Borough Park
Tax preparation and planning in Borough Park, Brooklyn
Nearly 900 storefronts, almost all owner operated, means most Borough Park returns carry business income.
What you get
- Every federal form you are likely to need
- New York State, New York City and Yonkers
- Planning done before year end
- Prior years brought current
The MyCleverCPA team
- 25+ years in regulated finance, compliance and audit
- Tax work led by a CPA. Jillian Sinel holds the CPA and the CAA
- Brooklyn Office at 1684 E 18th St, Brooklyn, NY 11229
In Borough Park
Tax preparation and planning for Borough Park
The first question is usually entity. A sole proprietorship that crossed $95,000 of income allocated to New York City owes Unincorporated Business Tax at 4%, with a credit that eliminates it entirely at $3,400 or less. An S corporation falls under the Business Corporation Tax instead.
That decision is worth making deliberately rather than inheriting it from whoever filed the first return.
Scope
What is included in tax preparation and planning
The same work wherever you are. Scoped to what you actually need.
Individual returns
- Form 1040 and the schedules behind it
- Schedule C for self-employed filers
- Schedule E for rental property
Business returns
- Form 1120 and Form 1120-S
- Form 1065 for partnerships and LLCs
- K-1s issued to owners and partners
State and city
- New York State and New York City returns
- The Yonkers resident surcharge and nonresident earnings tax
- Returns in other states where you have nexus
Planning and cleanup
- Estimated payments calculated rather than guessed
- Amended returns, Form 1040-X
- Prior-year and delinquent returns
Returns we prepare
- Individual income tax, Form 1040
- C corporation returns, Form 1120
- S corporation returns, Form 1120-S
- Partnership and LLC returns, Form 1065
- Self-employed and Schedule C filers
- Rental property and Schedule E
- Multi-state returns
- Amended returns, Form 1040-X
- Prior-year and delinquent returns
- Extensions
- Estimated tax calculations and payments
- Capital gains and investment reporting
- Cryptocurrency reporting
- Real estate tax matters
- Foreign income and international reporting
- FBAR and foreign account reporting
- ITIN applications and renewals
Local tax
The Unincorporated Business Tax page
If there is one area where UBT should be the headline, it is this one. A storefront economy of clothing, jewellery, hardware, home goods and specialty food, overwhelmingly structured as sole proprietorships and partnerships, is exactly the population the tax was written for.
The rate is 4% on income allocated to New York City, the filing threshold is gross business income above $95,000, and there is a $5,000 exemption against net income. The credit eliminates the tax entirely at $3,400 or less and phases out by $5,400, which means a large share of businesses on these avenues owe nothing but are still inside the filing regime. S corporations are outside UBT and fall under the Business Corporation Tax instead, which is a genuine planning lever rather than a technicality.
With 76% renting their premises, leasehold improvements, section 179 and the treatment of rent as the dominant deduction do more work on these returns than almost anything else. With 37% at three employees or fewer, almost nobody here approaches the $312,500 quarterly payroll threshold at which the employer MCTMT starts, which is worth knowing simply so it stops being a worry.
How it works
How tax preparation and planning runs
Four stages. Most of the value sits in the first two, before anything is filed.
Read the last few returns
Prior returns show the missed elections, the defensive positions and whether the entity still fits.
Confirm the records
A return is only as good as the trial balance sitting behind it.
Plan before year end
Entity, compensation, retirement and timing decisions, while they can still change the number.
File and stay reachable
Returns prepared and filed, and someone who answers in August when a notice turns up.
Questions
Frequently asked questions
We are a partnership on 13th Avenue. What do we file for the city?
A partnership carrying on business in the city files the Unincorporated Business Tax return once gross business income passes $95,000. The tax is often zero after the exemption and credit, but the filing obligation is not.
Would incorporating save us tax?
Sometimes. An S corporation election takes you out of UBT and into the Business Corporation Tax, which can be favorable, but it brings payroll and reasonable compensation obligations with it. It is worth modeling on your actual numbers rather than assuming either way.
We have large deductions for dependents. Is there anything new?
Yes. New York City introduced a refundable credit for residents with dependents from the 2025 tax year, subject to income thresholds and a limit on investment income. It can reduce or eliminate city personal income tax for families who qualify, and it is new enough that it gets missed.
When is the right time to switch accountants?
Any time other than April. Moving mid-year gives us room to fix the books and act on what we find before the year closes. Moving in filing season means we file what already happened and start planning for next year.
Can you file returns for previous years I missed?
Yes. Prior-year and delinquent returns are routine. Filing voluntarily before the IRS contacts you nearly always produces a better outcome than waiting, both on penalties and on what options remain open.
Do you handle crypto?
Yes, including exchange activity, staking and the reporting that follows. Bring whatever transaction history you can export. Reconstructing it later costs more than keeping it as you go.
I live outside New York City but work in Manhattan. What do I owe the city?
As a nonresident, no New York City resident income tax. The nonresident earnings tax was repealed in 1999 and the partial version was struck down in 2000. But if you carry on an unincorporated business within the city, the Unincorporated Business Tax can still apply regardless of where you live. Westchester residents with city clients are the usual case.
Do you do foreign income and FBAR?
Yes. Foreign income, international reporting and FBAR filings for foreign accounts. The penalties for missing an FBAR are disproportionate to the effort of filing one, so it is worth checking even if you think you are under the threshold.
Also in Borough Park
Our other services here
Bookkeeping and accounting
In a corridor of 899 storefronts, the books are usually kept by the owner between customers.
Bookkeeping and accounting in Borough ParkTrust and estate tax
Family businesses and multi-unit property make Borough Park estates heavier on valuation than on tax.
Trust and estate tax in Borough ParkNonprofit accounting
Borough Park supports a large number of charitable and educational organizations with restricted funds.
Nonprofit accounting in Borough ParkIRS representation
Sales tax and payroll notices are the common ones in a dense retail corridor.
IRS representation in Borough ParkTalk to us about tax preparation and planning in Borough Park
Book a time online, or call the Brooklyn office directly.
Nearest office
Brooklyn Office
1684 E 18th St, Brooklyn, NY 11229
Phone
Office hours
Sunday to Friday, 11am to 8pm Eastern.
Closed Saturday.