Ovidiu Dobre
Aug. 7, 2017
4:03 p.m. PDT

Companies and/or individuals?

Hi,
Does the challenge targets companies or individuals (or both)?
As I understand, the tax code varies whether company or individual.
Thanks.
6 Replies

John Pollock moderator
Aug. 7, 2017
6:59 p.m. PDT
@Ovidiu Dobre
Short Answer: Individuals that own businesses.
Long Answer: The tax code is written more specifically for strategies that can be used in a business, by using these strategies the owner of the business will pay less taxes personally. There are a few tax strategies that will help individuals and business owners, but the vast majority of the strategies are for the business owner, our goal is to allow small businesses, without the need to hire a team of tax attorneys, to access the same benefits of big businesses.

If you need more clarity do not hesitate to ask.

Ovidiu Dobre
Aug. 8, 2017
1:39 a.m. PDT
Thank you for answer.
As I understand, the target is taxes paid personally by small business owners.
Just to be 100% clear on this point: the business owner pays personally taxes, while the business itself is also under taxation policy? Are they handled as separate things?

Paul Musille
Aug. 10, 2017
7:46 a.m. PDT
@Ovidiu Dobre
Hi Ovidiu,

I'll let John chime back in here to correct if need be, but yes, the results of this challenge will eventually benefit people who own a business by strategically recommending how to structure their business and personal finances to be as efficient as possible on their personal taxes.

Ovidiu Dobre
Aug. 10, 2017
8:41 a.m. PDT
Thanks Paul

John Pollock moderator
Aug. 10, 2017
10:24 a.m. PDT
@Ovidiu Dobre
Paul is correct and I would add, that SOME businesses have separate taxing, but most are "pass through entities" meaning the money flows from the business directly to the tax return of the business owner. We can reduce the income at the business level before it flows through to the individual which reduces the tax to the individual. You are starting to see why this is a challenge. We want to increase speed, accuracy and clarity of tax planning using software.

Ovidiu Dobre
Aug. 11, 2017
4:07 p.m. PDT
Thank you John, this information is very helpful.
I will get in touch if any clarification needed during design phase.
Post Your Reply