Selma Tax Planning Attorney
Business owners in Selma, California must carefully understand their tax obligations to remain compliant and improve their financial standing. Knowledge of federal, state, and local tax requirements keeps your business legally compliant and enables it to benefit from existing financial advantages. Hiring a Selma tax planning lawyer is a wise investment.
Why Choose Us?
Fishman, Larsen & Callister offers Selma businesses dependable tax planning and legal assistance customized to their requirements. Our firm assists employers in understanding complex tax regulations and maximizing deductions to ensure full compliance with both federal and state laws based on our extensive business and tax law background.
We deliver strategic solutions for payroll tax compliance support, tax credit utilization, and IRS dispute resolution that protect your business and financial future. Our team offers complete estate planning services that protect personal and business assets in addition to tax planning. Our experience as asset attorneys enables us to offer customized legal solutions that deliver results to help your business succeed.
Federal Payroll Taxes
In California, employers are required to pay both state and federal taxes. Federal required taxes include:
Social security tax. Social Security tax requires both employers and employees to contribute 6.2% of wages until reaching the annual wage base limit.
Medicare tax. All wages from employers and employees incur a 1.45% tax.
Federal Unemployment Tax Act (FUTA). A 6.0% tax rate applies to employer payments for the first $7,000 of employee wages. They might receive credits worth up to 5.4%, which would bring their rate down to 0.6%.
State Required Taxes
In addition to federal taxes, employers must pay state payroll taxes. These include:
Unemployment Insurance (UI). This employer-paid tax supports unemployed workers. For their first three years, newly established businesses pay a UI rate of 3.4% on each employee’s initial $7,000 in wages. The rates can undergo annual changes depending on multiple factors.
Employment Training Tax (ETT). The ETT collects 0.1% from the first $7,000 of wages from each employee to provide training programs that develop California workers’ skills.
State Disability Insurance (SDI). Employers withhold an employee-paid tax of 1.2% on salaries up to $145,600 for the year 2025 to fund disability and paid family leave benefits.
California Personal Income Tax (PIT): Employers deduct state income tax from employee wages based on earnings and withholding allowances.
Selma Local Taxes
In conjunction with federal and state taxes, the city of Selma also imposes certain taxes, including:
Sales and Use Tax. Selma’s total sales tax rate is 8.475%, which includes taxes from state, county, and city sources. The California Department of Tax and Fee Administration requires businesses to collect this tax from their taxable sales transactions and then submit it.
Transient Occupancy Tax (TOT). Selma applies a 12% Transient Occupancy Tax (TOT) on lodging services for guests who stay 30 or fewer days. Tax payments and filing returns must occur every quarter for operators.
Effective Tax Planning Strategies
Through effective tax planning, Selma employers can reduce their liabilities while optimizing deductions and maintaining compliance with all levels of tax regulations. Choosing the proper business structure such as an LLC, S-Corp, or C-Corp can lead to significant differences in tax obligations and potential savings.
Employers can lower their tax burdens by claiming credits like the Work Opportunity Tax Credit (WOTC) for selecting specific groups to hire and the California Competes Tax Credit for business expansion.
Another key strategy is maximizing deductible expenses. Employers can claim deductions for wages, employee benefits, office expenses, travel costs, and depreciation on business assets. Tax-advantaged benefits such as 401(k) plans, HSAs, and educational programs help diminish taxable income.
Businesses must manage payroll taxes properly to prevent penalties. They must automate payroll tax reporting systems, maintain worker classification compliance, and stay informed about California’s UI and SDI tax rates.
Staying ahead of tax law changes is essential, including understanding up-to-date minimum wage laws and payroll taxes. By collaborating with tax professionals, businesses can optimize their strategies, maximize deductions, and secure long-term financial success through year-end tax reviews.
Preventing Costly Tax Mistakes
Employers often make the critical error of labeling workers as independent contractors when they should be classified as employees. Businesses face strict worker classification requirements because misclassification leads to back taxes, penalties, and legal disputes. Late payroll tax filings result in substantial penalties and interest from the IRS.
Many businesses ignore potential tax deductions and credits. One frequent mistake is not claiming valuable deductions available for employee benefits, depreciation, and business expenses. Employers frequently miss opportunities to reduce their tax liability because they do not claim tax credits.
Poor record-keeping is another costly mistake. Inaccuracies in financial records can result in IRS audits, which postpone refunds and escalate tax liabilities. A tax lawyer ensures that financial documentation remains accurate while verifying that tax filings follow current laws.
How a Selma Tax Planning Attorney Can Help
Tax attorneys based in Selma, CA deliver essential help to businesses and individuals who need support with complicated tax matters. Local tax attorneys provide professional advice for IRS audits and back tax issues and develop strategic tax plans that comply with both California and federal tax regulations.
A Selma-based tax attorney can represent your interests during negotiations with the IRS or the California Franchise Tax Board to protect your rights and reduce your penalties. Tax attorneys who work in Selma understand local resources and financial institutions including the Selma Tax Office and Fresno IRS Office which enables them to deliver targeted local assistance.
Tax professionals provide assistance with tax return submission, payment plan arrangements, and business tax structure consultation. Their local advocacy can provide you with access to both the guidance and understanding you need to overcome any tax issues in Selma.
Contact Fishman, Larsen & Callister Today
Experienced tax planning attorneys can develop personalized tax strategies tailored to your financial situation. They also ensure compliance with complex local, state, and federal tax laws.
At Fishman, Larsen & Callister, we can help you take care of your business’s tax needs while you take care of your business. Contact us today to get started on minimizing your tax liabilities and maximizing your deductions.
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