There couldn’t be any nobler job than in having one that is purposively done to care for others and not just to earn profit. Working in a daycare center or starting a daycre center to a higher note is just one of those noble jobs. Spending your time voluntarily to care for small children is bravery in itself if not heroism.
A daycare business as we all know is a very lucrative venture. Many people have opted to start up one because of the high demand for childcare services. Daycares have become the backbone for the United States working population. The IRS is responsible in making sure that a portion of your lucrative business’ incomes is paid as tax.
Trust no one. Most daycares are operated and owned by more than one person. To defray the cost of investment, someone who is thinking to put up a daycare business will automatically look for a partner. But there have been misfortunate cases that one embezzles what you two have painstakingly earned leaving you nothing but a burden to carry alone—that is tax debt. Technically, both of you will be liable for the tax debt but since your partner has already run off with the money, you are left alone to take care of your business’ tax debt. Now, how will you be bale to this if you do not have the money to settle your debt? How will be able to sustain your operations and keep the business?
Here are some things you can consider:
* Because you do not want what happened and with the reason that you have been the victim for having such an irresponsible partner, your tax debt can be lowered. Businesses which have been a victim of embezzlement or theft are given leniency by the IRS such as in the removal of your penalties. But since only 20 percent up to 30 percent can be deducted from your tax debt because of the removal of penalties, you are still mandated to pay for the rest of your tax debt.
* After you have already settled your tax debt, you should look at other means on how to avoid extra expenses in the business so that it will easier to pay your tax debt next time. Consider shifting to a home childcare business. You can save more money when you operate your daycare business in a home setting because you will no longer be spending much on equipment, among others. Your operational expenses when you run the business home-based will be cut down significantly.
* You can utilize your home resources for your daycare business and vice versa. You can save a lot because the two will actually be helping each other. You can also claim a part of your daycare business income to subsidize your expenses for food and mortgage.
By doing these, you have not only saved your business but you can also continue to give services to the children whom you truly acre for.
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