Quiñones & Co., Inc. Business Tax

When was the last time you looked at how your business is structured?

It's pretty normal for business owners to set up an LLC or S Corp, then not touch it for years. But you wouldn't do that with your products/services or else you might miss out on serving your clients well.

In the same way, as your business grows, what 𝘶𝘴𝘦𝘥 to fit can quietly start costing you money.

If your revenue’s up, or your team looks different than it did a few years ago, your structure might not be the most efficient one anymore.

An LLC taxed as a sole prop can pile on self-employment tax.

An S Corp that once saved money might now limit deductions.

Your entity isn’t permanent — it’s a tool. And tools need sharpening.

If your income has changed more than 25% since you formed your business, it’s time for an entity check-up.

DM us if that's you.

We genuinely want to know. Share with us in the comments.

Sometimes giving voice to those fears is the first step toward overcoming them.

Tax filing things that trigger an IRS audit:

Mismatch analysis (computer triggers): The IRS’s system spots unreported income, deductions out of industry norms, or math errors.

Expense categories: Meals, travel, and “miscellaneous” deductions often get extra scrutiny.

Consistency: Sudden spikes, perfectly round numbers, or inconsistent year-to-year reporting look suspicious.

Complex credits: Things like R&D credits, digital currency transactions, and basis adjustments often invite audits.

Knowing this on the front end helps you pay closer attention when prepping your taxes. It also helps you know what you need to keep a record of if you do face an audit. Paying attention to those details and building processes for them now helps when troubles or IRS intrusions arise.

And the hits just keep on coming for the IRS... and anyone waiting on them to respond.

https://www.cnbc.com/2025/10/08/irs-furloughs-workers-government-shutdown.html

It’s not too late to separate business and personal funds. I’d recommend setting aside 1-2 hours per week to start tackling these steps:

1. Open a dedicated business checking account (and card) so new transactions stay clean.
2. Go through the last 3–6 months of bank and credit card statements and tag what’s business vs. personal. Pay special attention to meals, travel, vehicle, and home-office costs (the IRS scrutinizes these closely).
3. Start a habit of documenting personal-to-business transfers as an owner’s contribution or as a loan (with a promissory note if it’s truly a loan). And keep documentation for deposits.
4. Reimburse the business for personal charges you accidentally ran through the company account; book those reimbursements correctly (distribution/draw or wages, if needed).
5. Tighten your receipts and recordkeeping for meals, travel, vehicle, and home office. Note the amount, time, place, and business purpose. And for home office, be sure it meets the “regular & exclusive use” test.

Got a question about how to separate your business and personal accounts? Drop it in the comments below.

Have you heard people say Social Security isn’t taxed anymore?

That’s not quite true. The IRS still taxes up to 85% of Social Security income, depending on your total income.

What 𝘥𝘪𝘥 change for 2025 is a new $6,000 deduction for taxpayers 65 and older — or $12,000 if both spouses qualify.

It doesn’t make Social Security tax-free, but it can reduce your overall taxable income (and sometimes eliminate your federal tax bill entirely).

This deduction lasts 2025 through 2028, so it’s worth reviewing your income plan early to make the most of it.

Penalties accrue.

Penalties are affected by how much you owe and how late the payment is, so... catch up as soon as you can if you fall behind.

It’s easy to look at the next deadline and hope to catch up then. Don't get caught in that mindset.

Paying off any balance due as soon as possible is what truly will work in your favor. And always pay as much as you can on a payment, even if you can’t pay it all by the deadline.

We know it can be hard if your financial belt is already tightened, but it'll be much harder later on if you don't make a plan for them now.

🥓 Everyone wants someone to come in and “save their bacon” when money feels tight.

But the truth? The quickest way to find margin isn’t outside forces — it’s small, intentional steps you can take this week.
✔️ Cut an expense you won’t miss.
✔️ Sell something collecting dust.
✔️ Add one small stream of extra income.

It’s not easy — these are tough times. But you always have a choice: stew in the stress, or take action.

And remember, you’ve got us in your corner.

The IRS 𝘸𝘪𝘭𝘭 negotiate if you owe back taxes.

But they won’t make it easy, and not every option is right for every situation.

This article does a good job of outlining the basics.

But if you’re staring down an IRS balance and need more than “basics,” let's talk.

DM us to get the conversation started.

https://www.investopedia.com/articles/personal-finance/020614/how-negotiate-back-taxes-irs.asp

👉 The biggest mistake most people make when they receive an IRS notice is ignoring it.

A quick response can save stress, penalties, and money.

If you received a notice, do these 5 things...

1️⃣ Open it right away (delaying only makes it worse).
2️⃣ Read carefully to see what they’re asking.
3️⃣ Compare with your tax return and records.
4️⃣ Respond by the deadline—usually 30 days.
5️⃣ Put it in our hands.

Don’t go through the stress alone. IRS letters can feel intimidating, but we deal with them all the time. We can explain what the notice really means and guide you to the best resolution.

Have you ever thought that you're paying more in taxes than you actually should?

Or have you moved into a higher income bracket and been surprised by your increased tax burden?

These are common cases, and where a lot of people are when they come to us.

But what they didn't know and what you may not know either, is that you can actually be PROactive about your taxes rather than REactive. All it takes is implementing some tax planning strategies now.

You could save hundreds (even thousands) with the right tax plan.