Under the broker information reporting rules, brokers must report transactions in securities to both the IRS and the investor on Form 1099-B. It encompasses cryptocurrency exchanges, custodians, or platforms (e.g., Coinbase, Gemini, or Binance), and digital assets, such as cryptocurrency (e.g., Bitcoin, Ether, or Dogecoin). Legislation is also extended to existing cash reporting rules…
With the increased attention cryptocurrencies and other digital assets are getting from consumers, companies and governments, you might be wondering how you account for payments in your accounting software? Currently, the standards used to account for cash or cash equivalents are not applied to crypto, yet. That’s because virtual currencies are not considered legal…
Before jumping right to crypto loan requirements, let’s first take a look at what crypto lending is. According to Stilt, “Crypto lending refers to a type of Decentralized Finance that allows investors to lend their cryptocurrencies to different borrowers. This way, they will get interest payments in exchange, also called “crypto dividends”. A…
Before exchanging payments using cryptocurrency or NFTs, it’s important to know the difference and how each might be used in your business. What is cryptocurrency? It is a digital currency that operates on a computer network, independent of a central authority. It works through a system of blocks that store the value of a…
You may wonder when to hire a virtual chief financial officer (CFO). This post covers four things to consider, the benefits, costs, and expectations you should have of a virtual CFO. We’ll also talk about the types of work that virtual CFOs can perform. 4 Things to Consider When hiring a virtual CFO, there are…
There are several bookkeeping hacks to help you streamline your accounting process. These methods allow you to spend less time on bookkeeping, freeing up your time for more important tasks. In addition, proactive bookkeeping can help you shape your business’ future and attract investors. By keeping track of your finances, you can demonstrate your creditworthiness…
To get started with QuickBooks, you’ll want to first separate your various areas of the business. For example, you might separate revenue by type – Office Expenses and Etsy – graphic design, etc. You can also create different accounts for each of these areas. Then, separate costs and revenue based on the area of your…
There are several reasons to create an effective chart of accounts. In business, the goal is to be able to generate good reports to manage the business. Using consistent categories for your expenses is important so that you can make comparisons between different properties and years. It also keeps your books clean and data readily…
New Schedules K-2 and K-3 (Form 1065) have been created by the IRS to offer standardized reporting of U.S. international tax information. The new formats include specific parts and boxes for certain items of international transactions, including withholding details and sourcing details. They will be used by partnerships and large corporations to report a wide…
I came across this topic, budget vs. forecast – what’s the difference? In summary, budget focuses more on expenses and spending limits while forecast focuses on growth and long-term goals. There are some differences on how you analyze your numbers but at the end of the day you need both together for your business to…