Top 5 Tax Season Mistakes That Can Trigger an IRS Audit—And How to Avoid Them

No one wants to face an IRS audit, yet certain mistakes during tax season can increase your chances of being flagged. Here are five common missteps to avoid:

Demystifying Section 1231: How Gains and Losses Impact Business Asset Sales

When selling business assets, understanding the tax implications is crucial. The IRS categorizes gains and losses into different types based on the asset sold and how long it was held. Here’s a breakdown of key tax classifications and how Section 1231 treatment can benefit business owners.

Key Tax Deadlines and Filing Tips Every Business Should Know for 2025

Missing key tax deadlines can lead to penalties and cash flow headaches. Stay ahead by understanding important dates and implementing smart filing strategies. Here’s what every business owner should know:

The Standard Business Mileage Rate Increased in 2025

The nationwide price of gas is slightly higher than it was a year ago and the 2025 optional standard mileage rate used to calculate the deductible cost of operating an automobile for business has also gone up. The IRS recently announced that the 2025 cents-per-mile rate for the business use of a car, van, pickup or panel truck is 70 cents. In 2024, the business cents-per-mile rate was 67 cents per mile. This rate applies to gasoline and diesel-powered vehicles as well as electric and hybrid-electric vehicles.

Understanding the Work Opportunity Tax Credit

According to the U.S. Bureau of Labor Statistics, the unemployment rate continues to be historically low, ranging from 4.0% to 4.3% from May to November of 2024. With today’s hiring challenges, business owners should be aware that the Work Opportunity Tax Credit (WOTC) is available to employers that hire workers from targeted groups who face significant barriers to employment. The tax credit is generally worth as much as $2,400 for each eligible employee (higher for certain veterans and “long-term family assistance recipients”). It’s generally limited to eligible employees who begin working for the employer before January 1, 2026.

The Tax Treatment of Intangible Assets

Intangible assets, such as patents, trademarks, copyrights and goodwill, play a crucial role in today’s businesses. The tax treatment of these assets can be complex, but businesses need to understand the issues involved. Here are some answers to frequently asked questions.

Get Ahead of Year End with 1099 Prep

As the end of the year approaches, it’s time to start planning for preparing and filing your 1099s. Properly filing your 1099s helps you stay compliant with IRS requirements, avoid penalties, and ensures smooth operations during tax season.

Important Beneficial Ownership Information (BOI) Reporting Update

On December 3, 2024, a Federal Court in Texas issued a nationwide, preliminary injunction blocking the Corporate Transparency Act (Beneficial Ownership Information reporting) on the grounds that it may be unconstitutional under the Commerce Clause.  This ruling comes with less than 1 month until the filing deadline.

Advantages of Keeping Your Business Separate from Its Real Estate

Does your business require real estate for its operations? Or do you hold property titled under your business’s name? It might be worth reconsidering this strategy. With long-term tax, liability and estate planning advantages, separating real estate ownership from the business may be a wise choice.

Help Ensure Your Partnership or LLC Complies with Tax Law

When drafting partnership and LLC operating agreements, various tax issues must be addressed. This is also true of multi-member LLCs that are treated as partnerships for tax purposes. Here are some critical issues to include in your agreement so your business remains in compliance with federal tax law.