TAX PREPARATION AND PLANNING
Tax Preparation
The Calyx team specializes in taxation for small to midsize businesses and their owners. Our team has extensive experience preparing returns for Partnerships, Limited Liability Companies, S Corporations, and C Corporations, as well as individuals. Our familiarity with the various entity types allows us to help identify the most advantageous tax structure for your business and offer tax planning services accordingly.
Our team is knowledgeable and experienced in navigating the complexities of the tax code. Although there are online platforms promoting how to simplify your taxes, taxes are anything but simple. And so far, the trend is toward more complexity, not less. While our team cannot help you avoid paying taxes, we can help you minimize the burden – and do so legally.
Tax Planning
With proper tax planning, a business owner can prepare and adapt to their tax liability, rather than merely reacting to it. New businesses should be prepared for at least a 15% tax debt, for even the smallest amount of income, and up to 40% or higher depending on which state tax jurisdiction you are in. Tax planning not only enables you to prepare financially – and emotionally – for your tax liability, but also to work proactively with your advisor to reduce your tax burden; through strategically timing expenditures, optimizing entity structure, or implementing appropriate cost categorization techniques.
Nowhere is planning more important than for companies in the cannabis industry. Since IRC § 280E disallows the deduction of overhead expenses, cannabis business owners can easily find themselves in a negative cash position while still facing large tax burdens. Strategic tax planning can reduce the impact of IRC § 280E and substantially increase the profitability of cannabis operations. While this is vital for all cannabis businesses, it’s most important for dispensaries, which face the least flexible interpretation of cost of goods sold. The Calyx team specializes in cannabis taxation and can guide you through these complexities to ensure your company is doing all it can to minimize its tax burden.
“Calyx CPA has been very helpful in getting our financial records running with QuickBooks along with training, so you don’t feel like you are lost. Even when I need a refresher on the program someone is always there to assist me. Calyx CPA like the calyx of a flower, there to provide that protective covering for your growing business. There has not been an issue or question that the Calyx team has not been able to handle, even with my constant pestering questions.”
Tyler Rolen, Owner of Rolen Stone Farms