Accounting and Tax Tips Blog

How to File Your Airbnb Estimated Taxes

Aug 13, 2020 | Airbnb Taxes

The IRS classifies your Airbnb earnings as income, and you have to pay taxes on those earnings. If you expect to owe more than $1,000 in 1099 taxes, you must pay quarterly taxes for your earnings. Some new hosts might feel overwhelmed with these new tax hurdles, but...

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Quickbooks vs Xero: Which Is The Best Accounting Software?

Aug 10, 2020 | Tax Tips

One of the most important decisions you can make for your accounting process is which accounting software to go with. There are several different options available, but the two that reign supreme are Quickbooks and Xero. Both are very powerful and boast impressive...

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How to Calculate Profit Margin and Improve Profitability

Aug 7, 2020 | Legal

Business owners need to understand their revenues and earnings to make effective business decisions. However, it’s not easy to keep track of this information manually because unanticipated expenses often come into play. The profit margin formula helps business owners...

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Obamacare and Your Taxes: 2020 Edition

Jul 27, 2020 | Tax Tips

The Patient Protection and Affordable Care Act (ACA), aka Obamacare, came into effect in 2014. Some of the rules changed over the past few years, but it still affects your taxes. President Trump eliminated the penalty for non-coverage, but most of the Obamacare...

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How to Apply for Paycheck Protection Program Loan Forgiveness

Jul 22, 2020 | Legal, Tax Tips

The coronavirus pandemic forced many businesses to close their doors. Unfortunately, the lockdown has a disproportionate impact on smaller firms. Congress recently passed the Coronavirus Aid, Relief, and Economic Security or CARES Act to help the country survive the...

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Airbnb Hosts: How to Respond to IRS Notice CP2000

Jul 20, 2020 | Airbnb Taxes

Did you receive a CP2000 notice from the IRS? If so, don’t ignore it. Usually, the letters warn you about discrepancies between your reported earnings and IRS records. The CP2000 notice isn’t as bad as an audit, but don’t take it lightly. CP2000 is serious...

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Occupancy Tax Rates for Airbnb in Major Cities

Jul 20, 2020 | Airbnb Taxes

A few years ago, cities began to realize that Airbnb rentals were eating into their tax revenues. At the time, Airbnb hosts weren’t paying taxes like hotels, so many US cities set out to change that. Now, many cities make Airbnb hosts pay taxes just like hotels....

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Can an Airbnb Host Qualify as a Real Estate Professional? 

Jul 10, 2020 | Airbnb Taxes

For Airbnb hosts, classifying as a real estate professional is can have a major impact on your tax liabilities. In this post, we’re going to explain what a real estate professional is and it affects your taxes. What is a Real Estate Professional? The IRS...

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NAICS Codes List for Sharing Economy: Quick Reference Guide  

Jul 9, 2020 | Tax Tips

When you’re filling out paperwork for your business, you might have come across a question that asks for your business’s NAICS code. Most people don’t know what this is about, but it’s just a numbering system the government uses to classify...

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How Do I Set Up a Payment Plan with the IRS?

Jul 3, 2020 | Tax Tips

The tax deadline is just a few short weeks away. Your tax return and tax payment are both due on the tax deadline. In instances where your tax bill is more than you can afford to pay, you have the ability to set up a payment plan with the IRS. Here we will walk you...

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