Question: What are Hot Tax Deductions and Credits that Business Owners Should Know? - Video

Businesses and employees have struggled with the onslaught of COVID-19.

In November 2021, the IRS enacted the Employee Retention Tax Credit (ERC), a refundable tax credit designed to reward business owners for employee retention throughout the pandemic. Business owners impacted by COVID-19 can claim up to $5,000 in refundable tax credits for each employee on their payroll in 2020 and up to $7,000 credit per quarter (excluding Q4) for each employee in 2021.

Consider opening a retirement plan as the employer match is 100% deductible. In California, starting June 30th, all employers with 5 or more employees are mandated to offer a retirement plan.
In 2022, there has been a 100% bonus depreciation on equipment purchased for business use. If you are buying meals and beverages from restaurants for the purpose of your business, these can also be deducted.
Philip L. Liberatore, CPA remains committed to providing you with important information that pertains to your success. Learn more here: https://www.liberatorecpa.com/