Tax Attorney – FREEDOM LAW

How A Shifting Political Landscape Makes An IRS Lawyer An Invaluable Asset For Your San Diego Business

Every presidential election brings with it a wave of potential changes, particularly in tax laws. These shifts, driven by new leadership and party priorities, can profoundly impact businesses of all sizes. Historically, Republican administrations often emphasize tax cuts and incentives for corporations, while Democratic administrations tend to prioritize higher tax rates on wealthier individuals and businesses to fund social programs.

These changes aren’t hypothetical—they have reshaped the financial landscape for businesses in the past. The Tax Cuts and Jobs Act under the Trump administration drastically reduced corporate tax rates, while the Affordable Care Act during the Obama presidency introduced new tax provisions to support healthcare reform. Each shift forced businesses to adapt, and those with expert guidance were better positioned to navigate these transitions successfully.

The current political climate suggests another significant shift in tax policy is on the horizon. For businesses, this means potential disruptions in operations and cash flow but also opportunities to restructure your tax debts and payments. Proper preparation is key to ensuring your company benefits rather than suffers from these changes.

However, navigating complex tax laws and forecasting how policy changes will affect your business is no easy feat. It requires a deep understanding of both the current tax code and the nuances of proposed legislation. Without the right expertise, businesses risk falling behind competitors who can swiftly adapt.

IRS lawyers play a critical role in helping businesses weather these changes. They are experts not only in the current tax code but also in anticipating how new policies will impact various industries. By working with an experienced tax debt attorney, businesses can develop proactive strategies to minimize liabilities and capitalize on tax advantages.

From analyzing deductions and credits to ensuring compliance with ever-changing regulations, an IRS attorney provides invaluable guidance. Their expertise ensures that your company avoids costly penalties and audits while maximizing opportunities for financial growth. With the right legal support, your business can remain agile and competitive in a shifting landscape.

In San Diego, businesses looking for expert tax guidance turn to Hone Maxwell LLP. Known for their unparalleled experience and client-focused approach, the team at Hone Maxwell specializes in helping companies navigate the complexities of tax law. Their attorneys have a deep understanding of the tax code and are skilled at crafting customized strategies to meet each client’s unique needs.

Whether you’re planning to restructure your business, preparing for an audit, or simply seeking to optimize your tax strategy, Hone Maxwell offers the expertise and support you need. Their proven track record of success makes them the go-to resource for businesses looking to thrive amid political and financial uncertainty.

Don’t let changing tax laws catch your business off guard. With Hone Maxwell LLP by your side, you can navigate the shifting landscape with confidence and seize opportunities for growth. Contact Hone Maxwell today to learn how their experienced tax attorneys can help your San Diego business stay ahead of the curve.

Hone Maxwell LLP
+16199804476
3465 Camino del Rio S #400, San Diego, CA 92108

W8 Versus W9: The Basics For Business

Posted by: Heidi West Posted on: April 15, 2024 contractor tax , freelancer tax , independent contractor tax filing , US tax overseas , us tax treaty , US taxes on foreign income , w8 IRS , W8 tax form , w8 versus w9 , w8 vs w9 , w9 tax form

Some Americans might say that there has never been a better time for businesses to expand, thanks to technology and the free market.

There are several ways in which technology has spurred economic growth. The ease of access to the internet through computers and mobile phones means that there are countless ways to captivate the attention of consumers. Back in the day, advertisers mostly relied on physical media—newspapers, magazines, and billboards—or commercial slots on television. Some entrepreneurs would even orchestrate PR stunts just to get people talking. Today, advertising is calculated, algorithmic, and even discrete. Brands have integrated themselves into the lives of their target consumers, like partnering with a popular social influencer to launch their latest product to that influencer’s large and pre-existing following.

Businesses don’t just leverage technology to communicate with consumers. As the world hung in a global health limbo, the show had to go on. Stock prices of video conferencing software company Zoom skyrocketed. People started to question why they had been commuting to the office all this time. It wasn’t just about social distancing any more. People didn’t want to go back to the office even when health officials allowed society to reopen. Remote work gave people more autonomy, comfort, and free time than ever before.

