by | May 21, 2012 | Small Business Owners, Tax Tip of The Week
An IRS official says about 2,500 small corporations (those with assets of less than $250,000) will be audited as part of the IRS national research program. Starting in April, tax returns from 2010 will be reviewed. The IRS will use the results of these exams to update...
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...
by | Mar 1, 2012 | Current Affairs, Income Taxes, Tax Tip of The Week
One of my clients was recently selected by the IRS to have his tax return audited because he had a higher-than-average contribution deduction on his tax return. This is not me just making an assumption – this is what the IRS auditor told me. To be accurate, she said,...
by | Feb 18, 2012 | Income Taxes, Small Business Owners, Tax Tip of The Week
The tax court ruled that retirement payments made by self-employed business owners for themselves cannot be claimed as a deduction on Schedule C in order to reduce self employment tax (the business owners’ Social Security and Medicare). It is deducted from adjusted...
by | Feb 11, 2012 | Accounting & Bookkeeping, Current Affairs, Income Taxes, Tax Tip of The Week
Two new questions on tax returns for businesses are giving tax preparers fits and exposing taxpayers to potentially large penalties. The IRS wants to know if self-employed, farmers, landlords, partnerships, regular corporations, and S corps made payments that must be...
by | Jan 30, 2012 | Cost Cutting, Current Affairs, Tax Tip of The Week
Are you short of cash for an IRA contribution this year? The IRS may give you a “loan”. Planning strategy: Use your federal income tax refund to fund your IRA contribution. Simply file your 2011 return early, claiming a deduction for the amount you intend to...
