The Snaring Economy

Financial Consulting

Background The subscription model is the new normal. Software and a host of business services now work primarily on this model. Business service providers are increasingly under pressure from more nimble competition. Their reaction draws inspiration from the annuity contract … Read more »

The SSTB “Gauntlet” Tax Zone

John Harmon CPA - Plain Talk, Real Results

Do you own a successful Specified Service Trade or Business? You may be poised to enter the “SSTB Gauntlet” tax zone. Definition of a Specified Service Trade or Business: A specified service business is a trade or business to which … Read more »

1099s – “What’s in a name?”

1099 - What's in a Name?

There’s been an increased scrutiny of 1099s by most tax and labor agencies (and insurance companies BTW) in recent years.  This is happening at federal and state levels.  A recurring theme is the agency will want to recharacterize time billed … Read more »

The Unwritten Fallout of Embezzlement

The Unwritten Fallout of Embezzlement

There are many articles on the internet about small and medium sized business embezzlement cases and suggestions on how to avoid it. There are perhaps couple of unwritten, chapters to the fallout of embezzlement that are worth knowing. Personnel / … Read more »

Is Construction “Production”? Yes!

Domestic Production Activities Tax Deduction

You’re a builder, so why would you get the Domestic Production Activities Tax Deduction? Because you produce something (it’s not just for manufacturers).  What is it? The deduction is 9% of net income from qualified “production” activities (not just traditional … Read more »

Hiring Temporary or Part-time Workers as Contractors

Hiring Temporary or Part-time Workers as Contractors

It’s tempting to hire staff as contractors; skipping costs for insurance, payroll taxes and administrative time.  It’s particularly tempting in bringing someone on-board on a trial basis or for part-timers. The IRS has 20 factors to consider to determine if … Read more »