Tax Tip of the Week – Having Incomplete Substantiation of Donations When Filing Nixes a Deduction

by | May 30, 2012 | Accounting & Bookkeeping, Current Affairs, Income Taxes

For contributions, according to the Tax Court, a couple made regular gifts of $250 or more to the church that they belonged to. However, the acknowledgment from the church failed to state that no goods or services were given for the donations. After the Service denied...

MYTH VS TRUTH: Is Receivables an Asset?

by | May 22, 2012 | Accounting & Bookkeeping, Cash Flow, Small Business Owners

The myth most business owners believe: Just about all business owners consider it an asset. Why not? Their bankers and their CPAs tell them it is. Why this myth causes a problem: In a word – you can’t spend receivables! (Yes, I know you can borrow against it. But that...

TEXAS SALES TAX 101: AN INTRODUCTION

by | May 1, 2012 | Accounting & Bookkeeping, Small Business Owners

The Texas Limited Sales, Excise & Use Tax Act imposes a tax on sale, lease, or rental of personal property (touchable and movable) and on certain services. In general, Texas imposes the sales tax on the end user based on the sales price of each item of a taxable...

Client Question – I Do Non-Compensated Work for a Charity. Can I Deduct Auto Expenses?

by | Apr 27, 2012 | Accounting & Bookkeeping, Client Question of the Week, Income Taxes

Answer: Not exactly. If you use your own car, you may deduct actual gas expenses plus related tolls and parking fees attributable to charity-related travel. Instead of keeping detailed records, you may choose the IRS-approved flat rate deduction of 14 cents per mile...

Tax Tip of the Week – YES, We’re Still Here!

by | Mar 30, 2012 | Accounting & Bookkeeping, Income Taxes, Tax Tip of The Week

We’ve been working so hard on tax returns these last few weeks that we’ve neglected our poor little blog.  Just a reminder, if you haven’t brought in your tax information, you need to do it, and soon! The deadline this year is April 17th. We can only guarantee...

Client Questions – Can I Deduct My Spoiled Inventory?

by | Feb 29, 2012 | Accounting & Bookkeeping, Client Question of the Week, Income Taxes, Small Business Owners

Question: A florist called our office this week asking if she can deduct the cost of flowers that didn’t sell by Valentine's Day. I also get this question often from restaurant owners. Answer: Since flowers and food have a short shelf life, it is very rarely held...