Ever wondered if you can retroactively claim depreciation on a rental property or how to effectively structure multiple business entities for tax benefits?

In this episode, Mike answers various listener questions related to tax strategies for small business owners. He covers topics including retroactive depreciation for rental properties, structuring multiple business entities, handling business-related vehicles, quarterly estimated tax payments, charitable contributions, hiring spouses, and the benefits of S corporations. He also provides detailed advice, including potential pitfalls and alternative strategies to optimize tax savings and compliance.

[00:00 - 05:33] Retroactive Depreciation and Structuring Multiple Businesses

• Katy asks about claiming depreciation on a rental property retroactively.
• Jeff inquires about setting up a new division within an existing business.

[05:33 - 10:11] Business Vehicles, Quarterly Estimated Tax Payments, and Education Expenses

• Julia asks about transferring a personal vehicle to a business.
• Gigi questions whether quarterly estimated tax payments need to be equal.
• Curtis asks about deducting tuition, books, and commuting costs for his daughter.

[10:11 - 16:19] Charitable Contributions, Hiring a Spouse, and COGS

• Tony inquires about the deductibility of charitable contributions.
• Scott asks about hiring his spouse for clerical work in his financial advisory business.
• Laurie asks about handling tax deductions for unsold inventory.

[16:20 - 21:16] Payroll Taxes for Spouses and S Corporation vs. Sole Proprietorship

• Jasper asks about the benefits of hiring a spouse who works as a real estate professional.
• Angie and an anonymous Facebook group member ask about the benefits of filing as an S corporation.

[21:16 - 25:15] Closing Remarks

Direct Quotes:

"The problem with charitable contributions is that they're an itemized deduction now, and a lot of people no longer take itemized deductions because the standard deduction is much higher." - Mike Jesowshek, CPA

"99 percent of the time, the S corporation plays out as a better option if you're making $50,000 or more per year." - Mike Jesowshek, CPA

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Podcast Host: Mike Jesowshek, CPA - Founder and Host of Small Business Tax Savings Podcast

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