Palmetto Accounting

05/31/2023

Did you know that one of the biggest challenges currently facing small businesses in South Carolina is employee retention?

To help combat this, South Carolina businesses are eligible to receive the Employee Retention Tax Credit, also known as the ERC or the ERTC. This tax credit helps small businesses recover from the impacts of COVID-19 by granting them a temporary refundable payroll tax credit.

In the blog below Danielle Michel, President and Founder oManufacturing Tax Recovery Serviceses, talks in depth about what exactly the ERC is, how it works, who qualifies for it, and some of the many benefits of introducing this credit to your business.

If you have more questions about the Employee Retention Tax Credit and how it can help your business navigate the current economy, we can help! Feel free to message Danielle directly or give us a call. Our team at Palmetto Accounting can help guide you every step of the way.

Looking to grow your South Carolina business and retain your employees amidst economic uncertainty? Learn how the Employee Retention Tax Credit (ERC) can help. Our article explores the benefits of the ERC, its eligibility criteria, and how South Carolina businesses can take advantage of this game-ch...

05/27/2023

Taking the time to correctly categorize your business’s expenses is an important piece of financial planning.

By keeping track of expenses as they come and filtering them into the correct categories with receipt copies, you can help significantly lessen what you owe come tax time.

When creating categories for your expenses you should include all of the costs of running your business and generating sales. The IRS doesn’t provide a master list of allowable small-business deductions but as long as an expense is considered necessary to running a business in your industry, it’s deductible.

Which expenses are allowed to be written off varies depending on the nature of your business. You can take the guesswork out of this by reaching out to our knowledgable team at Palmetto Accounting. We’re here to help your business prepare for the next tax season!

Here are the most common small business expense categories that count as a tax-deductible business expenses, what makes them “small and ordinary,” and how to track them.

05/23/2023

As a business owner in South Carolina, there are a lot of important financial phrases and things to remember, including the Research and Development Tax Credit!

This tax credit is a federal tax incentive for businesses that undertake innovative research and development projects.

If you’ve never heard of this valuable benefit that can help to boost your company’s bottom line, tune in for some helpful information from Danielle Michel, President and Founder of Manufacturing Tax Recovery Services.

In the blog post below, Danielle explains in depth what a Research and Development (R&D) tax credit is, the importance of the R&D tax credit, and how to make sure that your business qualifies and applies for the credit.

If you have any questions about the R&D tax credit and what it means for your business, feel free to reach out to Danielle or our skilled team at Palmetto Accounting!

As a business owner in South Carolina, have you ever heard of the research and development (R&D) tax credit? In this blog post, we'll explain what the R&D tax credit is all about, how it works, and how your company can take advantage of it.

05/19/2023

Have you ever wondered why forecasting business revenue and expenses is so important?

Proper financial forecasts help your business to develop operational plans that will help to make the business a success.

Taking the time to plan for your business can give you an accurate picture of the upcoming year in order to help you avoid unnecessary expenses as well as achieve established goals.

Our professional team at Palmetto Accounting is dedicated to helping your business be as successful as possible. If you have any questions about how proper forecasting can help your business grow or would like for us to help you prepare your financial forecasts, give us a call!

business, business financing - How to Forecast Revenue and Growth - Entrepreneur.com

05/16/2023

Are you a business owner wondering what you should be doing now to help prepare for next year's taxes?

First, it is recommended that you take a look at your business’s completed tax return and see if there are any major changes expected within the next calendar year that could affect things like estimated taxes or deductions.

Depending on the changes, you may want to work with your accounting team to help reforecast and rebudget for the remainder of this fiscal year.

In addition, there are questions you should be asking yourself such as, ‘Are there any upcoming changes to regulations or legislation that could impact our business?’ Or ‘What are our current expenses and overhead costs, and how can we reduce them in the upcoming year?’ Questions like these can help you to gain insight and ensure that you are as prepared as possible while making decisions for your business.

If you need help understanding your businesses’ financials and how to better prepare for the next year, give us a call. Our team at Palmetto Accounting is here to help you every step of the way.

Supported by a robust sales force and tight cost controls, Pharm Ltd. experienced sustained double-digit growth over a number of years, only to find that their supply chain struggled to keep pace.

05/12/2023

The job titles bookkeeper and accountant are often used interchangeably, but did you know that there are distinct differences between the two?

Both positions hold different specialties and job requirements that are important to the financial health of businesses.

