Businesses often face complex tax issues that require careful attention and resolution.
Here are some common tax challenges businesses encounter:
Tax compliance and balances: Businesses may struggle with tax compliance, including issues related to balances for forms such as 941, 940, 1120, and 1120S. These balances can become problematic when dealing with IRS or state collections.
Tax liens: Identification, subordination, or obtaining a Certificate of Discharge for tax liens can be a complex process that businesses may need assistance with.
Financial and forensic audit requirements: Businesses may face financial and forensic audit requirements, which demand specialized knowledge and expertise to ensure compliance.
Errant assessments and incorrect records: Issues such as errant assessments, IRS substitute filings, or incorrect 1099 or W2 records can lead to tax complications that need to be addressed properly.
Trust fund assessments: Unaddressed payroll tax balances may result in trust fund assessments against officers or board members, creating legal and financial challenges for the business.
CARES Act provisions: Questions may arise regarding the Employee Retention Credit (ERC) and Paycheck Protection Program (PPP) in connection with the CARES Act provisions, requiring guidance and support.
Expert witness testimony: In certain cases, expert witness reports and testimony may be necessary to address nuanced tax issues in contracts or disputes, including divorce proceedings.
Financial planning for entity creation: To protect against previous tax exposure or prevent future tax issues, financial planning is essential during entity creation.