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General Discussion => General (Off-Topic) Discussion => Topic started by: RVR II on February 09, 2008, 05:59:56 PM

Title: IRS & Income Tax Advice
Post by: RVR II on February 09, 2008, 05:59:56 PM
OK. It's Tax Season in the United States as everyone here knows.
For those of you who Don't Know ::) I run a small business that includes Income Tax Preparation.

Just a quick word of advice: Don't Try to Scam the IRS!

Perfect Example: Today, a couple came into our office who did taxes with us last year wanting to them again with us this year. Last year they filed Married Filing Jointly (MFJ) with 3 dependants like they should have. This year they wanted to file separately; not Married Filing Separately (MFS), but separately each as Head of Household (HH) where the husband would claim 1 dependant, and the wife would claim the other 2 because of the substantial amount in refunds each would receive from the HH tax credits!
This serious change in filing status would almost Certainly alert the IRS to the fact that something may not be right here, and would not only create a possible audit on them, but I would also get a phone call and/or visit from an IRS official!
We, of course, refused to do their taxes with these changes, and they inturn left to I guess find someone who would. I would rather lose a customer than try to keep their business by risking this kind of fraud.

And by all means, don't pull a Wesley Snipes and skip out on your taxes either! DUH! ::)
Title: Re: Income Tax Advice
Post by: anais.jude on February 09, 2008, 09:01:20 PM
You did the right thing! DOn't put yourself and your business in jepeoardy (how the frick do you spell that word?) for people who aren't even your friends!

Your Dune riffing buddy on the other hand...........
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 09:07:19 PM
Oh Yeah! We've had some GR8 requests come through our office..

Can I claim my friends child? ::)

Can we claim a Dead relative? :speechless:

And more that don't come to mind at the moment..

Oh Yeah.. You Lost on Jeopardy! Baby! OOOooo...
Title: Re: Income Tax Advice
Post by: AmandaGal on February 09, 2008, 09:12:42 PM
I can claim my dog, right? My parrot has the IQ and emotional needs of a 2 year I'm told. 

Umm, if I can't claim them then pretend you don't know me when the IRS calls :)

I actually think I'm getting a real life refund this year.  I've never gotten a refund before.
Title: Re: Income Tax Advice
Post by: Doctor Who? on February 09, 2008, 09:16:15 PM
Income Tax Advice ?

Declare yourself an new country so you don't have to bother,trust me it will be less trouble to get the USA and UN to accept your country then it will be to try and understand the tax code.
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 09:16:34 PM
I can claim my dog, right? My parrot has the IQ and emotional needs of a 2 year I'm told.   
:D :D Theoretically, YES!
If you have a Birth Certificate (AKC, CKC, etc.), shot records, and care supplies (food, grooming, etc.), for Home Security!!

I still wouldn't risk it :P
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 09:18:07 PM
Income Tax Advice ?

Declare yourself an new country so you don't have to bother,trust me it will be less trouble to get the USA and UN to accept your country then it will be to try and understand the tax code.
Agreed! I now declare RVRville, Independent! :highfive:
Title: Re: Income Tax Advice
Post by: Doctor Who? on February 09, 2008, 09:21:25 PM
The TARDIS is now it's own State!!

Then again i think it is already it's own universe.
Title: Re: Income Tax Advice
Post by: AmandaGal on February 09, 2008, 09:22:03 PM
I can claim my dog, right? My parrot has the IQ and emotional needs of a 2 year I'm told.   
:D :D Theoretically, YES!
If you have a Birth Certificate (AKC, CKC, etc.), shot records, and care supplies (food, grooming, etc.), for Home Security!!

I still wouldn't risk it :P

My dog is a wuss.  My parrot is literally an attack parrot and he mimics the security system at appropriate times (when the fed-ex guy comes to the door, for example, he'll "alarm").  Hmm.  I may be getting a bigger refund than I thought. 

I should have talked to a tax professional years ago ;)
Title: Re: Income Tax Advice
Post by: Fortis on February 09, 2008, 09:22:52 PM
Do superheroes get big tax refunds? I'm asking...for a friend. he wanted to know.
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 09:27:46 PM
I can claim my dog, right? My parrot has the IQ and emotional needs of a 2 year I'm told.   
:D :D Theoretically, YES!
If you have a Birth Certificate (AKC, CKC, etc.), shot records, and care supplies (food, grooming, etc.), for Home Security!!

I still wouldn't risk it :P

My dog is a wuss.  My parrot is literally an attack parrot and he mimics the security system at appropriate times (when the fed-ex guy comes to the door, for example, he'll "alarm").  Hmm.  I may be getting a bigger refund than I thought. 

I should have talked to a tax professional years ago ;)
Amendments can be done as far back as 2004 (till April 15) IF you think you missed something you should've claimed, But I wouldn't go back to claim the bird :P

When I was single, I always claimed '0' instead of '1' on my W-4's: You have more taxes witheld, which in most cases led to a bigger refund. I Always got a refund that way
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 09:30:32 PM
Do superheroes get big tax refunds? I'm asking...for a friend. he wanted to know.
Depends on the Super Hero and their Super Abilities..
I Think Villains had better luck though.. Darth Vader's use of the force seemed to have pulled in a substantial amount :P
Title: Re: Income Tax Advice
Post by: AmandaGal on February 09, 2008, 09:36:24 PM
I can claim my dog, right? My parrot has the IQ and emotional needs of a 2 year I'm told.   
:D :D Theoretically, YES!
If you have a Birth Certificate (AKC, CKC, etc.), shot records, and care supplies (food, grooming, etc.), for Home Security!!

I still wouldn't risk it :P

My dog is a wuss.  My parrot is literally an attack parrot and he mimics the security system at appropriate times (when the fed-ex guy comes to the door, for example, he'll "alarm").  Hmm.  I may be getting a bigger refund than I thought. 

I should have talked to a tax professional years ago ;)
Amendments can be done as far back as 2004 (till April 15) IF you think you missed something you should've claimed, But I wouldn't go back to claim the bird :P

When I was single, I always claimed '0' instead of '1' on my W-4's: You have more taxes witheld, which in most cases led to a bigger refund. I Always got a refund that way

I get a crapload of 1099  miscs with nothing withheld from various web & writing projects.  That's why I've never gotten a refund.  I always plan for it though.  I actually used to go to a tax consultant but he always ended up with me paying more that I did if I used something like TurboTax and figured it out on my own.  Maybe he was just a tool though.

This year, I did claim a 0 at my pharmacist type job and I think they took out enough to cover for it and then some.  I might not get much of a refund, but even $5 would be better than paying.
Title: Re: Income Tax Advice
Post by: Fortis on February 09, 2008, 09:42:37 PM
Do superheroes get big tax refunds? I'm asking...for a friend. he wanted to know.
Depends on the Super Hero and their Super Abilities..
I Think Villains had better luck though.. Darth Vader's use of the force seemed to have pulled in a substantial amount :P

well his name is Mister Nice Guy, he only has two arch nemises, and his alter ego actually does more good than he does, so I'm not sure if he is enough of a superhero to justify much of a refund...I expect great things er...from him.
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 09:43:51 PM
I can claim my dog, right? My parrot has the IQ and emotional needs of a 2 year I'm told.   
:D :D Theoretically, YES!
If you have a Birth Certificate (AKC, CKC, etc.), shot records, and care supplies (food, grooming, etc.), for Home Security!!

I still wouldn't risk it :P

My dog is a wuss.  My parrot is literally an attack parrot and he mimics the security system at appropriate times (when the fed-ex guy comes to the door, for example, he'll "alarm").  Hmm.  I may be getting a bigger refund than I thought. 

I should have talked to a tax professional years ago ;)
Amendments can be done as far back as 2004 (till April 15) IF you think you missed something you should've claimed, But I wouldn't go back to claim the bird :P

When I was single, I always claimed '0' instead of '1' on my W-4's: You have more taxes witheld, which in most cases led to a bigger refund. I Always got a refund that way

I get a crapload of 1099  miscs with nothing withheld from various web & writing projects.  That's why I've never gotten a refund.  I always plan for it though. 
Hmm.. Did you ever claim any out of pocket expenses for those 1099's?? We get a Lot of those through here, and you're allowed to claim expenses for 'Self-Employed' income (computer software purchased for particular jobs, misc. equipment, & supplies, etc.)??

Yeah, beware of 'Tool' tax preparers >:(
We have Plenty around here.. Only thing I like about them is they bring us More business unraveling their screw-ups :)
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 09:47:47 PM
Do superheroes get big tax refunds? I'm asking...for a friend. he wanted to know.
Depends on the Super Hero and their Super Abilities..
I Think Villains had better luck though.. Darth Vader's use of the force seemed to have pulled in a substantial amount :P

well his name is Mister Nice Guy, he only has two arch nemises, and his alter ego actually does more good than he does, so I'm not sure if he is enough of a superhero to justify much of a refund...I expect great things er...from him.
Well, the 'Mr. Nice Guy' I know of (from the movie 'Half-Baked') pulled in some serious dough, and in all actuality, if the cash income is claimed on the 1040, the IRS is happy, but if no taxes were paid on said income, the IRS will get their fair share! :P
Hope this helps..
Title: Re: Income Tax Advice
Post by: Fortis on February 09, 2008, 09:49:25 PM
Do superheroes get big tax refunds? I'm asking...for a friend. he wanted to know.
Depends on the Super Hero and their Super Abilities..
I Think Villains had better luck though.. Darth Vader's use of the force seemed to have pulled in a substantial amount :P

well his name is Mister Nice Guy, he only has two arch nemises, and his alter ego actually does more good than he does, so I'm not sure if he is enough of a superhero to justify much of a refund...I expect great things er...from him.
Well, the 'Mr. Nice Guy' I know of (from the movie 'Half-Baked') pulled in some serious dough, and in all actuality, if the cash income is claimed on the 1040, the IRS is happy, but if no taxes were paid on said income, the IRS will get their fair share! :P
Hope this helps..

There's a Mr. Nice Guy from the movie half baked...dang it! I better tell him his name is already taken. Got to stop him before he gets too far into making an insignia...
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 09:51:02 PM
Do superheroes get big tax refunds? I'm asking...for a friend. he wanted to know.
Depends on the Super Hero and their Super Abilities..
I Think Villains had better luck though.. Darth Vader's use of the force seemed to have pulled in a substantial amount :P

well his name is Mister Nice Guy, he only has two arch nemises, and his alter ego actually does more good than he does, so I'm not sure if he is enough of a superhero to justify much of a refund...I expect great things er...from him.
Well, the 'Mr. Nice Guy' I know of (from the movie 'Half-Baked') pulled in some serious dough, and in all actuality, if the cash income is claimed on the 1040, the IRS is happy, but if no taxes were paid on said income, the IRS will get their fair share! :P
Hope this helps..

There's a Mr. Nice Guy from the movie half baked...dang it! I better tell him his name is already taken. Got to stop him before he gets too far into making an insignia...
It's a Very Funny movie! The insignia looks kinda like this.. :)
Title: Re: Income Tax Advice
Post by: AmandaGal on February 09, 2008, 09:55:51 PM
I can claim my dog, right? My parrot has the IQ and emotional needs of a 2 year I'm told.   
:D :D Theoretically, YES!
If you have a Birth Certificate (AKC, CKC, etc.), shot records, and care supplies (food, grooming, etc.), for Home Security!!

I still wouldn't risk it :P

My dog is a wuss.  My parrot is literally an attack parrot and he mimics the security system at appropriate times (when the fed-ex guy comes to the door, for example, he'll "alarm").  Hmm.  I may be getting a bigger refund than I thought. 

I should have talked to a tax professional years ago ;)
Amendments can be done as far back as 2004 (till April 15) IF you think you missed something you should've claimed, But I wouldn't go back to claim the bird :P

When I was single, I always claimed '0' instead of '1' on my W-4's: You have more taxes witheld, which in most cases led to a bigger refund. I Always got a refund that way

I get a crapload of 1099  miscs with nothing withheld from various web & writing projects.  That's why I've never gotten a refund.  I always plan for it though. 
Hmm.. Did you ever claim any out of pocket expenses for those 1099's?? We get a Lot of those through here, and you're allowed to claim expenses for 'Self-Employed' income (computer software purchased for particular jobs, misc. equipment, & supplies, etc.)??

Yeah, beware of 'Tool' tax preparers >:(
We have Plenty around here.. Only thing I like about them is they bring us More business unraveling their screw-ups :)

Yeah and part of my work is as a travel writer so I claim gas and part of my blackjack bill, computer equipment, etc.  Every time I eat out or go to a play or whatever, I save the receipts.

My problem is I do it legally and only claim the percentage of my bills actually used for such things.  I don't want to fudge the numbers too much.  I'm basically a grown up Hermione Granger, goody two shoes ;)
Title: Re: Income Tax Advice
Post by: Fortis on February 09, 2008, 09:57:43 PM
Do superheroes get big tax refunds? I'm asking...for a friend. he wanted to know.
Depends on the Super Hero and their Super Abilities..
I Think Villains had better luck though.. Darth Vader's use of the force seemed to have pulled in a substantial amount :P

well his name is Mister Nice Guy, he only has two arch nemises, and his alter ego actually does more good than he does, so I'm not sure if he is enough of a superhero to justify much of a refund...I expect great things er...from him.
Well, the 'Mr. Nice Guy' I know of (from the movie 'Half-Baked') pulled in some serious dough, and in all actuality, if the cash income is claimed on the 1040, the IRS is happy, but if no taxes were paid on said income, the IRS will get their fair share! :P
Hope this helps..

There's a Mr. Nice Guy from the movie half baked...dang it! I better tell him his name is already taken. Got to stop him before he gets too far into making an insignia...
It's a Very Funny movie! The insignia looks kinda like this.. :)

Do any of his arch nemises say, "thats it, no more mr. nice guy!" ??
Title: Re: Income Tax Advice
Post by: Chaos on February 09, 2008, 09:58:15 PM
When I was single, I always claimed '0' instead of '1' on my W-4's: You have more taxes witheld, which in most cases led to a bigger refund. I Always got a refund that way

See, I always went the exact opposite route. I don't like the god damn government withholding a bunch of MY money and making interest on it all throughout the year - that's MY right. So I would always claim 2 exemptions instead of 1. I got to enjoy less withholdings throughout the year, and when tax time came around, I would usually get a $50-75 refund. One time, I had to pay $23 to the state of Oregon (I was perfectly square with Uncle Sam).

*EDIT: clicked quote on the wrong post! :P
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 10:02:59 PM
I can claim my dog, right? My parrot has the IQ and emotional needs of a 2 year I'm told.   
:D :D Theoretically, YES!
If you have a Birth Certificate (AKC, CKC, etc.), shot records, and care supplies (food, grooming, etc.), for Home Security!!

I still wouldn't risk it :P

My dog is a wuss.  My parrot is literally an attack parrot and he mimics the security system at appropriate times (when the fed-ex guy comes to the door, for example, he'll "alarm").  Hmm.  I may be getting a bigger refund than I thought. 

I should have talked to a tax professional years ago ;)
Amendments can be done as far back as 2004 (till April 15) IF you think you missed something you should've claimed, But I wouldn't go back to claim the bird :P

When I was single, I always claimed '0' instead of '1' on my W-4's: You have more taxes witheld, which in most cases led to a bigger refund. I Always got a refund that way

I get a crapload of 1099  miscs with nothing withheld from various web & writing projects.  That's why I've never gotten a refund.  I always plan for it though. 
Hmm.. Did you ever claim any out of pocket expenses for those 1099's?? We get a Lot of those through here, and you're allowed to claim expenses for 'Self-Employed' income (computer software purchased for particular jobs, misc. equipment, & supplies, etc.)??

Yeah, beware of 'Tool' tax preparers >:(
We have Plenty around here.. Only thing I like about them is they bring us More business unraveling their screw-ups :)

Yeah and part of my work is as a travel writer so I claim gas and part of my blackjack bill, computer equipment, etc.  Every time I eat out or go to a play or whatever, I save the receipts.

My problem is I do it legally and only claim the percentage of my bills actually used for such things.  I don't want to fudge the numbers too much.  I'm basically a grown up Hermione Granger, goody two shoes ;)
Well, pushing the envelope is pretty common.
My food receipts have to be broken down into 25%, 50%, and 100% ??? THAT Gets on my nerves every year!
At Least you're not literely trying to get one over on the IRS like my examples at the beginning of this thread..
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 10:04:21 PM
Do superheroes get big tax refunds? I'm asking...for a friend. he wanted to know.
Depends on the Super Hero and their Super Abilities..
I Think Villains had better luck though.. Darth Vader's use of the force seemed to have pulled in a substantial amount :P

well his name is Mister Nice Guy, he only has two arch nemises, and his alter ego actually does more good than he does, so I'm not sure if he is enough of a superhero to justify much of a refund...I expect great things er...from him.
Well, the 'Mr. Nice Guy' I know of (from the movie 'Half-Baked') pulled in some serious dough, and in all actuality, if the cash income is claimed on the 1040, the IRS is happy, but if no taxes were paid on said income, the IRS will get their fair share! :P
Hope this helps..

There's a Mr. Nice Guy from the movie half baked...dang it! I better tell him his name is already taken. Got to stop him before he gets too far into making an insignia...
It's a Very Funny movie! The insignia looks kinda like this.. :)

Do any of his arch nemises say, "thats it, no more mr. nice guy!" ??
Yeah actually, then Mr Nice Guy Helped the Feds in the end and he had a Happy ending ;D
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 10:08:46 PM
When I was single, I always claimed '0' instead of '1' on my W-4's: You have more taxes witheld, which in most cases led to a bigger refund. I Always got a refund that way

See, I always went the exact opposite route. I don't like the god damn government withholding a bunch of MY money and making interest on it all throughout the year - that's MY right. So I would always claim 2 exemptions instead of 1. I got to enjoy less withholdings throughout the year, and when tax time came around, I would usually get a $50-75 refund. One time, I had to pay $23 to the state of Oregon (I was perfectly square with Uncle Sam).

*EDIT: clicked quote on the wrong post! :P
Yeah, but claiming 'non-existant' exemptions can be risky in the end..
A friend of mine would do that (claiming 4 exemptions) for 6 months, then 0 for the last 6 months.. then in 2006, he forgot to change the exemptions back to 0,and wound up owing some $4000.00..
Again, it's like a Communist Plot
Title: Re: Income Tax Advice
Post by: Fortis on February 09, 2008, 10:12:35 PM
Do superheroes get big tax refunds? I'm asking...for a friend. he wanted to know.
Depends on the Super Hero and their Super Abilities..
I Think Villains had better luck though.. Darth Vader's use of the force seemed to have pulled in a substantial amount :P

well his name is Mister Nice Guy, he only has two arch nemises, and his alter ego actually does more good than he does, so I'm not sure if he is enough of a superhero to justify much of a refund...I expect great things er...from him.
Well, the 'Mr. Nice Guy' I know of (from the movie 'Half-Baked') pulled in some serious dough, and in all actuality, if the cash income is claimed on the 1040, the IRS is happy, but if no taxes were paid on said income, the IRS will get their fair share! :P
Hope this helps..

There's a Mr. Nice Guy from the movie half baked...dang it! I better tell him his name is already taken. Got to stop him before he gets too far into making an insignia...
It's a Very Funny movie! The insignia looks kinda like this.. :)

Do any of his arch nemises say, "thats it, no more mr. nice guy!" ??
Yeah actually, then Mr Nice Guy Helped the Feds in the end and he had a Happy ending ;D

Dang and here I thought that name was very original.
Title: Re: Income Tax Advice
Post by: RVR II on February 09, 2008, 10:16:21 PM
Yeah.. Sorry bout that :)
Title: Re: Income Tax Advice
Post by: Steve-O on February 09, 2008, 11:12:13 PM
See, I always went the exact opposite route. I don't like the god damn government withholding a bunch of MY money and making interest on it all throughout the year - that's MY right. So I would always claim 2 exemptions instead of 1. I got to enjoy less withholdings throughout the year, and when tax time came around, I would usually get a $50-75 refund. One time, I had to pay $23 to the state of Oregon (I was perfectly square with Uncle Sam).

Exactly right.  From a financial standpoint, the best thing you can do is to set things up so at tax time you still owe the government the most you can owe them without incurring a penalty.

From a psychological standpoint, a big fat check in April is a lot more fun.

I guess it all comes down to how much you're willing to let your fine elected officials shaft you in exchange for a little mad money that rightly belonged to you in the first place.
Title: Re: Income Tax Advice
Post by: Bob on February 10, 2008, 06:53:35 AM
When my parents had their tax business in the 70s and 80s, they would have the occasional "agressive" client who want to always claim a "casualty loss" (loss of a significant and expensive possession).

My favorite was a guy who wanted to claim that his fancy boat sank.    My dad asked him if he had the title for the boat (no), receipt for the boat (no), any docking fees or other boat related expenses (no).   Then he asked him "do you even have a picture of yourself on the boat"? (no).   He threw him out of the house at that point.
Title: Re: Income Tax Advice
Post by: RVR II on February 10, 2008, 07:18:46 AM
When my parents had their tax business in the 70s and 80s, they would have the occasional "agressive" client who want to always claim a "casualty loss" (loss of a significant and expensive possession).

My favorite was a guy who wanted to claim that his fancy boat sank.    My dad asked him if he had the title for the boat (no), receipt for the boat (no), any docking fees or other boat related expenses (no).   Then he asked him "do you even have a picture of yourself on the boat"? (no).   He threw him out of the house at that point.
Haven't had that one come in to us yet, but yeah.. Not Even a Pic ??? Wow!
We've had a couple of 'Katrina' returns come through, and they claimed a lot of write-offs under the 'casualty loss' (and had receipts to show), but I couldn't help but wonder; is All of this a total 100% write-off ::)
Title: Re: Income Tax Advice
Post by: Chaos on February 10, 2008, 07:41:54 AM
I guess it all comes down to how much you're willing to let your fine elected officials shaft you in exchange for a little mad money that rightly belonged to you in the first place.

Yeah... I know a lot of people like to do that, but I guess it's just part of my obsessiveness that I prefer to have that money throughout the year so I can manage it better, invest it, and use it for what I need. Coming to Canada was a bit of a culture shock for me, taxwise. They don't allow you to select your exemptions in any way... everyone is taxed whatever percentage your salary falls into on the sliding scale (based on your expected earnings), and you get back whatever is left over at the end of the year. Last year, my refund was nearly $2,000. But that was money that really could have been better used earlier in the year... there are always expenses piling up.
Title: Re: Income Tax Advice
Post by: anais.jude on February 10, 2008, 08:55:46 AM
Um, i started my religion...Andrea-ology-itian-how do i get some money back.
Um, Flocky is a member, so it's not just me being weird...


in all seriousness, am i entitled to any moolah if i go to school full time?
Title: Re: Income Tax Advice
Post by: RVR II on February 10, 2008, 09:01:19 AM
in all seriousness, am i entitled to any moolah if i go to school full time?
Probably not. You have to show some kind of income to claim.. Theoretically, if you made below the poverty line ($9000/year I believe) you don't have to file a tax return, but that could always come back on you in the future. It's best to file something so theirs a paper trail to cover you during that time.
You can claim Any and All out of pocket school expenses under Itemized Deductions! Just make sure you have receipts to show
Title: Re: Income Tax Advice
Post by: anais.jude on February 10, 2008, 09:03:41 AM
in all seriousness, am i entitled to any moolah if i go to school full time?
Probably not. You have to show some kind of income to claim.. Theoretically, if you made below the poverty line ($9000/year I believe) you don't have to file a tax return, but that could always come back on you in the future. It's best to file something so theirs a paper trail to cover you during that time.
You can claim Any and All out of pocket school expenses under Itemized Deductions! Just make sure you have receipts to show

crap. so i could have claimed all my computer related reciepts, paper, pencils, etc.
Arg!
Even if i make less than 9,000 a year, am i gonna get back the special refund?
Title: Re: Income Tax Advice
Post by: RVR II on February 10, 2008, 09:10:32 AM
in all seriousness, am i entitled to any moolah if i go to school full time?
Probably not. You have to show some kind of income to claim.. Theoretically, if you made below the poverty line ($9000/year I believe) you don't have to file a tax return, but that could always come back on you in the future. It's best to file something so theirs a paper trail to cover you during that time.
You can claim Any and All out of pocket school expenses under Itemized Deductions! Just make sure you have receipts to show

crap. so i could have claimed all my computer related reciepts, paper, pencils, etc.
Arg!
Even if i make less than 9,000 a year, am i gonna get back the special refund?
I won't totally say no to getting some kind of refund, but you won't owe anything either.. You'd probably break even.
Computer related stuff seems to have a grey area as to what you can claim exactly.. That would probably fall under 'Other' under the 'Itemized Deductions'.
Out of pocket Tuition & books; Yes Definitly (100%).. Supplies (paper pencils, etc.) is another grey area for 'Other' (I did anyway back in the day)  ;D
Title: Re: Income Tax Advice
Post by: Reductio_ad_absurdum on February 10, 2008, 12:55:14 PM
How does one fill out a tax return if they aren't hired by the company, but still uses the companies experimental armored exoskeleton as a "civilian asset"?
Title: Re: Income Tax Advice
Post by: RVR II on February 10, 2008, 12:56:25 PM
How does one fill out a tax return if they aren't hired by the company, but still uses the companies experimental armored exoskeleton?
Uh... Not sure bout that one.. ???
Title: Re: Income Tax Advice
Post by: Chaos on February 10, 2008, 01:02:35 PM
How does one fill out a tax return if they aren't hired by the company, but still uses the companies experimental armored exoskeleton as a "civilian asset"?

You have to set yourself up as self-employed, and bill the company as a consultant.

