Business Taxes?

[ghost]

Depends. I ran a business that was 100% in white, we declared every penny of income, paid every single penny of taxes due and we were still profitable. Not very but we were. Doing it otherwise wasn't an option for many reasons, not the least of which we were audited annually by EY.

If you're asking biz owners on a public forum to admit to a) fudging on their income taxes and B) what percentage, you're prob not going to get a lot of responses Yes, many businesses do operate mainly in black. Typically they declare enough to be realistic, give them a reasonable income and the rest goes off of the books. But if one chooses to go that route, you had better be very smart and circumspect about it. Alternately, find yourself a very good accountant who will do everything possible to mitigate your burdens while still keeping you in white (or at least a pale shade of grey).

You are using the past tense. Did you dump the business?

 

[nlaruccia]

Income taxes (impuestos a las ganancias)must be payed. The problem with fugding on your tax return and having your accountant claim you make less and need less to live off than you really do, is that if you need to make a big purchase such as equipment or a car you have no way of proving you earned enough during the year to pay for it, unless a nice friend is willing to state in front of an escribano that they lent you the money.

 

[Bajo_cero2]

There aré 2 different systems.
1) monotributo (simplified) were you pay a flat fee all inclusive.
2) responsable inscripto (you need am accountant) and there you have to pay:

A) IVA 21% (sales tax) but you deduct the sales tax you already paid when you bought, for example, towels for the hotel.

B,) impuesto a las ganancias 35% (profit tax). The first year you paid a year later. Using this info, the 2nd year you pay it in stallments in advance.

You deduct from profit all the expendichures. Here is where to pay well and in blanco becomes a good business. Your employeds aré happy and you pay them instead of paying taxes.

The taxes you pay for them aré deductable, the same regarding compensations when you fire them and law suits. This is a nightmare only if your bussisness works en negro.

Leasings can be deducted, that a why everybody was getting BMW, Audi, etc almost for free.


3) art (work liability) and cargas sociales (social security) is 18% of the salary but you deduct it from income tax.

4) ingresos brutos (i have no idea, lawyers don y have to pay it).

5) thank for awkful tipying to my i phone.

 

[Montauk_Project]

Even if you are monotributista I recommend using an accountant. If you don´t have a lot of stuff to file they tend to be quite cheap, and save you some big headaches!
the advice above from BajoCero is about as clear as you are going to get without hiring an accountant. When we file, we also discount all legally approved expenses for running a business. For example, yerba mate, coffee, sugar, cleaning supplies are considered deductable if you have a business, as they are needed for an office (even if you don´t have an office). You might find that a lot of what you buy can be deducted. You might also find that there is help available for setting up a new business or hiring certain types of people (people who have their first job).

 

[citygirl]

You are using the past tense. Did you dump the business?

I left the business for personal reasons - aka the arrival of the citybaby twins It is still sort of operational here, they are sunsetting as employees leave.