The US Senate recently failed to pass a tax extenders bill which would have taxed S-Corporations with 3 or fewer shareholders who provide professional services medicare and social security taxes on the net income of their businesses. Currently S-Corporation shareholders do not pay this tax on the net income of their businesses. This seemed to unjustly focus on just a few S-Corporations who take advantage of the tax benefits there of. This one did not pass, but watch for future attempts.
June 28, 2010
Tanning tax
The federal government will begin taxing users of tanning services a 10% excise tax July 1, 2010. One of the many ways Congress finds to increase tax revenue with out “raising” taxes.
WA state taxes
As WA state struggles to balance its budget, it changed some taxes. One of the changes is how to determine whether you are doing business in the state suffinciently to owe Business and Occupation tax. New rules went into effect June 1, 2010. These rules particularly effect the service and financial services sectors. So, if you have customers in WA state, make sure you learn the rules.