The Domestic Production Activities Deduction (DPAD) is an expired tax provision that manufacturers and qualifying businesses (qualified producers) could claim for years prior to 2018. The deduction is figured by taking 9% of the lesser of either qualified production activity income or taxable income. The total value of the deduction cannot exceed more than 50%…
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What Is the Amortization Deduction on Tax Returns & Which Intangible Assets Qualify?
Amortization is a cost recovery method used to deduct the cost of Section 197 intangible assets over a fixed period. In general, Section 197 intangibles are amortized over a 15-year period using the straight-line method—meaning that the same amount is deducted each year for 15 years. The most common intangible asset is goodwill on the…
What Is Percentage Depletion for Taxes?
Percentage depletion is a tax deduction that helps independent producers and royalty owners account for the reduction of a nonrenewable mineral resource, such as oil, gold, and iron, and to recover the associated cost. Another option for calculating depletion is the cost depletion method. This deduction is very similar to depreciation but is specific to…
What Is Customer Intelligence?
Customer intelligence (CI) is the process of gathering and analyzing data from various customer interactions to generate actionable insights. It helps businesses understand their customers’ behavior, allowing them to personalize or adjust selling strategies. Customer intelligence data comes from customer relationship management (CRM) analytics, customer service data, purchase history, and web activities. Customer intelligence can…
How to Do Payroll in Japan: Ultimate Guide
Doing payroll in Japan isn’t as hard as in some other countries, but you will need to pay close attention to some specific rules and nuances you don’t face domestically. Because running international payroll means you have to abide by another country’s laws that you may not be familiar with, you must take your time…
California Paid Sick Leave Law: What Businesses Need To Know
Employers in California must provide paid sick leave to all employees working in California for 30+ days per year. In addition to state law, some localities also have leave requirements. As a small business, you’ll need to ensure compliance with California paid sick leave law and budget accordingly. How California Sick Leave Works There are…
What Is a Sales Commission Structure: 10 Types (+ Calculators)
A sales commission structure is a system that outlines how a company compensates its sales reps for the sales they make. It also helps motivate sales professionals to maintain or improve their overall performance. Commissions can be paid out weekly, biweekly, or monthly. The first step in developing a sales compensation plan is choosing the…
How Much Does It Cost to Open a Retail Store?
The cost of opening a retail store varies greatly—you should budget anywhere from $10,000 to a few hundred thousand dollars. It all depends on where you’re located and what your vision is. As retail continues its upward trajectory in a post-pandemic world, the time has never been better to start a retail business. Let’s break…