Phoenix Arizona CPA | Arizona Tax Accountant | Arizona Income Tax

There’s no arguing that taxes on social security are incredibly high. As a matter of fact, according to current tax law, up to 85 percent of a person’s Social Security income is taxable when their total threshold income exceeds a set limit. What is threshold income?

Threshold income is the government’s formula for determining how much of a person’s Social Security is taxable. It is calculated by adding half of a person’s Social Security income with any other income they may have. The following threshold limits determine how much of a person’s Social Security is taxable: Read the rest of this entry »

I am going to make an assumption that you are a small business person, or want to be. I I will do my best to convince you to use Quickbooks as an integral part of your accounting system. Though I am not  employed by Intuit (the maker of Quickbooks); I do believe that it is the best choice for 99% of small businesses. Read the rest of this entry »

It is every company, business and income earning individuals wish to pay lesser tax on the income earned.  However, paying lesser tax and tax evasion is separated by a thin border, which can be costly if not dealt with carefully.

Big organization engaged experienced knowledgeable tax professionals to work out the company tax liability. These professionals take into account all deductible expenses, capital allowances, etc, in a legitimate manner to achieve their objective, pay lesser tax. On top of it, the organization employs accounting professional to maintain the transaction records of the business, detailing every sales, purchases and expenses. These records enable the auditors and tax professionals to accomplish their objective. Read the rest of this entry »

With the start of any new business, the matter of accounting will go hand in hand with success. While there are some small businesses that can get away without having an actual CPA on hand, it is critical to know at least a little about balancing the books before getting into the business arena. Far too many businesses can find themselves in the red without knowing it if they do not have a firm grasp on where the money is going, and how much of it is coming in. This includes making sure the books are balanced, keeping a close eye on accounts receivable and accounts payable, and making sure payroll is where it should be. With that in mind, let’s take a look at what the small businessman needs to know about accounting before venturing forth with his or her business. Read the rest of this entry »

Ever heard of the saying that “a sale is not a sale until the cash is in your bank account?”

If we you were paid for your sales the moment that you made them, you would never have a cash flow problem.

Unfortunately, that does not always happen in many businesses.  Credit is a privilege (not a right) and too many customers seek to abuse this trust and often never pay for the service or product you have supplied. Read the rest of this entry »

Any business irrespective of the size needs to be handled and looked after properly and often this can turn out to be overwhelming for the business owner. It is very important to ensure that every department of the business is functioning properly so that one does not face any kind of difficulty when they have to assess the productivity of their business. Now what a business owner can do to handle this efficiently is outsource the work to a professional or a group of professionals who are qualified to handle the work. Accounting outsourcing is one business process that has been used by many business owners with wonderful results. In fact studies have shown that an increasingly large number of firms are opening up to the idea of outsourcing the work to countries where things can be handled efficiently without any hassles. Read the rest of this entry »

QuickBooks is probably the most popular accounting software used by small and middle sized businesses in the world today.  It is available in many countries and can be configured for many industries.  This software package features a full-blown double-entry accounting system designed principally to be used by small, for-profit businesses with operating budgets of less than one million dollars. Read the rest of this entry »

Balance Sheet

A balance sheet is simply a list of all the balance of the assets and
the liabilities and the investments of the business. In a traditional
way the assets are shown on the left-hand side of the page and
liabilities on the right-hand side of the page. There are always two
aspects to every event, which enable the balance sheet to balance;
this is because the balance sheet is actually constructed from the
accounting equation. Read the rest of this entry »

Whether or not you’re an accounting professional, everyone should understand the basics of assets and liabilities.  Understanding the difference between these two financial accounts can mean all the difference between becoming wealthy or becoming poor.  The purpose of this article is to explain the difference between these two accounts and to provide some basic accounting knowledge that can teach even the most dim-witted person how to understand finances. Read the rest of this entry »

Adpoting proper accounting record keeping is a must for any business. Using good accounting practice make the overall management of the business very easy and also help in complying with regulatory authorities. Accounting is based on certain basic rules and principles. Adopting these rigid rules and principles make accounting practice consistent for all business transactions. There are seven major books of accounts. They are as follows : Read the rest of this entry »