In a recent effort to collect taxes from business owners, the IRS cracks down on business owners who use cash apps such as Cash App, Venmo, and Square Cash. The agency is arguing that these services should be treated as taxable income because they are used to receive payments for goods and services. Businesses that have been targeted by the IRS have been sent letters asking them to provide documentation proving that the money received through their cash app was not for income earned from their business. Read on to find out more about why the IRS cracks down on …

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As a small business owner, you’re probably familiar with the 1099 series of tax forms. If you’ve hired any independent contractors during the previous year, you’ll need to issue them Form 1099 Misc to report their earnings to the IRS. But what about workers who are non-employees? That’s where Form 1099 NEC Tax comes in. Table of Contents What do I report on form 1099 Non-Employee Compensation? Here are some 1099 NEC examples of payments Are there any exceptions for filing a 1099 NEC Form? What should I do if I receive a Form 1099 Non-Employee Compensation? This form is …

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The new 1099 k tax rules have a lot of people wondering how it will impact their taxes. One of the questions on a lot of people’s minds is whether they can now earn a side 1099 income without being taxed at an absurdly high rate. The answer is, unfortunately, not quite yet. Table of Contents All About IRS Form 1099 K The new tax rule for 1099 K income What are the benefits of earning a 1099 income? How to get started with earning a 1099 income? The new Form 1099 K rules state that “report the third-party network …

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While some businesses may not have to pay taxes on their profits, understanding the tax treatment of any gains that might arise from a sale of an asset is still essential. Even if you are up to date with your tax accounting, you still need to know what to expect when there is a change in the tax rates or how business-related gains are taxed. Table of Contents Basic understanding of business-related ordinary gains’ tax treatment Are all gains considered to be taxable? Why Should You Care About the Tax Treatment of Business-Related Ordinary Gains? This blog post will look …

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