Volume 15 | Issue 3 | Summer 2015
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2
Getting By With A Little Help
From Your Friends
Stay Present In Your Business
With The Help Of Advisors
3
Rea Report Survey Reader Feedback
3
5 Ways To Save
Don’t Ignore These Tax Write-Offs
For Your Small Business
4
Bright Client:
Guggisburg Cheese
Where Traditions Are Built
Wheel by Wheel
6
Know & Grow:
Controlling Value Through
Risk Reduction Strategies
8
Infographic:
10 Major Risk Areas
Seen In Businesses Today
9
A Primer On Private Equity Firms
10
Don’t Get Blown Away By
A Cash Windfall
4 Tips For Managing Sudden Wealth
REDUCING RISK (PART 3 of 5)
(And Risky)
Five Common Oversights Business Owners
Tend To Sweep Under The Rug – But Shouldn’t
T
he customer comes first – always. From the time you turn on
the lights in the morning, to when you lock back up at night,
your top priority is to meet your customers’ needs while running
a business that makes them want to keep coming back.
But you also have to find time to fulfill your obligations as an employer and stay out of hot water with the authorities. With your focus
split between running a business and complying with regulations,
how sure are you that something isn’t falling through the cracks?
Would you be willing to bet your business on it?
5 Bright People
Rea’s Employee Highlights
IGNORANCE is BLISS
EXPENSIVE
Here are five major responsibilities business owners tend to overlook.
Don’t underestimate the importance of these responsibilities. If you
do, you might find yourself facing steep fines or other unpleasant
consequences.
1. Sales tax
Sales tax responsibility is tricky stuff. While the guidelines are a
moving target, all sales tax liability is built around two main concepts – nexus, or connections that your business has with other
states; and sourcing. In order to determine your tax obligations,
first determine where you have a presence in terms of personnel
and products – where do you have people, inventory and property?
What states do you visit for sales, installs, or support?
>>>
By Joe Popp, JD, LLM, tax manager (Dublin office),
Paul McEwan, CPA, MTax, AIFA, principal and director
of benefit plan services (New Philadelphia office), &
Brian Kempf, CPA, senior manager (Millersburg office)
Wherever you have nexus, you must abide by that state’s tax laws
(e.g. filing a return). The state a sale is sourced to is typically based
on the state where possession is received for tangible products.
For services, it’s either the state where the service is performed or
where the benefit of the service is enjoyed by the customer (which
varies by state).
Additionally, volume of sales typically determines the frequency
with which you’ll need to remit taxes. Large volumes require monthly
continued on page 11
Small
Business
Corner
THIS IS PART THREE
OF A FIVE-PART
SERIES ABOUT WAYS
YOU CAN REDUCE
RISK WITHIN YOUR
SMALL BUSINESS
Read parts 1 & 2 at
www.reacpa.com/
small-businesscorner-series