by Jim Daloisio, Director of Legal Services at Torchlight Tax. A federal court has ruled that the IRS exceeded its authority and improperly charged penalties and interest during the national COVID-19 emergency from 2020 to 2023. The court found that 2019 federal law...

by Jim Daloisio, Director of Legal Services for Torchlight Tax. A PLLC is a Professional Limited Liability Company. It’s a special type of LLC designed specifically for licensed professionals—like doctors, nurse practitioners, dentists, chiropractors, veterinarians,...

by Dave Horwedel, CEO of Torchlight Tax. Many business owners hate QuickBooks. In my book, it is not the best bookkeeping software. One problem is that it can be hard to use. Another problem is that it allows untrained bookkeepers to make a total mess of their books....

by Dave Horwedel, CEO of Torchlight Tax. Want to increase your profits and lower your taxes using your S Corporation? You are watching the right video! Most business owners think accounting is something you do at the end of the year for taxes. That’s a mistake. This...

by Dave Horwedel, CEO of Torchlight Tax. A tax deduction is good. A tax credit is usually much better. Many taxpayers hear the words tax deduction and tax credit and think they are basically the same thing. They are not. A tax deduction reduces the amount of income...

by Dave Horwedel, CEO of Torchlight Tax. Most business owners think of bookkeeping as an expense. But if you use it correctly, your bookkeeper or accountant should help you make more money, keep more money, and pay less in taxes. Bookkeeping is not just about entering...

by Dave Horwedel, CEO of Torchlight Tax. You think you have all these great deductions, but you do not see them on your tax return. You are told you can deduct your home or your new SUV, but they just do not reduce your taxes the way you expected. One of the most...

by Dave Horwedel, CEO of Torchlight Tax. Want your donations to your church or favorite charity to actually count as tax deductions? If you want the IRS to treat your donations like real charitable contributions, you have to do two things: donate the right way, and...

by Dave Horwedel, CEO of Torchlight Tax If you don’t understand what a profit and loss statement is, you will likely struggle to understand where your money is going, and you won’t be able to use your numbers to increase your profits and grow your business. A profit...

by Dave Horwedel, CEO of Torchlight Tax Getting paid by 1099 could be costing you thousands of dollars in unnecessary taxes. Technically, if you are an independent contractor and you are not operating through a corporation, then yes, you should be paid by 1099. But...

by Dave Horwedel, CEO of Torchlight Tax Want to contribute over seventy thousand dollars a year to retirement and slash your tax bill at the same time? The Solo 401(k) can potentially do this. It’s one of the most powerful strategies available in 2025. Today we’re...

S Corporation and Partnership tax return or tax extension filings are due Monday, 16 March 2026. I am Dave Horwedel, CEO of Torchlight Tax. We are currently e-filing S Corporation/Partnership Tax returns and tax extensions like mad. The late-filing penalty of $220...

by Dave Horwedel, EA If you’re a U.S. company paying foreign contractors, the W-8 is mainly a documentation tool, and whether you actually have a U.S. withholding issue depends on where the work is performed. If you’re paying foreign contractors, here’s the deep truth...

by Dave Horwedel, EA and CEO of Torchlight Tax TAKE ACTION NOW TO LOWER YOUR 2025 TAX BILL AND MAKE TAX FILINGS LESS PAINFUL NEXT YEAR! Many taxpayers did their 2024 taxes at the last minute or late. Their records were a mess, and they’re certain they paid too much...

by Dave Horwedel, EA and CEO of Torchlight Tax If you run your own business and travel for work, you might be wondering if you can deduct the expenses of bringing your boyfriend or girlfriend along. If your boyfriend or girlfriend is truly working, and you document it...

By Dave Horwedel, CEO of Torchlight Tax If you run your own business and travel for work, you might be wondering if you can deduct the expenses of bringing your spouse along. If your spouse is truly working, and you document it correctly, the answer is generally...

By Dave Horwedel, CEO of Torchlight Tax A tax strategy is a plan of action or policy designed to achieve major tax savings. A simple tax strategy is “Keep track of all business expenses so that I can deduct them.” Good tax strategies save tax dollars and result in a...