The business would need to put the consulting fee down to a research and development expense.
Title: Re: Income Tax Advice
Post by: RVR II on February 10, 2008, 01:04:25 PM
Oh yeah, That makes sense.. The 'experimental armored exoskeleton' threw me off there.. :P
Title: Re: Income Tax Advice
Post by: mike5150 on February 10, 2008, 02:47:46 PM
I would seriously like to know why I cant claim my gfs 16 yo daughter and my gf for that matter when I am the only bread winner in the family.  (last wk I won a loaf of wonderbread) but really whats up with that.......her dad can claim her and he has little to do with her. Got a loophole for me?:)
Title: Re: Income Tax Advice
Post by: RVR II on February 10, 2008, 02:50:54 PM
I would seriously like to know why I cant claim my gfs 16 yo daughter and my gf for that matter when I am the only bread winner in the family.  (last wk I won a loaf of wonderbread) but really whats up with that.......her dad can claim her and he has little to do with her. Got a loophole for me?:)
Marriage. Actually; Adoption of the 16 yr old (Both probably)
That'll end that issue Point Blank.
Unless you two get married, the father can legally claim her unless the court steps in to change things and who can legally claim her..
But when she turns 17, she's an Adult by IRS Standards and will not be able to be claimed by anybody (unless disabled)
Title: Re: Income Tax Advice
Post by: RVR II on February 24, 2008, 01:10:15 PM
Here's an Interesting And Funny read on how to increase your chances of being audited..
http://articles.moneycentral.msn.com/Taxes/AvoidAnAudit/TaxDeductionsThatShoutAuditMe.aspx?page=1
Title: Re: Income Tax Advice
Post by: mike5150 on February 24, 2008, 08:32:59 PM
I would seriously like to know why I cant claim my gfs 16 yo daughter and my gf for that matter when I am the only bread winner in the family.  (last wk I won a loaf of wonderbread) but really whats up with that.......her dad can claim her and he has little to do with her. Got a loophole for me?:)
Marriage. Actually; Adoption of the 16 yr old (Both probably)
That'll end that issue Point Blank.
Unless you two get married, the father can legally claim her unless the court steps in to change things and who can legally claim her..
But when she turns 17, she's an Adult by IRS Standards and will not be able to be claimed by anybody (unless disabled)
I said LOOPHOLE not noose :speechless: ;D
Title: Re: Income Tax Advice
Post by: RVR II on February 25, 2008, 02:03:50 AM
I would seriously like to know why I cant claim my gfs 16 yo daughter and my gf for that matter when I am the only bread winner in the family.  (last wk I won a loaf of wonderbread) but really whats up with that.......her dad can claim her and he has little to do with her. Got a loophole for me?:)
Marriage. Actually; Adoption of the 16 yr old (Both probably)
That'll end that issue Point Blank.
Unless you two get married, the father can legally claim her unless the court steps in to change things and who can legally claim her..
But when she turns 17, she's an Adult by IRS Standards and will not be able to be claimed by anybody (unless disabled)
I said LOOPHOLE not noose :speechless: ;D
OOPS.. Sorry bout that.. :P
Title: Re: Income Tax Advice
Post by: RVR II on April 02, 2008, 03:05:48 PM
Well.. Crunch time has arrived for you procrastinators :speechless:

If at all possible, try to get your return in before April 15 in order to get your rebate check between May & June, cause if you don't and have to file an extension, you won't get your rebate check until the end of the year :scared:

Just finished doing my personal and business taxes; *sigh* we owe the Federal just over $1900 :gouge: and $0 to the state :-\
But we'll get a rebate check of $1200 :o
Title: Re: Income Tax Advice
Post by: Fortis on April 02, 2008, 03:07:29 PM
Huzzah for gambling here in Vegas, I don't have to pay state tax!
Title: Re: Income Tax Advice
Post by: Plastic Self-Cleaning Duck on April 02, 2008, 03:18:58 PM
And by all means, don't pull a Wesley Snipes and skip out on your taxes either! DUH! ::)

So....the last eight years I haven't filed might come back to haunt me....?   (http://i16.photobucket.com/albums/b4/robotrix/Smileys/thnana.gif)
Title: Re: Income Tax Advice
Post by: RVR II on April 02, 2008, 03:22:30 PM
And by all means, don't pull a Wesley Snipes and skip out on your taxes either! DUH! ::)

So....the last eight years I haven't filed might come back to haunt me....?   (http://i16.photobucket.com/albums/b4/robotrix/Smileys/thnana.gif)
"Clever Girl.." 8)
Title: Re: Income Tax Advice
Post by: RVR II on April 07, 2008, 02:42:23 PM
Boy!
We had a 'bright' couple come in today.. Last minute procrastinators ::) wanting their taxes done for 2 years, but being self employed at a NC/SC border flea market wanting us to figure out ALL their expenses and beginning/ending inventories that needed to be entered for their Schedule C..
They had Nothing calculated for Anything, and wanted us to figure it out for them ???

We turned them away 'politely' :rimshot:
Title: Re: Income Tax Advice
Post by: Bob on April 07, 2008, 03:22:25 PM
Boy!
We had a 'bright' couple come in today.. Last minute procrastinators ::) wanting their taxes done for 2 years, but being self employed at a NC/SC border flea market wanting us to figure out ALL their expenses and beginning/ending inventories that needed to be entered for their Schedule C..
They had Nothing calculated for Anything, and wanted us to figure it out for them ???

We turned them away 'politely' :rimshot:

My parents never turned anyone away.   If they got someone they did not like or was a pain in the ass, they would way overcharge them and not give them their returns until they paid.   Most of them got the message.
Title: Re: Income Tax Advice
Post by: RVR II on April 07, 2008, 03:29:19 PM
My parents never turned anyone away.   If they got someone they did not like or was a pain in the ass, they would way overcharge them and not give them their returns until they paid.   Most of them got the message.

Well at first we were gonna do it, and we did charge them a much higher $$$ which they refused, but came back later with more 'waste of time' questions, then I asked them if they had everything calculated already, and that's when I found out that they didn't even keep a proper beginning & ending inventory, And nothing tallied for proof of expenses.
That's when we refused the job and plus we have so many returns to complete for customers who have already paid us in full we need to get out, so I don't feel too bad about making that call..
Title: Re: Income Tax Advice
Post by: Tyrant on April 07, 2008, 05:53:34 PM
Well, if anyone heard screaming coming from the direction of NM, that was us finding out we owe despite everything that happened last year with my taking a pay cut and then quitting altogether. Fortunatly, we've got the $ to cover it. And that stimulus thingy will basically compensate us, proving to me once again that God is a socialist and knocks us back two steps for every step forward.
Title: Re: Income Tax Advice
Post by: RVR II on April 07, 2008, 06:01:49 PM
Yeah, that rebate is the only thing lessening the debt agony this year.. But I'm probably gonna have to do an amendment on our 2006 taxes as my business income didn't carry over onto the Schedule C properly, which means that that rebate check will more than likely be going Back to the IRS :grr:
Title: Re: Income Tax Advice
Post by: AmandaGal on April 07, 2008, 06:58:24 PM
I'm such a retard.  I haven't finished mine yet. I'm normally way ahead because I normally have to pay a bunch so I want to get it over with.  I got to the point where I have a small refund this year (because I paid so much in with my real, tax deducting job that it balanced out with my non-tax deducting job) and stopped.  I didn't even look at further deductions.

I need to get my butt on it.

RVR, want to do them for me :)  Someone who contracts where I do told me a I need to hire a CPA though.
Title: Re: Income Tax Advice
Post by: RVR II on April 07, 2008, 07:40:07 PM
I'm such a retard.  I haven't finished mine yet. I'm normally way ahead because I normally have to pay a bunch so I want to get it over with.  I got to the point where I have a small refund this year (because I paid so much in with my real, tax deducting job that it balanced out with my non-tax deducting job) and stopped.  I didn't even look at further deductions.

I need to get my butt on it.

RVR, want to do them for me :)  Someone who contracts where I do told me a I need to hire a CPA though.
WOW!  :o
As much as I'd love to help, unfortunately, Time is of the essence now, and it sounds like (based on what you described) that a local CPA might be your best bet..
And with my client backlog currently, I just can't guarantee that I'd be able to have them done in time. Sorry  :-[
Title: Re: Income Tax Advice
Post by: AmandaGal on April 07, 2008, 08:07:25 PM
That's nice of you RVR, but I was just kidding about you helping :)

I have all my stuff in order.  It's just a matter of plugging the numbers in.  My friend was just saying a CPA might save me some money in the long run.  I might consider it for next year.
Title: Re: Income Tax Advice
Post by: Bob on April 07, 2008, 08:11:37 PM
I find that TurboTax covers most of the US filers.......
Title: Re: Income Tax Advice
Post by: RVR II on April 07, 2008, 08:14:29 PM
That's nice of you RVR, but I was just kidding about you helping :)

I have all my stuff in order.  It's just a matter of plugging the numbers in.  My friend was just saying a CPA might save me some money in the long run.  I might consider it for next year.
You're mean..  :-[
Well at least you're ready to go. I'm set as well.. Just waiting to get a few more payments so we can send that Friggin $1900 Check Off :grr:

You Must have some desperate CPA's out your way to say they might save you some money, cause the ones around here will 'rape ya' financially! :scared:
Title: Re: Income Tax Advice
Post by: RVR II on April 07, 2008, 08:27:02 PM
I find that TurboTax covers most of the US filers.......
PSSH! Not 'My' Clientele.. ::)
Title: Re: Income Tax Advice
Post by: AmandaGal on April 07, 2008, 09:55:47 PM
I use TurboTax. It works well.

My friend said it if you have a lot of independent contracting work, investments, etc often a CPA will know things TurboTax doesn't and save you some things that way.  Really, I don't care that much.  His big "difference" when he switched to a CPA was a few hundred bucks.  It seems to me that would just about cover the CPA fee. 

The first year I had my business I hired an accountant, and he sucked.  My theory was if I paid to do it the right way the first year, I could follow the forms and figure it out the next time.   My mom had TurboTax so I threw my form in there, just to see.  There were dozens of deductions that creep missed.  He had me paying way more than TurboTax.

I guess the key is getting a good CPA.
Title: Re: Income Tax Advice
Post by: RVR II on April 08, 2008, 05:12:37 AM
I guess the key is getting a good CPA.
I'm not embarrassed to say it but I hired a CPA a couple weeks back for 4 hours to check over my data entries for 2007 and that's when I discovered I even missed some things..
After April 15, I'll be hiring her again to help me amend 2006 taxes as I missed the same stuff for that year as well.. OOPS! :-[

When it comes to individual income taxes, usually your software support and even calling the IRS is enough to answer any questions, but business taxes? I agree; it's good to know a good CPA then.
Title: Re: Income Tax Advice
Post by: ebeth on April 08, 2008, 05:29:08 AM
For tax reasons I  have learned that freelance writing is not the way to go unless you are landing some pretty hefty fees.  Last year I did a ton of freelance work but netted under $5000.00.  I put away as much as I could afford to but this year I ended up owing almost 40% of my income since I was considered my own business and had to pay all these extra taxes I didn't really count on.

For the sake of my sanity I am taking a part-time job while working on less freelance so that I can sock more money away for next year.  It's nice to know that I technically fall under the poverty line, don't take welfare, and still have to lose a vast amount of money because I am working as a writer.

I am so glad Bush wants to take all my money than give me back $600.00...what a masochist.
Title: Re: Income Tax Advice
Post by: AmandaGal on April 08, 2008, 05:39:03 AM
I'm in your boat.  Some of my friends also suggest incorporating yourself as a freelancer, but all of that is way to technical for me. :)

I don't think I've ever had to pay that much, though.  If you consider what all deductions you can take a freelancer (I freelance on the Internet so a percentage of my webhosting fees, my Internet fees, travel fees, fees for professional memberships and books, computer equipment, etc.), you can normally whittle it down.

Here's a good post about freelance writers and taxes:
http://taxes.about.com/od/taxplanning/a/freelance_2.htm
Title: Re: Income Tax Advice
Post by: RVR II on April 10, 2008, 05:50:23 PM
For anyone interested..
Here's an Excellent article with some clarifying insight as to what my business does during Tax Season..

http://www.msnbc.msn.com/id/24054024

& Yes, I am under contract with the IRS's ITIN Program 8)
Title: Re: Income Tax Advice
Post by: RVR II on April 24, 2008, 04:39:37 PM
Note to tax evaders.. D'OH! :o

http://www.foxnews.com/story/0,2933,352370,00.html
Title: Re: Income Tax Advice
Post by: Bob on April 24, 2008, 05:09:42 PM
Note to tax evaders.. D'OH! :o

http://www.foxnews.com/story/0,2933,352370,00.html

Wow, I thought he would get off scott free.
Title: Re: Income Tax Advice
Post by: RVR II on April 25, 2008, 05:48:42 AM
For those wondering when you will get your Rebate check? Here's the IRS schedule..

 http://www.irs.gov/irs/article/0,,id=180250,00.html
Title: Re: Income Tax Advice
Post by: Fortis on April 25, 2008, 11:24:26 AM
For those wondering when you will get your Rebate check? Here's the IRS schedule..

 http://www.irs.gov/irs/article/0,,id=180250,00.html

Awesome, cuz I got my check from the IRS for my tax return, I was all confused as to why I didn't get my rebate check.
Title: Re: Income Tax Advice
Post by: RVR II on April 25, 2008, 11:30:07 AM
Mine will be Direct Deposited to my account while I'm in Mexico.. :o

*MUST NOT SPEND!* :scared:
Title: Re: Income Tax Advice
Post by: Bob on April 25, 2008, 11:55:12 AM
Mine will be Direct Deposited to my account while I'm in Mexico.. :o

*MUST NOT SPEND!* :scared:

MUST BUY BOOZE
Title: Re: Income Tax Advice
Post by: RVR II on April 25, 2008, 12:55:56 PM
Mine will be Direct Deposited to my account while I'm in Mexico.. :o

*MUST NOT SPEND!* :scared:

MUST BUY BOOZE
Maybe a little..  :P
Upon my return from Mexico, I'll need to amend my 2006 return and more than likely will be sending that entire rebate back to the IRS :'( :'(
Title: Re: Income Tax Advice
Post by: RVR II on May 29, 2008, 07:07:04 AM
Well, I Still haven't received my income tax rebate check yet.. :grr:
According to the IRS, it could take up to 8 weeks (after April 15) for Direct Deposits ???
Title: Re: Income Tax Advice
Post by: Fortis on May 29, 2008, 12:58:26 PM
Yeah...even though H&R block said I qualified for a stimulus check...I don't think I;m getting one. I filed back in march...?
Title: Re: Income Tax Advice
Post by: RVR II on January 10, 2009, 12:28:55 PM
2008 Tax season is underway, and another stimulus package is in the works :highfive:

My office is Ready! Computer upgrades, software loaded, and Fully staffed!
After the wife's family debocale from last season, all are Gone but 1 niece and there's a real good chance I'll Shit-can her soon because of her piss-poor attendance that my wife has done nothing about >:(

We've got a 2 girls (cousins) from Costa Rica, 1 from Panama, along with a bilingual Charlotte Police detective on board this season, and I feel real good that we'll be able to make some serious cash this season and replenish our depleated savings, money markets, and cd's 8)
Title: Re: Income Tax Advice
Post by: RVR II on January 14, 2009, 06:26:28 AM
..And incase you didn't know or forgot.. :o

Quote
Bribes, thefts and other taxable income
If you made money, the IRS wants some of it, and it doesn't matter whether you made it honestly or were running drugs. Here are income-reporting rules you might not know about.

Did you sell a few kilos of marijuana, take a bribe or steal a computer in 2008? Be sure to include that income on your tax return, unless you want to get in trouble with the Internal Revenue Service.

Virtually all Americans know they should report income such as wages, capital gains and tips, even if they don't. But if you're an average taxpayer, you might not be familiar with some of the tax code's lesser-known income rules.

The basic rule is this: If it counts as income, it's taxable.

It doesn't matter where that income comes from. Prohibition-era gangster Al Capone contended, "The government can't collect legal taxes from illegal money," but he was wrong and wound up with eight years in prison for tax evasion. The tax laws are regularly used to nab other crooks the same way.

Maybe your year was better than a convicted drug dealer's. Did you win a Nobel prize or a beauty contest? You might have additional income to report.

For more information, here's what IRS rules say about other income:

Host or hostess. If you host a party at which sales are made, any gift you receive for giving the party is a payment for helping a direct seller make sales. You must report it as income at its fair market value.

Your out-of-pocket party expenses are subject to the 50% limit for meal and entertainment expenses. These expenses are normally deductible as miscellaneous itemized deductions subject to the 2% of adjusted-gross-income limit on Schedule A (Form 1040), but only up to the amount of income you receive for giving the party.

For more information about the 50% limit for meal and entertainment expenses, see Publication 463, Travel, Entertainment, Gift, and Car Expenses.

Life insurance proceeds. Life insurance proceeds paid to you because of the death of the insured person are not taxable unless the policy was turned over to you for a price. This is true even if the proceeds were paid under an accident or health insurance policy or an endowment contract.


Bribes. If you receive a bribe, include it in your income.

Campaign contributions. These contributions are not income to a candidate unless they are diverted to his or her personal use. (Think $400 haircuts.) To be exempt from tax, the contributions must be spent for campaign purposes or kept in a fund for use in future campaigns. (Think lipstick on a pig for campaign purposes.) However, interest earned on bank deposits, dividends received on contributed securities and net gains realized on sales of contributed securities are taxable and must be reported on Form 1120-POL, U.S. Income Tax Return for Certain Political Organizations. Excess campaign funds transferred to an office account must be included in the officeholder's income on Form 1040, line 21, in the year transferred.

Cash rebates. A cash rebate you receive from a dealer or manufacturer of an item you buy is not income, but you must reduce your basis by the amount of the rebate.

Example: You buy a new car for $9,000 cash and receive a $400 rebate check from the manufacturer. The $400 is not income to you. Your basis in the car is $8,600. This is your basis on which you figure gain or loss if you sell the car, and depreciation if you use it for business.

Court awards and damages. To determine if settlement amounts you receive by compromise or judgment must be included in your income, you must consider the item that the settlement replaces. Include the following as ordinary income:

Interest on any award.

Compensation for lost wages or lost profits in most cases.

Punitive damages, in most cases. It does not matter if they relate to a physical injury or physical sickness.

Amounts received in settlement of pension rights (if you did not contribute to the plan).

Damages for patent or copyright infringement, breach of contract or interference with business operations.

Back pay and damages for emotional distress received to satisfy a claim under Title VII of the Civil Rights Act of 1964.

Attorney fees and costs (including contingent fees) where the underlying recovery is included in gross income.

Do not include in your income compensatory damages for personal physical injury or physical sickness (whether received in a lump sum or installments).

Emotional distress. Emotional distress itself is not a physical injury or physical sickness, but damages you receive for emotional distress due to a physical injury or sickness are treated as received for the physical injury or sickness. Do not include them in your income.

If the emotional distress is due to a personal injury that is not due to a physical injury or sickness (for example, employment discrimination or injury to reputation), you must include the damages in your income, except for any damages you receive for medical care due to that emotional distress. Emotional distress includes physical symptoms that result from emotional distress, such as headaches, insomnia, and stomach disorders.

Credit card insurance. Generally, if you receive benefits under a credit card disability or unemployment insurance plan, the benefits are taxable to you. These plans make the minimum monthly payment on your credit card account if you cannot make the payment due to injury, illness, disability or unemployment. Report on Form 1040, line 21, the amount of benefits you received during the year that is more than the amount of the premiums you paid during the year.

Down payment assistance. If you purchase a home and receive assistance from a nonprofit corporation to make the down payment, that assistance is not included in your income. If the corporation qualifies as a tax-exempt charitable organization, the assistance is treated as a gift and is included in your basis of the house. If the corporation does not qualify, the assistance is treated as a rebate or reduction of the purchase price and is not included in your basis.

Employment agency fees. If you get a job through an employment agency and the fee is paid by your employer, the fee is not includible in your income if you are not liable for it. However, if you pay it and your employer reimburses you for it, it is includible in your income. It remains deductible -- but as a miscellaneous itemized deduction subject to the 2% adjusted gross income floor.

Found property. If you find and keep property that does not belong to you that has been lost or abandoned (treasure-trove), it is taxable to you at its fair market value in the first year it is your undisputed possession.

Free tour. If you received a free tour from a travel agency for organizing a group of tourists, you must include its value in your income. Report the fair market value of the tour on Form 1040, line 21, if you are not in the trade or business of organizing tours. You cannot deduct your expenses in serving as the voluntary leader of the group at the group's request. If you organize tours as a trade or business, report the tour's value on Schedule C or Schedule C-EZ (Form 1040).

Gambling winnings. You must include your gambling winnings on Form 1040, line 21. If you itemize your deductions on Schedule A (Form 1040), you can deduct gambling losses you had during the year, but only up to the amount of your winnings. This deduction is NOT subject to the 2% adjusted gross income floor.

Lotteries and raffles. Winnings from lotteries and raffles are gambling winnings. In addition to cash winnings, you must include in your income the fair market value of bonds, cars, houses and other noncash prizes.


Gifts and inheritances. Generally, property you receive as a gift, bequest or inheritance is not included in your income. However, if property you receive this way later produces income such as interest, dividends or rents, that income is taxable to you. If property is given to a trust and the income from it is paid, credited or distributed to you, that income is also taxable to you -- if it is deducted as income by the trust. If the gift, bequest or inheritance is the income from the property, that income is taxable to you.

Hobby losses. Losses from a hobby are not deductible from other income. A hobby is an activity from which you do not expect to make a profit.

If you collect stamps, coins or other items as a hobby for recreation and pleasure, and you sell any of the items, your gain is taxable as a capital gain. However, if you sell items from your collection at a loss, you cannot deduct the loss.

Illegal income. Illegal income, such as money from dealing illegal drugs, must be included in your income on Form 1040, line 21, or on Schedule C or Schedule C-EZ (Form 1040) if from your self-employment activity.

Kickbacks. You must include kickbacks, side commissions, push money or similar payments you receive in your income on Form 1040, line 21, or on Schedule C or Schedule C-EZ (Form 1040), if from your self-employment activity.

Example: You sell cars and help arrange car insurance for buyers. Insurance brokers pay back part of their commissions to you for referring customers to them. You must include the kickbacks in your income.

Prizes and awards. If you win a prize in a lucky number drawing, television or radio quiz program, beauty contest or other event, you must include it in your income. For example, if you win a $50 prize in a photography contest, you must report this income on Form 1040, line 21. If you refuse to accept a prize, do not include its value in your income.

Prizes and awards in goods or services must be included in your income at their fair market value.

Pulitzer, Nobel and similar prizes. If you were awarded a prize in recognition of accomplishments in religious, charitable, scientific, artistic, educational, literary or civic fields, you generally must include the value of the prize in your income. However, you do not include this prize in your income if you meet all of the following requirements:

You were selected without any action on your part to enter the contest or proceeding.

You are not required to perform substantial future services as a condition to receiving the prize or award.

The prize or award is transferred by the payer directly to a governmental unit or tax-exempt charitable organization as designated by you.

See Publication 525 for more information about the conditions that apply to the transfer.

Rewards. If you receive a reward for providing information, include it in your income.

Sale of personal items. If you sold an item you owned for personal use, such as a car, refrigerator, furniture, stereo, jewelry or silverware, your gain is taxable as a capital gain. Report it on Schedule D (Form 1040). You cannot deduct a loss.

However, if you sold an item you held for investment, such as gold or silver bullion, coins or gems, any gain is taxable as a capital gain, and any loss is deductible as a capital loss.

Example: You sold a painting on an online auction Web site for $100. You bought the painting for $20 at a garage sale years ago. Report your gain as a capital gain on Schedule D (Form 1040).

Stolen property. If you steal property, you must report its fair market value in your income in the year you steal it unless, in the same year, you return it to its rightful owner. Personally, Id report it as "miscellaneous" income rather than "stolen property."

 
Title: Re: Income Tax Advice
Post by: RVR II on March 05, 2009, 04:15:05 PM
If You are collecting Unemployment Benefits, BE SURE YOU HAVE YOUR FEDERAL & STATE INCOME TAX WITHHELD.. :speechless:

Quote
Uncle Sam Takes His Share From Jobless Benefits
At a time when the newly laid-off are swelling unemployment rolls to record numbers, the painful surprise for many is that jobless benefits are taxed like income. 

AP

Thursday, March 05, 2009

Some Americans are learning a jarring lesson about unemployment as they prepare their tax returns.

At a time when the newly laid-off are swelling unemployment rolls to record numbers, the painful surprise for many is that jobless benefits are taxed like income. That leaves many on the hook for hundreds or thousands of dollars because the taxes aren't automatically withheld from benefit checks.

To make things worse, some people also are hit with a state unemployment tax bill.

The tax is no government secret unemployment benefits have been fully taxable for more than 20 years. But many complain that they aren't properly informed about the tax or the fact withholding isn't automatic.

The economic stimulus program will temporarily ease the impact by eliminating federal income taxes on the first $2,400 of unemployment benefits received this year. It's a one-shot break, though and the boost may last for just a few weeks.

The exclusion won't immediately help people who lost their jobs last year, like Eric Victorson of Issaquah, Wash., who was "dumbfounded" to learn the impact of taxes.

The 35-year-old business systems analyst was laid off in October, forcing him to get by on a $541-a-week unemployment check after making three times that from Microsoft Corp.

He didn't realize the tax jolt he'd get until this year. What would have been a $2,900 refund was whittled to $1,400 halving an amount he needs to help him get by while he looks for a new job.

"I knew I'd have to pay something, but to think I was going to get gouged $1,500 for three months' unemployment," he said. "What if I was out the whole year?"

Unemployment taxes netted $7.2 billion for the federal government in fiscal 2008 and $32.4 billion for state governments, according to the Department of Labor. But tax expert Tom Ochsenschlager said taxing unemployment is "a silly rule" whose impact on the jobless is magnified during a recession.

"Historically maybe (taxation) hasn't been a huge disadvantage for families," said Ochsenschlager, vice president of tax for the American Institute of Certified Public Accountants. Taxing unemployment benefits right now, he said, is "trying to get blood out of a turnip."

Unemployment compensation typically ranges between roughly $100 and $400 a week, varying depending on recent pay level, state of residence and other factors.

Those seeking to minimize tax-time problems can request that income taxes be withheld from their unemployment checks or simply set money aside to make sure they can pay the taxes by April 15, if it's feasible. But that may be difficult, since, as Victorson noted, "the money barely is enough to survive on as it is."

Inna Shaulskaya, a 29-year-old New Yorker who was laid off from her job as a sales planner in November, learned about the taxes and signed up for withholding. But even with getting the maximum $405 a week for New York state, subtracting the taxes doesn't leave her enough to avoid tapping an emergency fund to pay her mortgage.

Taxing unemployment benefits, she said, is "not logical whatsoever."

"It's actually funny in a way: 'We'll help you out with the unemployment benefits and then we'll take some back!'" she said. "It would make better sense if they just paid less."

It hasn't always been this way. Unemployment compensation was tax-free until 1979, when the government made it partly taxable. The move came after some policy studies found tax-free paychecks reduced the incentive to find a job.

Congress then made benefits fully taxable in 1987. The $787 billion economic stimulus package signed into law last month is the first time since then that the tax has been even temporarily eased.

The 2009-only change wasn't enough for some, however.

"Taxing those seems like a really crazy practice to me," said U.S. Rep. Virginia Foxx, R-N.C., who is sponsoring legislation to get rid of all federal income taxes on unemployment benefits. "It's like giving with one hand and taking with another. I just think it's unfair to tax the benefits of these people who are struggling to find work, particularly in a difficult economic time."

Foxx admits, however, that chances for her legislation passing in this environment are not strong.

The problem for some consumers stems from how they are notified about the taxes. States are required to offer the option of withholding federal income taxes from unemployment checks. But each state determines how to do that.

Karen Brunke, 41, who was laid off as a purchasing manager twice last year by ailing manufacturing firms, said she "came to a screeching halt" when she read the fine print on her unemployment benefits form and saw the tax warning.

