Knowledge Base

As a business owner, it’s important to understand your federal, state, and local tax requirements. This will help you file your taxes accurately and make payments on time. The business structure you choose when starting a business will determine what taxes you’ll pay and how you pay them.

Employer Identification Number (EIN)

Most businesses need an Employer Identification Number (EIN). Your EIN is your federal tax ID number. You should get one right after you register your new business.

Find out from the IRS if you need an EIN, how to get one, what to do if you’ve lost or misplaced yours, and more.

Income Tax

Most businesses must file and pay federal taxes on any income earned or received during the year. Partnerships, however, file an annual information return but don’t pay income taxes. Instead, each partner reports their share of the partnership’s profits or loss on their individual tax return.

Almost every state imposes a business or corporate income tax. However, each state and locality has its own tax laws.

Self-Employment Tax

If you have your own business, you must pay Social Security and Medicare taxes. Otherwise, you won’t be covered under the Social Security system.

Accounting & Bookkeeping of all your records, would put you in the best position by the end of the year.