Q I owe back taxes to the IRS and can’t afford to repay the debt. What can I do?   A  First, if you ever receive a certified letter from the IRS, that’s never a good sign, so open it immediately! Then take action and seek guidance from an accountant who … More

Q: What do I need to know about the Affordable Care Act in 2016?   A: Starting January 1, 2016, the Affordable Care Act (ACA) will offer three important hurdles for pizzeria restaurant owners if you have at least 50 full-time workers (defined as someone who works at least 30 hours … More

Q What is SaaS, or Software as a Service?   A Software as a Service allows a pizzeria operator to rent software services from a provider on a recurring contract (usually monthly) as opposed to writing a big, fat check to purchase the product up-front. SaaS typically allows for a … More

Q My pizzeria often donates gift cards in support of local fundraisers. Can I deduct these donations from our taxes?   A restaurant acting as a corporation can claim a limited deduction for charitable contributions made in cash or other property. Gift certificates and gift cards are considered cash … More

Q: I filed for an extension on my taxes this year, but I was surprised to realize I still had to send the IRS a check. How does the extension work?   A: Some people get confused about what it means to file for an extension on their income … More

Q: Do you have any advice about dealing with automatic gratuities and applicable taxes?   A: I recently worked with a restaurant that underwent a tax audit covering the previous three years. The operator uses a point-of-sale (POS) system to account for his daily operations and for monthly sales tax … More

Q: I’m worried that important correspondence from the IRS may not be making it to my desk. What should I do? A: Underreporting your income will get you into serious trouble, so once the IRS contacts you about a suspected violation, you need to act quickly. I know of a … More

Q: What are the new rules in regard to building write-offs and repairs? A: The IRS has been paying close attention lately to an allegedly abusive practice in which restaurant owners treat some costs for building purchases and improvements as repair expenses in their tax returns, effectively writing off … More

QUESTION:  I know that plate costing is important, but it seems almost impossible. How can I do a better job of keeping track of it?   ANSWER: It all starts with finding the right software. Unfortunately, not all plate-costing programs are created equally. Let’s say that cash flow is … More

QUESTION:  I’m a small independent operator with limited resources, but I’d like to be able to take better advantage of new technologies to improve my restaurant business. How can I do this affordably?   ANSWER: I’ve learned over the years that many pizzeria operators are simply too busy to … More

QUESTION:  How can I make sure that my restaurant’s data is truly secure in the “cloud”? ANSWER: If your accountant has offered to provide a service that will store your restaurant accounting data in the “cloud,” there are four security questions you should ask: What type of protection does … More

QUESTION: How long must I keep credit card receipts? ANSWER: I recently discussed this subject with the director of the IRS Self-Employed Division. I had been involved in an IRS field audit with a restaurant operator who had failed to keep all credit card receipts related to net sales … More