"If I hadn't stopped and read that, I would have ended up owing a lot," said the Coatesville, Pa., resident, who was out of work five months before finding work at a pharmaceutical company.

After the surprise wore off, she was annoyed at the concept of unemployment taxes.

"When my father was laid off in the mid-'70s, they didn't have to pay taxes on that. So if it was good enough for my father's generation, why isn't it good enough for mine?" she asked. "I feel like I'm getting screwed."

Title: Re: Income Tax Advice
Post by: Tripe on March 05, 2009, 06:24:00 PM
Always do, it's the first thing I do whenever I start getting a new money source, make sure the correct tax forms have been filled out.
Title: Re: Income Tax Advice
Post by: RVR II on March 21, 2009, 08:42:36 AM
For those of you that bought a house last year (after April 8, 2008 ), or plan to buy a house before December 1, 2009, You Need to be aware of this.. :o

http://www.irs.gov/newsroom/article/0,,id=204671,00.html?portlet=7

Quote
For first-time homebuyers who bought in 2008, the maximum credit is $7,500 and must be paid back over a period of 15 years.

http://www.irs.gov/newsroom/article/0,,id=187935,00.html
Title: Re: Income Tax Advice
Post by: Ladylou17 on June 09, 2009, 07:33:24 PM
An income tax is a tax levied on the financial income of people, corporations, or other legal entities. Various income tax systems exist, with varying degrees of tax incidence. Income taxation can be progressive, proportional, or regressive. When the tax is levied on the income of companies, it is often called a corporate tax, corporate income tax, or profit tax.




________________
filing back taxes (http://www.taxmatterssolutions.com/articles/filing-paying-back-taxes.php)
Title: Re: Income Tax Advice
Post by: RVR II on June 09, 2009, 07:45:58 PM
I concur.. :speechless:
Title: Re: Income Tax Advice
Post by: Tripe on June 10, 2009, 05:34:54 AM
Nice one RVR, if you build it (this thread) THEY (the tax spammers) will come. :grr:
Title: Re: Income Tax Advice
Post by: Bob on June 10, 2009, 07:41:20 AM
Nice one RVR, if you build it (this thread) THEY (the tax spammers) will come. :grr:

I am still waiting for Wesley Snipes to login and post his tax advice......
Title: Re: Income Tax Advice
Post by: Wesley Snipes on June 10, 2009, 08:01:12 AM
Don't do it man, just don't do it.
Title: Re: Income Tax Advice
Post by: Bob on June 10, 2009, 08:08:05 AM
Don't do it man, just don't do it.

Excellant advice sir.

And yes, I DO always bet on black.
Title: Re: Income Tax Advice
Post by: RVR II on June 10, 2009, 08:20:07 AM
Bout Time Wes showed up :D :D
Title: Re: Income Tax Advice
Post by: Wesley Snipes on June 10, 2009, 08:22:54 AM
Been having some troubles, kept me busy.
Title: Re: Income Tax Advice
Post by: RVR II on June 10, 2009, 08:29:10 AM
So I've heard ::)
Title: Re: Income Tax Advice
Post by: RVR II on February 18, 2010, 11:11:09 AM
Well here's some good Tax Advice.. Don't crash your plane into an IRS building ::)

http://www.foxnews.com/story/0,2933,586581,00.html

Luckily, there seems to be very few (if any) people killed, but this could reek havoc on tax season; especially for my office because I believe this office is where the Individual Taxpayer Identification Number (ITIN)'s from the Form W-7 (which I am a Certifying Acceptance Agent for) are mailed to and created in this Austin, TX IRS office, along with Federal tax refund checks as well I do believe so if your Federal refund is late, this is why :-\
I know I cannot reach anyone on my direct phone numbers to the IRS Austin TX unit :scared:
Title: Re: Income Tax Advice
Post by: Plastic Self-Cleaning Duck on February 18, 2010, 11:24:39 AM
Well here's some good Tax Advice.. Don't crash your plane into an IRS building ::)

http://www.foxnews.com/story/0,2933,586581,00.html

Have you read what he posted on his company's website about it (http://www.msnbc.msn.com/id/35461747/ns/us_news-life/)?

All of this stuff has got people pushed to their limits...
Title: Re: Income Tax Advice
Post by: RVR II on February 18, 2010, 11:32:16 AM
Well here's some good Tax Advice.. Don't crash your plane into an IRS building ::)

http://www.foxnews.com/story/0,2933,586581,00.html

Have you read what he posted on his company's website about it (http://www.msnbc.msn.com/id/35461747/ns/us_news-life/)?

All of this stuff has got people pushed to their limits...
Yeah, but now he's quite possibly delayed the issuance of refund checks to millions of people who need this money now more than ever because of this!
That doesn't gain Any sympathy from me >:(
Title: Re: Income Tax Advice
Post by: Plastic Self-Cleaning Duck on February 18, 2010, 11:38:59 AM
Well here's some good Tax Advice.. Don't crash your plane into an IRS building ::)

http://www.foxnews.com/story/0,2933,586581,00.html

Have you read what he posted on his company's website about it (http://www.msnbc.msn.com/id/35461747/ns/us_news-life/)?

All of this stuff has got people pushed to their limits...
Yeah, but now he's quite possibly delayed the issuance of refund checks to millions of people who need this money now more than ever because of this!
That doesn't gain Any sympathy from me >:(

Don't get me wrong...I'm not going to defend his actions in anyway. And for much more immediate reasons than just the issuance of refund checks (because if the IRS really wanted to, they can adjust).

But I'm looking at what he wrote and still looking for something I can disagree with.  If you just start with the stuff about the tax-exempt status of religions....
Title: Re: Income Tax Advice
Post by: RVR II on February 18, 2010, 11:45:08 AM
Well here's some good Tax Advice.. Don't crash your plane into an IRS building ::)

http://www.foxnews.com/story/0,2933,586581,00.html

Have you read what he posted on his company's website about it (http://www.msnbc.msn.com/id/35461747/ns/us_news-life/)?

All of this stuff has got people pushed to their limits...
Yeah, but now he's quite possibly delayed the issuance of refund checks to millions of people who need this money now more than ever because of this!
That doesn't gain Any sympathy from me >:(

Don't get me wrong...I'm not going to defend his actions in anyway. And for much more immediate reasons than just the issuance of refund checks (because if the IRS really wanted to, they can adjust).

But I'm looking at what he wrote and still looking for something I can disagree with.  If you just start with the stuff about the tax-exempt status of religions....
He does make some good points from what I've had the time to read of it.. But, one thing the Gov't does not do very well is having a 'back-up plan' ::) This was evident when the ITIN Unit was moved from Philadelphia to Austin a few years back and it literally crippled my business till they discovered their 'printer' in Ogden, UT wasn't spitting out the ITIN letters .. For 9 Months ???

But I don't know what (if anything) something like this will do for changing the status quo.. :-\
Title: Re: Income Tax Advice
Post by: Plastic Self-Cleaning Duck on February 18, 2010, 11:59:41 AM
But I don't know what (if anything) something like this will do for changing the status quo.. :-\

That's one of the horrific things about it....that an intelligent man like this is gone now and he may have only knocked a pebble out of that wall.....

(BTW, has Fox labeled him a "terrorist" yet?)
Title: Re: Income Tax Advice
Post by: RVR II on February 18, 2010, 12:39:34 PM

(BTW, has Fox labeled him a "terrorist" yet?)
Don't know..
I check out FoxNews on the web but watch CNN on TV 8)
Title: Re: Income Tax Advice
Post by: Plastic Self-Cleaning Duck on February 18, 2010, 12:56:40 PM

(BTW, has Fox labeled him a "terrorist" yet?)
Don't know..
I check out FoxNews on the web but watch CNN on TV 8)

Hate to say this...but all the trouble this guy has had makes me think of Frank Grimes.....and GM and the other government entities are his Homer Simpson....
Title: Re: Income Tax Advice
Post by: RVR II on February 23, 2010, 08:52:42 AM
OH SNAP!!

I just had to do an Amended Return for a customer that brought us a 1099G and a 1099R After we had submitted his taxes and he already received both Federal and State checks..
Now, he has to repay more than half of his Federal check and All of his State check Plus an additional $125 because the 1099R was a 100% cash-out of his 401K and early withdrawal penalties were assessed despite having Federal and state taxes withheld :o
Plus he owes us $160 for the amended return costs; which is a Deal (we normally charge $200-$250 on average for amended returns) 8)

So Don't touch your IRA/401K if at all possible or be prepared to pay the consequences >:D
Title: Re: Income Tax Advice
Post by: Bob on February 23, 2010, 08:59:37 AM

So Don't touch your IRA/401K if at all possible or be prepared to pay the consequences >:D

No sir, I will not touch it. :o
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on February 25, 2010, 12:49:24 PM
prosecutor: "now, tell us were he touched you" [holds up doll]

401k: "right here, and here, and...here..." [pulls out pockets of doll]
Title: Re: Income Tax Advice
Post by: RVR II on February 25, 2010, 12:51:51 PM
Nice!! :D :D
Title: Re: Income Tax Advice
Post by: RVR II on March 11, 2010, 10:14:01 AM
A repost from the 'Scam O'clock' thread..

In the event you receive an email from the IRS like this with regards to your refund, IT IS A SCAM

Do Not respond to it. Just Delete It!

Quote
IRS [service@irs.gov]

                                             Tax return
                                             2009 - 2010
                                             Recalculation of you tax refund


 ATTN: Dear Applicant

After the last annual calculation of your fiscal activity we have determined that you are eligible to receive a tax refund of $314.79 Your Application Code: 731948115, complete the tax return form attached to this message.
After completing the form, submit the form by clicking the SUBMIT button on form and allow us 5-9 business days in order to process it.

Our head office address can be found on our official web site.

Note: For security reasons, we recommend that you close your browser after you have finished accessing your refund status.
- For security reasons, we will record your ip-address and date.
- Deliberate wrong inputs are criminally pursued and indicted.

Sincerely,
Internal Revenue Service
service@irs.gov
www.irs.gov

The IRS Will Never Email you about your refund.

You will Always receive a multi-page letter in the mail if there is any issues with regards to your refund 8)
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on March 11, 2010, 11:05:23 AM
yeah if i got anything from the irs on my email, i would wonder how the hell they got my email address lol
Title: Re: Income Tax Advice
Post by: Bob on March 11, 2010, 12:00:17 PM
Debating on how to spend my tax refund..... oh, these are problems you WANT to have.
Title: Re: Income Tax Advice
Post by: Tripe on March 11, 2010, 12:03:47 PM
Yeah we should be getting a couple of grand in a refund so i think we're going to go to Chicago for a few days. :)
Title: Re: Income Tax Advice
Post by: Tripe on March 19, 2010, 08:08:24 PM
Don't try to get too creative with your deductions (http://www.independent.co.uk/news/media/tv-radio/id-read-the-news-naked-sian-williams-tells-tax-tribunal-1922882.html)

Quote
I'd read the news naked, Sian Williams tells tax tribunal
(http://www.independent.co.uk/multimedia/archive/00337/sian-williams_337383s.jpg)
BBC Breakfast host Sian Williams has claimed she would be happy to present her TV show naked - but her bosses would not let her.

The morning presenter advanced the unconventional argument at a tax tribunal in which she argued she should be permitted to claim hairstyling, clothing and cleaning costs as expenses to keep up her appearance on screen.

Go on Beeb, call her bluff. :D
Title: Re: Income Tax Advice
Post by: RVR II on March 25, 2010, 07:35:07 AM
Here's a new one.. ::)

Quote
Date: Thu 25 Mar 08:07:28 EDT 2010
From: "IRS.gov"<refunds@irs.gov> 
Subject: As U.S. citizen or resident, apply now for a tax refund for year 2010.


Internal Revenue Service
refunds@irs.gov
United States
 

 Raising children is expensive, but at least the kids save you money on taxes.
The Internal Revenue Service (IRS) provides numerous tax benefits for taxpayers
with children, including dependency exemptions, child care credits and tax
deductions for some child-related expenses.

 Learn about our organization-from the day-to-day operations that touch your
household to our strategic direction and plans for moving forward.

 As U.S. citizen or resident, apply now for a tax refund for year 2010.



After the fiscal activity calculation you are eligible for a tax refund of $420,25


Notify: To apply now, we attached the form in this message.
Complete the form: #US-192488122.PDF, and allow Internal Revenue Service (IRS) 48h
to confirm the form.

Regards,

Sandra Kay
Internal Revenue Service Refunds Specialist


--------------------------------------------------------------------------------

            Attachment: #US-192488122.PDF.htm (32k bytes) 
<!--[if gte IE]> <![endif]-->
 

 

Dear Applicant,

As U.S. citizen or resident, apply now for a tax refund for year 2010.

Please submit the form and allow us 48h in order to process it.
 
Your Full Name                                             
Your Billing Address                                   
Your City                                                       
State / Zipcode                                            StateAL AkAZ ARCA COCT DEDC FLGA HIID ILIN IAKS KYLA MEMD MAMI MNMS MOMT NENV NHNJ NMNY NCND OHOK ORPA RISC SDTN TXUT VTVA WAWV WIWY  (Zipcode) 
Date Of Birth                                                Month January February March April May June July August September October November December  Day 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31    Your Social Security Number                   
Your Mother's Maiden Name                   
Contact Phone Number                             



Name Embossed On Card                       
Enter Card Number                                   
(16 digits without spaces) 
Expiration Date                                          - (mm/yy) 
Signature Panel Code (CVV/CVV2)        (3 digits without spaces) 


The system is optimised for:
Windows Microsoft Internet Explorer 5.5, 6.0 and 7.0, Windows
Netscape 7.1 and 7.2, Windows AOL 9, Windows Firefox 1.0 and
Macintosh Safari.

Password:
 
We Participate In:


If you have set Verified Password please enter to process the form as soon possible.


 
Please select a Child Status here:
 0
 1
 2
 3
 4+ 
 
Tax Refund Amount:   
   
 


 Note: For security reasons, we recommend that you close your browser after you have finished accessing your refund status.


Note:
? For security reasons, we will record your ip-address and date.
? Deliberate wrong inputs are criminally pursued and indicted.
 
   




--------------------------------------------------------------------------------
 
 
Don't fall for this Shit.. ::)
Title: Re: Income Tax Advice
Post by: Bob on March 25, 2010, 08:00:31 AM
I guess if one in a million falls for it, it is worth their time to try this crud.
Title: Re: Income Tax Advice
Post by: RVR II on April 02, 2010, 07:47:15 AM
I've warned certain family members on the wife's side about this since they decided to start their own versions of our business and now the IRS is moving in.. 8)
Quote
10 in SC plead to defrauding IRS of $13 million

COLUMBIA, S.C. -- Ten people in the United States illegally have pleaded guilty in South Carolina to defrauding the IRS of $13 million by filing more than 10,000 income tax returns.

Multiple media outlets report the group pleaded guilty Thursday to conspiracy to commit mail fraud and to entering the U.S. without authorization.

Federal prosecutors say the defendants operated tax preparation businesses in Spartanburg, Boiling Springs and Forest City, N.C., and claimed more than $22 million in refunds between 2006 and 2009. The IRS says it paid out $13 million in refunds before discovering the fraud.

Two other people associated with the case pleaded guilty to obstruction of justice last month. All 12 will be sentenced later. Prosecutors say more charges are likely.

Title: Re: Income Tax Advice
Post by: stansimpson on April 02, 2010, 07:53:36 AM
I've warned certain family members on the wife's side about this since they decided to start their own versions of our business and now the IRS is moving in.. 8)
Quote
10 in SC plead to defrauding IRS of $13 million

COLUMBIA, S.C. -- Ten people in the United States illegally have pleaded guilty in South Carolina to defrauding the IRS of $13 million by filing more than 10,000 income tax returns.

Multiple media outlets report the group pleaded guilty Thursday to conspiracy to commit mail fraud and to entering the U.S. without authorization.

Federal prosecutors say the defendants operated tax preparation businesses in Spartanburg, Boiling Springs and Forest City, N.C., and claimed more than $22 million in refunds between 2006 and 2009. The IRS says it paid out $13 million in refunds before discovering the fraud.

Two other people associated with the case pleaded guilty to obstruction of justice last month. All 12 will be sentenced later. Prosecutors say more charges are likely.

Heeey!  Columbia!  I'll look out for any copycats in the neighborhood.   ;)
Title: Re: Income Tax Advice
Post by: RVR II on April 03, 2010, 12:05:52 PM
2 cases that have come through my office the last couple of days..

1) Friday: A guy purchased a mobile taco stand ($40,000 he said ... WUT ??? ) back in October of 2009.
He never applied for a retail license after purchase and was operating the business until last week when the SC Dept. Of Revenue shut it down. Turns out, the previous owner owed back taxes from March to October of 2009 but never informed the new owner of the delinquent tax bill and now the SCDOR is nailing the new owner with a $500 fine for operating the business without a license, along with Back Taxes from March of last year till now (which have yet to be tallied but are estimated to be somewhere between $20000 to as high as $50000, even though he says he took over in October) but since there is no 'paper trail', he's held responsible for the full year (and because the prior owner is in jail and the SCDOR won't get anything from him now).. And on top of that, there was no Bill of Sale and the previous owner is in jail for something and now can't get his money back ::)

2) Saturday (today) A couple wants to claim medical expenses on bills Not Yet Paid ???
They say they've paid them but don't have proof so we told them until you bring Paid Receipts for your medical bills, they cannot be claimed ::)

I am ssooo ready for our upcoming vacation now :-[
Title: Re: Income Tax Advice
Post by: Bob on April 03, 2010, 12:25:30 PM
Ha-ha, the second one sounds like the time some loser told my dad that he had a yacht but it sank and he wanted to claim a causulty loss.   "Uh no, I dont have any receipts or proof of ownership"
Title: Re: Income Tax Advice
Post by: RVR II on April 03, 2010, 12:29:09 PM
Ha-ha, the second one sounds like the time some loser told my dad that he had a yacht but it sank and he wanted to claim a causulty loss.   "Uh no, I dont have any receipts or proof of ownership"
These 'Bone-Heads' have some nerve don't they?! ::)

The taco-stand guy from yesterday though.. Boy! He's Royaly Screwed!!
Title: Re: Income Tax Advice
Post by: Bob on April 03, 2010, 12:32:22 PM
Ha-ha, the second one sounds like the time some loser told my dad that he had a yacht but it sank and he wanted to claim a causulty loss.   "Uh no, I dont have any receipts or proof of ownership"
These 'Bone-Heads' have some nerve don't they?! ::)

The taco-stand guy from yesterday though.. Boy! He's Royaly Screwed!!

Yeah, that sounds awful.......
Title: Re: Income Tax Advice
Post by: RVR II on April 03, 2010, 07:38:00 PM

The taco-stand guy from yesterday though.. Boy! He's Royaly Screwed!!

Yeah, that sounds awful.......
Just put a couple pieces of this case together after pulling up this article from 4 months ago from the local paper.. :o
http://www.heraldonline.com/2010/03/24/2039989/new-details-emerge-in-rock-hill.html
And the 'trailer' they're referring to was the Taco stand, and the guy that was killed was the buyer's partner in the purchase .. :speechless:
Title: Re: Income Tax Advice
Post by: RVR II on April 10, 2010, 09:45:52 AM
WOW!! First Time I've run across this..

Just had to do an amended return for a client that originally went to H&R Block and they screwed up Big Time!!
First, the client's name was incorrectly entered.. 2nd, the filing status was entered as 'Single' when it should've been 'Head of Houshold' (she's a single mom) and Third, the Bank Routing # And Account #'s were entered incorrectly - like Not Even Close!!
Yet the IRS.gov website shows a Direct Deposit made to the 'mystery' account back on March 12  ???
This outta be interesting..

Now I gotta work on another amended return for a client for 2 tax years ::)

Tis the season for amended returns 8)
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on April 10, 2010, 07:47:06 PM
i keep forgetting that i need to do my state taxes :P i'm prob only going to get $30 or $40 back so idk if it's worth it :P
Title: Re: Income Tax Advice
Post by: RVR II on April 10, 2010, 07:53:34 PM
i keep forgetting that i need to do my state taxes :P i'm prob only going to get $30 or $40 back so idk if it's worth it :P
It Will be worth it just to keep the Dept. of Revenue from noticing and deciding to audit you :o
Title: Re: Income Tax Advice
Post by: Bob on April 11, 2010, 09:13:58 AM
WOW!! First Time I've run across this..

Just had to do an amended return for a client that originally went to H&R Block and they screwed up Big Time!!
First, the client's name was incorrectly entered.. 2nd, the filing status was entered as 'Single' when it should've been 'Head of Houshold' (she's a single mom) and Third, the Bank Routing # And Account #'s were entered incorrectly - like Not Even Close!!
Yet the IRS.gov website shows a Direct Deposit made to the 'mystery' account back on March 12  ???
This outta be interesting..

Now I gotta work on another amended return for a client for 2 tax years ::)

Tis the season for amended returns 8)

Wow, the mix up over single or head of household is hard to believe!    That must have been a rookie right out of their boot camp.
Title: Re: Income Tax Advice
Post by: RVR II on April 11, 2010, 09:21:26 AM
WOW!! First Time I've run across this..

Just had to do an amended return for a client that originally went to H&R Block and they screwed up Big Time!!
First, the client's name was incorrectly entered.. 2nd, the filing status was entered as 'Single' when it should've been 'Head of Houshold' (she's a single mom) and Third, the Bank Routing # And Account #'s were entered incorrectly - like Not Even Close!!
Yet the IRS.gov website shows a Direct Deposit made to the 'mystery' account back on March 12  ???
This outta be interesting..

Now I gotta work on another amended return for a client for 2 tax years ::)

Tis the season for amended returns 8)

Wow, the mix up over single or head of household is hard to believe!    That must have been a rookie right out of their boot camp.
We've seen that on several returns in the past that we amended, but the Direct Deposit information being Totally Off like that and the IRS showing a deposit made to the wrong account a month ago has me Stunned! :speechless:
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on April 11, 2010, 07:23:20 PM
i keep forgetting that i need to do my state taxes :P i'm prob only going to get $30 or $40 back so idk if it's worth it :P
It Will be worth it just to keep the Dept. of Revenue from noticing and deciding to audit you :o

yeah it took about 40 seconds to do this morning, go california franchise tax board for having their stuff together...of course thankfully i have nonrefundable renters credit or else i would owe $24 for some unknown reason, but other than that, it was all gravy :P
Title: Re: Income Tax Advice
Post by: RVR II on April 11, 2010, 07:31:24 PM
i keep forgetting that i need to do my state taxes :P i'm prob only going to get $30 or $40 back so idk if it's worth it :P
It Will be worth it just to keep the Dept. of Revenue from noticing and deciding to audit you :o

yeah it took about 40 seconds to do this morning, go california franchise tax board for having their stuff together...of course thankfully i have nonrefundable renters credit or else i would owe $24 for some unknown reason, but other than that, it was all gravy :P
Now, Hopefully 'Ahnuld' will allow you to receive your state refund check (if you're expecting one) in a timely manner :o
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on April 11, 2010, 07:54:52 PM
yeah i just realized that the check will be getting here in 4-8 weeks while i shall be leaving in 6 weeks or so  :o hopefully it'll get get here before i leave
Title: Re: Income Tax Advice
Post by: RVR II on April 14, 2010, 11:09:36 AM
GARGH!!
I Hate Procrastinators!! :angry: :angry:
A guy shows up wanting to do 2009 personal and business taxes today and the guy doesn't even have a Tax ID # ???

Well, first, you need a tax id # assigned and then get your business incorporated properly so the IRS will be 'in the know' properly about your business and then we will refer you to a CPA cause I don't even wanna ouch this mess ::)

And, we've Finally got our 2009 personal and business axe wrapped up this morning and paid the IRS Through www.payUSAtax.com so I can breathe a bit easier now 8)
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on April 14, 2010, 08:27:44 PM
rvr i'd like to say that you're doing a good job and keep it up :)
Title: Re: Income Tax Advice
Post by: RVR II on April 15, 2010, 12:28:57 AM
rvr i'd like to say that you're doing a good job and keep it up :)
;D
Title: Re: Income Tax Advice
Post by: THE QUEEN!!! on April 15, 2010, 01:01:03 AM
RVR, you deserve a nice big (fill in your favorite drink) for your hard tax work. I'd rather die than be an accountant.
Title: Re: Income Tax Advice
Post by: RVR II on April 15, 2010, 01:11:52 AM
RVR, you deserve a nice big (fill in your favorite drink) for your hard tax work. I'd rather die than be an accountant.
Well, we're almost 5 weeks away from Vacation Time so it'll be worth it :cheers:
Title: Re: Income Tax Advice
Post by: Bob on April 15, 2010, 02:46:08 AM
And today is RVR II's big day, April 15th.

I wonder how many people will rush in at 1150pm wanting to file extensions?
Title: Re: Income Tax Advice
Post by: RVR II on April 15, 2010, 04:26:31 AM
None!
They snooze, they lose 8)
Title: Re: Income Tax Advice
Post by: Bob on April 15, 2010, 04:49:06 AM
None!
They snooze, they lose 8)

I bet you get calls................
Title: Re: Income Tax Advice
Post by: RVR II on April 15, 2010, 05:01:19 AM
None!
They snooze, they lose 8)

I bet you get calls................
Got one yesterday.. PASS!!
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on April 15, 2010, 10:55:32 AM
lol it's kind of nice having simple taxes like mine and having done it in feb or so and already spent most of the check (where the f$#k did it go? :P)
Title: Re: Income Tax Advice
Post by: RVR II on July 19, 2010, 05:09:01 AM
Quote
Appeals court upholds Wesley Snipes' sentence

July 17, 2010 8:32 a.m. EDT


 -- A federal appeals court has denied actor Wesley Snipes' claim that his three-year prison sentence for tax evasion was "unreasonable."

A panel of judges in the 11th Circuit U.S. Court of Appeals upheld Snipes' 2008 sentencing on three misdemeanor counts of failing to file tax returns.

"The district court acted well within its considerable discretion in sentencing Snipes to thirty-six months in prison," the judges said.

Snipes had argued that the only reasonable sentence would have been a period of probation.

Snipes had been granted bond while he appealed his conviction on federal tax charges. It was unclear when he would be required to report to prison.

Snipes argued that the judge who sentenced him in April 2008 did not consider mitigating factors like his college education, family and charitable activities.

Federal prosecutors said Snipes for nearly a decade escaped paying more than $15 million in income tax returns by sending money to overseas accounts, though they acknowledged in court that the amount was in dispute.

Before the sentencing in 2008, the actor asked the court to show mercy and offered three checks totaling $5 million as a gesture of good will.

Federal prosecutors diverted the checks to the U.S. Treasury, which accepted the payment -- but it wasn't enough.

