WELCOME TO THE MILIKOWSKY TAX LAW BLOG

Providing actionable insights and valuable information to help you navigate the complexity of tax law for your business.

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How to Prepare a Tax Return and Minimize Your Risk of Audit: A Guide for The Starting CPA 

Preparing and filing accurate business tax returns can be complicated. That's why so many business owners rely on CPAs to help them navigate the complexities of the tax world.  As a CPA, it is your responsibility to help…
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Four Year-End Tax Questions to Ask Your CPA

Your CPA isn't just there to ensure that the numbers add up on your tax returns. They can also provide useful advice on how to manage your income for the year and estimate your tax liabilities going forward. A qualified and knowledgeable…
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Understanding Business Tax Rates By Entity Type

Understanding taxes as a new business owner can feel like learning a new language. There are complicated rules, and they apply differently to businesses based on entity type, size, and a number of other variables. The good news is that,…
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Calculating Your Business Tax Liability: Federal and California State Tax Law 

States vary in their tax laws and in their allowable deductions for business owners. Because California’s state tax laws differ from federal tax laws, business owners in California should be attentive to ensure they comply with both…
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How to Avoid IRS Red Flags from Cash Transactions

Large or frequent cash transactions may make a business at higher risk of an IRS audit. While cash transactions are completely legal and a convenient industry standard for many businesses, frequently accepting cash payments can pose several…
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How to Effectively Respond to an IRS Notice

The IRS sends out millions of notices every year to correct tax returns, request more information from a business, update taxpayer information, verify a taxpayer’s identity, and more. As a small business owner, you are likely…
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Selling Business Assets That Are Subject to a Tax Lien: What You Need to Know

When you fall significantly behind on a government tax bill, whether that tax bill is attached to  your company or personal taxes, Uncle Sam looks for other ways to collect. One method includes staking a claim in your business interests. Not…
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Three Actions California Can Take to Collect Your Unpaid Taxes

Small businesses are likely to find that they owe the IRS money at the end of the fiscal year. If your focus is on continual business growth, you have likely pushed more of your cash into developing your business than saving for tax season…
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Your Guide to Navigating an EDD Audit

In the face of a perceived increase in the number of independent contractors, the California Employment Development Department (EDD) has begun a campaign of stricter enforcement of employment tax laws. With EDD conducting more audits of…
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The Dynamex Case, EDD and What the New Rules Mean for Your Independent Contractors

The California Supreme Court recently heard a case that is changing the rules on the classification of Independent Contractors in the state of California.  Previously, there were 13 factors that EDD would look at in assessing whether…
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Large Cash Transactions: Your Reporting Responsibilities and Penalties for Failing To File

Businesses who are paid in cash have a responsibility to report payments over $10,000 to IRS using form 8300.  Form 8300 is similar in function to a 1099 in that services paid for from one business to another usually generate a 1099,…
How to manage an EDD Audit - Attorney help
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The Small Business Owner’s Guide to Finding a Qualified CPA

As you search for the right CPA firm consider the following questions.  After all as a Small Business Owner, switching CPAs can be a daunting and time consuming task and you want to ensure that the firm you choose has the right…