International Tax Services
International Tax Services in Union
Today's global business market is more complex than ever. With regulatory demands increasing worldwide and international tax compliance obligations becoming more confusing, every business should have efficient and adaptable global tax strategies in place.
At Mendonca & Partners Certified Public Accountants, LLC, our full team of experienced CPAs works with you to understand your needs and implement tailored solutions to help manage your business across all jurisdictions. We combine our extensive tax knowledge with innovative techniques, so we can help you develop a sound international tax strategy from the very beginning. Contact our Union firm today to get started!
Tax preparation involves preparing and filing your tax returns, customarily done around the tax period. It includes different accounting aspects and can be challenging for individuals that are already engaged in their everyday businesses and jobs. However, tax preparation is necessary. You will benefit more if you hire a seasoned tax professional to handle your tax preparation needs.
How Can Professional Tax Preparation Help Me?
Saves money - Our tax professionals understand the IRS and how it operates. With this knowledge, we can help you save a significant amount of money on your tax return. Our team strives to identify any possible credits and deductions that you may qualify for.
Saves time - Why spend hours on tax preparation? We will organize your forms and files and submit your returns, so you can spend your valuable time growing your profession or business.
Zero chances for errors - Our tax professionals are well trained, experienced, and up-to-date on the ever-changing tax laws. Our internal review process helps reduce or eliminate the chance of a tax audit.
Help during a tax audit - A tax audit is not routine. If you receive a notice from the IRS, you can be sure that our tax professionals will help you every step of the way. We can face the IRS on your behalf and prepare all forms and files required for an audit.
Business Tax Preparation
Your business tax return depends on various factors, including location and your business structure. For instance, if you have employees, you must pay withholding and employment taxes. Some businesses file quarterly tax returns while others file annual tax returns.
Quarterly vs. Annual
A business with employees must file quarterly returns by submitting Form 941. Quarterly taxes include Medicare, Social Security, and federal income taxes withheld from employees' payments. If your business pays excise taxes, you will complete your quarterly returns using Form 720.
If you have no employees, you will not file quarterly returns. However, the IRS expects you to submit your income tax return annually. When filing, you must record your annual business profits and losses by using Form Schedule 1040C. Remember, both quarterly and yearly tax obligations are subject to your state tax laws. Our team can help you analyze these laws so you can file your returns correctly.
Multi-State Tax Filing & Compliance
State and local taxes are levied mainly on property, sales, and income. If you are running a business in any state, the IRS expects you to pay both state and local taxes as you earn throughout the year. If you don't make estimated tax payments, you will pay the tax debt after filing your individual or business income tax return in April, end of the tax year.
Employees should make employment-related state tax payments. Your state employment tax return can include withholding an amount from employees' wages to pay their state income tax, unemployment tax payment, and state employee's compensation insurance.
Your tax obligation also extends to the local level. Local taxes include operating tax, sales tax, property tax, and income tax. Just like state taxes, local taxes also vary with the tax laws of your county and city that you are operating within. Our tax professionals can help you differentiate and understand your state and local tax obligations since tax laws vary across jurisdictions.
A nexus explains the link between an entity, for instance, your business, and a taxing jurisdiction such as cities, states, counties, or districts. It defines the obligation for a company operating in a state to collect and pay sales tax in that state. A taxing jurisdiction can only impose sales taxes if there is a nexus. States establish a nexus through a business's physical presence, for instance:
- Owning or renting a warehouse
- Having an office
- Establishing inventory stores
- Having an affiliate
- Mailing address
In case you have a tax nexus in a particular state, you must make sales tax payments at the end of the tax year. If your business operates online in multiple states, familiarize yourself with the current tax laws. Our team can handle all your tax obligations in various states and jurisdictions.
Sales Tax for Local and Multi-State
Every business is responsible for local, and sometimes, multi-state sales tax obligations. Whether you own a small business that serves local buyers or an international company operating in multiple states, changing and complex tax laws can make your business obligations even more difficult.
Avoid mistakes that could cost you in the future by working with our state and local tax experts. We will keep you updated with the changing sales tax laws in states your business is operating in. This information is vital when determining which region to sell your goods.
We can also help you calculate the amount of sales tax to collect from your customers, depending on what IRS expects you to pay.
According to the Bank Secrecy Act law, you should keep a record and report your foreign financial accounts such as brokerage accounts, mutual funds, and bank accounts to the Treasury Department every year. We will help prepare tax reports through filing an FBAR (Foreign Bank and Financial Accounts) on the FinCEN Form. Any account at any financial institution that is not within the United States borders is a foreign account, whether it's subject to taxable income or not.