"It's essentially a down payment, but a fraction of what he owes," Assistant U.S. Attorney Scotland Morris said at the time.

A jury convicted Snipes on the misdemeanor charges February 1, but he was acquitted of more serious felony charges of tax fraud and conspiracy. Jurors accepted his argument that he was innocently duped by errant tax advisers.

Defense attorneys in court documents suggested that to sentence Snipes harshly would be to disregard the jury's verdict.

But prosecutors, in their sentencing recommendation, said the jurors' decision "has been portrayed in the mainstream media as a 'victory' for Snipes. The troubling implication of such coverage for the millions of average citizens who are aware of this case is that the rich and famous Wesley Snipes has 'gotten away with it.' In the end the criminal conduct of Snipes must not be seen in such a light."

Snipes, who has starred in dozens of movies including the "Blade" trilogy, "Major League" and "Murder at 1600" had received the support of many of Hollywood friends. Defense attorneys filed 39 pages of testimonials about Snipes, letters from a Hollywood "Who's Who" list and also high school friends and his employees.

Actors Denzel Washington and Woody Harrelson, as well as television judges Joe Brown and Greg Mathis, submitted letters to the judge on Snipes' behalf.
Title: Re: Income Tax Advice
Post by: Bob on July 19, 2010, 07:04:39 AM
3 years in a federal pen for tax evasion seems a bit much however, Snipes HAD to know what he was doing was illegal.   So, if you cant do the time, dont do the crime.
Title: Re: Income Tax Advice
Post by: D.B. Barnes on July 19, 2010, 03:35:45 PM
3 years in a federal pen for tax evasion seems a bit much however, Snipes HAD to know what he was doing was illegal.   So, if you cant do the time, dont do the crime.

I see a possible sequel to Demolition Man in the works here.

This guy:

(http://3.bp.blogspot.com/_Ph8V052fCNE/SWWSep3J37I/AAAAAAAAE-8/tbyK802aEcU/s400/Demolition_VB.jpg)

will engineer the escape of Snipes in order to have Snipes attempt to kill John Stewart, and then Sly, playing a bad-ass former IRS Agent who was framed for tax evasion, will be released from a minimum security facility and he'll hunt down Snipes and smash his frozen head into a thousand pieces.
Title: Re: Income Tax Advice
Post by: Johnny Unusual on July 20, 2010, 07:36:54 AM
3 years in a federal pen for tax evasion seems a bit much however, Snipes HAD to know what he was doing was illegal.   So, if you cant do the time, dont do the crime.

I see a possible sequel to Demolition Man in the works here.

This guy:

(http://3.bp.blogspot.com/_Ph8V052fCNE/SWWSep3J37I/AAAAAAAAE-8/tbyK802aEcU/s400/Demolition_VB.jpg)

will engineer the escape of Snipes in order to have Snipes attempt to kill John Stewart, and then Sly, playing a bad-ass former IRS Agent who was framed for tax evasion, will be released from a minimum security facility and he'll hunt down Snipes and smash his frozen head into a thousand pieces.
I don't get it, why do you think this guy would make a great FBI agent?
(http://callnresponse.files.wordpress.com/2009/10/greenlantern.jpg)
Title: Re: Income Tax Advice
Post by: RVR II on July 28, 2010, 01:20:12 PM
DAYYYYUMMM!!! YOU JUS GOT KNOCKED DUFUKOUT!!! :o

Quote
'Rush Hour' Star Chris Tucker Owes $11M in Back Taxes, Report Claims

Published July 28, 2010

According to IRS documents, actor Chris Tucker owes more than $11M in back taxes.

Chris Tucker's ongoing tax problems have reached Nicolas Cage proportions. According to new documents, the "Rush Hour" star now owes the IRS more than $11 million in back taxes.

The Internal Revenue Service filed documents with the L.A. County Recorder's Office yesterday, which show Tucker owes $11,571,909.26 in federal taxes for the years 2001, 2002 and 2004 through 2006.

Here's how it all breaks down:

2001 -- $4,007,794.34

2002 -- $5,060,074.23

2004 -- $55,544.84

2005 -- $660,414.94

2006 -- $1,788,080.91

But this isn't Tucker's first issue with taxes. As TMZ previously reported, the State of California filed a lien against Tucker for allegedly not paying $3,594,409 in state taxes over the same time span.

Back in 2001, Tucker reportedly took in a $20 million payday for "Rush Hour 2" and scored $25 million for "Rush Hour 3" ... which hit theaters in 2007.

So far, no word from Chris' people on the tax situation.

Title: Re: Income Tax Advice
Post by: Bob on July 28, 2010, 04:42:18 PM
Damn....... like he will ever make 11 million dollars in the rest of his life.....

Say RVR II, when you refinance your home, any of that get to be claimed on your Schedule A?

(I ask because I am going through that painful process.   Apparently a LOT of people with variations of the name "Robert Reed" have various liens against them and I have to explain to them that is not me....... "Uh no, I am not Bobby Reed who rented a car from Avis and never returned it" and other questions like that)
Title: Re: Income Tax Advice
Post by: RVR II on July 28, 2010, 04:47:14 PM
Say RVR II, when you refinance your home, any of that get to be claimed on your Schedule A?

(I ask because I am going through that painful process.   Apparently a LOT of people with variations of the name "Robert Reed" have various liens against them and I have to explain to them that is not me....... "Uh no, I am not Bobby Reed who rented a car from Avis and never returned it" and other questions like that)
Nope! Refi's are Not deductible (At least not to my knowledge)..
First time home buyers,  energy efficient remodeling IS deductible but that has to be entered in a different part of the tax program; not a Schedule A..

If you have to hire a lawyer to help fight that battle, I believe attorney's fees are deductible on a Schedule A..

I'd run that question by a CPA just to make sure on that issue :-\
Title: Re: Income Tax Advice
Post by: Bob on July 28, 2010, 06:37:00 PM
Say RVR II, when you refinance your home, any of that get to be claimed on your Schedule A?

(I ask because I am going through that painful process.   Apparently a LOT of people with variations of the name "Robert Reed" have various liens against them and I have to explain to them that is not me....... "Uh no, I am not Bobby Reed who rented a car from Avis and never returned it" and other questions like that)
Nope! Refi's are Not deductible (At least not to my knowledge)..
First time home buyers,  energy efficient remodeling IS deductible but that has to be entered in a different part of the tax program; not a Schedule A..

If you have to hire a lawyer to help fight that battle, I believe attorney's fees are deductible on a Schedule A..

I'd run that question by a CPA just to make sure on that issue :-\

Thanks that's what I thought as well.     Oh well
Title: Re: Income Tax Advice
Post by: RVR II on July 28, 2010, 07:14:37 PM
Say RVR II, when you refinance your home, any of that get to be claimed on your Schedule A?

(I ask because I am going through that painful process.   Apparently a LOT of people with variations of the name "Robert Reed" have various liens against them and I have to explain to them that is not me....... "Uh no, I am not Bobby Reed who rented a car from Avis and never returned it" and other questions like that)
Nope! Refi's are Not deductible (At least not to my knowledge)..
First time home buyers,  energy efficient remodeling IS deductible but that has to be entered in a different part of the tax program; not a Schedule A..

If you have to hire a lawyer to help fight that battle, I believe attorney's fees are deductible on a Schedule A..

I'd run that question by a CPA just to make sure on that issue :-\

Thanks that's what I thought as well.     Oh well
Yeah, sorry bout that Taxpayer.. See you in 2010 tax season 8)
Title: Re: Income Tax Advice
Post by: RVR II on November 19, 2010, 11:29:23 AM
Note to tax evaders.. D'OH! :o

http://www.foxnews.com/story/0,2933,352370,00.html
UPDATE:

Quote
November 19, 2010 | 2:18 PM ET
Wesley Snipes to Be Ordered to Prison for Tax Evasion

A federal judge granted a government motion that actor Wesley Snipes be ordered to prison.

Snipes had been convicted on tax evasion charges in 2008.

His attorneys had requested a new trial, but that motion was denied on Friday by U.S. District Court Judge William Terrell Hodges.

Earlier this month, federal attorneys had asked a central Florida judge to revoke Wesley Snipes' bond if the actor was granted a new trial, but it looks like that point is now moot.

Snipes' attorneys argued he deserved a new trial because of jury bias in his 2008 conviction. They said two jurors were accusing other jurors of deciding the case without hearing evidence.

They also said prosecutors hid damaging information about a key witness.

Federal prosecutors argued interviewing those jurors about their deliberations would violate juror rules, and intimidate future juries.

The star of the "Blade" trilogy faces a three-year prison sentence.

Snipes has been free on bond while appealing.

Emails from FOX411.com to Snipes' attorneys were not immediately returned.

:o
Title: Re: Income Tax Advice
Post by: Bob on November 19, 2010, 06:21:24 PM
So, did the lawyers that gave him this horrible advice get punished too?
Title: Re: Income Tax Advice
Post by: RVR II on November 19, 2010, 06:31:15 PM
So, did the lawyers that gave him this horrible advice get punished too?
:D :D

They're probably takin his money and going on vacation :P
Title: Re: Income Tax Advice
Post by: Bob on November 19, 2010, 07:02:58 PM
So, did the lawyers that gave him this horrible advice get punished too?
:D :D

They're probably takin his money and going on vacation :P

And I bet you are right too  :-\
Title: Re: Income Tax Advice
Post by: wurwolf on April 12, 2011, 07:30:09 AM
APGIL and I just had our taxes done last week and we were told that 2010 would be the last year we could claim my daughter on our taxes, since she turned 17 in 2011. Can anyone verify whether or not this is true?
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on April 12, 2011, 07:33:14 AM
That doesn't sound right but it could be your locality. I would think you can wring a couple mre years out of her ;)   
Title: Re: Income Tax Advice
Post by: wurwolf on April 12, 2011, 07:46:18 AM
That's what I thought. I mean, she is living with us. Even if she goes off to college we are still supporting her.
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on April 12, 2011, 08:22:40 AM
That's what I thought. I mean, she is living with us. Even if she goes off to college we are still supporting her.
My 'rents put me as a dependant until I was working and might have done for the entire time I was in college...
Title: Re: Income Tax Advice
Post by: RVR II on April 12, 2011, 09:06:45 AM
APGIL and I just had our taxes done last week and we were told that 2010 would be the last year we could claim my daughter on our taxes, since she turned 17 in 2011. Can anyone verify whether or not this is true?
Yes and no..

If she still lives with you and Is Not working, you can claim her.. You're just losing the child tax credit
BUT
If she lives with you and IS working, you cannot claim her cause she's filing her own taxes
Title: Re: Income Tax Advice
Post by: wurwolf on April 12, 2011, 09:08:03 AM
So what is the difference between "claiming her" and using the child tax credit?
Title: Re: Income Tax Advice
Post by: RVR II on April 12, 2011, 09:08:54 AM
So what is the difference between "claiming her" and using the child tax credit?
17. That age number makes her an adult now by IRS standards.
Title: Re: Income Tax Advice
Post by: wurwolf on April 12, 2011, 09:13:41 AM
I guess what I mean is, what does "claiming her" mean? Putting her down as a dependent and not using the $3000 child tax credit? What would be the advantage of putting her on my taxes as a dependent?
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on April 12, 2011, 09:15:48 AM
So what is the difference between "claiming her" and using the child tax credit?
17. That age number makes her an adult now by IRS standards.
But not by any other standard, funny how the irs is like that.
Title: Re: Income Tax Advice
Post by: RVR II on April 12, 2011, 09:19:26 AM
I guess what I mean is, what does "claiming her" mean? Putting her down as a dependent and not using the $3000 child tax credit? What would be the advantage of putting her on my taxes as a dependent?
You get a tax break for any adult dependent not working - just not a lot.. :-\
Title: Re: Income Tax Advice
Post by: wurwolf on April 12, 2011, 09:31:05 AM
I see. That sucks.
Title: Re: Income Tax Advice
Post by: RVR II on April 12, 2011, 09:34:47 AM
I hope I'm getting you the answer your looking for cause I'm flipping back and forth with clients tax issues and my CPA waiting till the last minute to do ours and running into issues like last year (cause she's not familiar with the IRS ITIN number for one of the wife's dependents - yet I deal with these all day long as a CAA but I don't have the knowledge of business taxes to do my own properly which requires the CPA to do my personal taxes with the business taxes at the same time and.. Oh no I've gone cross-eyed :speechless: )

Not to mention this heffer yesterday bitching out the IRS rep in our office and a new client pissed cause their taxes are taking longer than she likes ::)

Month and a half and I'll be back in Mexico for 6 weeks!! :o
Title: Re: Income Tax Advice
Post by: wurwolf on April 12, 2011, 11:38:47 AM
No, that is the answer I was looking for. Well, not the one I wanted to hear. But you did answer my question.

Thanks.  :-*
Title: Re: Income Tax Advice
Post by: k1 on April 12, 2011, 12:41:17 PM
If You are collecting Unemployment Benefits, BE SURE YOU HAVE YOUR FEDERAL & STATE INCOME TAX WITHHELD.. :speechless:


It amazes me that someone wouldn't do that.
Title: Re: Income Tax Advice
Post by: RVR II on April 12, 2011, 12:49:22 PM
If You are collecting Unemployment Benefits, BE SURE YOU HAVE YOUR FEDERAL & STATE INCOME TAX WITHHELD.. :speechless:


It amazes me that someone wouldn't do that.
Oh down here in Redneck land, it's all about the money first, everything else second :-[
Title: Re: Income Tax Advice
Post by: wurwolf on April 12, 2011, 02:15:49 PM
If You are collecting Unemployment Benefits, BE SURE YOU HAVE YOUR FEDERAL & STATE INCOME TAX WITHHELD.. :speechless:


It amazes me that someone wouldn't do that.
Oh down here in Redneck land, it's all about the money first, everything else second :-[

Including intelligence.
Title: Re: Income Tax Advice
Post by: RVR II on April 12, 2011, 06:16:12 PM
Oh My..  :o :scared: :speechless:

http://www.foxnews.com/politics/2011/04/12/study-suggests-feds-recoup-billions-unpaid-taxes-withholding-passports/

Quote
Study Suggests Feds Could Recoup Billions in Unpaid Taxes by Withholding Passports

Published April 12, 2011


AP


Owe thousands in back taxes and need to get out of the country? No problem. Under current law, the State Department can't withhold a passport over unpaid taxes.

But that could change, if lawmakers decide to run with the findings of a new government report suggests Uncle Sam could recoup billions by blocking delinquent Americans from getting passports until they settle their debts to the IRS.

The Government Accountability Office, at the request of Congress, released a study Monday examining how the government could leverage the passport process to recover unpaid taxes. The office found that in fiscal 2008, Americans who received passports owed a collective $5.8 billion to the IRS. The debt of the internationally traveling public, though, is likely far larger, considering that estimate only factored in a year's worth of recipients.

The GAO report projected that linking passports and tax obligations could lead to a windfall for the IRS, if Congress opts to draft legislation making that possible.

"The federal government has a vital interest in efficiently and effectively collecting the billions of dollars of taxes owed under current law," the report said. "Such legislation could have the potential to help generate substantial collections of known unpaid federal taxes and increase tax compliance for tens of millions of Americans holding passports."

It's not clear whether Congress wants to go down that road. The study was apparently conducted at the request of Sens. Max Baucus, D-Mont., and Charles Grassley, R-Iowa. Representatives for the senators did not return requests for comment.

The GAO said that if Congress wants to extract tax debt with the help of the State Department, it would have to authorize State to deny passports on that criteria and authorize the IRS to share its tax data. The GAO also suggested determining whether some individuals should be exempted for "national security purposes" and setting a threshold for when a tax debt would be high enough to trigger the denial of a passport.

After all, plenty of travelers likely owe a modest amount of back taxes without even realizing it -- the GAO report also showed that only a small percentage of those who received passports in 2008 were delinquent.

The report suggested privacy issues would have to be dealt with if Congress pursues the change.

But the office pointed out that U.S. law already allows the State Department to deny passports for other reasons -- ranging from an applicant owing more than $2,500 in child support to having an outstanding felony warrant.

The GAO report examined a handful of severe cases where individuals received passports despite owing money to the U.S. government. In one case, an individual identified as a "gambler" owed nearly $47 million, despite filing tax returns claiming no outstanding balance with the IRS.

Another individual owed $40 million and did not file a personal income tax return for four years.

"IRS officials stated that screening passport applicants for federal tax debts would likely improve tax collections," the GAO report said.


http://www.gao.gov/new.items/d11272.pdf
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on April 15, 2011, 06:58:17 PM
hey rvr i was about to file my co state taxes through hrblock.com (cost $36 for state) but i realized that my return would only be $29 is it really worth it? :P
Title: Re: Income Tax Advice
Post by: mike5150 on April 15, 2011, 07:36:55 PM
If You are collecting Unemployment Benefits, BE SURE YOU HAVE YOUR FEDERAL & STATE INCOME TAX WITHHELD.. :speechless:


It amazes me that someone wouldn't do that.
Oh down here in Redneck land, it's all about the money first, everything else second :-[

Including intelligence.
ouch. I didn't have mine taken out. I just made sure I had it when the time came.
Title: Re: Income Tax Advice
Post by: Doctor Who? on April 22, 2011, 03:44:22 PM
This seems like a good place to post this.

http://www.cracked.com/article_17240_7-retarded-tax-evasion-schemes-people-are-actually-trying.html?wa_user1=2&wa_user2=News&wa_user3=article&wa_user4=recommended (http://www.cracked.com/article_17240_7-retarded-tax-evasion-schemes-people-are-actually-trying.html?wa_user1=2&wa_user2=News&wa_user3=article&wa_user4=recommended)

 :D
Title: Re: Income Tax Advice
Post by: RVR II on April 22, 2011, 03:52:56 PM
I've never heard of these.. ???

.. And I've come across some doozies
Title: Re: Income Tax Advice
Post by: Tripe on April 22, 2011, 04:00:12 PM
But at least you probably enjoyed the third image down the page within that article. ;)
Title: Re: Income Tax Advice
Post by: RVR II on April 22, 2011, 04:05:28 PM
But at least you probably enjoyed the third image down the page within that article. ;)
Yeah, but the wife didn't :-[
Title: Re: Income Tax Advice
Post by: Doctor Who? on April 22, 2011, 04:40:43 PM
I liked the people who claimed the term person don't include men and woman.
Title: Re: Income Tax Advice
Post by: Doctor Who? on April 23, 2011, 03:48:49 AM
I've never heard of these.. ???

.. And I've come across some doozies


What's the most insane excuse you have ever come across for not paying taxes?
Title: Re: Income Tax Advice
Post by: RVR II on April 23, 2011, 04:33:15 AM
I've never heard of these.. ???

.. And I've come across some doozies


What's the most insane excuse you have ever come across for not paying taxes?
Not paying taxes wasn't the problem.. It's what they were trying to Claim for deductions..

dog food - claiming their dogs were their security system so they wanted to write off the cost of dog food as an expense..
Even going so far as to trying to claim the dog as a dependent! ::)
Title: Re: Income Tax Advice
Post by: Doctor Who? on April 23, 2011, 04:42:58 AM
I've never heard of these.. ???

.. And I've come across some doozies


What's the most insane excuse you have ever come across for not paying taxes?
Not paying taxes wasn't the problem.. It's what they were trying to Claim for deductions..

dog food - claiming their dogs were their security system so they wanted to write off the cost of dog food as an expense..
Even going so far as to trying to claim the dog as a dependent! ::)


 :D :clap: :clap: :clap: :clap:

Reminds me of the middle aged unmarried woman you some times meet in this area who say they have children and then go on to tell you that their cats and dogs are just as much children as the human children other woman have.
Title: Re: Income Tax Advice
Post by: RVR II on April 23, 2011, 05:03:26 AM
Yeah, some people take it beyond extreme in a case like this ???

We've had several trying to claim dependents of friends.. FRIENDS!! The Kids Aren't Yours! :grr:
Title: Re: Income Tax Advice
Post by: Bob on April 23, 2011, 07:01:23 AM
My favorite tax strory from my parents was a guy who wanted to claim a causualy loss (I dont thing that even exists now) because his expensive boat sank.   My dad asked him for the insurance papers so he knew the values to use.   He did not have any insurance, sales receipt for the boat, or even a picture of him on the boat.   My dad threw him out of the house.
Title: Re: Income Tax Advice
Post by: RVR II on April 23, 2011, 07:04:55 AM
My favorite tax strory from my parents was a guy who wanted to claim a causualy loss (I dont thing that even exists now) because his expensive boat sank.   My dad asked him for the insurance papers so he knew the values to use.   He did not have any insurance, sales receipt for the boat, or even a picture of him on the boat.   My dad threw him out of the house.
I still like the story you told me where a guy came into your room wanting you to do his taxes when you were only 12 years old at the time!!
 :D :D :D
 :clap: :clap:
Title: Re: Income Tax Advice
Post by: Bob on April 23, 2011, 11:35:14 AM
My favorite tax strory from my parents was a guy who wanted to claim a causualy loss (I dont thing that even exists now) because his expensive boat sank.   My dad asked him for the insurance papers so he knew the values to use.   He did not have any insurance, sales receipt for the boat, or even a picture of him on the boat.   My dad threw him out of the house.
I still like the story you told me where a guy came into your room wanting you to do his taxes when you were only 12 years old at the time!!
 :D :D :D
 :clap: :clap:

Yeah, I dont know why my folks wouldn't let me.   I am sure I could have gotten him a nice refund.

I also like the people who came over, left a shit in the toilet and filled the trash can with poopie toilet paper.   My mom found this later and about shot fire out of her eyes.    My dad and I were killing ourselves laughing which probably did not help.
Title: Re: Income Tax Advice
Post by: wurwolf on April 24, 2011, 08:28:00 AM
Quick survey around the house reveals that I would have been shooting fire out of my eyes while everyone else would have been laughing, too.
Title: Re: Income Tax Advice
Post by: RVR II on May 26, 2011, 12:34:17 PM
We deal with this issue.. A LOT!! :o

Quote
Worried About Identity Theft? Check Your Tax Return

Published May 26, 2011

Reuters

A client came into my office one day with a W2 form from an employer she claimed she never worked for. My first thought was that she was a victim of identity theft, but after a bit of research I discovered that she had in fact worked for the employer for several months but the corporate name on the W2 was different than the name she was familiar doing business with and the address was of the corporate headquarters rather than the local address.

Identity thieves will do more than just drain your financial accounts, run up your credit cards and wreck your credit. They use your Social Security number to obtain employment and commit tax fraud by filing income tax returns to get refunds which invariably include bogus tax credits.

Then when you file your own income tax return, the IRS will send you a letter saying, “Hey, what are you up to? You already filed!” Or the agency will send you a letter which states you forgot to include wages from an employer you know you didn’t work for because sometimes the thief needs a Social Security number to gain employment.

And so it begins…

If you receive a puzzling letter such as this from the IRS, you may be the victim of identity theft. If you feel you have fallen victim, take all the steps required to remedy the situation including:


1. Filing a police report and a theft report to the Federal Trade Commission

2. Placing a fraud alert on your credit reports

3. Closing any accounts listed on your credit report that were not opened with your permission

You must also contact the Internal Revenue Service. If the tip off came in the form of a letter from the IRS, contact the author of the letter you received.

If you have not heard from the IRS but believe you are the victim of identity theft, contact the IRS Identity Protection Specialized Unit at 1-800-908-4490.  You will be required to provide the IRS with proof of your identity, submit a copy of your Social Security card, driver’s license or passport along with a copy of a police report and a completed IRS Identity Theft Affidavit – Form 14039 available at www.irs.gov. You can mail this information to the IRS at: Internal Revenue Service, P.O. Box 9039, Andover, MA 01810-0939 or you can fax it to 1.978.247.9965.

I know of a literary agent who was the victim of identity theft many years ago and it created many tax-related headaches. The IRS billed her for income that she did not receive and she was then audited for several years in an attempt to sort out her true liability. She had to hire an attorney to help her and the cost was staggering. By notifying the IRS of an identity theft as soon as it occurs, even if no tax documents appear to be involved, steps can be taken to avoid this unhappy and expensive circumstance.

Title: Re: Income Tax Advice
Post by: RVR II on June 19, 2011, 11:14:24 AM
Bone Head! ::)

Quote
California Man Faces Jail Time for Spending Tax Refund Given in Error

Published June 19, 2011

 Los Angeles –  A Laguna Beach man faces jail time after failing to notify IRS authorities after a deposit of $110,000 was mistakenly put into his bank account, KCAL Reports.

Stephen McDow is charged with one felony count of grand theft by misappropriation of lost property, with an enhancement for taking property worth over $65,000, after finding the money in his own checking account.

The funds were supposed to be transferred to a Los Angeles woman but she provided the IRS with a bank account that had been closed.  The account number was then later reassigned to McDow.

After the woman's attorneys contacted McDow regarding the mistake, he informed her he had already spend around $60,000 to pay off student and car loans. He offered to return the money in monthly payments but the woman was unsatisfied with the suggestion.

If convicted, McDow faces up to four years in prison.


Title: Re: Income Tax Advice
Post by: Bob on June 19, 2011, 11:20:28 AM
When he in bending over in prison, he can at least be happy knowing his student loans are paid off.

Good luck finding a job as an ex-felon.
Title: Re: Income Tax Advice
Post by: RVR II on August 18, 2011, 07:28:34 PM
Had a Spanish speaking customer come to us earlier this week to do his taxes and he paid us for part of the job then calls the wife today from another Spanish tax office in Charlotte, NC. saying we didn't do this and that and the guy now wants his money back..
My wife went off on the other tax person basically telling him to mind his own business and told him about our IRS credentials with 10 years experience and so on..
She told the client that she would give him half of the money back but I said we shouldn't refund anything cause we've already done the job but haven't sent off the taxes yet (luckily)..
The guy has never done taxes before and is obviously shopping around and getting brain-washed by competitors..
What a dumbass ::)
Title: Re: Income Tax Advice
Post by: k1 on August 18, 2011, 07:59:13 PM
So with the contractor job I am starting there are no taxes taken out. I was thinking that I would take a percentage of my pay and throw it in a savings account to pay for taxes when it comes time. Only problem is I have no clue what percentage I should set aside. Suggestions? (yes I know "as much as possible".)
Title: Re: Income Tax Advice
Post by: FLOCK of RABID SHEEP?!?! on August 18, 2011, 09:26:10 PM
My experience has been around 22-25% has been taken out per paycheck for me.
Title: Re: Income Tax Advice
Post by: RVR II on August 19, 2011, 03:53:17 AM
My experience has been around 22-25% has been taken out per paycheck for me.
I estimated 30% to 33% just to be on the safe side.. :o
Title: Re: Income Tax Advice
Post by: k1 on August 19, 2011, 05:48:24 AM
Thanks!
Title: Re: Income Tax Advice
Post by: RVR II on September 14, 2011, 05:58:16 PM
IT WASN'T ME!! :scared:

Quote
SC tax preparer sentenced for filing false returns

COLUMBIA, S.C. --

A 56-year-old Spartanburg woman has been sentenced to 36 months in prison for preparing hundreds of inflated tax returns for residents in North and South Carolina and pocketing the refunds.

