2015 Tax Highlights for Small Businesses


Courtesy of

Annette Saarinen

Licensed Tax Consultant/Enrolled Agent


Automobile expenses: Use the mileage rate for actual expenses.

  • Mileage rate: 57.5 cents/miles
  • Actual expenses are allocated to business and personal use, if any.
  • KEEP A DAILY MILEAGE LOG! You are able to pick up a free one at AccounTax!

Health Insurance for owners of S-Corp, Partnership, or Sch. C Self Employed:

Reduces income directly, it is considered a guaranteed payment for Partners

  • IF the policy is in the company’s name
  • OR the company pays the premium
  • OR the company reimburses you for the premium in the same tax year
  • Rules are changing quickly. Please call if you have questions.

Cell Phones: Detailed documentation of business/personal use is no longer required.

  • Reasonable allocation is best.
  • If it is your only phone, it is NOT deductible, but the business bells and whistles

Form 1099 Information Return: What is it? Do you need to issue?

  • 1099-K Is issued by merchant card & 3rdparty payment processors if:
  • You accept credit/debit card payments OR
  • You receive >$20K or > 200 payments from a 3rd party processor, e.g. Paypal



You need to issue if you made payments over $600 for:

  • Non-employee compensation, subcontractors, auto reimbursement to non-employers, awards, commissions, rental income.
  • Schedules C and E now require YOU to make a statement as to whether or not you need to file any Form 1099.

Due dates: Jan 31 to recipient, Feb 28 to IRS, later if E-filed.

For C corps and S corps:

  • Have your annual meeting and record the minutes.
  • 2% share holders: report to payroll company the special rules pertaining to you.
  • Due Dates March 15th.

IF this sets off alarms, call ACCOUNTAX ASAP!  503-619-1040


NOTE: This is a small sample of tax topics affecting small businesses. It is by no means a complete listing of tax changes.