“In 2023, there were an estimated 64 million people doing freelance work in the United States. This is an increase from 2014, when there were about 53 million people freelancing. The number of freelancers in the U.S. has been increasing since 2014.”
— Statista, Number of freelance workers in the United States from 2014 to 2023

Tax Perspectives On Hiring Remote Staff

Companies have transformed their hiring practices, discovering that, in a competitive world, hiring off-site or offshore can be advantageous for a variety of reasons. Hiring contractors or freelancers, rather than employees, can also lower a company ‘s administrative costs or allow them to access a more diverse talent pool.

For a company whose entire staff consists of employees, expanding through hiring domestic or foreign independent contractors can be an exciting new chapter. In hiring individuals or entities who are not company employees to perform work or services, it is paramount that all parties comply with laws.

Tax forms W8 or W9 must be submitted for Correct Reporting. The W8 and W9 are different tax forms that must be completed by individuals or businesses hired by United States companies. The W8 form certifies that the foreign individual or entity earns income from a U.S. source but does not hold U.S. tax residency.

What if the contractor or contracted business has no ties to the United States? The contracted individual or entity must fill out a W8 form if they have earned income from a U.S. source. Correct filing of the W8 may also qualify a contractor to claim tax treaties between their country and the U.S.

A W9 form declares U.S. tax residency and provides information including their Taxpayer Identification Number and Social Security Number.

This article provides introductory information on W8 and W9 forms, but it does not replace personalized legal advice. Consult with a licensed tax lawyer attorney to ask questions about your specific case. You can call Hone Maxwell LLP today.

Hone Maxwell LLP
https://honemaxwell.com/
+16199804476

Elon Musk And The California Exit Tax

Posted by: Heidi West Posted on: September 14, 2023 California exit tax , California income tax , California state tax , California tax attorney , California wealth tax , income tax lawyer , residency audit , wealth tax

There are so many things to love about California! Unfortunately, taxes are not one of them.

The sunny state has seen a mass exodus of residents charging to states with lower state taxes, from income to sales to capital gains, and more.

The conversation around California’s taxes is not one without controversy. Public companies and figures like Tesla and Elon Musk moving to Texas express the sentiments of many high-net-worth individuals who appear to have decided what is and isn’t worth it to stay. But what could possibly lead to so many people giving up the joys of living in one of the most sought-after places in the world?

California is home to many wealthy individuals and headquarters to some of the most valuable companies. Many Americans are in favor of proposals to increase California’s income taxes to help fund essential public services and distribute resources to the less fortunate.

The debate around taxes is a difficult, nuanced, and arguably subjective conversation. The role of taxes is one that is thought of as a mechanism for wealth distribution to promote equity and the well-being of taxes in society. Theoretically, the optimal tax rate will ensure the best outcome for each member of society. There is no shortage of scrutiny on wealth and what percentage of it is taxable.

Sales tax, income tax, payroll taxes, and others may be imposed on former residents of California for an indefinite period of time based on several factors. The “California Exit Tax ” refers to taxes that former California residents are subjected to. Former residents may be continually subject to a “residency audit” by California’s Franchise Tax Board in determining and collecting income taxes.

California state tax is a deeply layered and intricate area of legal and accounting expertise that Hone Maxwell specializes in. Anyone who has had to pay taxes understands that there are consequences for paying the government less than what you owe.

It can be disheartening to move out of state in an attempt to earn a living or operate a business outside of California’s tax laws, only to be sent notices from the California Department of Tax and Fee Administration and Employment Development Department. Authorities may determine that you to still owe taxes to your former state of residence or operations, even after relocation.

Tax authorities and auditors must be respected.

It is best to seek guidance from tax attorneys with expertise in the matters of income tax, payroll tax, and sales tax to resolve matters in your best lawful interests in compliance and with due diligence.

The California Department of Tax and Fee Administration has expanded its pool of subjects of audits, which are extensive and complex procedures that may result in taxation adjustments. Furthermore, the tax implications of California can extend beyond the state itself. In fact, California’s tax laws can have international implications.

An attorney or team of legal counsel with expertise in state, federal, and international taxation will help businesses navigate audits and resolve disputes.