisions that Affect Businesses page for updates and resources on these topics and other business-related changes.

The IRS is highlighting these changes and more as part of its on-going initiative to help small businesses and self-employed individuals understand and meet their tax responsibilities. Pass-through businesses, small C-Corporations, Schedule C filers (independent contractors and gig economy workers) and farmers are all affected by the new law."

You can check out a ton of great resources at the Tax Reform Provisions that Affect Businesses page on the IRS's website including changes on income, withholding, deductions & depreciation, accounting method changes and more.

taxirsgov