Tax Archives » Checkbox Accounting

22Jan 2018 by Fred Crooks No Comments

Tax Reform Changes

Business Advisory, Compliance, Tax, Uncategorized

Tax Reform Changes - How will they affect you? When you file your 2018 tax returns - about a year from now - your return will look very different. Here are a few of the biggest changes that may affect you. Individual TaxIndividual tax rates will range from 10% to 37%.Standard deduction increases and personal and dependent exemptions eliminatedThe Child Tax Credit increased and a new Dependent Credit created.Disappearing deductions: Beginning with the 2018 tax year, you will no longer be able to deduct:State income tax and property taxes above $10,000 per year in total;Moving expenses (with an exception for certain military);Employee business expenses such as mileage, travel, entertainment, home office expenses, union dues, tax preparation fees, and investment fees, among others;Mortgage interest beyond interest on $750,000 of acquisition debt (if…

09Mar 2017 by William Simi No Comments

The impact of Unrelated Business Taxable Income on your nonprofit

Compliance, Non Profit Principles: Steering You in the Right Direction, Not For Profit, Tax, Uncategorized

As a non-profit organization, you may be used to the idea that most of the income you generate through your organization’s activities is exempt from tax. But as every accountant knows, when it comes to the tax law, there are always exceptions to every exception and exemptions from every exemption. Or should we say exceptions to every exemption. Anyway, you get my meaning. In the case of non-profit organizations one of those exceptions to the general rule of tax exemption is something called “Unrelated Business Taxable Income”. Nonprofit boards and management should be aware that it is out there and that it might be applicable to their organization depending on the kind of activities it carries out. First, let’s get clear on a couple of acronyms that might otherwise be…

10Jun 2015 by William Simi

IRS Adopts “Taxpayer Bill of Rights”, 10 Provision Highlights

Tax

The IRS has implemented the 'Taxpayers Bill of Rights' and is taking steps to make sure all tax payers know about it. The Bill of Rights was created to make your rights as a taxpayer more visible and easier to find the fundamental information needed available on the IRS.gov website. According to the IRS Newswire, on June 10, 2014 'Congress passed multiple pieces of legislation with the title of 'Taxpayer Bill of Rights'. However, most taxpayers do not believe they have rights before the IRS and even fewer can name their rights'. They believe the list of core taxpayer rights the IRS is announcing today will help taxpayers better understand their rights in dealing with the tax system. 'The Taxpayer Bill of Rights contains fundamental information to help taxpayers,' said…

27Apr 2015 by Fred Crooks

Ten Things to Know about IRS Notices and Letters

Business Advisory, Tax

Each year, the IRS sends millions of notices and letters to taxpayers for a variety of reasons. Here are ten things to know in case one shows up in your mailbox. 1. Don't panic. You often only need to respond to take care of a notice. 2. There are many reasons why the IRS may send a letter or notice. It typically is about a specific issue on your federal tax return or tax account. A notice may tell you about changes to your account or ask you for more information. It could also tell you that you must make a payment. 3. Each notice has specific instructions about what you need to do. 4. You may get a notice that states the IRS has made a change or correction to your tax return.…

04Nov 2014 by Fred Crooks

Avoid Tax Surprises

Business Advisory, Tax

Still Time to Act to Avoid Surprises at Tax-Time Even though only a few months remain in 2014, you still have time to act so you aren't surprised at tax-time next year. You should take steps now to avoid owing more taxes or getting a larger refund than you expect. Here are some actions you can take to bring the taxes you pay in advance closer to what you'll owe when you file your tax return: Adjust your withholding. If you're an employee and you think that your tax withholding will fall short of your total annual tax liability, you may be able to avoid an unexpected tax bill by increasing your withholding. If you are having too much tax withheld, you may get a larger refund than you expect.…

25Jul 2014 by Mike Giotto

Tips for Employers Who Outsource Payroll Duties

Business Advisory, Tax

The IRS has released the following reminder with regard to an employer’s responsibility for payroll taxes even when the employer uses a payroll service. Many employers outsource their payroll and related tax duties to third-party payers such as payroll service providers (PSP) and reporting agents (RA). Reputable third-party payers can help employers streamline their business operations by collecting and timely depositing payroll taxes on the employer’s behalf and filing required payroll tax returns with state and federal authorities. Though most of these businesses provide very good service, there are, unfortunately, some who do not have their clients’ best interests at heart. Over the past few months, a number of these individuals and companies around the country have been prosecuted for stealing funds intended for the payment of payroll taxes. Examples…

01Jul 2014 by William Simi

IRS Adopts “Taxpayer Bill of Rights;” 10 Provisions to be Highlighted by the IRS

Business Advisory, Tax

IRS Adopts "Taxpayer Bill of Rights;" 10 Provisions to be Highlighted on IRS.gov, in Publication 1 WASHINGTON ― The Internal Revenue Service today announced the adoption of a "Taxpayer Bill of Rights" that will become a cornerstone document to provide the nation's taxpayers with a better understanding of their rights. The Taxpayer Bill of Rights takes the multiple existing rights embedded in the tax code and groups them into 10 broad categories, making them more visible and easier for taxpayers to find on IRS.gov. Publication 1, "Your Rights as a Taxpayer," has been updated with the 10 rights and will be sent to millions of taxpayers this year when they receive IRS notices on issues ranging from audits to collection. The rights will also be publicly visible in all IRS…

21Apr 2014 by Mike Giotto

Tax Alert: Eight Facts about Penalties for Filing and Paying Late

Tax

April 15 is the tax day deadline for most people. If you’re due a refund there’s no penalty if you file a late tax return. But if you owe taxes and you fail to file and pay on time, you’ll usually owe interest and penalties on the taxes you pay late. Here are eight facts that you should know about these penalties. 1. If you file late and owe federal taxes, two penalties may apply. The first is a failure-to-file penalty for late filing. The second is a failure-to-pay penalty for paying late. 2. The failure-to-file penalty is usually much more than the failure-to-pay penalty. In most cases, it’s 10 times more, so if you can’t pay what you owe by the due date, you should still file your tax return on…

02Apr 2014 by Mike Giotto

IRS Warns of New Email Phishing Scheme Falsely Claiming to be from the Taxpayer Advocate Service

Tax

The Internal Revenue Service today warned consumers to be on the lookout for a new email phishing scam. The emails appear to be from the IRS Taxpayer Advocate Service and include a bogus case number. The fake emails may include the following message: “Your reported 2013 income is flagged for review due to a document processing error. Your case has been forwarded to the Taxpayer Advocate Service for resolution assistance. To avoid delays processing your 2013 filing contact the Taxpayer Advocate Service for resolution assistance.” Recipients are directed to click on links that supposedly provide information about the "advocate" assigned to their case or that let them "review reported income." The links lead to web pages that solicit personal information. Taxpayers who get these messages should not respond to the…

02Apr 2014 by Mike Giotto

Tax Scams to be on Alert About

Tax

With the tax season upon us, we remind you and your clients to be wary of tax scams andtheft ploys involving scammers who attempt to mimic us to obtain access to your personal information. Do not give out social security, bank, or credit card numbers over the telephone or by email to anyone who cannot verify they are our employees. Have your clients ask the agent to confirm information on the tax notice we mailed to them or hang up and contact us immediately to talk to a live agent. We heard from people who received phone calls from scammers impersonating the Internal Revenue Service (IRS), telling the “would-be victims” that they owed taxes and, if the taxes not paid, they would be arrested. These scammers also told the taxpayers that the…

Category: Tax