by Leif Jensen | Dec 13, 2011 | General |
The IRS just won a levy case. The company was ignoring an IRS levy on the wages of an employee which is never a good idea. The employer that did so is liable for the worker’s overdue income taxes, a court says, along with a 50% penalty. The mental breakdown of the...
by Leif Jensen | Dec 12, 2011 | General |
A keying error while entering data in a tax software program can excuse a penalty, according to the Tax Court says. A filer got a Form K-1 from his mother-in-law’s estate showing a large amount of interest income. When he used a tax software program, he entered the...
by Leif Jensen | Dec 12, 2011 | General |
The IRS has set the standard mileage rates for using a car, van, pickup or panel truck, starting on January 1, will be 55.5 cents per mile for business miles driven, 23 cents per mile driven for medical or moving purposes, or 14 cents per mile driven in service of...
by Leif Jensen | Dec 11, 2011 | General |
I just wanted to make sure that everyone has and are maintaining their corporate books and records. I was just working with a couple of clients this weekend. They had their corporate record books and needed some assistance with setting up their records. I encourage...
by Leif Jensen | Dec 11, 2011 | General |
Remember to check your flexible spending account balance. You must clean it out by Dec. 31 if your employer still has not adopted the 2½-month grace period now permitted by Uncle. Otherwise, any money remaining in your account is forfeited. And when you are deciding...
by Leif Jensen | Dec 7, 2011 | General |
Just a quick update. When I received my Kindle Fire the only things in the box were the unit and a charger. But, after some research I found that if I ordered a USB cable, I could directly transfer files to the Fire. So I uploaded some MP3’s and some PDF’s and Word...
by Leif Jensen | Dec 4, 2011 | General |
Earlier last week we had a meeting scheduled with a potential new client. Unfortunately this meeting as well as the prior one was cancelled by the client. This time they stated that, they may not be happy with their current CPA, but they believe it is too difficult...
by Leif Jensen | Dec 3, 2011 | General |
This is not quite the beginning of another 2008-like financial crisis ensuing. Student loan volume is a mere sliver of what mortgage lending is. Alas, there are potential critical long-term implications. By 2014, 15% of 2012 grads are estimated to will walk away from...
by Leif Jensen | Nov 30, 2011 | General |
As 2011 continues to draw to a close we need to be thoughtful about our actions. We have to look at 2011 and 2012 with what we know and what we suspect may happen. Not always the best of actions. Medical expenses still need to exceed 7.5% of AGI. Remember if you...
by Leif Jensen | Nov 29, 2011 | General |
It is a common belief that employing and retaining younger workers will take some corporate creativity. Yes, young professionals want telecommuting options and the freedom to tap social media networks when they want, for personal and for business reasons. It is...
by Leif Jensen | Nov 29, 2011 | General |
As the first weekend comes to a close I am finding the good and bad with my new Kindle Fire. First the good. It is definitely working for the main purpose I purchased it for, Social Media. Since I joined Socially Promoted I have been working towards meeting the...
by Leif Jensen | Nov 28, 2011 | General |
The IRS has announced that it is finally moving into the next phase of its effort to improve the tax preparation industry by launching the new Registered Tax Return Preparer competency test (minimum competency exam). The new competency test is part of a larger...
by Leif Jensen | Nov 27, 2011 | General |
Illinois finally gets into the 21st Century! Effective for tax years ending on or after December 31, 2011, corporations, including S corporations, that are required to file their federal Forms U.S. 1120 and U.S. 1120S income tax returns by electronic means, are now...
by Leif Jensen | Nov 20, 2011 | General |
Well after months and months of debating and hemming and hawing, I have finally taken the plunge. I have ordered a tablet. I was planning to wait for the iPad 3, in spite of the extended delays from Apple, but a client who is an early adapter of the iPad suggested...
by Leif Jensen | Nov 16, 2011 | General |
The IRS has classified iPads and tables that are employer issued to be a tax free benefit for the personal use. These now fall into the same arena as cell phones and those antiques, that some still use called laptops. So Uncle will not be looking for some cash for...
by Leif Jensen | Nov 16, 2011 | General |
Where do you want the income, 2011 or 2012? You have the capability to delay year end billings or speed them up to assist in moving receivables to your year of choice. Cash basis accounting assists with allowing this flexibility in determining your income as well as...
by Leif Jensen | Nov 15, 2011 | General |
I was just hired to to what appeared to be a simple audit. The prior year had under $200,000 in income and expenses. But, the management was a bit hands off and the bookkeeping/accounting firm who had been doing the books for many years had grown fat, dumb and sloppy...
by Leif Jensen | Nov 14, 2011 | General |
Paid tax preparers, those that don’t have the CPA credential, lawyers or an unrolled agent, now can schedule their minimum competency exam. This exam will be an open book, it will consist of 120 multiple choice and true false questions. Test takers will have two and...
by Leif Jensen | Nov 13, 2011 | General |
The AICPA trumpets its acceptance of CPA mobility which has been signed by 39 states as a great triumph. I believe it to be a false promise boarding on farce. The only things that CPA’s seem to be getting a free ride on are the things that they cannot license. ...
by Leif Jensen | Nov 7, 2011 | General |
In the current environment I am finding out that there are more and more people who are out and out dishonest tax preparers out there. Now, there are several levels of criminals preparing taxes out there. Some aspect are as follows: Buy a single copy of Turbo Tax and...