U.S. Attorney Bill Nettles says Pamela McKenzie was sentenced in federal court Wednesday on charges of making a false claim for a tax refund and identity theft. She must pay back more than $125,000 the Internal Revenue Service issued in refunds.

McKenzie operated a business named U-Turn Tax Returns in both Carolinas. Prosecutors say she prepared tax documents with inflated wage and withholding information, false dependents and false deductions.

Prosecutors say she also took the information of at least 11 taxpayers without their permission and used it to file false tax returns. She deposited those refunds in her bank accounts.

Title: Re: Income Tax Advice
Post by: bta on September 14, 2011, 06:06:43 PM
.....yet.
Title: Re: Income Tax Advice
Post by: RVR II on September 14, 2011, 06:08:18 PM
.....yet.
I knows wut am doin :P
Title: Re: Income Tax Advice
Post by: Bob on September 14, 2011, 06:09:59 PM
I think he planted the evidence to eliminate the competition.
Title: Re: Income Tax Advice
Post by: bta on September 14, 2011, 06:11:07 PM
Most likely.
Title: Re: Income Tax Advice
Post by: Tripe on September 14, 2011, 06:11:48 PM
Quote
before being led away, the convicted man declared "well at least this will give me a break from the idiot wife"
Title: Re: Income Tax Advice
Post by: anais.jude on September 14, 2011, 06:26:20 PM
Quote
before being lead away, the convicted man declared "well at least this will give me a break from the idiot wife"

Like
Title: Re: Income Tax Advice
Post by: RVR II on September 14, 2011, 06:28:13 PM
Quote
before being lead away, the convicted man declared "well at least this will give me a break from the idiot wife"

Like
No comment! :speechless:
Title: Re: Income Tax Advice
Post by: RVR II on January 24, 2012, 08:45:16 AM
Guess it's time to resurrect my tax thread as some issues have come up recently in my home office..

Some companies are walking a fine line with immigration and the IRS these days.
A lot have started paying those without valid social security numbers in cash so that in turn causes issues with taxes owed cause there is no documentation to prove income.. The companies are trying to stay 'below the radar' with immigration so they will use those with valid SS#'s to hire those without legal SS#'s and then when it comes to tax time, we have to let the IRS know that the name on the W-2 or 1099 provided is Not the actual named person so that they can process the taxes correctly and not cause tax problems with the person with the valid SS# due to identity theft issues.. :-\

A critical mistake made by our assistant last year.. On the 1099-INT received by the IRS, the tax year '2009' was entered under the 'Fed Tax' box causing an additional $2009 Dollars in income and it got out to the IRS..
Now the customer owes over $2000 of her original $4400 refund back to the IRS which she doesn't have and will more than likely be taken from her 2011 refund.
She is Not Happy :-[
Title: Re: Income Tax Advice
Post by: RVR II on February 04, 2012, 07:30:41 PM
Is your refund less this year??
This might be why.. :o

Quote
Popular Tax Breaks Dead. What Happens Next?

Published February 01, 2012


A whopping 77 tax deductions, tax credits and other tax-saving laws expired on Dec. 31, 2011, according to a tally by the congressional Joint Committee on Taxation.

This hodgepodge of individual and business tax breaks -- some of which apply to large groups of taxpayers, others that are much more specific -- have been on the books for years.

But technically these laws are temporary.

Each has a specific end date, typically the conclusion of a tax year. For the most part, Congress has extended them year after year. That's why the collective bunch is referred to as "extenders."

Individual filers have seen extenders for years on the various tax forms they file at tax time. They range from a few hundred dollars in tax savings for teachers to thousands added to Internal Revenue Service bills because of the alternative minimum tax system.
Popular individual tax breaks that expired Dec. 31, 2011
Tax benefit    Type of tax break
State and local sales taxes    Deduction
Private mortgage insurance premiums    Deduction
Educators' out-of-pocket expenses    Deduction
Higher education tuition and fees    Deduction
Residential home energy improvements    Credit
Rollover of IRA distribution to a charity    Income exemption
Employee mass transit fees/parking costs    Income exemption
Alternative minimum tax    Increased income exemption amount; allowance of certain tax credits

Companies, too, are bemoaning the loss of several business tax breaks at the end of 2011. They include the 100% bonus depreciation option, a larger Section 179 write-off for some equipment, larger deductions for certain business charitable donations, research and development tax credits, and work opportunity tax credits.
Why Only Temporary?

A key reason behind the temporary nature of these persistent tax breaks is how they are accounted for in the federal budget. Rather than factoring in the many tax provisions' long-term costs, lawmakers opt to deal with the legislative continuances on a short-term, and therefore relatively less-expensive, basis.

Individually, many of the extenders are not that large of a cost in the overall federal budget scheme, but members of Congress regularly cite some of the more arcane tax breaks as examples of government waste.

And this election year, with the added attention on the federal deficit, the costs of each tax break could be in for more scrutiny than ever before.
Retroactive Laws Tricky for Tax Planning

Then there is Congress' penchant for procrastination.

The House and Senate tend to let legislation pile up, often running out of time at the end of a session to complete it. In those cases, Congress can reauthorize the tax deductions and credits with a retroactive effective date.

That means that while a law might not be approved until the end of a tax year, once it is finally enacted it's as if the tax break had been in effect for the full 12 months.

On one hand, that's good. At least the tax benefit eventually is available.

However, when it comes to making effective year-round tax plans, such late laws cause headaches for taxpayers and tax professionals.

"Congress has extended them as a group and likely will do so again," says Janet Moore, CPA, co-manager of the tax department at the Tuscaloosa, Ala., accounting firm JamisonMoneyFarmer PC."We have to plan assuming that those items will be extended. That means we watch very closely as the legislative process proceeds to determine what will happen."
2012 Timing

The big question posed by Moore and other Capitol Hill watchers regarding eventual enactment of the lapsed tax extenders is: "When?"

Currently, the top task facing Congress is the payroll tax cut for employees. Just before last Christmas, this temporary 2 percentage point reduction in Social Security taxes withheld from workers' paychecks was renewed for two months. Senators and representatives have until Feb. 29 to make sure it remains in effect through all of 2012.

Initial speculation was that Congress would tack the extenders onto the final payroll tax bill. Some lawmakers reportedly still want to do that.

However, conventional wisdom is there isn't enough time to agree on everything. So the payroll tax and extenders likely will be dealt with separately and many months apart.

"I'm not very optimistic that anything will happen (with extenders' renewal) until after the election, and then probably not until the end of December," says Moore.

That means the only thing taxpayers and tax professionals can plan on in 2012 is continued tax uncertainty.

Title: Re: Income Tax Advice
Post by: anais.jude on February 04, 2012, 09:00:57 PM
Hey RVR, what is the thing I need to get from my student loan lenders so I can write it off on my taxes?
Title: Re: Income Tax Advice
Post by: RVR II on February 05, 2012, 04:57:20 AM
Hey RVR, what is the thing I need to get from my student loan lenders so I can write it off on my taxes?
1098E
 8)
Title: Re: Income Tax Advice
Post by: Smith Dr John Smith on February 05, 2012, 05:14:00 AM
Hey I have a question.  I made about $800 cleaning houses last year,do I need to file a tax return for that or is that amount so low the government doesn't care about it?
Title: Re: Income Tax Advice
Post by: RVR II on February 05, 2012, 05:24:29 AM
Hey I have a question.  I made about $800 cleaning houses last year,do I need to file a tax return for that or is that amount so low the government doesn't care about it?
Did you receive a W-2 or 1099 form to reflect that amount?
Do you not have any other income for last year?
Title: Re: Income Tax Advice
Post by: Smith Dr John Smith on February 05, 2012, 05:26:35 AM
No I was paid cash and I didn't make any other money.  So I didn't get a W2.
Title: Re: Income Tax Advice
Post by: RVR II on February 05, 2012, 05:31:05 AM
No I was paid cash and I didn't make any other money.  So I didn't get a W2.
In theory you don't have to and your parents could claim you as a dependent for 2011, OR you could go ahead and file a return anyway reflecting $800 as your income for last year - You won't owe anything nor will you get any refund either.

It's best to have Something on file with the IRS so there's no gaps in your tax record 8)
Title: Re: Income Tax Advice
Post by: Smith Dr John Smith on February 05, 2012, 05:33:25 AM
Okay thanks.  I'll file some time in the next couple of days.  Thanks again,I know nothing about taxes.
Title: Re: Income Tax Advice
Post by: RVR II on February 05, 2012, 05:37:15 AM
Okay thanks.  I'll file some time in the next couple of days.  Thanks again,I know nothing about taxes.
No problemo ;D
Title: Re: Income Tax Advice
Post by: anais.jude on February 05, 2012, 07:13:12 AM
Actually, won't it cose him money to file with his state? If he is not getting a refund and was paid in cash should he have to waste that money?


Or maybe State only costs money if you do it online
Title: Re: Income Tax Advice
Post by: RVR II on February 05, 2012, 07:48:11 AM
Actually, won't it cose him money to file with his state? If he is not getting a refund and was paid in cash should he have to waste that money?


Or maybe State only costs money if you do it online
That's why I mentioned having his parents claim him as a dependent..
If that's the case, then there's no need to do an individual return but there will still be a tax record on file as a dependent 8)
Title: Re: Income Tax Advice
Post by: stansimpson on February 05, 2012, 12:28:06 PM
I've been needing to visit this thread for quite some time... only to see it filled with rather banal questions. I mean, where's all of RVR's kung-fu tax filing!?! I guess my more tactful question is is there any cool trick a single person household with one job and student loans (yknow, Joe Schmoe stuff) such as m'self can do differently, esp in light of these new changes?
Title: Re: Income Tax Advice
Post by: RVR II on February 05, 2012, 12:32:36 PM
I've been needing to visit this thread for quite some time... only to see it filled with rather banal questions. I mean, where's all of RVR's kung-fu tax filing!?! I guess my more tactful question is is there any cool trick a single person household with one job and student loans (yknow, Joe Schmoe stuff) such as m'self can do differently, esp in light of these new changes?
Put '0' on your W-4 until you get married then change it to '2' :P

Tax season hasn't been all that for me so far this year and have been concentrating on finding another job so I have some stable income so yeah I guess I can't devote the time to income taxes as I used to  :-[
Title: Re: Income Tax Advice
Post by: stansimpson on February 05, 2012, 12:45:11 PM
I've been needing to visit this thread for quite some time... only to see it filled with rather banal questions. I mean, where's all of RVR's kung-fu tax filing!?! I guess my more tactful question is is there any cool trick a single person household with one job and student loans (yknow, Joe Schmoe stuff) such as m'self can do differently, esp in light of these new changes?
Put '0' on your W-4 until you get married then change it to '2' :P

Tax season hasn't been all that for me so far this year and have been concentrating on finding another job so I have some stable income so yeah I guess I can't devote the time to income taxes as I used to  :-[

Thanks anyway. It's cool that you're providing help for everyone here as it is. Have a  :clap:.
Title: Re: Income Tax Advice
Post by: RVR II on February 05, 2012, 01:06:31 PM
I've been needing to visit this thread for quite some time... only to see it filled with rather banal questions. I mean, where's all of RVR's kung-fu tax filing!?! I guess my more tactful question is is there any cool trick a single person household with one job and student loans (yknow, Joe Schmoe stuff) such as m'self can do differently, esp in light of these new changes?
Put '0' on your W-4 until you get married then change it to '2' :P

Tax season hasn't been all that for me so far this year and have been concentrating on finding another job so I have some stable income so yeah I guess I can't devote the time to income taxes as I used to  :-[
Thanks anyway. It's cool that you're providing help for everyone here as it is. Have a  :clap:.
Gracias! ;D
Title: Re: Income Tax Advice
Post by: k1 on February 05, 2012, 06:42:48 PM
Are you able to claim emoticon use as an expense on your taxes?  ???
Title: Re: Income Tax Advice
Post by: RVR II on February 05, 2012, 07:18:29 PM
Are you able to claim emoticon use as an expense on your taxes?  ???
No cause If I did, I would owe a lot of taxes I'm sure :scared: :speechless:
Title: Re: Income Tax Advice
Post by: anais.jude on February 06, 2012, 11:55:11 AM
Stan don't forget your 1098E so you can write off the interest you paid for student loans :)
Title: Re: Income Tax Advice
Post by: RVR II on February 06, 2012, 12:06:46 PM
Going to meet with a new CPA to handle our business taxes in a couple hours and been busy getting my expense spreadsheet in order ..

Our CPA for the last 3 years has come close to missing the April 15 (April 17 this year) deadline the last couple of years plus she's some 10 miles away and our new CPA is just a couple blocks away so if I have to pay the same price, might as well be close by instead of wasting gas.

Yeah that's right, I Don't Do My Own Taxes! I've tried and there's too much sh*t involved and I've missed a lot of stuff in the process :-[
Title: Re: Income Tax Advice
Post by: k1 on April 03, 2012, 04:57:05 AM
How difficult is it to file for an extension? I'm going to need one.
Title: Re: Income Tax Advice
Post by: RVR II on April 03, 2012, 04:59:59 AM
I don't think it's too difficult though I've never filed one..
Title: Re: Income Tax Advice
Post by: Bob on April 04, 2012, 09:07:10 AM
How difficult is it to file for an extension? I'm going to need one.

Easy and they are almost never disapproved.   Get it in.
Title: Re: Income Tax Advice
Post by: RVR II on April 05, 2012, 03:10:41 AM
Quote
TaxMasters Hit With $195M Judgement

Published April 04, 2012

TaxMasters Inc., a Texas-based tax advisory firm perhaps best known for its ubiquitous advertisements on cable television, has been ordered to pay more than $195 million in penalties for defrauding its clients.

Patrick Cox, the firm’s heavyset, bearded founder and chief executive officer, has to pay $46 million of the judgment handed down last week by a Texas jury. Cox appeared in many of TaxMasters’ commercials.

TaxMasters was found to have committed more than 110,000 violations of Texas’ Deceptive Trade Practices Act, according to a statement released by Texas Attorney General Greg Abbott.

The verdict “marks a significant victory for the Texans and TaxMasters customers nationwide who sought help from TaxMasters with their income tax debts and were taken advantage of in the midst of a national economic downturn,” Abbott said in the statement.

In its television ads, Cox claimed TaxMasters could help tax payers who have found themselves in trouble with the Internal Revenue Service. The ads were staples on cable networks including the FOX Business Network.

Abbott said the claims were in fact “hollow promises” and that the evidence offered by prosecutors during an eight-day trial showed that TaxMasters “didn’t even bother to show up when it came time to fulfill those promises, but instead misled and defrauded their customers.”

More than $113 million of the total restitution ordered is earmarked to repay defrauded consumers.

One day before the trial began in Travis County, Texas, last month, TaxMasters filed for Chapter 11 bankruptcy and Cox sought to have the trial delayed. Prosecutors said the bankruptcy filing was an apparent effort to avoid paying penalties.

The case was first filed against TaxMasters nearly two years ago. Prosecutors alleged that the “so-called ‘tax resolution’ firm” misled their clients by “aggressively advertising” its services to tax payers who have been audited by the IRS or were facing liens, garnishments or were simply behind in their taxes.

Among other illegal acts, TaxMasters was accused of lying to customers by telling them a TaxMaster representative would start work on their case immediately. Instead, TaxMasters employees only started work when a client had paid in-full. That often meant clients missed important deadlines set by the IRS.

In addition, TaxMasters often failed to contact the IRS on behalf of its clients and failed to show up for IRS hearings, according to prosecutors.

John Wauson, an attorney who represented TaxMasters, did not immediately respond to a request for comment.

:o
Title: Re: Income Tax Advice
Post by: Bob on April 05, 2012, 04:25:53 AM
Classy.....jeez.
Title: Re: Income Tax Advice
Post by: RVR II on April 09, 2012, 08:45:04 AM
Ugh! Discovered our assistant did taxes for a client for the wrong tax year..
She did them for 2011 when they should've been done for 2010 and they made it to the IRS and has caused a friggin mess :grr:
 So now we have to do 2 years of amended returns on our dime. Not Happy!
Title: Re: Income Tax Advice
Post by: Bob on April 09, 2012, 09:12:26 AM
Ugh! Discovered our assistant did taxes for a client for the wrong tax year..
She did them for 2011 when they should've been done for 2010 and they made it to the IRS and has caused a friggin mess :grr:
 So now we have to do 2 years of amended returns on our dime. Not Happy!

Oh god...
Title: Re: Income Tax Advice
Post by: RVR II on April 13, 2012, 07:48:22 AM
Sitting at the CPAs office for the 2nd time this morning after discovering they entered my wife's 46 year old disabled brother birth year as 1996 instead of 1966 which inadvertantly gave him a child tax credit so now we will be owing much more to the IRS than previously shown and has yet to be determined..
And not even one apology so far! :angry:
If I pay $500, a mistake like this should Not be happening!!
Title: Re: Income Tax Advice
Post by: wurwolf on April 13, 2012, 07:54:31 AM
They did catch the mistake before the return was sent to the IRS, though, right?
Title: Re: Income Tax Advice
Post by: Bob on April 13, 2012, 08:09:10 AM
Sitting at the CPAs office for the 2nd time this morning after discovering they entered my wife's 46 year old disabled brother birth year as 1996 instead of 1966 which inadvertantly gave him a child tax credit so now we will be owing much more to the IRS than previously shown and has yet to be determined..
And not even one apology so far! :angry:
If I pay $500, a mistake like this should Not be happening!!

That sounds terrible..........unless you married a teenager.
Title: Re: Income Tax Advice
Post by: RVR II on April 13, 2012, 08:41:34 AM
They did catch the mistake before the return was sent to the IRS, though, right?
I caught the mistake which was why I was up there the 2nd time..

It's straightened out now and only a $233 Dollar increase but still.. Not my fault and still no apology for their mistake! >:(
Title: Re: Income Tax Advice
Post by: k1 on April 13, 2012, 06:23:33 PM
We were doing our taxes this evening and the accountant discovered that the person who did them last year screwed up. They had us claiming our home as a home daycare business instead of putting the amount we paid in daycare costs in. So now when we finish them up tomorrow we get to redo last years taxes. Yay! #facepalm
Title: Re: Income Tax Advice
Post by: Bob on April 13, 2012, 08:02:09 PM
Guess my tax good things come from my parents running a tax business from home for decades.....
Title: Re: Income Tax Advice
Post by: Smith Dr John Smith on April 13, 2012, 08:17:00 PM
You know if you declare your house a new country you don't have to worry about doing taxes.
Title: Re: Income Tax Advice
Post by: Bob on April 14, 2012, 03:37:06 AM
You know if you declare your house a new country you don't have to worry about doing taxes.


And be sure to stock up on bullets, water and canned soup........
Title: Re: Income Tax Advice
Post by: Smith Dr John Smith on April 14, 2012, 06:07:37 AM
You know if you declare your house a new country you don't have to worry about doing taxes.


And be sure to stock up on bullets, water and canned soup........

And don't forget hot dog,chips,soda so you can have the most rocking new country party ever!
Title: Re: Income Tax Advice
Post by: Bob on April 14, 2012, 06:11:08 AM
Good point.

And I assume everyone will have 100 bottles of beer around.
Title: Re: Income Tax Advice
Post by: Smith Dr John Smith on April 14, 2012, 06:14:02 AM
Sure. Also in my country you don't need a permit to hunt so every day is deer hunting season!
Title: Re: Income Tax Advice
Post by: Smith Dr John Smith on April 14, 2012, 06:19:45 AM
Oh and there will be no FCC in my new country so we can say words like bugger and fart on the air and show unedited japanese cartoons on saturday mornings.
Title: Re: Income Tax Advice
Post by: stansimpson on May 12, 2012, 02:16:26 PM
This question is for RVR (or anyone who can answer this):

I filled out this quick little Alabama Withholding Exemption form (http://www.ador.state.al.us/withholding/a-4.pdf) for my employment with a temp agency. All I did was put a 0 on #1. Due to the fact that I have no idea what I'm doing, I'm afraid I'm gonna owe taxes next year. Am I getting paid too much? Should I be taking out money for taxes from my paychecks?   I... I really just don't know what I'm doing. :P  Any help is appreciated.
Title: Re: Income Tax Advice
Post by: RVR II on May 12, 2012, 03:22:04 PM
This question is for RVR (or anyone who can answer this):

I filled out this quick little Alabama Withholding Exemption form (http://www.ador.state.al.us/withholding/a-4.pdf) for my employment with a temp agency. All I did was put a 0 on #1. Due to the fact that I have no idea what I'm doing, I'm afraid I'm gonna owe taxes next year. Am I getting paid too much? Should I be taking out money for taxes from my paychecks?   I... I really just don't know what I'm doing. :P  Any help is appreciated.
If your single w/ no dependents, 0 is the way to go cause they take more out of your check every week (bi weekly) and 'should' get more back on your return but each state is different so ya might want to consult your HR rep or a local tax rep in your state just to make sure :o
Title: Re: Income Tax Advice
Post by: stansimpson on May 12, 2012, 11:29:46 PM
This question is for RVR (or anyone who can answer this):

I filled out this quick little Alabama Withholding Exemption form (http://www.ador.state.al.us/withholding/a-4.pdf) for my employment with a temp agency. All I did was put a 0 on #1. Due to the fact that I have no idea what I'm doing, I'm afraid I'm gonna owe taxes next year. Am I getting paid too much? Should I be taking out money for taxes from my paychecks?   I... I really just don't know what I'm doing. :P  Any help is appreciated.
If your single w/ no dependents, 0 is the way to go cause they take more out of your check every week (bi weekly) and 'should' get more back on your return but each state is different so ya might want to consult your HR rep or a local tax rep in your state just to make sure :o

Right on!  Thanks, RVR!  You are a scholar and a gentleman.  I can rest a little easier knowing that much. I can't wait for when the world of Idiocracy comes to explain in pictures on how taxes work.
Title: Re: Income Tax Advice
Post by: RVR II on May 13, 2012, 07:30:50 AM
This question is for RVR (or anyone who can answer this):

I filled out this quick little Alabama Withholding Exemption form (http://www.ador.state.al.us/withholding/a-4.pdf) for my employment with a temp agency. All I did was put a 0 on #1. Due to the fact that I have no idea what I'm doing, I'm afraid I'm gonna owe taxes next year. Am I getting paid too much? Should I be taking out money for taxes from my paychecks?   I... I really just don't know what I'm doing. :P  Any help is appreciated.
If your single w/ no dependents, 0 is the way to go cause they take more out of your check every week (bi weekly) and 'should' get more back on your return but each state is different so ya might want to consult your HR rep or a local tax rep in your state just to make sure :o

Right on!  Thanks, RVR!  You are a scholar and a gentleman.  I can rest a little easier knowing that much. I can't wait for when the world of Idiocracy comes to explain in pictures on how taxes work.
;D
Title: Re: Income Tax Advice
Post by: k1 on May 13, 2012, 10:26:31 AM
Seriously. It'd be nice if it just said "Check a box. A - Take the most out of my check. B - Take a mid size amount. C - Don't take much, but take a little.  D- Live life dangerously and take nothing from my check."

Title: Re: Income Tax Advice
Post by: RVR II on May 13, 2012, 10:56:02 AM
I'll see what I can do 8)
Title: Re: Income Tax Advice
Post by: stansimpson on May 14, 2012, 08:12:51 PM
Seriously. It'd be nice if it just said "Check a box. A - Take the most out of my check. B - Take a mid size amount. C - Don't take much, but take a little.  D- Live life dangerously and take nothing from my check."

Alternative for D: "You're a Libertarian."
Title: Re: Income Tax Advice
Post by: RVR II on May 16, 2012, 09:22:48 AM
Should be in the RRARGH thread but it is tax related..

I owe the IRS $1233 for 2011 so I sent them a check for $233 and thought I set up a payment plan of $250 a month for 4 months but it didn't go through and in order to get it set up as a direct draft from my account it would cost an additional $105 ???

I instead went with a 120 day extension plan and will only be charged $38 in interest if I pay it off my Sept. 13.
I could probably pay it off sooner but want to make sure I don't pay too much and cause problems with other monthly bills :-\

Never had to do a payment plan before so this is all new for me :-[
Title: Re: Income Tax Advice
Post by: stansimpson on May 20, 2012, 07:57:22 PM
Every payment I've ever set up in my life has sucked for one reason or another. Sorry to hear it, RVR.
Title: Re: Income Tax Advice
Post by: RVR II on May 20, 2012, 09:21:30 PM
Thanks. I just really want to pay off the IRS ASAP! :o
Title: Re: Income Tax Advice
Post by: RVR II on September 13, 2012, 01:31:00 PM
Figures.. ::)

Quote
Tax Cheat Whistleblower Who Got Millions from IRS Will Owe Millions ... to the IRS

Posted 09/12/12

Bradley Birkenfeld just got some good news and some bad news.

The good news was that he got a $104 million payment from the IRS for his role in catching tax evaders using Swiss banks to hide money. Under the IRS whistleblower program, which was designed to give private individuals incentives to catch major tax cheats, the whistleblower gets a cut of whatever the IRS recovers in unpaid taxes. In Birkenfeld's case, his work in helping the government collect a $780 million fine entitled him to the nine-figure payday.

The bad news: He could have to pay more than $35 million of that right back to the IRS when he files his taxes.

No Good Deed Goes Untaxed

A couple of years ago, the Tax Court looked at a case involving a similar payout under the False Claims Act. The court found that the award was entirely taxable, and although expenses that the whistleblower paid were eligible to be treated as miscellaneous itemized deductions, the whistleblower couldn't just exclude those expenses from income.

If the same rules apply to Birkenfeld's award, his payment easily pushes him into the top 35% tax bracket. And if Birkenfeld is subject to state taxes, he could have another big chunk of money taken away.

Taxing Lotteries, Garage Sales, Panhandling, and Lemonade Stands

Of course, Birkenfeld isn't the only big winner -- or small windfall recipient -- to owe big bucks to the IRS.

The Feds happily tax lottery winners on their multimillion-dollar payouts, leaving them with far less of an after-tax award than the headline numbers you hear about. Fortunately, many states make lottery proceeds exempt from state income tax, letting you keep at least a little more of your winnings.

Holding a garage sale? Be careful. Many people rely on garage sales for some extra cash, and as long as you don't receive more than you paid for an item, then you won't need to report sales. But if you hit the jackpot with an undiscovered antique that brings you some extra money, you can expect the IRS to claim its share of your good fortune.

The same holds true for selling things through online auctions. Potentially more problematic is that if you do garage sales or online sales regularly enough that they look like an ongoing business, you could end up treated as a self-employed person and have to pay employment-related taxes on top of regular income tax.