Every United States individual that owns a foreign financial account or has signature authority over the financial account qualifies for FBAR filing when the account exceeds 10,000 dollars at any time within a calendar year. The law considers one an individual FBAR filer if you personally or jointly own a foreign financial account with your spouse. A BSA E-Filer, on the other hand, is an institution that files the FBAR for a client.
How Our CPAs Can Help
FBAR civil penalties range from 10,000 dollars to 100,000 dollars or half of the account balance at the time of tax violation. Hiring a CPA is the first step to making sure that your FBAR filing requirement is handled on time and correctly. In case the IRS penalizes you, our team will explore all possibilities for penalty relief.
Tax Planning for Business
Through tax planning, you can find out your tax liability and explore different methods to minimize your tax debt, such as taking advantage of tax exemptions, allowances, deductions, and exclusions. Our tax planning experts support your financial plan by doing all we can to help you enjoy long-term tax efficiency. We will recommend the best tax-related decisions and help you achieve your business and financial goals.
What Does Tax Planning Do?
Tax planning channels taxable income to innovative investment plans. It utilizes resources optimally for profitable activities and, in turn, minimizes tax liability. We can help you save and reduce your tax liability by arranging your business operations according to the law requirements. While you aim at paying minimum tax, the IRS strives to ensure that they collect exactly what is owed in a timely fashion. Tax planning helps you pay only what you owe per the provisions of the tax laws. Our tax professionals will guide you through this process without any incidence of litigation.
If your business has employees, the law requires you to pay payroll taxes on behalf of your employees. Payroll taxes withheld include social security, Medicare, and local, state, and federal income taxes. Failure to pay payroll taxes results in penalties and fines. Our team will help you calculate the payroll tax amount and make payments on time.
Tax Registration for Business Startups
Starting a business involves selecting the appropriate business entity. Which one you choose will determine the type of tax return form you need to file. Common business entities include a corporation, partnership, S corporation, and a sole proprietorship. Choosing a business structure is an important decision that may require the input of experienced tax professionals.
Tax registration is mandatory when establishing a business to ensure that you are on the right side of the law. With the complex and changing tax laws, the process might be problematic if you are not tax savvy. Failure to register for tax might cost you and your business more than you would have spent hiring a tax professional. Our CPAs will help you understand tax laws related to every entity and offer registration services for your business startup.
Tax Resolution for Small Business
Common tax problems we help with include:
- Not filing taxes
- Not making tax payments on time
- Making math errors when filing tax returns
- Filing tax forms incorrectly
- Not keeping records of your tax return
- Paying more than you owe
IRS Audit Representation
If you receive an audit notification from the IRS, don't panic. Our experts will guide you through the process and work with IRS on your behalf. We have the credentials needed by the IRS for tax audit representation.
We will formulate a strategy that we'll use to defend your position. We'll also help you prepare all forms and files requested by the IRS, attend tax audit meetings, and help you understand your rights as a taxpayer and business owner.
Failing to file your tax returns is a criminal offense, often resulting in hefty fees and penalties. Whether you didn't pay your business tax returns knowingly or unknowingly, you will have to deal with the IRS. Our tax resolution specialists can help your business comply with any penalties and fees from the IRS. Once we've worked with the IRS on your behalf, we'll help you file your returns and get you back on track, taking advantage of any allowances or deductions to reduce your tax liability.
Negotiations, Compromises, Payment Plans, Innocent Spouse Relief, Bankruptcy
A tax compromise is an agreement between the IRS and a taxpayer that allows the former to pay less than the amount owed. However, if your business can pay the full amount in installments, you won't qualify for an offer in compromise.
If you qualify for a payment plan, the IRS will allow you to pay your tax liability within an extended period. Apply for a payment plan only if you are sure that you can clear the debt within the period given. No user fee is attached to a short-term payment plan.
If your spouse or former spouse filed a tax return incorrectly by adding or omitting items, you could apply for innocent spouse relief. Your spouse pays the penalties and interests that qualify for the tax relief. However, both of you are responsible for the tax penalties and interests that don't qualify.
In case you are not able to pay your tax liability, declaring bankruptcy is another way to seek relief. There are different types of bankruptcy, and you may require the help of tax experts to figure out how to file. We can handle tax negotiations under different circumstances and qualify for tax relief on behalf of our clients.
Contact Us for All Business Tax Needs!
Are you looking for professional tax preparation, resolution, multi-state filing, tax planning, and international tax services, among other business services? Our team of tax professionals is happy to help provide guidance, create customized strategies, and work with you to help solve your tax problems. We are one phone call away! Contact Mendonca & Partners Certified Public Accountants, LLC today!