Retained Earnings in Partnership
If I decide to retain earnings in our firm (rather than distributing them as profit at the end of the year), will I and my business partner be liable for the taxes on that money this calendar year?
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Theladycpa CPA
Hi, if you and your partner opt to not take distributions you will still be taxed on the net income of the partnership. The way partnership taxation works, at t ... Read more
Loans as Taxable Income
Hi,
My firm received an EIDL loan from the SBA due to Covid. I'm wondering:
a.) Does that money get marked as part of gross profit and/or income on our books?
b.) Does the money we got from the loan count as ...
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Theladycpa CPA
Hi in most cases there were two parts to the EIDL loan. If you received two deposits the first deposit being between $1,000 - $10,000 and the second the balance ... Read more