Whether you file as a corporation or sole proprietor here’s what business owners need to know about tax changes for 2017.

Standard Mileage Rates 
The standard mileage rates in 2017 are as follows: 53.5 cents per business mile driven, 17 cents per mile driven for medical or moving purposes, and 14 cents per mile driven in service of charitable organizations.

Health Care Tax Credit for Small Businesses 
Small business employers who pay at least half the premiums for single health insurance coverage for their employees may be eligible for the Small Business Health Care Tax Credit as long as they employ fewer than the equivalent of 25 full-time workers and average annual wages do not exceed $52,000 (adjusted annually for inflation). In 2017 this amount is $52,400.

In 2017 (as in 2016, 2015, and 2014), the tax credit is worth up to 50 percent of your contribution toward employees’ premium costs (up to 35 percent for tax-exempt employers). For tax years 2010 through 2013, the maximum credit was 35 percent for small business employers and 25 percent for small tax-exempt employers such as charities.Continue reading

On December 5, 2017, Wheeler Accountants spent the day helping a local non-profit that makes a big impact on the community.  This is an annual event that is looked forward to across the office, and is coordinated by our in house Events Committee.

The year, Wheeler chose to volunteer at ConXion to Community, a wonderful organization that makes a big impact in our community.  The mission of ConXion is to create new opportunities through education, workforce development and social services to create a better community. They offer a wide variety of community assistance programs, including at risk youth and adult education. The Organization has a large building that needs maintenance. Learn more about ConXion by visiting their website (www.conxion.org/).

Per the Organization, “so much was accomplished during the volunteer day.”

The Wheeler team split up into four groups to tackle tasks that ConXion had assigned. One team cleaned out the side yard to help drain ground water surge and rain water. This helps prevent leaks through the floors of the building. A second team tackled the front yard, and helped make some safety improvements by clearing the fire hydrant of ivy! A third team worked in the main hall to put up a Christmas tree and other decorations for the upcoming toy drive. The fourth and final team – the painters- did a great job painting walls in the facility to help the Organization look much more professional, per Patrick at ConXion.

After Wheeler did their hard work, they enjoyed pizza and bowling.  Another Volunteer Day on the books, and already looking forward to next year!

In lieu of a holiday card to our clients and partners, the members of our firm donate to a charity of their choice, and Wheeler Accountants provide a matching contribution.  Some very worthy organizations that have received contributions this year are Humane Society of Silicon Valley, Second Harvest of Santa Cruz County, The Bridge School, and Supernova, to name a few.

Tax breaks for charitable giving aren’t limited to individuals, your small business can benefit as well. If you own a small to medium size business and are committed to giving back to the community through charitable giving, here’s what you should know.

1. Verify that the Organization is a Qualified Charity.

Once you’ve identified a charity, you’ll need to make sure it is a qualified charitable organization under the IRS. Qualified organizations must meet specific requirements as well as IRS criteria and are often referred to as 501(c)(3) organizations. Note that not all tax-exempt organizations are 501(c)(3) status, however.

There are two ways to verify whether a charity is qualified: use the IRS online search tool or ask the charity to send you a copy of their IRS determination letter confirming their exempt status.Continue reading

Once again, tax planning for the year ahead presents a number of challenges, first and foremost being what tax reform measures (if any) will actually become legislation–and when they take effect (e.g. retroactive to January 1, 2017, or a future date). Furthermore, a number of tax extenders expired at the end of 2016, which may or may not be reauthorized by Congress and made retroactive to the beginning of the year. And then, of course, there are the normal variations in individual tax circumstances such as the sale of a home that could bump up income into another tax bracket.

With this in mind, let’s take a look at some of the tax strategies you can use given the current uncertainties.Continue reading

Congratulations to Managing Partner, Matt Wheeler and his wife Jenny on the birth of their third child. Alexandra Mary Wheeler was born on November 7, 2017. She weighed 6 lbs 7 oz and was 19 inches long. Mom and baby are doing well. Sister, Samantha and brother, Devin are thrilled to have a baby sister.