Small businesses take a proactive approach to seizing all the business tax credits and deductions they’re legally entitled to under current tax law. Don’t add to your tax bill by overlooking crucial write-offs or stumbling over IRS penalties. Topics covered include: donations, home offices, depreciation expense, employment taxes, business gifts, family business, business expenses, vehicle leasing and buy-sell agreements. Learn about key tax rulings and IRS regulations that affect small business tax issues.tax is a form of Income Tax. Income Tax is levied on the financial earning of persons, business enterprises and other legal entities. When the tax is imposed on the income of the business enterprise, it is called corporate Tax or Corporate income Tax or Corporation Tax. All Business Enterprises whether large or small are liable to pay this kind of tax. They are required to submit an income tax return annually, which is calculated on the net earnings of the whole year. These net earnings include personal earnings, profit earnings and capital gains. But capital gains are taxed only when shares of the small business enterprise appreciate in value or when the shares are sold. And profits are taxed only when they are of significant amount. In some tax systems interest on bank savings is also considered as personal earnings whereas in some other tax systems only those earnings are considered as personal earnings, which essentially involves labor, skill or investment.