I own two small businesses, a print shop and a landscape company.

I find enough tax deductions from these to zero out my tax bill each year.

As a small business, the loopholes are everywhere. We live in a country where the tax laws were written by and for business.

I have a 36 foot sailboat at a marina in Florida. The marina is a customer of my print shop so I have to go and visit them pretty regularly.
I have my landscape crew cuts all my friends grass for CASH. I can write off the labor.

I keep my Mom and Aunt on the payroll as " consultants". They are elderly, retired and don’t need the money, so they give me the money I pay them back in CASH.

Is this a great country or what?

There are, of course, millions of Americans who don’t have to pay tax because they are elderly, disabled, a student or someone who only earns minimum wage.

I have been working as an Independent Contractor for my employer as of 9/11/08. I didn’t have a paycheck by the 9/15 so I will be paying my income from 9/11 on by the 01/15/09 quarterly pay date for small businesses. By the end of the year I will have earned about ,400 from this job. The only deduction I have is about for transportation.

I also held another job earlier in the year from which I earned about 0. Social Security and Medicare were witheld, but not income tax. Altogether I will have earned under the ,200 limit for the entire year of 2008.

What I am unsure of is if I still need to pay income tax. My quarterly earnings are such that I would have earned a taxable amount had I earned that much every quarter, so I am confused about that.

Also, how much of the 15.3% SS&M do I need to pay? I’ve seen literature talking about how half of Social Security and Medicare is usually paid by employers, half of it can be deducted from net earnings…it’s all very very confusing to me.

If anyone can give me an answer, or clarify this that’d be great. I’m not in the market for consultants (I already know some.)

Budget..entitled, ironically, “A NEW ERA OF FISCAL RESPONSIBILITY

AOL News ^ | March 13, 2009, 8:02am |

Sen. Dave Gregg points out blow by blow the HYPOCRISY riddled through Obama’s Budget entitled ironically, “A New Era of Fiscal Responsibility.”

Gregg writes, “The argument that this budget doesn’t have tax increases is, I think, an Alice and Wonderland view of the budget.”

-Raising the tax rate from 35% to 42%, eliminating deductions on mortgages and on charitable deductions. Small businesses will be feel the burden the most.

-“Cutting the debt in half in four years is truly spurious, because you take the deficit and quadruple it, and then you cut it in half, that’s like taking four steps back and two steps forward. You’re not making any progress. You’re still going backwards.”

-Raising “a massive sales tax, a national sales tax on everybody’s electric bill, especially people in the Midwest and the Northeast. And what do you do with that revenue? You don’t use it to contain the size of government. You use it to expand government.

"There’s a representation that 80 percent of the first billion is going to go for your make-work-pay tax credit, but the next 20 percent goes to raise the size of the government.
And then on top of that you’re going to get another 0 billion potentially, and there’s no representation of that coming back to taxpayers."

"In fact, there’s specific language which makes it pretty clear that that’s going to be used as walking around money for various constituencies that are interested in spending it."

"They may be worthwhile constituencies, but it’s a heck of a tax burden to put on the American people.
And it represents a massive expansion in the size of government.
I guess that’s my big problem here."
ooops, I got Gregg’s first name wrong…. but I think you know about this man…. smile..
yet, its AOL… because the major news networks have been discredited as purveyers of lies..
HAM O BAM A
for the record: obama’s goons approached Gregg…… then lied to cover their behinds since obama can’t stand to loose….ego-centric

i have a SEP IRA (similar to traditional IRA for small businesses). Since my contributions to the sep ira is tax deductable, can i roll over my sep ira into a roth IRA after taking my tax deduction? therefore i would have received my tax deduction (from sep IRA) and prevent any future taxing of my roth IRA>

I have to be honest, though, while Pres. Obama adopted the meat of McCain’s proposal, he sure made it less inclusive and more regressive. Being some DINO Mr Obama proves to us once again.

John McCain proposed 00 tax credit to EVERYONE for purchasing health care.
If you are wealthy and in the 38% tax bracket that would give you 00/38% = 94 worth of health care free to everyone.
If you are middle class and in the 25% tax bracket that would give you 00/25% = ,000 worth of health care free to everyone.
See? Wealthy people would enjoy less tax exemptions. That’s progressive.

Now goes Mr. Obama actual proposal to put a cap on health care tax deductions. Needless to say that people who by health care insurance privately do not need to apply. This is how Obama encourages small businesses in their mission of jobs creation. But lets forget about such small irrelevant things.

There is now 100% tax detectability of health care group policy provided by employers. Obama wants to put 00 cap on this tax deductible benefits. Meaning that compared to McCain’s plan wealthy people whose tax deduction would be only 94 anyway under McCain will get no tax hit, but those in the middle class will be liable for the difference ,000 – ,000 = ,000 to lose its tax deductible and hence pay ,000 x 25% = ,000 extra tax.

