Big Firm Capacity, Small Firm Personality

Pensacola, FL

105 E. Gregory Sq.

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John Pharr CPA

Big firm capacity. Small firm personality.

850.435.8844

Tag: Attroney

When to Switch To An S-Corp?

Are you receiving a 1099 from work every year? If so, you might want to look at creating an S-Corporation. An S Corporation is a corporation that has elected to be taxed as a flow-though entity (similar to an LLC or Limited Partnership). This type of taxation, the S election, allows the shareholders to be taxed only at the individual level instead of at both the corporate and individual level, thus avoiding the double taxation like the […]

Did You Receive a 1099?

1099 Contractors Do you perform odd jobs around the year and receive a 1099 for employment that’s not your everyday work? If so, your expenses can be deducted! If you do anything from refereeing, modeling, fishing, etc. and are compensated for it, you should receive a 1099 MISC for any gains over $600. You will be taxed on that amount from the 1099 MISC at 15.3% for self-employment taxes plus it’s added to your basis […]

Thinking of Going Solar? Save Taxes As Well

Solar Technology Tax Credits Available for 2017 Certain energy-efficient home improvements can cut your energy bills and save you money at tax time. While many of these tax credits expired at the end of 2016, tax credits for residential and non-business energy-efficient solar technologies do not expire until December 31, 2021. Here are some key facts that you should know about these tax credits: Residential Energy Efficient Property Credit This tax credit is 30 percent […]

Holiday Deductions

How does a business handle holiday gift-giving? Holiday gifts made to customers are generally deductible as ordinary and necessary business expenses if the taxpayer can demonstrate that such gifts maintain or improve customer goodwill. Such gifts must have a direct relationship to the taxpayer’s business and must be made with a reasonable expectation of a financial return equal to the amount of the gift. However, the $25 annual limitation per recipient on deductibility is applicable […]

New Tax Bill Questions

New Tax Bill Questions Tax reform discussions continue in Washington with legislation expected to be released very soon. GOP lawmakers in the House and Senate appear to be aiming for a comprehensive overhaul of the Tax Code. Tax reform Although the specifics are not yet known, a GOP tax bill is expected to lower the individual and corporate tax rates and eliminate many tax credits and deductions. The corporate tax rate could be lowered to […]

Business Entertainment Expenses

Business Entertainment Expenses As a business owner, you are eligible to deduct certain expenses related to entertaining clients. The expenses must be ordinary to the business and/or helpful to the business, and cannot be lavish or extravagant. Basically, the entertainment can’t be something out of the ordinary and out of the normal budget. The entertainment expenses are limited to a 50% deduction limit. To be sure the entertainment expense is eligible for deduction it must […]