For example, accountants must have a bachelor’s degree and pass the CPA examination to obtain and renew their license. Bookkeepers can begin their career after high school but may choose to obtain additional education to acquire sought-after certifications.

In addition, their duties are different as well. Bookkeepers are typically in charge of lining up the small pieces of a company’s financial records such as recording journal entries or conducting bank reconciliations. On the other hand, accountants view and arrange these records by completing tasks such as tax return preparation, reviewing various financial statements, and performing forecasting and budgeting.

Our skilled team at Palmetto Accounting can help your business with any bookkeeping or accounting needs you may have. If you are interested in learning more about our services, give us a call today!

Bookkeeping and accounting offer many career options. We discuss the education required, job outlook, and salaries for bookkeepers and accountants.

05/08/2023

As tax season comes to an end, you may find yourself thinking about what comes next.

In order to prepare for the next fiscal year, there are a few questions you need to start asking yourself now.

Questions such as ‘Are there any changes to your financial situation that you need to make your CPA aware of?’ can help you to recalculate your estimated taxes so that you don’t owe.

Check out the blog post below for a breakdown of some of the questions you should be asking yourself in preparation!

Supported by a robust sales force and tight cost controls, Pharm Ltd. experienced sustained double-digit growth over a number of years, only to find that their supply chain struggled to keep pace.

05/03/2023

Small business owners can breathe a sigh of relief!

The IRS recently revealed parts of its strategic operating plan in relation to funds received from the Inflation Reduction Act of 2022.

The IRS announced that one of the biggest changes moving forward is the plan to increase audits for complex cases with a focus on high-dollar areas. Thankfully, they also confirmed that this will NOT increase the audit rates for individuals or small businesses making under $400,000 annually.

If you have any more questions about if you might be at risk for increased audits or what else this operating plan may entail, send us a message, and let’s talk.

The IRS released its long-awaited strategic plan for spending the $80 billion it was allocated by last year’s Inflation Reduction Act. Over the first three years, the plan focuses on operations support, enforcement, business systems modernization, and taxpayer services.

04/26/2023

Did you know that outsourcing the accounting department is becoming the norm for most large companies?

In a recent survey conducted by the Big Four firms, the majority of chief tax officers at multibillion-dollar companies stated that they plan to outsource more work to outside providers throughout the next few years.

In fact, 83% of U.S. companies with a revenue of $2 billion or more plan to use either outsourcing, co-sourcing, or managed services models within the next three years to help streamline their businesses.

We’ve already seen a larger demand from small and mid-size businesses hiring outsourced accountants and fractional CFOs so it’s great to see larger corporations seeing the value as well!

If you have any questions about how outsourcing can help your business, send us a message!

The majority of chief tax officers at multibillion-dollar companies plan to outsource more work to outside providers over the next few years, according to a new survey from KPMG.

04/21/2023

You may have heard of the American Rescue Plan of 2021, but do you know what this means when it comes to reporting transactions next tax season?

The new reporting threshold has changed when it comes to third-party settlement organizations. Now if all transactions total $600 or more, they must be reported to the IRS. Previously you were only required to report transactions on Form 1099-Ks if the payee exceeded 200 transactions amounting to $20,000 or above.

When reporting, you will need to utilize a Form 1099-K. This form reports the gross amount of payment transactions from credit cards, Venmo, Stripe, and PayPal, as well as other online platforms.

Do you have any questions about what forms you need to be preparing for or what other changes the American Rescue Plan of 2021 has introduced? Send us a message today!

04/17/2023

Even if you have an in-house accountant or bookkeeper for your business, it’s still important to work with an external 3rd party accounting team to perform periodic audits. Do you know why its so important to have an accountant audit your financial statements?

Conducting an audit allows for an independent opinion to be formed about your company’s financial statements. This opinion helps to provide helpful insight into whether or not your company’s reports and financial statements are both accurate and reliable.

By taking the extra step and having these statements audited you’re helping to ensure that your company is representing its financial position in accordance with the most up-to-date accounting standards so you aren’t faced with possible investigations or fines from the IRS.

Our team at Palmetto Accounting offers in-depth, professional auditing services to offer you a peace of mind. If you have any questions about auditing or need an independent opinion about your financial statements, give us a call!

The primary role of an accountant is to handle a variety of tasks including tax preparation, financial planning and audits. …

04/14/2023

Important Reminder:

File your request for an extension if you won’t be able to have your annual taxes done by April 18th!