F.A.Q.

The following are some questions we get asked a lot and may help relieve some of your worries straight away. If you have other questions that we didn’t address here, please contact us HERE and we will get back to you quickly!

 

Q: How do I know what sales tax to charge?

A: Go to dor.wa.gov. On their homepage there is a sales tax look up tool. You can type in the address of where you are going to ship the product to- and it will tell you how much to charge for sales tax based on the final destination. (Washington State Law). If are having a product picked up, the tax will be based on where you are located.

Q: What can I write off on my tax return?
A: Any money that you spend on your business that is directly related to your business AND that is an ordinary and necessary business expense.

Q: What kinds of businesses do you serve?
A: Any type of business that is brand new and just starting or any business that has been established for years, but has never had any formal guidance or accounting help. We do not currently do work for large corporate accounts.

 

Q: What if Im missing years of taxes?

A: We can go back and file as far back as you need. If you have past years of tax returns that are just lost and you need new copies, we can assist you getting your records in order with a new copy of your past returns.

Q: If I didn’t have health insurance, am I still going to get a penalty?

A: For the time being, in the 2019 tax year, the penalty for not having health insurance has been lifted.

Q: How much time do you need to complete my taxes and when should I have my stuff turned in to you?

A: For S Corps and Partnerships, please have your information in by end of February. For individual tax returns, please your information in by the end of March, at the very latest. Our turnaround time is quite quick if you are well prepared, and can be completed in up to a week. Most people require more time than that to get things organized.

Q: Do you serve clients outside of Whatcom County?
A: Simple answer is yes. We are concentrated in Whatcom county but also have clients in Seattle, Oregon and beyond.

 

Q: How do I pay myself and how can my business pay me?
A: If you are a single member LLC or a sole proprietorship, you do not have wages, you have draws or distributions from your company. If you are a general partnership or multi-member LLC, you also don’t have wages for partners, you will have guaranteed payments and/or draws. If you are an S Corporation the IRS mandates that you pay yourself a reasonable salary, through payroll on a W-2 like an employee. If you are a corporation, you would also do payroll as an employee.

Contact Kyle Laird at Whatcom Business Consultants today, for an easy and free consultation and quote over the phone. The more you know, the less you'll owe!

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