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Accounting services for

Service Based Businesses

Individual Tax Preparation Services

Service-based businesses face a number of financial and accounting challenges that are unique to their particular industries.

Here at O’Brien and Panchuk, we have helped service-based businesses deal with the following tax and accounting issues:
Entity structure
Service-based businesses should be properly structured not only to maximize tax benefits but also with liability and marketability considerations in mind. Initially, these businesses are usually structured as sole proprietorships and run as S corporations.

However, many successful sole proprietors don’t realize that they’re subject to both ordinary income tax and self-employment tax, which can result in overpayment of self-employment tax. Our expert guidance can help these businesses avoid paying more tax than they owe.
Multi-state taxation
Larger service businesses that collect income in multiple states often encounter state tax apportionment issues. In addition, they often don’t understand the ramifications of commercial domicile in their home state.

The complexity of multi-state taxation results in many service-based businesses not taking full advantage of tax credits, and thus overpaying their taxes. Our experience in state tax apportionment helps ensure that service-based businesses neither underpay nor overpay state taxes.
Software capitalization and expensing
Technology firms and software (especially SAAS) businesses must deal with complex self-developed software capitalization and expensing rules. They must determine if ongoing development costs are capitalized or expensed in the period incurred.

We are experienced in helping these businesses make the right determination in order to minimize tax liabilities. For example, these businesses usually benefit the most from using budgets and cash flow projections.
Schedule A Consultation

Let us help you with your Service Based Business Accounting

We’re a progressive Tax CPA firm that focuses on each on our clients’ needs and circumstances to provide tailored services and solutions that address their situation. It’s not the “one size fits” all approach that you find at the big box store—it’s a calculated and measured process to ensure that the result is only the very best.
Testimonial

“Great work follows great fit. We  promise our clients award‑winning and  strategically designed experiences for a  digitally driven world.”

Israel morris | business OWNER
Testimonial

In 2007 I started a non profit 501c3 corporation to promote arts programs in public elementary schools. I was in need of a reliable professional accountant that could help me through the process of implementing a strong and well planned accounting program. Max Panchuk was recommended and his support, skill, and dedication has been more than I ever expected.

Steve Petersen, CEO | Steve Petersen Productions, Inc. 501c3
Testimonial

“Great work follows great fit. We  promise our clients award‑winning and  strategically designed experiences for a  digitally driven world.”

Thomas Doe | business OWNER
Call us: (760) 424-2246