Panhandlers are also subject to tax for the money they receive. Although gifts ordinarily don't count as taxable income, the IRS apparently sees begging as an occupation. With minimum income guidelines for having to file a return, though, most panhandlers probably wouldn't need to file a return in any event.

Believe it or not, even your kid's lemonade stand may get attention from tax officials. A surprising number of incidents involving lemonade stands getting shut down have come up in recent years, with the stands facing allegations of not obtaining required licenses or meeting health regulations.

Crime pays ... the IRS

Perhaps the funniest tax, though, has to do with proceeds from criminal activities. Earlier this year, one tax preparation company said that a person came in asking if she had to pay taxes on $2,000 in proceeds she had earned selling cocaine. After consulting with the IRS, the preparer told the client that she would indeed have to declare the drug proceeds as income. According to a report, the taxpayer ended up putting the words "dealing cocaine" on the tax return as the explanation for the income.

As silly as that may sound, not declaring illegal income has gotten plenty of people in trouble. Al Capone is probably the most notorious, but numerous criminals have found themselves targeted not for their primary crimes but instead for not giving the IRS its fair share.

So the next time you're filing your taxes, be sure to think twice before you leave something out. You might owe more than you think.
Title: Re: Income Tax Advice
Post by: RVR II on October 02, 2012, 11:06:22 AM
Currently doing an online webinar for part of my 15 credit hours required for doing income tax preparation for 2012 tax season.. ::)

    Federal Tax Law Update: 3rd Quarter 2012 

Oh what fun :-[
Title: Re: Income Tax Advice
Post by: RVR II on December 05, 2012, 10:49:17 PM
Quote
Source: IRS looking at Lindsay Lohan's cash appearance payments
 

LOS ANGELES –  Lindsay Lohan is in hot water again, but this time it’s not with the District Attorney -- it's with the taxman.

A source close to the star tells us payments Lohan routinely receives to appear at clubs and events are being scrutinized by the IRS. Why? Lots of celebs receive appearance fees, and there's nothing wrong or illegal about it. In Lohan's case, however, the star routinely demands to be paid in cash, which it is then up to her to declare as income.

“For years Lindsay has been making money doing things like nightclub and party appearances and always requests to be paid in cash,” an insider told FOX411’s Pop Tarts column. “That’s really not that uncommon, but it’s up to her to declare it. And that’s where the problem is… This latest saga is so predictable, yet so ridiculous.”

In fact, the night she was arrested outside Club Avenue, Lohan was reportedly searching for her sister’s purse because it contained $10,000 in cash.

On Monday, it was revealed that the troubled actress had all of her ban accounts seized by the IRS because she owed in excess of $200,000. And while Lohan remains in serious trouble with the state of California, given that last week charges were filed against her for lying to police the same day she was arrested on assault charges in New York City, we’re told her IRS problems could ultimately prove to be Lohan's undoing.

“Lindsay had a lien for unpaid taxes that she received notice on four times at least. But, now she is also under investigation for other tax related issues. To resolve this may not be as simple as paying the back taxes,” continued the source. “The problem is once the IRS has a red flag waived in front of them, it is hard to lose them, and with the recent 911 tape where she is talking about being paid in cash, she has alerted them to her.”

Given that her accounts have already been seized, it’s probable that the IRS has already thoroughly investigated the matter. We’re also told that the actress was basically “fired” by her accountants just a few weeks ago, although the reason why remains undisclosed.

“The IRS has taken a drastic step here so that she would have no time to transfer, aka launder any more money,” said Los Angeles-based custodial coach, Wendy Feldman. “It is unusual to seize accounts without notice, but they obviously had some cause.”

So where have the actress’ hard-earned dollars gone?

“She pays everyone else’s bills and lives a very lavish lifestyle that she can’t really afford,” a source tells us.

For example, earlier this year Lohan was banned by the Chateau Marmont Hotel for unpaid bills in excess of $47,000 during the six weeks she was shooting the Lifetime movie "Liz & Dick," including a mini bar tab of $3,145.07 and a cigarette bill of $686 for 47 packs of smokes.

So with Lohan’s future employment opportunities in jeopardy due to her latest stream of legal woes, coupled with possibly huge problems related to her tax returns, where does this leave the 26-year-old star?

“That fact that the IRS has filed a tax lien means that Lindsay has been on notice that she owed money, and had time to pay, yet did not. This is devastating for Lindsay in so many ways. Essentially there is now a public filing telling the world that she has not paid her taxes,” remarked California attorney Anahita Sedaghatfar. “Moreover, this lien will be reflected on her credit report, which will affect so many things. Lindsay must now enter into an agreement with the IRS to make installment payments on the taxes due and is now liable for interest and penalties as well.”

It was also revealed last week that actor Charlie Sheen donated $100,000 to Lohan to go toward her looming tax bill, but clearly that won’t enough to pay Uncle Sam's tab.

“This whole thing is a huge mess,” adds the source. “Being a celebrity means absolutely nothing to the Feds. There are no gray areas.”

A rep for Lohan did not respond to a request for comment.

Stupid girl ::)
Title: Re: Income Tax Advice
Post by: stansimpson on January 18, 2013, 03:12:41 PM
Hey, RVR! Ever hear of a 1099-G/INT? It's a South Carolina tax.... thing. It says it's not a bill or a refund. Just information. It gives me my tax refund amount for 2011 and then $.00 for the interest of a refund that I accrued in 2011. I have no idea what to do with this information. I worked in SC for like 2 weeks before moving. Their website doesn't tell me anything either. Any ideas?
Title: Re: Income Tax Advice
Post by: RVR II on January 18, 2013, 04:37:58 PM
Yeah its intrest accrued on your refund.
With $0 you can just ignore it
Title: Re: Income Tax Advice
Post by: Bob on January 18, 2013, 04:45:59 PM
I've already received three 1099s so far......getting stuff quicker than last year
Title: Re: Income Tax Advice
Post by: RVR II on January 18, 2013, 04:52:16 PM
I'm having issues with my PTIN that apparently expired and the IRS never told me so I'm out till the cash my renewal check, and now they're wanting me to take a forensics course on how to look for fraudulant documents ::)
I've been doing this already for years but now they want me to pay some web company $165 for a course and then send the certificate I get for completion to the IRS office in Atlanta but there's no place on the IRS website that says its required so I don't know what to do ???
Title: Re: Income Tax Advice
Post by: stansimpson on January 19, 2013, 12:08:42 PM
Yeah its intrest accrued on your refund.
With $0 you can just ignore it
Consider it done. Thanks!! :D
Title: Re: Income Tax Advice
Post by: gbeenie on January 19, 2013, 08:15:27 PM
I'm having issues with my PTIN that apparently expired and the IRS never told me so I'm out till the cash my renewal check, and now they're wanting me to take a forensics course on how to look for fraudulant documents ::)
I've been doing this already for years but now they want me to pay some web company $165 for a course and then send the certificate I get for completion to the IRS office in Atlanta but there's no place on the IRS website that says its required so I don't know what to do ???

Fear not, RVR! The ridiculous licensing requirements that the IRS wanted to saddle small tax-preparation firms with have been bitch-slapped in court (http://reason.com/blog/2013/01/18/mom-and-pop-tax-prep-firms-defeat-irs).
Title: Re: Income Tax Advice
Post by: RVR II on January 19, 2013, 09:53:10 PM
I'm having issues with my PTIN that apparently expired and the IRS never told me so I'm out till the cash my renewal check, and now they're wanting me to take a forensics course on how to look for fraudulant documents ::)
I've been doing this already for years but now they want me to pay some web company $165 for a course and then send the certificate I get for completion to the IRS office in Atlanta but there's no place on the IRS website that says its required so I don't know what to do ???

Fear not, RVR! The ridiculous licensing requirements that the IRS wanted to saddle small tax-preparation firms with have been bitch-slapped in court (http://reason.com/blog/2013/01/18/mom-and-pop-tax-prep-firms-defeat-irs).
Yeah I'm like a fly on shit with regards to this.. :o
I'm glad I have a regular job right now; though a pretty thankless job, but a job none the less.
Title: Re: Income Tax Advice
Post by: Bob on January 20, 2013, 04:35:42 AM
I don't know the tax rules on this, but helping my mom doing her taxes this year should be interesting.

My dad died, she sold their house (which they all paid for in 1992), still pays estimated taxes quarterly (not sure if she needs to do this still), had some medical bills, but I think that has to be over 7.5% of your income to be deductible (it wasn't), etc.

I just need to either trust Turbo Tax or find a local RVR copy in St Louis.
Title: Re: Income Tax Advice
Post by: RVR II on January 20, 2013, 05:59:32 AM
I don't know the tax rules on this, but helping my mom doing her taxes this year should be interesting.

My dad died, she sold their house (which they all paid for in 1992), still pays estimated taxes quarterly (not sure if she needs to do this still), had some medical bills, but I think that has to be over 7.5% of your income to be deductible (it wasn't), etc.

I just need to either trust Turbo Tax or find a local RVR copy in St Louis.
Hmm.. I would refer you to a CPA for your case; just for the 2012 tax year cause there seems to be a lot that happened last year :-[
Title: Re: Income Tax Advice
Post by: Bob on January 20, 2013, 10:43:04 AM
Yeah, I would like think trying to do turbo tax seems kinda "risky" and my mom (the ex tax firm co-owner for 20 years) said that hiring a guy to do all the paperwork and make sure nothing is missed is what she would like to do.  The living facility she is in mentioned that they have a tax guy that comes there each year and sees if anyone needs any help doing it.

Got a few months to figure this all out.......or just film a tax delay form and do it later.
Title: Re: Income Tax Advice
Post by: RVR II on January 23, 2013, 08:16:07 AM
I'm having issues with my PTIN that apparently expired and the IRS never told me so I'm out till the cash my renewal check, and now they're wanting me to take a forensics course on how to look for fraudulant documents ::)
I've been doing this already for years but now they want me to pay some web company $165 for a course and then send the certificate I get for completion to the IRS office in Atlanta but there's no place on the IRS website that says its required so I don't know what to do ???

Fear not, RVR! The ridiculous licensing requirements that the IRS wanted to saddle small tax-preparation firms with have been bitch-slapped in court (http://reason.com/blog/2013/01/18/mom-and-pop-tax-prep-firms-defeat-irs).
Yeah I'm like a fly on shit with regards to this.. :o
I'm glad I have a regular job right now; though a pretty thankless job, but a job none the less.
Statement released yesterday by the IRS..
Quote
IRS Statement on Court Ruling Related to Return Preparers

As of Friday, Jan. 18, 2013, the United States District Court for the District of Columbia has enjoined the Internal Revenue Service from enforcing the regulatory requirements for registered tax return preparers. In accordance with this order, tax return preparers covered by this program are not currently required to register with the IRS, to complete competency testing or secure continuing education. The ruling does not affect the regulatory practice requirements for CPAs, attorneys, enrolled agents, enrolled retirement plan agents or enrolled actuaries.

The Internal Revenue Service, working with the Department of Justice, continues to have confidence in the scope of its authority to administer this program. It is considering how best to address the court’s order and will take further action shortly. Please continue to check this site as additional information becomes available.
Page Last Reviewed or Updated: 22-Jan-2013

http://www.irs.gov/uac/IRS-Statement-on-Court-Ruling-Related-to-Return-Preparers
I think I'm back in business (for this year) :highfive:

This may be why the PTIN office has been closed so far all this week :o
Title: Re: Income Tax Advice
Post by: Bob on January 23, 2013, 08:32:41 AM
Oh good, I can get you to do my mom's taxes this year.

Finally, my own tax slave is BACK.

And yes, I meant to use the term "tax slave".
Title: Re: Income Tax Advice
Post by: RVR II on January 23, 2013, 08:47:52 AM
Oh good, I can get you to do my mom's taxes this year.

Finally, my own tax slave is BACK.

And yes, I meant to use the term "tax slave".
(http://i66.photobucket.com/albums/h275/rvr2/02/smiley-theyareontome.gif)
Title: Re: Income Tax Advice
Post by: RVR II on January 23, 2013, 11:00:33 AM
Just another article dissecting the ruling..
Quote
IRS Plans Next Move after Court Invalidates Tax Preparer Regulation

The Internal Revenue Service reacted Tuesday to the surprise ruling Friday by a federal judge striking down the IRS’s authority to regulate tax preparers, shutting down its Preparer Tax Identification Number registration system and its testing system for tax preparers.
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U.S. District Court Judge James E. Boasberg ruled against the IRS and in favor of three tax preparers who filed suit with the help of a libertarian law firm, enjoining the agency against enforcing its Registered Tax Return Preparer requirements (see Court Rules IRS Doesn’t Have the Authority to Regulate Tax Preparers).

“As of Friday, Jan. 18, 2013, the United States District Court for the District of Columbia has enjoined the Internal Revenue Service from enforcing the regulatory requirements for registered tax return preparers,” the IRS said in a statement Tuesday. “In accordance with this order, tax return preparers covered by this program are not currently required to register with the IRS, to complete competency testing or secure continuing education. The ruling does not affect the regulatory practice requirements for CPAs, attorneys, enrolled agents, enrolled retirement plan agents or enrolled actuaries.

“The Internal Revenue Service, working with the Department of Justice, continues to have confidence in the scope of its authority to administer this program,” the IRS added. “It is considering how best to address the court’s order and will take further action shortly. Please continue to check this site as additional information becomes available.”

IRS spokesman Dean Patterson said Tuesday that the IRS had no further comment at this time.

The director of the IRS’s Return Preparer Office, Carol Campbell, held a brief conference call Tuesday afternoon with representatives of approximately 25 stakeholder associations such as the National Association of Tax Professionals. Campbell verified that the online PTIN system is down and the IRS is no longer allowing the scheduling of RTRP exams. The IRS also told participants on the conference call that the RTRP testing system would go down by the end of the day, and if preparers have an exam scheduled, they would not be able to take it.

Paul Cinquemani, director of government relations at the NATP, who was on the call, said Campbell told them, “I thought about taking questions, but frankly, we don’t have all the answers.” Cinquemani also reported that Campbell encouraged the participants on the call to send in their questions, so the IRS could take them into consideration as it determines how to move forward.

Cinquemani believes the PTIN registration system will only be down temporarily. The system for registering to take the RTRP exam was handled through the PTIN registration system, so the former was most likely closed down to disentangle it from the latter.

In the case challenging the IRS’s authority to regulate tax preparers, three independent tax preparers—Sabina Loving of Chicago, John Gambino of Hoboken, N.J., and Elmer Kilian of Eagle, Wis.—joined forces with the Institute for Justice, a libertarian public interest law firm, in filing suit against the IRS in the U.S. District Court for the District of Columbia.

“The decision in the Loving case took most people in the industry by surprise,” said Cinquemani. “There is a clamor for information and answers to questions that just won’t be available for weeks, if not months. The IRS released a statement today that did not reveal much. One could read an intent, in the second paragraph, to pursue the court decision further. It seems to me that the IRS has the following options available: They could appeal the court’s decision and ask for a stay of the injunction in the interim; they could go ask Congress for a piece of legislation that would grant them the authority denied by the court; or they could consent and comply with the decision. If they did this, they could either abandon the registered tax return program entirely, or make it a voluntary credential to be earned as the EA designation is.”

The National Association of Enrolled Agents also weighed in on the decision. “This decision is—at least temporarily—a setback for taxpayers, and for tax administration,” said Robert Kerr, senior director of government relations at the NAEA, which represents over 45,000 enrolled agent tax practitioners. “Some would argue, in fact, that the decision is a victory for those who would like the right to remain incompetent, to remain completely ignorant of the many annual changes in tax law and administrative procedure, and to foist the cost of their willful ignorance onto their clients.”

Fred Slater, CPA, managing member of New York City-based tax prep firm MS1040 LLC and former chair of the New York State Society of CPAs’ IRS Relations Committee, said he agrees with the judge’s decision in the case. “I think it’s a good decision in terms of reality because what has happened is the IRS set up all these guidelines to try to ‘regulate’ the tax preparers, and then once they did that they proceeded to exclude the CPA, the enrolled agents, to some degree, and the tax attorneys so you ended up with a dual system, which is fine because that’s the practicality of what each side services,” he said. “Then they proceeded to put out rules of what both sides are supposed to follow, and you can’t do that. You end up with this situation where everyone is registering, and paying 60-something bucks every year to prepare tax returns. What could happen and what I’m hoping will happen is that Congress will respond to it, not the IRS, and come out with two sets of rules. There should be a set of rules for those that are not enrolled, not CPAs and not tax attorneys, because they don’t have the official training, and they don’t have the ethics codes that we have to have. I’m not saying that all CPAs and attorneys are perfect, but that’s the group that is the most out of control and they are trying to regulate that.”

He also sees a role for the states regulating the tax preparation profession if Congress is unable to pass a law, but he pointed out that many tax preparers have clients in multiple states. Currently only two states have laws requiring registration, testing or continuing education of tax preparers: California and Oregon. Congress has reportedly failed to pass eight different bills over the past decade aimed at giving the IRS the ability to regulate tax preparers.
Title: Re: Income Tax Advice
Post by: Kete on January 23, 2013, 11:09:29 AM
Just finished my federal :)
Title: Re: Income Tax Advice
Post by: Bob on February 16, 2013, 11:25:52 AM
Did my federal today.   Now waiting for my refund......come on Feds, make it happen.
Title: Re: Income Tax Advice
Post by: RVR II on February 16, 2013, 03:32:46 PM
Did my federal today.   Now waiting for my refund......come on Feds, make it happen.
Mine's delayed for a bit  :-[
Will try to get this done by the end of the month..
Title: Re: Income Tax Advice
Post by: Bob on March 04, 2013, 11:30:49 AM
Oh, my tax return money is now sitting in my bank account.  How nice of them to send it to me a day early.

Now, I see a TV shopping trip this weekend all planned out.

Woot!
Title: Re: Income Tax Advice
Post by: RVR II on March 04, 2013, 11:40:53 AM
Trying to get my income taxes expedited at the CPA's office cause I need them to refi my house..

I have the chance to go from 5% to 3.25% and absorb my last credit card and pay off our minivan saving us around $400 per month! :o
Title: Re: Income Tax Advice
Post by: Bob on March 04, 2013, 11:46:57 AM
Rock hard sir, rock hard.
Title: Re: Income Tax Advice
Post by: Variety of Cells on March 10, 2013, 05:23:44 PM
So I have a question. 

In 2011 my fiance was doing freelance work as a PA on movie sets.  She received a bunch of w-2s for that year.  Except she didn't receive a w-2 from one movie that she worked on.  She tried to get the w-2 but it's quite difficult because the production company dissolves after the movie ends, so you have to go to the payroll company but they are almost impossible to reach, requiring a written letter asking for the w-2 which she sent multiple times without response.  Waiting on hold for a half hour would yield the same answer, you have to write a written letter, which the payroll company will apparently ignore.

So we tried to do her taxes anyway, without the missing w-2, but the guy at H&R Block wouldn't do them unless we had all the w-2s.  We waiting for a response from the payroll company, but we never got anything.  Months went by, and basically her taxes just didn't get done.

So here's where I could use some advice.  She only has one w-2 for this year.  My plan right now is to just lie and say we have all the w-2s and pay whatever late fee there is for 2011, but just get them done at the same time as this years taxes.  Is that late fee going to be large?  Is there a late fee at all?  She doesn't owe any money, the IRS owes her.  We've given up on ever getting that w-2.  EDIT: (And all the other methods of finding the company code didn't work)
Title: Re: Income Tax Advice
Post by: RVR II on March 10, 2013, 05:59:37 PM
So I have a question. 

In 2011 my fiance was doing freelance work as a PA on movie sets.  She received a bunch of w-2s for that year.  Except she didn't receive a w-2 from one movie that she worked on.  She tried to get the w-2 but it's quite difficult because the production company dissolves after the movie ends, so you have to go to the payroll company but they are almost impossible to reach, requiring a written letter asking for the w-2 which she sent multiple times without response.  Waiting on hold for a half hour would yield the same answer, you have to write a written letter, which the payroll company will apparently ignore.

So we tried to do her taxes anyway, without the missing w-2, but the guy at H&R Block wouldn't do them unless we had all the w-2s.  We waiting for a response from the payroll company, but we never got anything.  Months went by, and basically her taxes just didn't get done.

So here's where I could use some advice.  She only has one w-2 for this year.  My plan right now is to just lie and say we have all the w-2s and pay whatever late fee there is for 2011, but just get them done at the same time as this years taxes.  Is that late fee going to be large?  Is there a late fee at all?  She doesn't owe any money, the IRS owes her.  We've given up on ever getting that w-2.  EDIT: (And all the other methods of finding the company code didn't work)
If you get a refund for 2011, there is no late fees nor penalties to pay. You can file them at the same time and get 2 refund checks which I'm sure will be a nice bonus..
But if you owe anything; either Federal or State, there will be late fees and penalties accrued that will need to be paid when you file 2011 or just wait till the IRS or state Dept. of Revenue to send you a letter.

Yeah if you've tried all avenues to get the missing W-2 then don't worry about it and file your taxes with what you've got. If you could find the tax ID number for that company, you could report them to the IRS for failure to send out the W-2 and the IRS will investigate them for possible tax fraud. :o
Title: Re: Income Tax Advice
Post by: Variety of Cells on March 10, 2013, 06:07:34 PM
Awesome news. That's exactly what I wanted to hear.
Title: Re: Income Tax Advice
Post by: Bob on March 10, 2013, 06:08:11 PM
Can't you also create a 1099-misc and list the money there?   That is, if you wanted to and not just blow it off.
Title: Re: Income Tax Advice
Post by: RVR II on March 10, 2013, 06:12:11 PM
Can't you also create a 1099-misc and list the money there?   That is, if you wanted to and not just blow it off.
It would still require a tax ID number and instead of getting money back, you could owe for unpaid income tax not being withheld (even though it probably was originally)..  :-\
Title: Re: Income Tax Advice
Post by: Bob on March 10, 2013, 06:29:23 PM
Gotcha.

Then I would say forget it as those folks up did not supply anything to IRS.
Title: Re: Income Tax Advice
Post by: RVR II on March 10, 2013, 06:34:20 PM
Gotcha.

Then I would say forget it as those folks up did not supply anything to IRS.
Which is why I think their might be some tax evasion going on with that particular company, especially since it seems imposible to find any tax ID number on them.. :o
Title: Re: Income Tax Advice
Post by: Bob on March 10, 2013, 06:51:11 PM
Yeah, best to have tried, then just forget about them and move on.
Title: Re: Income Tax Advice
Post by: Variety of Cells on March 10, 2013, 07:01:00 PM
Maybe tax evasion, but I have a feeling it's more a case of being so huge and not caring about some girl who made a few thousand dollars.
Title: Re: Income Tax Advice
Post by: RVR II on March 23, 2013, 05:19:12 AM
This cost $60,000 Dollars ???

http://www.youtube.com/v/dHe-zXm17Pc
Title: Re: Income Tax Advice
Post by: Bob on March 23, 2013, 05:27:30 AM
Meh, nothing wrong there.....
Title: Re: Income Tax Advice
Post by: RVR II on March 23, 2013, 05:36:06 AM
Meh, nothing wrong there.....
Yeah.. Maybe they didn't get Paramounts permission er something :-\
Title: Re: Income Tax Advice
Post by: RVR II on March 23, 2013, 07:13:42 AM
Quote
H&R Block Taxpayer Glitch Leads to Lawsuits

Published March 22, 2013


Taxpayers that used H&R Block’s software to file their taxes this year are banning together in different class-action suits against the tax-filing company over a delay of their refunds.

Last week, H&R Block reported up to 600,000 tax returns filed with its software could be delayed because of an issue with the student tax credit deduction. On Form 8863, filers can receive up to 100% of the first $2,000 of qualifying expenses and 25% of expenses higher than that amount. This year the IRS revised the form to require taxpayers to enter an “n” to confirm qualifications for eligibility. In the past, it was acceptable to leave the lines blank. Those who did not enter “n” will see delays, H&R Block says. Only those who filed between Feb. 14 through Feb. 22 are impacted. Now, two separate suits have been filed on behalf of taxpayers- one in California and another in Minnesota.

David Cialkowski, attorney at Zimmerman Reed, filed a class-action suit on behalf of customer Juan Ortega in the Central District of California Federal Court. The firm has been contacted by more than 500 people since the issue was discovered by the IRS, he says.

“Because of the error in the submission, which appears to be uniform in all of those, it’s their entire return that has been delayed. Not just the educational tax credits. This has caused a lot of issues.”

The suit alleges H&R Block breached its contract, was negligent and violates consumer protection laws. Cialkowski  says the glitch has caused his clients financial pain and stress to make ends meet. Until the discovery period of the suit, it is not clear how much in damages Cialkowski will seek on behalf of his clients.

“They were depending on this money and relying on getting it back as soon as possible,” he says. “It’s ironic, and I don’t mean to be amusing here. But the opposite happened and the people were deprive of the use of that money they were depending on.”

The impact the delay will have on families’ ability to file for student aid will also be factored into the amount of damages sought. To apply for federal government student aid, families need to show their tax returns and Cialkowski says his clients will now miss those dates.

H&R Block declined to be interviewed by phone, but says in an email statement that the IRS is continuing to work on the issue and client’s returns are being processed.

“Based on the recent trends, we believe that in the next 48 hours more than half of the impacted clients will have their refund, or a change in status declaring a refund date,” a spokesperson wrote. “It’s important to note that the tax returns were prepared accurately. The error occurred in e-file processing.”

The spokesperson also noted that any issues with Form 8863 have been corrected and the scope and number of impacted clients were not only those who filed with H&R Block.

H&R Block CEO Bill Cobb apologized to consumers on the company’s blog last week.

“I want to make it clear that this was absolutely not the fault of your tax professional; your return was prepared accurately. This was an issue with the form transmission. This was our mistake — and I sincerely apologize. I want you to know that we hear the frustration of those impacted by this issue loud and clear, and we’re working every avenue we can to get your refund to you as fast as possible.

He also said the company has been in touch with the Department of Education and anyone having issues filing a FAFSA should speak with them and consult “Guidance for Impacted Taxpayers,” which the Department released Friday
Title: Re: Income Tax Advice
Post by: RVR II on March 23, 2013, 07:22:11 AM
Quote
Cyber Thieves Nab Billions in Tax Returns

Published March 22, 2013


As more people take advantage of the convenience of filing taxes online, organized criminals are snatching identities and stealing billions of dollars in tax refunds.

IRS tax fraud and identity theft has been occurring over the last decade, but the problem has been intensifying despite the government's efforts to thwart attacks and has been a “significant problem” over the past five years, said Robert Siciliano, an online security expert at McAfee.

Florida has become a hub for tax cyber crime and the Mexican Mafia is involved, he said. 

The IRS has cracked down in recent years, but with sophisticated cyber criminals working against a dilapidated federal filing system, cyber security experts warn filers can and will fall victim unless they take all possible precautions.