So much for taxing the rich.
Ref:

http://taxvox.taxpolicycenter.org/blog/_archives/2009/2/26/4105759.html

There are more and I admit that some of my input data are not accurate, but its only because

a) The liberal media ignores the misdeeds of Barack Obama
b) The plans are still in the making – and this is the best point to stop them.
Ref:

http://taxvox.taxpolicycenter.org/blog/_archives/2009/2/26/4105759.html

There are more and I admit that some of my input data are not accurate, but its only because

a) The liberal media ignores the misdeeds of Barack Obama
b) The plans are still in the making – and this is the best point to stop them.

wouldn’t require either individuals or employers to get coverage.

It avoids expanding the federal role in overseeing the health insurance industry.

it would not set up new federally regulated purchasing pools for individuals and small businesses.

it would allow individuals to use the Internet to purchase lower-cost coverage available anywhere in the country.

The plan would offer tax deductions and tax credits to help make the purchase of health insurance more affordable for individuals.

The GOP bill would take on medical malpractice, limiting jury awards for pain and suffering and creating new health courts in which a specially trained judge would hear and decide cases involving medical negligence.

It isn’t a government take over but entitles everyone to get available insurance and pools the coverages on a website so people can compare and should drive prices down through competition

http://www.newsmax.com/headlines/house_GOP_health_bill/2009/07/29/241516.html

EDIT: This is the republican version of reform.

It is NOT a public option. There would be not takeover under this option. It simply seems much better than Hussein Obama’s idea for complete take over.
Edit:

APR: What do we do with an the uninsured? Medicaid is a failure. Ever since Nixon passed that law that enabled the health care to dictate prices they flew up.

http://www.fojb.com/blog/republican-economic-recovery-proposals/Default.aspx?AspxAutoDetectCookieSupport=1

1. Immediate Tax Relief for Working Families: House Republicans propose reducing the lowest individual tax rates from 15 percent to 10 percent and from 10 percent to 5 percent. Under the proposal, a married couple filing jointly could save up to ,200 a year in taxes.

2. Help for America’s Small Businesses: House Republicans propose to allow small businesses to take a tax deduction equal to 20 percent of their income. This will immediately free up funds for small businesses to create new jobs.

–> Small businesses (those employing 500 or fewer employees) can currently pay up to 35 percent of their income in taxes to the federal government. This is one of the highest rates among major economies of the world and Republicans want to ease the burden.

3. Assistance for the Unemployed: House Republicans propose to make unemployment benefits tax free so that those looking for work can focus on providing for their families.

4. Stabilizing Home Values: In order to encourage responsible buyers to enter the market and stabilize prices, House Republicans propose a home-buyers credit of ,500 for those buyers who make a minimum down-payment of 5 percent

5. No Tax Increases to Pay for Spending: The congressional Democrats’ spending plan includes record levels of government projects and programs that will substantially increase the current deficit, without spurring a rapid economic recovery, according to the non-partisan Congressional Budget Office. House Republicans are concerned that this level of spending could result in near-term tax increases on American families and are insisting that any economic package include a provision precluding any tax increases now or in the future to pay for this new spending.

NOTICE – No Government Pet Projects
SCOTT B:

JFK got America out of a recession with Tax Cuts
Reagan got America out of recession with Tax Cuts
Bush got America out of a recession with Tax Cuts.

The New Deal extended the Depression for 10 years until WWII !

OPEN A HISTORY BOOK !

Would this do more to stimulate the economy?

http://www.reuters.com/article/governmentFilingsNews/idUSN2853502020090128

(I am not sure why, but some bot deleted this question)

* Cut the lowest two income tax rates for 2009 and 2010, from 15 percent to 10 percent and from 10 percent to 5 percent.

* Extend through 2010 a patch to the Alternative Minimum Tax, which was originally designed to ensure that wealthy people pay taxes, but instead would hit millions of middle-income families with higher taxes.

* Expand the ,500 first-time homebuyers tax credit for a principal residence to all homebuyers while limiting it to purchasers who can make a down payment of at least 5 percent of the purchase price.

* Provide a tax deduction for small businesses with less than 500 employees equal to 20 percent of their income.

* Offer new tax deduction for those who do not receive tax-preferred, employer-sponsored health care coverage. And provide assistance to the unemployed who do not qualify for a COBRA premium subsidy.

* Give tax exemption on unemployment benefits and extend temporary federal unemployment benefits through 2009, phasing it out through mid-2010.

* Allow companies to write off current losses against previous tax years for up to five years. Companies now can only "carry back" losses for two years. The tax break would not be available to banks and other companies receiving help from the 0 billion bailout package.

* Extend through 2009 a break for small businesses that allows them to immediately write off up certain capital expenditures. (Reporting by Jeremy Pelofsky, editing by David Wiessler)

Will small businesses who make 0,000 in sales be taxed before or after their expenses?

HI is there any websites to see what dedcution can be made on a small buiness like we have a pool service, we are suppose to file taxes on monday and I want to make sure i get all the deductions for small businesses