As a record number of new small business applications recorded over the last three consecutive years, Keith Hall, the president and CEO of the National Association for the Self-Employed (NASE), the nation’s leading advocate and resource for the self-employed and micro-businesses, encourages  all Americans, including those in the small business community, to “review updates and reminders to this year’s tax system, including tax obligations, responsibilities, and Deductions filers need to be aware of for their 2023 tax returns.”

“With a record-setting number of new entrepreneurs entering self-employment, they may be filing this year’s tax returns for the first time as a small business owner and need to be aware of both the benefits and responsibilities that come with this new designation,” said Keith Hall, president and CEO of the National Association for the Self-Employed (NASE), the nation’s leading advocate and resource for the self-employed and micro-businesses.

“This year, the IRS has expanded the income Earning Tax Brackets, which will benefit small business owners by helping them to save, expand and grow their businesses. This savings will free up capital to help pay for an additional piece of office equipment, a new employee salary or simply provide additional savings for other business-related expenses. An overwhelming majority of small businesses and self-employed entrepreneurs can expect to benefit from key changes and updates to the tax code, advocated by NASE and other small business organizations, that will help save them both time and money.”

Key 2023 Tax Return Filing Updates & Reminders

• The tax filing deadline is Monday, April 15th, 2024
• Under the tax system:

• Newly expanded income-earning tax brackets.
• A lower individual rate, which is where most self-employed small businesses file.
• An increase in the standard deduction, which is $13,850 for single filers and $27,700 for married couples.
• Reduction or elimination of specific deductions such as for moving expenses or the unlimited state and local tax deductions known as SALT deductions, which are now capped at $10,000.

• A streamlined, standard home office deduction is available.
• The standard mileage rate for business use of an automobile is 67 cents per mile for 2024, up 1.5 cents from last year, which was 65.5 cents in 2023.
• Limits for retirement plan contributions such as SEPs, IRAs, and 401(k) plans may have changed for your situation.

Hidden Deductions

“Don’t overlook hidden deductions,” continued Hall. “Take the time to ensure you are filing the most beneficial return possible.  Whether it is itemizing your deductions, claiming the use of your car for work purposes, a streamlined home office deduction or the impact of retirement contributions, all of these options can result in financials savings to mitigate any costs associated with your 2023  tax returns. NASE has been a long-time advocate for passage of laws and regulations in our nation’s tax system which allows for many benefits for those in the small business community.  As we approach April 15th, we are encouraging each member of our community to educate themselves on these  available benefits and maximize them to your advantage.”

Tax Filing Tips

1. Gather Your Documents Early—Don’t wait until the last minute; now is the time to start making sure you have all your important tax filing documents.
2. You’re Not Alone – stay connected; there are resources to help you from NASE.org, IRS.gov, SBA.gov, and tax professionals.
3. Educate Yourself About Changes to the Tax Code—Believe it or not, there are changes and adjustments to the tax code year-to-year; make sure you find out what they are so you are prepared and can take advantage of them.
4. Don’t Forget About Hidden or Overlooked Deductions—Don’t leave anything on the table; make sure you are not missing any deductions that apply to you and can make the difference, such as mileage reimbursement, retirement contributions, and the home office deduction.

“File as soon as possible to receive any expected refunds in a timely manner and to avoid delays. Remember, you are not alone and there are resources out there for help, including NASE.org, IRS.gov and SBA.gov, where information and assistance is readily available,” concluded Hall.

Read More:

• The IRS Adjusted Its Tax Income Brackets — Are You Ready?
• Ways to Make Filing Taxes Online Safer 

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