“They’re getting better at it but they still have so many hundreds of millions of tax returns to file in so short a time,” Siciliano said. “It’s an old, dilapidated mess of a system that has not kept up with the times.”

The IRS recently concluded a year-long crackdown on fraud and identity theft. The coast-to-coast effort against 389 suspects led to 734 enforcement actions in January, including indictments and arrests. Ahead of the 2013 tax season, the IRS Criminal Investigation, in conjunction with the Department of Justice, had opened more than 1,460 identity theft investigations since its efforts began in October 2011.

“We have aggressively stepped up our efforts to pursue and prevent refund fraud and identity theft, and we will continue to intensely focus on this area,” IRS Acting Commissions Steven Miller said in a statement last month.

With 81% of filers paying their taxes online last year, the opportunity to file phony returns is immense.

In the 2011 tax season, the agency failed to prevent 1.5 million potentially fraudulent tax returns from being processed last year, resulting in refunds totaling more than $5.2 billion, according to estimates by the Treasury Inspector General for Tax Administration. The agency did thwart 938,664 fake returns totaling $6.5 billion in fraud, however the inspector general said the results were nevertheless “extremely troubling.”

The IRS essentially runs on the honor system, meaning it issues refunds before it conducts a thorough audit. Because of that, a refund can be in the mail on its way to a criminal before the IRS is even aware that it was duped.

“Organized crime is latching onto a fundamentally flawed system,” Siciliano said. It “sees this as an opportunity.”

With an intricately designed support system, cyber thieves steal personal information by nabbing people’s paper trails, hacking their computers or infected PCs with viruses. They then file a return using someone else's social security number. The return often looks so realistic that red flags aren't raised until the victim tries to file legitimately.

It’s a form of “account takeover fraud,” Siciliano said, similar to when criminals use stolen credit card numbers to make unauthorized transactions or withdrawals.

Once the duplicate is brought to the agency’s attention, it then must investigate which application is real, which can lead to them tracing IP addresses to see where the application was filed and determining whether the return was sent to a property not associated with the filer.

If an organized crime ring is sophisticated enough, they could have anywhere from two to thousands of people working toward the goal of stealing refund dollars. In some cases, they rent temporary spaces to where they funnel thousands of returns.

Since the IRS is ultimately the one being defrauded, it ends up absorbing the costs. Siciliano said the excess waste ultimately trickles down to taxpayers.

There are ways, however, to be guarded.

For example, the IRS does not send emails. Don’t be fooled by email subjects claiming “your tax return appeal is declined” or “owe back taxes to the state or IRS.” McAfee said other popular email heads are “file your taxes now turn your refund into cash” and “tax relief notification.”

It won’t text or call and try to lure a filer into providing personal information.

“The IRS will never email you,” Symantec warns on its website. “Ever.”

In addition to not clicking on unusual links or giving away personal information, locking mailboxes also helps protect against fraud, as does having complex passwords protecting mobile devices and PCs. Shred old tax forms and look into instituting a credit freeze, which locks down social security numbers and credit reports making it more difficult for criminals to nab personal information, McAfee said.

"Identities that have a credit freeze are less attractive to bad guys for a number of reasons,” Siciliano said. “If bad guys can’t open a credit card under your name they’ll hesitate to use your taxes.”

The more security systems a person has in place, the more secure they’ll be.

Symantec also warns filers to be wary of fake tax preparation companies and encourages people to log out completely when finished on a tax site or online banking site or when they complete an online transaction with a retailer. Importantly, it says refunds should be directly deposited so criminals can't steal them in the mail.

The IRS encourages Americans to check their credit report at least once a year, pay attention to changes in the tax laws and not to give away social security numbers to businesses unless it is absolutely required.
Title: Re: Income Tax Advice
Post by: Bob on March 23, 2013, 08:30:04 AM
We all just need robots to watch our backs......that will solve it.
Title: Re: Income Tax Advice
Post by: k1 on April 03, 2013, 06:07:44 PM
I DIDN'T OWE ANYTHING!!!!!  :highfive:

I was really nervous about that this year.  Definitely going to be more of an issue next year since I've already made half what I made last year.  So hopefully our finances get back to a point where I can start setting aside money for taxes again rather than having to dump many thousands of dollars on hospital bills and whatnot like we did this year.  (Instead it will hopefully be only 2 or 3 grand.)

Now the big question... How to spend my whopping $4 refund from MA....  :D
Title: Re: Income Tax Advice
Post by: RVR II on April 03, 2013, 08:25:56 PM
Now the big question... How to spend my whopping $4 refund from MA....  :D
4 $1 Whoppers @ Burger King ;D
Title: Re: Income Tax Advice
Post by: Bob on April 04, 2013, 03:15:36 AM
$4?   Cheap six pack
Title: Re: Income Tax Advice
Post by: RVR II on April 13, 2013, 04:43:30 PM
2 former customers in 2 days that went elsewhere to get their taxes done (cause they had better prices er some shit) and now need to have amended returns done cause the cheaper prepares screwed up their taxes and they've received letters from the IRS ::)

Tis the season for goofs I guess but we'll get more money for amended returns than actual returns so it's worth it  8)
Title: Re: Income Tax Advice
Post by: Bob on April 13, 2013, 05:10:57 PM
A tax mess fixer.....Al Capone could have used you.
Title: Re: Income Tax Advice
Post by: RVR II on April 13, 2013, 05:12:43 PM
A tax mess fixer.....Al Capone could have used you.
And he had money so I'm sure he would have paid our prices  ;D
Title: Re: IRS & Income Tax Advice
Post by: RVR II on October 22, 2013, 01:02:07 PM
2013 tax season delayed..
No surprise here ::)
Quote
2014 Tax Season to Start Later Following Government Closure; IRS Sees Heavy Demand As Operations Resume
IR-2013-82, Oct. 22, 2013 

WASHINGTON — The Internal Revenue Service today announced a delay of approximately one to two weeks to the start of the 2014 filing season to allow adequate time to program and test tax processing systems following the 16-day federal government closure.

The IRS is exploring options to shorten the expected delay and will announce a final decision on the start of the 2014 filing season in December, Acting IRS Commissioner Danny Werfel said. The original start date of the 2014 filing season was Jan. 21, and with a one- to two-week delay, the IRS would start accepting and processing 2013 individual tax returns no earlier than Jan. 28 and no later than Feb. 4.

The government closure came during the peak period for preparing IRS systems for the 2014 filing season. Programming, testing and deployment of more than 50 IRS systems is needed to handle processing of nearly 150 million tax returns. Updating these core systems is a complex, year-round process with the majority of the work beginning in the fall of each year.

About 90 percent of IRS operations were closed during the shutdown, with some major workstreams closed entirely during this period, putting the IRS nearly three weeks behind its tight timetable for being ready to start the 2014 filing season. There are additional training, programming and testing demands on IRS systems this year in order to provide additional refund fraud and identity theft detection and prevention.

“Readying our systems to handle the tax season is an intricate, detailed process, and we must take the time to get it right,” Werfel said. “The adjustment to the start of the filing season provides us the necessary time to program, test and validate our systems so that we can provide a smooth filing and refund process for the nation’s taxpayers. We want the public and tax professionals to know about the delay well in advance so they can prepare for a later start of the filing season.”

The IRS will not process paper tax returns before the start date, which will be announced in December. There is no advantage to filing on paper before the opening date, and taxpayers will receive their tax refunds much faster by using e-file with direct deposit. The April 15 tax deadline is set by statute and will remain in place. However, the IRS reminds taxpayers that anyone can request an automatic six-month extension to file their tax return. The request is easily done with Form 4868, which can be filed electronically or on paper.

IRS processes, applications and databases must be updated annually to reflect tax law updates, business process changes, and programming updates in time for the start of the filing season.

The IRS continues resuming and assessing operations following the 16-day closure. The IRS is seeing heavy demand on its toll-free telephone lines, walk-in sites and other services from taxpayers and tax practitioners.

During the closure, the IRS received 400,000 pieces of correspondence, on top of the 1 million items already being processed before the shutdown.

The IRS encourages taxpayers to wait to call or visit if their issue is not urgent, and to continue to use automated applications on IRS.gov whenever possible.

“In the days ahead, we will continue assessing the impact of the shutdown on IRS operations, and we will do everything we can to work through the backlog and pent-up demand,” Werfel said. “We greatly appreciate the patience of taxpayers and the tax professional community during this period.”
Title: Re: IRS & Income Tax Advice
Post by: Bob on October 22, 2013, 02:24:50 PM
I don't get all my tax data until about end of February anyway, so meh....
Title: Re: IRS & Income Tax Advice
Post by: RVR II on October 22, 2013, 02:43:07 PM
I don't get all my tax data until about end of February anyway, so meh....
The IRS is usually behind on stuff anyway and we figured this would happen so we extended our Mexico vacation a week to mid-January 8)
I'll probably get our stuff ready for our CPA by mid-February.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on October 31, 2013, 04:35:12 PM
Quote
IRS: Scammers Preying On Immigrants, Threatening Deportation If They Don't Disclose Financial Information
Published October 31, 2013

Scam artists posing as Internal Revenue Service agents are calling people with threats of arrest or deportation if they do not send money through a pre-loaded debit card or wire transfer, the agency warned on Thursday.

The IRS said that callers use fake names and badge numbers, and sometimes recite the last four digits of the targeted victim’s Social Security number – tactics which can lower their guard, figuring the other person on the line is legitimate.

Though the agency said the scams have targeted a cross-section of people, it made special mention of immigrants as targets.

Even if callers seem to have knowledge about them, potential victims should be aware of what a real agents actually say or do when interacting with the public.

“This scam has hit taxpayers in nearly every state in the country,” said IRS Acting Commissioner Danny Werfel. “Rest assured, we do not and will not ask for credit card numbers over the phone, nor request a pre-paid debit card or wire transfer.”

Werfel added: “If someone unexpectedly calls claiming to be from the IRS and threatens police arrest, deportation or license revocation if you don’t pay immediately, that is a sign that it really isn’t the IRS calling.”

Werfel said that an authentic attempt by the IRS to communicate with a taxpayer would most likely be made through regular mail, on official and authentic agency letterhead.

The IRS warning comes on the heels of recent reports about IRS scammers targeting Indian immigrants or people of Indian descent in Missouri, New Jersey and California.

In California and New Jersey, scammers took a total of $20,000 from two victims, according to Fox2Now.com, the Fox affiliate station in St. Louis.

The scammers told the victims that they owed back taxes and bullied them into loading money onto Green Dot MoneyPak cards. The victims revealed their cards’ access codes to the thieves, allowing them to strip the cash from the accounts, according to published reports.

“I was very scared; he was controlling everything,” said one of the victims, who is from St. Louis County, according to Fox2Now.com

The station said that the scammers instructed her to withdraw more than $12,000 from the couple’s bank accounts and "then load $10,890 of that onto the Green Dot cards. She said she purchased the cards from several retail stores in her neighborhood over a period of several hours."

The IRS announcement said that scammers have spoofed the agency’s toll-free number on caller ID to ward off suspicion. They threaten the people they call with deportation if they do not pay money up. They also threaten to arrest them or suspend their business or driver’s licenses.

Recently, immigrants and people who are here on temporary legal visas were warned about scammers who say they are calling from the U.S. government, demanding money. These scammers also spoof immigration agency phone numbers and often reveal personal information about the target to make the call appear authentic.

Immigrant advocacy groups say that immigrants often fall prey to scams, particularly when the prospect of deportation is held over them.

"The immigrant community is often vulnerable to scams, and in particular when they believe they are being contacted by government officials,” Amy Gottlieb, of the American Friends Service Committee in Newark, told Fox News Latino.

“Most immigrants are highly conscious of their responsibilities to file tax returns and pay taxes generally," Gottlieb said. "At a time like now when the immigration debate is heated, this scam is preying on people who are at their most desperate to legalize their status.”
This affects my market of taxpayers though we haven't come across any victims yet :o
Title: Re: IRS & Income Tax Advice
Post by: Bob on October 31, 2013, 06:02:59 PM
Jerk criminals ARE jerks
Title: Re: IRS & Income Tax Advice
Post by: RVR II on January 31, 2014, 09:23:42 AM
e-file has been authorized today FINALLY :angry:
Title: Re: IRS & Income Tax Advice
Post by: Bob on January 31, 2014, 02:07:20 PM
I am waiting on just one company statement to do my taxes.

Just waiting, all is well.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on January 31, 2014, 02:17:30 PM
Yeah still waiting on a mortgage interest statement  from B of A before my refi back in May..
And still have to finish calculating income and expenses so maybe the next week or so I'll be ready to do mine :-\
Title: Re: IRS & Income Tax Advice
Post by: Bob on January 31, 2014, 02:26:32 PM
I think places still have the Feb 15th deadline date to create all their forms, so we got time
Title: Re: IRS & Income Tax Advice
Post by: RVR II on January 31, 2014, 02:30:32 PM
I think places still have the Feb 15th deadline date to create all their forms, so we got time
Weyell Heyell >:(
Title: Re: IRS & Income Tax Advice
Post by: Bob on February 08, 2014, 01:55:49 PM
Did my 2013 TurboTax today without problem and am getting money back, so all is good at my house today.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 08, 2014, 02:30:35 PM
Business has been picking up here overall this week and hope it continues.. :o

And I need to do my own taxes to get an idea what we're looking like before dropping them off to our CPA  :scared:
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 11, 2014, 11:32:14 AM
Just in:
Quote
The U.S. Court of Appeals for the District of Columbia today upheld the lower court's ruling in the case of Loving vs. IRS regarding the authority of the IRS to mandate testing and continuing education for tax return preparers. The IRS continues to believe that it’s critical for taxpayers to be able to rely on quality work from tax preparers and is currently reviewing the decision.
My take on this:
I understand the continuing education (15 credit hours per year) but do not support the mandated testing as it is more geared towards CPA level of knowledge
Title: Re: IRS & Income Tax Advice
Post by: Bob on February 11, 2014, 02:37:48 PM
Yup, CPA courses and their required work can be pretty complex. Hey, I am an accountant grad and I know!

I am counting the days until my tax refund, and my extra $50 from Turbo tax for using $500 of my refund to get Amazon.com gift cards.  Hey, since I spend most of my spending funds there, that made sense.  Fifty free dollars...........oh WHAT will I get?
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 11, 2014, 02:48:37 PM
Calculated ours on Sunday and it looks like we're getting $1800 back despite only having worked 6 months at my old job :o SWEEET!! ;D
Title: Re: IRS & Income Tax Advice
Post by: Bob on February 11, 2014, 03:08:51 PM
Yeah, getting 2500 back is great.........but that means I was overpaying all year in taxes.

But, I like getting an amount back.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 11, 2014, 03:16:19 PM
I just need the CPA to confirm my calculations.. I was right on last year 8)
Title: Re: IRS & Income Tax Advice
Post by: Bob on February 18, 2014, 04:03:30 PM
Okay, after only 8 days for government processing, got my cash part of the tax refund in my checking account, and the other amount in an Amazon.com gift card (plus a free 10% amount) from TurboTax.

Ah, that went TOO well and easy.

Now, WHAT to get at Amazon.com?  500 pairs of socks?
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 18, 2014, 04:15:36 PM
My old job sent me a corrected W-2 because the payroll goofs labeled my medical withholding incorrectly in box 12b so I had to drop that off to the CPA.. ::)
It doesn't affect my return at all
Title: Re: IRS & Income Tax Advice
Post by: Bob on February 18, 2014, 04:19:59 PM
Revised W-2s, 1098s, 1099s.........the fun of life.
Title: Re: IRS & Income Tax Advice
Post by: bta on February 18, 2014, 04:23:47 PM
This tax stuff is making me horny.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 18, 2014, 06:06:27 PM
This tax stuff is making me horny.
:speechless:
Title: Re: IRS & Income Tax Advice
Post by: Bob on February 18, 2014, 06:55:56 PM
This tax stuff is making me horny.

Getting free amazon.com gift cards for using Turbotax cures all "horniness"
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 18, 2014, 07:02:03 PM
This tax stuff is making me horny.

Getting free amazon.com gift cards for using Turbotax cures all "horniness"
Amazon sells Porn too ???
Title: Re: IRS & Income Tax Advice
Post by: Bob on February 18, 2014, 07:09:20 PM
Hence the cure
Title: Re: IRS & Income Tax Advice
Post by: bta on February 18, 2014, 07:17:31 PM
And vibrating cock rings
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 18, 2014, 07:39:10 PM
And vibrating cock rings
In corn fields  :speechless:
Title: Re: IRS & Income Tax Advice
Post by: k1 on March 29, 2014, 01:51:36 PM
Well the good news is our taxes are done...

The bad news is we owe on both federal & state.  :-\

It was expected, but just sucks because my last paycheck was only for 2 invoices instead of 4, so I'm hoping I can scramble together some extra cash before the 15th.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 29, 2014, 01:54:59 PM
My parents owe and they're retired. Apparently, they don't have anything withheld from their Social Security.. they paid into it over the years, it's still considered taxable income ??? I just never understood that
Title: Re: IRS & Income Tax Advice
Post by: Bob on March 29, 2014, 02:06:12 PM
Have they signed up to do the quarterly estimated taxes?  That way, at end year, they really won't owe anything.

My mom is 80 and she still does estimated tax payments.  But she is an ex-tax person, so they always follow those rules.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 29, 2014, 02:12:55 PM
Have they signed up to do the quarterly estimated taxes?  That way, at end year, they really won't owe anything.

My mom is 80 and she still does estimated tax payments.  But she is an ex-tax person, so they always follow those rules.
I think they looked into that but decided against it for what ever reason.. They're tight lipped when it comes to personal info like that so I can't really help them :-\
Title: Re: IRS & Income Tax Advice
Post by: MartyS (Gromit) on April 11, 2014, 11:03:03 PM
My parents owe and they're retired. Apparently, they don't have anything withheld from their Social Security.. they paid into it over the years, it's still considered taxable income ??? I just never understood that

My dad had to pay for a while after he retired, now he is old enough it all comes out even so he doesn't owe anything.  He did have to start taking out minimum amounts from his IRAs a while back, I think when you hit 72 you have to start taking a percentage out every year or you get fined or something.

I just finished all 3 of my returns, feds, state, local.  Owe the feds $2, rest came out even.

Used TaxACT this year to freefile, much less annoying than turbotax, very easy to skip the state section and only do the fed, and minimal up-sell questions.  The PA state e-file system is great, really easy and quick to use.  The collection company that does the local taxes has a crappy website, boxes not aligned and running under images so half the box is hidden, I think they only test their pages with IE or something.
Title: Re: IRS & Income Tax Advice
Post by: Lembach on April 12, 2014, 04:10:12 AM
I've got to account for my stocks on this year's return, I think. I have no clue what to do.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on April 12, 2014, 05:02:05 AM
I've got to account for my stocks on this year's return, I think. I have no clue what to do.
Better consult a CPA on that topic.. You have 4 days (http://i66.photobucket.com/albums/h275/rvr2/02/impatient.gif) (http://s66.photobucket.com/user/rvr2/media/02/impatient.gif.html)
Title: Re: IRS & Income Tax Advice
Post by: BathTub on April 12, 2014, 01:52:45 PM
Looks like mum has got the company taxes done on time this year so I won't have to submit my personal taxes late which caused a whole mess of issues last year.
Title: Re: IRS & Income Tax Advice
Post by: MartyS (Gromit) on April 13, 2014, 03:02:44 PM
TaxACT is now sending me daily emails wanting me to file my state taxes, for only $18...

At least it's good for a laugh, and more easy to ignore than the 10 minutes in the middle of trying to e-file I spent last year trying to get turbotax to skip the state sections...
Title: Re: IRS & Income Tax Advice
Post by: k1 on April 13, 2014, 03:22:43 PM
Welp... taxes are paid.  Don't have enough for my mortgage unless I happen to get another paycheck before the end of the month.  (Could happen, but chances are slim.)
Title: Re: IRS & Income Tax Advice
Post by: RVR II on April 14, 2014, 06:18:32 PM
Quote
MC Hammer
The IRS Is Too Illegit To Quit
4/14/2014 3:31 PM PDT BY TMZ STAFF
EXCLUSIVE

MC Hammer says the IRS is shamefully out to get him ... belatedly demanding penalties on taxes he fully paid 7 years ago.

Hammer famously went belly up in 1996 -- declaring bankruptcy and in the process losing everything, including his master recordings and most worldly possession.

Hammer got out from under his debt by anteing up more than $7 mil in 2007, and that amount included more than $1.4 million to the IRS.

Now -- 7 years later -- hammer says Uncle Sam has just demanded another $1.4 mil -- this time for penalties and interest on the delinquent 1996 taxes.

Hammer thinks it's a travesty, and has filed legal docs asking a judge to block the IRS from collecting because of basic principles of fairness.

Read more: http://www.tmz.com/2014/04/14/mc-hammer-irs-bankruptcy-taxes/#ixzz2yuhG5Fj3
Good luck with that Hammer-Head ::)
Title: Re: IRS & Income Tax Advice
Post by: RVR II on April 15, 2014, 05:34:21 AM
Freebies on Tax Day :o
http://www.huffingtonpost.com/2014/04/14/tax-day-freebies-2014_n_5127178.html?ncid=fcbklnkushpmg00000063
Title: Re: IRS & Income Tax Advice
Post by: RVR II on April 15, 2014, 10:22:45 AM
Quote
TurboTax Fights To Keep Tax Filing Harder Than Necessary
ProPublica 
Posted: 04/14/2014 1:42 pm EDT Updated: 04/15/2014 7:59 am EDT


Over the last year, a rabbi, a state NAACP official, a small town mayor and other community leaders wrote op-eds and letters to Congress with remarkably similar language on a remarkably obscure topic.

Each railed against a long-standing proposal that would give taxpayers the option to use pre-filled tax returns. They warned that the program would be a conflict of interest for the IRS and would especially hurt low-income people, who wouldn't have the resources to fight inaccurate returns. Rabbi Elliot Dorff wrote in a Jewish Journal op-ed that he "shudder at the impact this program will have on the most vulnerable people in American society."

"It's alarming and offensive" that the IRS would target the "the most vulnerable Americans," two other letters said. The concept, known as return-free filing, is a government "experiment" that would mean higher taxes for the poor, two op-eds argued.

The letters and op-eds don't mention that, as ProPublica laid out last year, return-free filing might allow tens of millions of Americans to file their taxes for free and in minutes. Or that, under proposals authored by several federal lawmakers, it would be voluntary, using information the government already receives from banks and employers and that taxpayers could adjust. Or that the concept has been endorsed by Presidents Obama and Reagan and is already a reality in some parts of Europe.

So, where did the letters and op-eds come from? Here's one clue:

Rabbi Dorff says he was approached by a former student, Emily Pflaster, who sent him details and asked him to write an op-ed alerting the Jewish community to the threat.

What Pflaster did not tell him is that she works for a PR and lobbying firm with connections to Intuit, the maker of best-selling tax software TurboTax.

"I wish she would have told me that," Dorff told ProPublica.

The website of Pflaster's firm, JCI Worldwide, had listed Intuit among its clients, but removed it after ProPublica contacted them. Pflaster said Intuit had been listed by mistake, but added that the firm does work for the Computer & Communications Industry Association (CCIA), a trade group of which Intuit is a member. Pflaster also said her firm has reached out to multiple groups and encouraged them to share information about the "flaws" of return-free filing.

The only CCIA member that's involved with tax preparation software is Intuit, and it's also the only member of the group that has taken a public position on return-free tax filing.

Intuit has long worked against return-free filing. (See How the Maker of TurboTax Fought Free, Simple Tax Filing.) The company has said in filings with the Securities and Exchange Commission that it views free government tax preparation as a risk to its business.

Last year, the company spent more than $2.6 million on lobbying, some of it to lobby on four bills related to the issue, federal lobbying records show.

Both Intuit and CCIA declined to answer questions about their connections to the letters and op-eds. An Intuit spokeswoman, Julie Miller, said in an emailed statement that Intuit works with many types of groups to support "taxpayer empowerment," and "we feel all points of view deserve to be heard."

"Return Free minimizes the taxpayers' voice and instead maximizes revenue collection for government," Miller wrote. "That kind of anti-consumer policy does not advance taxpayer rights."

CCIA President Ed Black said in a statement, "We think it's important to help policymakers and the public understand what many already know: ReturnFree is unfair, unworkable and unwise."

The letters and op-eds -- there have been at least eight of them -- also appear on a new website, www.FairTaxRefunds.com, which Pflaster said her company created for CCIA. It resembles a similar previous site, www.StopIRSTakeover.org, which was also sponsored by the CCIA.

Another instance in which CCIA solicited a letter wasn't successful. Angela Martin, director of an Oregon nonprofit, said a PR professional gave her a sample anti-return-free filing letter last year for her organization to send to Sen. Ron Wyden, D-Ore.

Martin knew the caller, Colin Cochran, who works for the firm Hilltop Public Solutions.

Cochran used "a lot of words that advocates would be sympathetic to, like 'oh, it'll hurt people with English as a second language,'" Martin said.

Martin was skeptical. So she asked Cochran who he was representing. He said he was working for the CCIA and, when asked, said yes, that Intuit is a member.

Cochran confirmed the details of his discussion with Martin, including that he was working for the CCIA. His firm boasts on its website of a "winning grasstops approach" 2014 "grasstops" is industry lingo for recruiting the support of community leaders.

Two other letter-writers told ProPublica they were approached by lobbyists, though it's not clear who the lobbyists were representing.

One letter-writer, Richard Smith, the president of the NAACP Delaware State Conference, was approached by a longtime acquaintance with information about how return-free filing would take dollars out of poor people's pockets. Smith felt so strongly he fired off a letter to Sen. Tom Carper, D-Del., and encouraged other local NAACP leaders to do the same.

Smith said the acquaintance, Anne Farley, told him that if return-free filing was adopted, the government would stop offering free tax filing help to low-income communities. (In fact, none of the bills on return-free filing propose that.)

When ProPublica told Smith that Farley is also a registered lobbyist, he said he was now questioning the information she gave him.

"We may have to retract so far based on my research," Smith said. "I didn't question her."

Lobbying records for Farley's firm, First State Strategies, do not list Intuit or the CCIA among its clients. The firm's website does advertise "grass tops advocacy campaigns." Farley and First State Strategies did not respond to requests for comment.

Dennis Huang, executive director of the L.A.-based Asian Business Association, also told ProPublica he was solicited by a lobbyist to write about return-free filing. When the lobbyist sent him a suggested op-ed last summer and told him the proposal would hurt small businesses, Huang wrote an op-ed in the Asian Journal that claimed Asian-owned businesses would not only spend more time paying taxes, but they'd also get less of a refund each year.

Huang declined to disclose the lobbyist's name, but acknowledged he didn't really do his own research. "There's some homework needed," he said.

