Sole Proprietors

A cost segregation study is a powerful tax strategy for real estate owners, allowing them to accelerate depreciation on their properties. By reclassifying specific building components into shorter-lived asset categories, investors can boost early-year deductions, reduce taxable income, and improve cash flow. Ideal for newly acquired, constructed, or renovated properties, this method offers significant savings when properly executed with professional guidance.

Short-term rental income is taxed differently based on guest stay length and services provided. Rentals with significant personal services and stays of 30 days or less are reported on Schedule C as active business income, subject to self-employment tax. Rentals with shorter stays and minimal services are reported on Schedule E but may still be non-passive. Understanding these rules helps hosts maximize deductions and avoid tax traps related to passive loss limitations.

If you're a high earner looking to save more for retirement in a tax-smart way, the mega backdoor Roth could be a game-changer. This powerful strategy lets you contribute tens of thousands of after-tax dollars to a Roth account—far beyond the usual limits. Learn how it works, what your 401(k) plan must allow, and why timing matters to avoid taxes. It’s a hidden gem for those already maxing out traditional retirement options.

If your 401(k) plan allows in-service distributions, you can convert pre-tax savings to a Roth IRA while still working—giving you a head start on building tax-free retirement income. This strategy lets your money grow tax-free, with no required minimum distributions later. You don’t have to convert everything at once; spreading conversions over several years helps manage taxes. It’s a smart move for high earners or anyone planning long-term retirement growth.

If you use your personal vehicle for business, you may qualify for valuable tax deductions. For 2025, the IRS standard mileage rate is 70 cents per mile—but that’s just the start. Learn the difference between the standard mileage rate and actual expense method, and discover commonly overlooked deductions like loan interest, property taxes, tolls, and parking. Whether you're self-employed or own a small business, these tips can help you maximize your tax savings.

Thinking about forming a corporation for your business? An S Corporation might be the tax-friendly option you’ve been looking for. By allowing income and losses to pass through directly to shareholders, S corps help avoid double taxation—a major advantage for many small businesses. In this post, we explain what an S Corporation is, who qualifies, how to elect this status, and important considerations about asset distributions that every business owner should know.

If you're a farmer, landowner, or interested in rural tax policy, the new One Big Beautiful Bill Act (OBBBA) includes a provision worth noting. Section 70437 introduces a new tax option for those selling farmland to other farmers. Though it's flown under the radar, this change could have significant implications for agricultural land transactions. Here's what you should know.

The U.S. government is phasing out paper checks for most federal payments starting in 2025. A new executive order mandates a shift to electronic methods like direct deposit and digital wallets to reduce fraud, cut costs, and improve efficiency. Learn what this change means for individuals, businesses, and agencies.

As part of the newly passed One Big Beautiful Bill Act, tipped workers like servers, bartenders, and stylists may now qualify for a major federal tax break. Under the “No Tax on Tips” provision, eligible individuals can deduct up to $25,000 in tip income from their taxes—potentially increasing their take-home pay. Here's what you need to know about who qualifies, how it works, and when it takes effect.

New tax rules are coming that could simplify life for freelancers, small business owners, and anyone using apps like PayPal or Venmo for business payments. Congress is raising the reporting threshold for 1099 forms and rolling back the confusing $600 rule for payment apps. Here’s what you need to know—and when these changes take effect.

Forming an LLC as a sole proprietor protects personal assets, offers tax benefits, boosts credibility, and ensures smooth wealth transfer.

Maximize savings and minimize stress with these 10 essential tax planning tips for sole proprietors to reduce your tax liability.