When you think about taxes, you probably directly associate the money that goes out to tax authorities with the money that’s come in. Take sales tax as an example. The more you sell, the more you’re going to pay. Income tax isn’t so different: the more you earn, the...
Going through a down round isn’t ideal, but plenty of startups have successfully leveraged one — or several — on their way to success. Whether you’re considering this option because of internal factors (like lackluster financial performance) or external ones (like...
Does thinking about filing your taxes put some tension on your shoulders? If so, it’s probably because you’ve had a less-than-ideal filing experience in the past. And in most cases, those unwelcome filing instances come from surprises. Or you might be feeling...
As part of the Tax Cuts and Jobs Act (TCJA), there was a change to Section 174 that directly impacts the R&D tax credit many startups take. Beginning after 12/31/2021, research and experimental expenditures need to be capitalized instead of expensed as previously...
Getting a business off the ground requires capital. As they say, you need to spend money to make money. But Section 195 of the Internal Revenue Code (IRC) brings some good news. Once you launch your startup, you may be able to recoup some of those costs in the form of...
The start of a new year always feels fresh. You’re looking ahead and probably getting excited about everything your startup will accomplish in 2023. Don’t forget to look behind you, though. Even as you vision-cast for the year ahead, you need to wrap up the year...
The Delaware Annual Filing is due on March 1st, just 3 weeks away. So make sure to be on the lookout for an email from your registered agent in Delaware. You can sometimes use their portal to file an entire annual report. You will need your file number, which you can...
Founders, for 2022, the threshold to issue a 1099-NEC remains $600 for payments made in the calendar year 2022. You must issue a 1099-NEC to the following: Services performed by someone who is not your employee (including parts/materials) – (box 1) Payments to an...
R&D Tax Credits If your startup conducts R&D activities, you could qualify for up to $500,000 in payroll tax credits. By filing the R&D credit application (Form 6765) with a timely tax return, you can boost your runway and reinvest in key hires. Here are...