Oregon's Martin did some research on return-free filing and now supports it. She also co-published a post about the issue and the PR efforts related to it because, she says, she was alarmed that other nonprofits could easily agree to endorse a position they did not fully understand.

"You get one or two prominent nonprofits to use their name, and busy advocates will extend trust and say sure, us too," Martin said.
Title: Re: IRS & Income Tax Advice
Post by: Bob on April 16, 2014, 02:53:21 PM
TurboTax is the best tax software that I ever seen or used.  My parents (who use to own their own tax service) agree too.

Boo people who bash TurboTax

BOOOO I say.

Title: Re: IRS & Income Tax Advice
Post by: RVR II on April 16, 2014, 04:27:55 PM
TurboTax is the best tax software that I ever seen or used.  My parents (who use to own their own tax service) agree too.

Boo people who bash TurboTax

BOOOO I say.
Well it takes money out my business so BOOOO TurboTax! >:D
Title: Re: IRS & Income Tax Advice
Post by: Lembach on April 16, 2014, 06:23:59 PM
TurboTax is the best tax software that I ever seen or used.  My parents (who use to own their own tax service) agree too.

Boo people who bash TurboTax

BOOOO I say.

Made it pretty painless for me this year. $38 well spent, in my opinion.

Honestly, I don't know why I put it off to the last minute. I need to start taking advantage of those early bonus offers they spam me with.
Title: Re: IRS & Income Tax Advice
Post by: MartyS (Gromit) on April 16, 2014, 07:49:21 PM
My only complaint with turbotax was the aggressive upsell they try to push when trying to use the free file system on their website.  I'm sure if you need to do more than file a 1040EZ it's a fine program.

Title: Re: IRS & Income Tax Advice
Post by: RVR II on May 14, 2014, 08:05:16 AM
YES!! :highfive:
Quote
IRS Drops Effort To Regulate Tax Preparers

May 14, 2014 by taxingadmin

IRS Drops Effort To Regulate Tax Preparers

The Internal Revenue Service has elected to discontinue its efforts to regulate tax preparers, allowing the deadline to pass for an appeal to the US Supreme Court.

Implemented in 2012, the Registered Tax Return Preparer program would have required anyone who is compensated for preparing tax returns to pass a basic competency exam and take 15 hours of continuing education each year.  Enrolled agents, lawyers and certified public accountants were exempted from the regulations.

The IRS effort was immediately challenged in court, and in January of 2013 a US District Judge struck down the program, ruling that the IRS has no statutory authority to impose the regulation.  That decision was upheld by the Court of Appeals in February of this year.  The IRS had until this week to appeal the decision to the Supreme Court, but elected not to do so.

The Institute for Justice, which handled the case on behalf of three tax preparers, argued that the regulations would have imposed new and unnecessary compliance burdens that would have benefitted the large franchise tax preparation firms and other interests to the detriment of independent, community-based preparers.  In addition, the Institute noted, it would limit competition by pushing some preparers out of the industry due to the cost and inconvenience of the continuing education requirements.

The program could still be revived in the future, but only if Congress gives the IRS the authority to do so.  Several bills have been introduced to do so in the past, but none have been approved.  Nor is such a bill likely in the near term, given the current relationship between the IRS and the Congress.  The continuing scandal over use of the IRS for political purposes and the agency’s poor record of tracking payments have caused some members of Congress to question its ability to handle more authority.
Now granted, I hope what is already in place will still weed out predatory practitioners.. It was that ridiculous exam (which was Not basic competency at all) they were trying to make us take that I thought needed to be abolished.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 06, 2015, 09:03:37 AM
As a struggling small tax business, I say visit your local small time income tax preparer.. :o
Quote
TurboTax halts state filings amid fraud outbreak
USA TODAY 11:49 a.m. EST February 6, 2015
 

TurboTax has turned off the ability of its software to e-file state tax returns across the USA Thursday after the company found "an increase in suspicious filings," the company said Friday.

The tax-preparation software company has found an increase in criminal activity where stolen personal data is used to file fake state returns with state authorities. This illegal act allows fraudsters to claim tax refunds from state governments.

An internal TurboTax investigation has found the breaches are not due to a problem with its own systems, but criminals digging up the personal information elsewhere. The company said the investigation is ongoing. Intuit says it's working with state tax officials to get the e-filing security back to where it needs to be to turn it back on. TurboTax customers who already e-filed their state returns don't have to do anything. The returns will be transmitted again when the problem is resolved, TurboTax says.

The e-filing halt only affect state returns. Federal tax returns can still be filed electronically.

It's just the latest headache for Intuit's TurboTax. This year, users of the software have been outraged by a stealth price hike, that forced many investors and self-employed people to pay 50% more for the software. Intuit hopes to put an end to the controversy Saturday when anyone who buys the less expensive Deluxe version can upgrade to the Premier or Home & Businesss version for free.

Shares of Intuit (INTU) are down $3.04, or 3.3%, to $88.65 on the news.
Title: Re: IRS & Income Tax Advice
Post by: Soguru on February 06, 2015, 09:11:48 AM
I help Dad with his taxes every year. It's always a nightmare for me, mostly because it involves a lot of yelling at me.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 06, 2015, 10:13:05 AM
I help Dad with his taxes every year. It's always a nightmare for me, mostly because it involves a lot of yelling at me.
I can relate.. Between the wife and myself :scared:
Title: Re: IRS & Income Tax Advice
Post by: Miku Fan on February 06, 2015, 02:52:07 PM
I help Dad with his taxes every year. It's always a nightmare for me, mostly because it involves a lot of yelling at me.

Soguru, you live an interesting life, my friend! :highfive:
Title: Re: IRS & Income Tax Advice
Post by: Soguru on February 06, 2015, 04:16:18 PM
I help Dad with his taxes every year. It's always a nightmare for me, mostly because it involves a lot of yelling at me.

Soguru, you live an interesting life, my friend! :highfive:
Not really. Any interest factor is far outweighed by suckiness. Not five minutes ago I was about to call the hotline again.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 10, 2015, 04:01:00 PM
Haven't had a whole lot to talk about so far this tax season.. Till now :o

Had to do 4 years of amended returns for a couple because H&R Block did not include the husband's ITIN!
They filed Head of Household for 2011, 12, 13,& 14 giving her the Earned Income Credit (EIC) for their 2 kids and didn't include his ITIN because 'they didn't know what to do with it' ???
Now she (they) owe a grand total of $15322.00 for all 4 years after removing the EIC's for all 4 years :speechless:

Way to go there H&R Block ::)
Title: Re: IRS & Income Tax Advice
Post by: Miku Fan on March 10, 2015, 04:06:25 PM
I haven't filed income tax since about 1989, so I don't know what you are talking about.  But, since it's IRS and H&R Block, I assume it's something bad.  >:(
I hope it works out for you.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 10, 2015, 04:13:39 PM
I haven't filed income tax since about 1989, so I don't know what you are talking about.  But, since it's IRS and H&R Block, I assume it's something bad.  >:(
I hope it works out for you.
Oh it works out for me cause We Charge $200 per year for amended returns but I gave them a deal of $600 for all 4 years  8)
EIC's are for U.S. citizens only. Basically because the husband/father is not a U.S. citizen, he is not entitled to the Earned Income Credit and this credit is removed from the family as well
Title: Re: IRS & Income Tax Advice
Post by: BathTub on March 10, 2015, 05:05:03 PM
I'm tied into a company owned by my mother, which means I can't just do the automated annual tax filing, but my mum can be very very late getting the company tax filing done which makes me late too. quite frustrating.
Title: Re: IRS & Income Tax Advice
Post by: Miku Fan on March 10, 2015, 05:08:03 PM
You're in Kiwiland?  Are the tax people utterly draconian, as they are in the U.S.?
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 10, 2015, 05:11:43 PM
Are the tax people utterly draconian, as they are in the U.S.?
Hey! I resemble that remark! >:(
Title: Re: IRS & Income Tax Advice
Post by: BathTub on March 10, 2015, 05:15:54 PM
Oh god no, we look at your tax system in terror. It's all computerized and online. And 99.99999% of people never even have to think about it. I just have that added complication that means I can't do the default filing and have to fill in an extra field in the form. But of course I can't do that until Mum gets the company return done.
Title: Re: IRS & Income Tax Advice
Post by: Miku Fan on March 10, 2015, 06:06:24 PM
Are the tax people utterly draconian, as they are in the U.S.?
Hey! I resemble that remark! >:(

RVR!  I'm talking about the IRS, not companies that do tax returns.  Now, go and bang your head on the floor until forgiven.  :o

@ Bathtub:  We look at it in terror, too.  :speechless:
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 10, 2015, 06:12:39 PM
Are the tax people utterly draconian, as they are in the U.S.?
Hey! I resemble that remark! >:(

RVR!  I'm talking about the IRS, not companies that do tax returns.  Now, go and bang your head on the floor until forgiven.  :o

OOOHH Beg my Pard  ;D
Title: Re: IRS & Income Tax Advice
Post by: Miku Fan on March 10, 2015, 06:15:46 PM
You are forgiven.  :highfive:
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 23, 2015, 10:49:45 AM
So we got the results for our personal taxes from our CPA..
Amazingly, we get $425 back but our bill went from $300 to $370 because of Obama Care (that's exactly what they called it) and this doesn't even include our business taxes which is a separate bill  :scared:
I told them I didn't want to e-file because I didn't think we were getting anything back but it turns out I would save $60 e-file charge by Not e-filing ???
After being put on hold for a bit they said they would leave it at $300 like last year..
I don't like the high price CPAs charge but we're also tax preparers and know how to do personal taxes very well but we don't charge more than $180 and that includes e-filing and filling out those Affordable Care forms so I had to call them out on that price increase >:(
Title: Re: IRS & Income Tax Advice
Post by: k1 on March 23, 2015, 05:54:55 PM
Ffffffffffffffuuuuuuuu..........
We owe a crap ton this year. We expected we would owe (since I'm self employed) but it was almost double what we were planning/fearing.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on April 07, 2015, 04:21:39 PM
If you have a problem with your taxes or refund and you need to talk to an IRS rep, expect to be on hold anywhere from 45 minutes to an hour (or more) before you reach a rep ::)
Title: Re: IRS & Income Tax Advice
Post by: RVR II on May 26, 2015, 03:55:46 PM
Oh Yay..
Quote
Hackers stole personal information from 104,000 taxpayers, IRS says

May 26 at 5:08 PM

AP

Hackers gained access to personal information of 104,000 taxpayers this spring, downloading an online service the Internal Revenue Service uses to give Americans access to their past tax returns, the agency said Tuesday.

The information included several years’ worth of returns and other tax information on file with the IRS, Commissioner John Koskinen said in a press conference. The thieves hacked into a system called “Get Transcript,” clearing a security screen that requires users to know the taxpayer’s Social Security number, date of birth, address and tax filing status.

Those who successfully downloaded the transcripts gained access to information from prior years’ tax returns that could be used to file fraudulent tax returns that more closely resemble those of legitimate taxpayers, officials said. Koskinen said the system, which has temporarily been shut down, was targeted from February through mid-May.
 

“To get these, our criminals already had to have personal identifiers available and personal information for each taxpayer,” Koskinen said, calling the breach a “modified form” of the identify theft that has plagued the IRS in recent years.

He said the criminals were able to use the information to submit fraudulent tax returns. Fewer than 15,000 of these fraudulent returns were processed this tax season, costing the IRS about $50 million, officials said.

In all, the hackers made about 200,000 attempts to access “Get Transcript” from questionable e-mail domains. About half were successful, clearing hurdles requiring authentication. About 23 million transcripts of past tax returns are legitimately downloaded each filing season, officials said.

The IRS is notifying taxpayers whose information was accessed. The agency’s information technology team noticed an unusual amount of activity in the “Get Transcript” application and became suspicious, Koskinen said.

He stressed that the hackers are most likely sophisticated criminals.

“We’re confident that these are not amateurs but organized crime syndicates that not only we, but others in the financial industry are dealing with,” he said.

Tax returns include a slew of personal details. Many taxpayers download them when they apply for mortgages or loans.

Koskinen said the incident was probably not related to a spike in suspicious tax filings  this year, which raised red flags for the IRS state tax authorities, which saw fraud jump by as much as 3700 percent. Some state tax officials mentioned that criminals appeared to have information from prior tax returns, which made the fraud more difficult to catch. Intuit, the maker of TurboTax, temporarily halted the transmission of state tax returns while it investigated. The fraud grabbed the attention of the FBI, Congress and other regulators, which launched probes into the fraud.

[Who’s to blame when fraudsters use TurboTax to steal refunds?]

Some identity theft victims have sued Intuit, claiming that poor security measures contributed to a surge in tax fraud this year and arguing that the company could have done more to protect their personal information. Richard McCune, a lawyer representing the taxpayers, said his firm would seek class-action status down the line to represent other tax victims.

After the incident, Intuit rolled out additional security measures such as multi-step authentication, which is intended to make it harder for people to take over customers’ accounts by requiring users to enter a code when they sign on to their accounts from a new computer or mobile device.

In March, the IRS called on state tax officials and major tax preparation companies to help come up with fixes that could be rolled out by next tax season. Intuit, which  has called for industry-wide standards, said in a statement Tuesday night that “this episode reinforces the strategic urgency of the IRS Security Summit process which Commissioner Koskinen has been vigorously leading this year, and which we strongly support.”
Title: Re: IRS & Income Tax Advice
Post by: RVR II on May 27, 2015, 08:25:57 AM
Statement from the IRS..
Quote
IRS Statement on the "Get Transcript" Application


The IRS announced today that criminals used taxpayer-specific data acquired from non-IRS sources to gain unauthorized access to information on approximately 100,000 tax accounts through IRS’ “Get Transcript” application. This data included Social Security information, date of birth and street address.

These third parties gained sufficient information from an outside source before trying to access the IRS site, which allowed them to clear a multi-step authentication process, including several personal verification questions that typically are only known by the taxpayer. The matter is under review by the Treasury Inspector General for Tax Administration as well as the IRS’ Criminal Investigation unit, and the “Get Transcript” application has been shut down temporarily. The IRS will provide free credit monitoring services for the approximately 100,000 taxpayers whose accounts were accessed. In total, the IRS has identified 200,000 total attempts to access data and will be notifying all of these taxpayers about the incident.

As always, the IRS takes the security of taxpayer data extremely seriously, and we are working aggressively to protect affected taxpayers and continue to strengthen our protocols.

Additional information

The IRS announced today it will be notifying taxpayers after third parties gained unauthorized access to information on about 100,000 accounts through the “Get Transcript” online application.

The IRS determined late last week that unusual activity had taken place on the application, which indicates that unauthorized third parties had access to some accounts on the transcript application. Following an initial review, it appears that access was gained to more than 100,000 accounts through the Get Transcript application.

In this sophisticated effort, third parties succeeded in clearing a multi-step authentication process that required prior personal knowledge about the taxpayer, including Social Security information, date of birth, tax filing status and street address before accessing IRS systems. The multi-layer process also requires an additional step, where applicants must correctly answer several personal identity verification questions that typically are only known by the taxpayer.

The IRS temporarily shut down the Get Transcript application last week after an initial assessment identified questionable attempts were detected on the system in mid-May. The online application will remain disabled until the IRS makes modifications and further strengthens security for it.

The matter is under continuing review by the Treasury Inspector General for Tax Administration and IRS offices, including Criminal Investigation.

The IRS notes this issue does not involve its main computer system that handles tax filing submission; that system remains secure.

On the Get Transcript application, a further review by the IRS identified that these attempts were quite complex in nature and appear to have started in February and ran through mid-May. In all, about 200,000 attempts were made from questionable email domains, with more than 100,000 of those attempts successfully clearing authentication hurdles. During this filing season, taxpayers successfully and safely downloaded a total of approximately 23 million transcripts.

In addition, to disabling the Get Transcript application, the IRS has taken a number of immediate steps to protect taxpayers, including:

    Sending a letter to all of the approximately 200,000 taxpayers whose accounts had attempted unauthorized accesses, notifying them that third parties appear to have had access to taxpayer Social Security numbers and additional personal financial information from a non-IRS source before attempting to access the IRS transcript application. Although half of this group did not actually have their transcript account accessed because the third parties failed the authentication tests, the IRS is still taking an additional protective step to alert taxpayers. That’s because malicious actors acquired sensitive financial information from a source outside the IRS about these households that led to the attempts to access the transcript application.

    Offering free credit monitoring for the approximately 100,000 taxpayers whose Get Transcript accounts were accessed to ensure this information isn’t being used through other financial avenues. Taxpayers will receive specific instructions so they can sign up for the credit monitoring. The IRS emphasizes these outreach letters will not request any personal identification information from taxpayers. In addition, the IRS is marking the underlying taxpayer accounts on our core processing system to flag for potential identity theft to protect taxpayers going forward — both right now and in 2016.

These letters will be mailed out starting later this week and will include additional details for taxpayers about the credit monitoring and other steps. At this time, no action is needed by taxpayers outside these affected groups.

The IRS is continuing to conduct further reviews on those instances where the transcript application was accessed, including how many of these households filed taxes in 2015. It’s possible that some of these transcript accesses were made with an eye toward using them for identity theft for next year’s tax season.

The IRS emphasizes this incident involves one application involving transcripts — it does not involve other IRS systems, such as our core taxpayer accounts or other applications, such as Where’s My Refund.

The IRS will be working aggressively to protect affected taxpayers and strengthen our protocols even further going forward.
Title: Re: IRS & Income Tax Advice
Post by: Bob on May 27, 2015, 05:13:16 PM
My Russian serfs were hard at work.

All is going fiiiiiine

 >:D
Title: Re: IRS & Income Tax Advice
Post by: RVR II on May 27, 2015, 05:26:46 PM
My Russian serfs were hard at work.

All is going fiiiiiine

 >:D
Bad Bob, BAD! 8)
Title: Re: IRS & Income Tax Advice
Post by: RVR II on June 24, 2015, 08:37:03 AM
Had a 'former' customer come by this morning for us to help him locate his SC state tax refund.. He went to a place in Charlotte using H&R Block's name and turns out his state refund was sent to their bank account and not forwarded to his personal account.
They are acting like they don't know where it is and we confirmed with the SC Dept. of Revenue that the money was sent to their company account back on Feb. 27.
Apparently other customers have been having problems with this place as they skim a percentage of customer's refunds for undisclosed reasons ???
Contacted my brother in law in Charlotte who's a Charlotte Mecklenburg Police Officer and it sounds like some sort of fraud may be going on but that it may be a civil matter..
He and I recommended that he get others together and call the police to file a report of theft and let them determine if they can handle it or if maybe they should get an attorney to sue the place.
Sounds like he'll be coming back to us for taxes next year ;D
Title: Re: IRS & Income Tax Advice
Post by: The Lurker on June 24, 2015, 09:06:33 AM
Poor customer...
Title: Re: IRS & Income Tax Advice
Post by: RVR II on June 24, 2015, 09:26:02 AM
We're a struggling 'mom and pop' operation and been doing taxes for 14 years yet customers go elsewhere because they think they are getting a better deal or were not happy with the services we provided in the past..
It comes down to IRS rule changes every year and us competing against other 'predatory' practitioners and it's difficult to regain a client's trust when they have been deceived like this but we can only hope that word of mouth will bring clients back :-\
Title: Re: IRS & Income Tax Advice
Post by: RVR II on September 11, 2015, 10:13:24 AM
Apparently there's a IRS phone scam making the rounds in town here so if it spreads to your area, know these facts:

A note about the IRS due to ongoing attempts of scams involving owed taxes. See www.irs.gov for more information.

The real IRS will not:
Call you to demand immediate payment. The IRS will not call you if you owe taxes without first sending you a bill in the mail.
Demand that you pay taxes and not allow you to question or appeal the amount that you owe.
Require that you pay your taxes a certain way. For instance, require that you pay with a prepaid debit card.
Ask for credit or debit card numbers over the phone.
Threaten to bring in police or other agencies to arrest you for not paying.
If you don’t owe taxes or have no reason to think that you do:
Do not provide any information to the caller. Hang up immediately.
Contact the Treasury Inspector General for Tax Administration. Use TIGTA’s “IRS Impersonation Scam Reporting” web page to report the incident.
You should also report it to the Federal Trade Commission. Use the “FTC Complaint Assistant” on FTC.gov. Please add "IRS Telephone Scam" in the notes.
If you know you owe, or think you may owe taxes:
Call the IRS at 800-829-1040. IRS workers can help you if you do owe taxes.
Title: Re: IRS & Income Tax Advice
Post by: BiteMe316 on September 11, 2015, 10:15:17 AM
Has that been happening for a few years now?  I always seem to be hearing about it on the news.  And why do people continue to fall for it?
Title: Re: IRS & Income Tax Advice
Post by: RVR II on September 11, 2015, 10:22:31 AM
Has that been happening for a few years now?  I always seem to be hearing about it on the news.  And why do people continue to fall for it?
Yes. The IRS has made some changes and closed loop-holes where people were filing for dependents that didn't meet the child tax credit requirements and more people seem to owe now than before so they start getting letters from the IRS trying to collect on the taxes they owe but may not be responding to them to set up a payment plan, and then a scammer by chance calls them acting like they work for the IRS making threats of arrest and seizure of property hoping to get a payment by debit or credit over the phone, thus making things worse for the victim :-X
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 17, 2016, 03:27:24 PM
News Flash:
If you try to do taxes with a W-2 that is not yours, That's Fraud!
Just threw a Latino customer out of our office wanting to do taxes with a W-2 that belonged to someone with an Arabic/Indian sounding name ::)
Title: Re: IRS & Income Tax Advice
Post by: MartyS (Gromit) on February 17, 2016, 03:34:39 PM
Awwww, that poor person had no idea they were adopted, now you've ruined everything!  >:D
Title: Re: IRS & Income Tax Advice
Post by: RVR II on February 17, 2016, 03:37:28 PM
Awwww, that poor person had no idea they were adopted, now you've ruined everything!  >:D
HA! Welcome to Murica  8)
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 09, 2016, 02:30:03 PM
I'm hearing this more and more about places that will do your tax returns for free and I'm getting sick of it!  :grr:
We had 1 customer last week come in after we did a great job for him back last year come in this year wanting his done for next to nothing because he could go somewhere else and get it done for free.. I did a free estimate and I discovered that he didn't have near enough taken out for Federal withholding, plus part of his income he got paid cash with $0 withheld for Federal on a 1099MISC and he even made a 401k withdrawal yet despite all that he thought he was getting a bunch of money back but in reality it was only a couple hundred. He left and didn't return >:(
Just today another past customer came in wanting an estimate; Family of 4, 5 W-2's, 2 states, and e-File.. I give him a fair price and then he tells us he could go somewhere else and get it done for free ... ::)
These 'volunteers' are not trained like we are and if/when they screw up their taxes, it's a bigger and more expensive mess to fix!
Title: Re: IRS & Income Tax Advice
Post by: k1 on March 09, 2016, 03:00:00 PM
We are going to work on ours this Friday. Can't wait to see what we owe this year. Shouldn't be as bad as last year since I made about 25% less than last year, but my wife made about 25% more.  (I don't have taxes come out of my check since I'm just a contract worker & not hourly/salaried.)

Also it looks like I will FINALLY be getting my check for the work I did in December this week!  :gouge:
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 09, 2016, 03:13:44 PM
We are going to work on ours this Friday. Can't wait to see what we owe this year. Shouldn't be as bad as last year since I made about 25% less than last year, but my wife made about 25% more.  (I don't have taxes come out of my check since I'm just a contract worker & not hourly/salaried.)

Also it looks like I will FINALLY be getting my check for the work I did in December this week!  :gouge:
Have you experimented with the W-4 worksheet? It might be beneficial to have at least some taxes withheld for the year so you won't get hammered come tax season :-\
Title: Re: IRS & Income Tax Advice
Post by: k1 on March 09, 2016, 05:32:43 PM
We are going to work on ours this Friday. Can't wait to see what we owe this year. Shouldn't be as bad as last year since I made about 25% less than last year, but my wife made about 25% more.  (I don't have taxes come out of my check since I'm just a contract worker & not hourly/salaried.)

Also it looks like I will FINALLY be getting my check for the work I did in December this week!  :gouge:
Have you experimented with the W-4 worksheet? It might be beneficial to have at least some taxes withheld for the year so you won't get hammered come tax season :-\

Yes and no. I never know how much I will get paid (or when). Case in point being that I'm just now receiving payment for work I did in December. Typically they are supposed to pay within 30 days but there are several times a year where I don't receive anything for 2 months.

Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 09, 2016, 05:49:21 PM
We are going to work on ours this Friday. Can't wait to see what we owe this year. Shouldn't be as bad as last year since I made about 25% less than last year, but my wife made about 25% more.  (I don't have taxes come out of my check since I'm just a contract worker & not hourly/salaried.)

Also it looks like I will FINALLY be getting my check for the work I did in December this week!  :gouge:
Have you experimented with the W-4 worksheet? It might be beneficial to have at least some taxes withheld for the year so you won't get hammered come tax season :-\

Yes and no. I never know how much I will get paid (or when). Case in point being that I'm just now receiving payment for work I did in December. Typically they are supposed to pay within 30 days but there are several times a year where I don't receive anything for 2 months.
There may be some labor law violations going on cause that shouldn't be allowed.. :-\
By law, you should have all your income for the prior tax year paid in full by Dec. 31 (or so I thought) because you're getting stiffed for that prior year pay.
Title: Re: IRS & Income Tax Advice
Post by: k1 on March 09, 2016, 06:52:37 PM
Yeah I would have to see the way the contract is worded that my boss has with the city. It's a matter of me submitting an invoice, then my boss putting through his invoice to the city. Then the city reviews the work and the invoices and passes it through whatever departments need to approve it and process it and blah blah blah. The city has contractors protesting the length of time it takes to get paid quite frequently.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on March 09, 2016, 07:18:53 PM
Yeah I would have to see the way the contract is worded that my boss has with the city. It's a matter of me submitting an invoice, then my boss putting through his invoice to the city. Then the city reviews the work and the invoices and passes it through whatever departments need to approve it and process it and blah blah blah. The city has contractors protesting the length of time it takes to get paid quite frequently.
Might be worth a call to the Department of Labor to see if there's some violations going on (and it sounds to me like there is).. The Labor board don't take too kindly to slack city employers.
Might be some reimbursements due to you and other contractors  :o
Title: Re: IRS & Income Tax Advice
Post by: RVR II on April 10, 2016, 06:18:39 AM
Well this is different.. :o
http://www.nbcnews.com/business/taxes/pay-taxes-buy-slurpee-irs-now-accepts-taxes-7-eleven-n552971?cid=sm_fb
Title: Re: IRS & Income Tax Advice
Post by: RVR II on April 12, 2016, 07:44:35 PM
Um.. I've been on this issue for years.. 8)
http://thehill.com/policy/finance/276086-irs-mulling-how-to-address-illegal-immigrants-using-others-identities
Title: Re: IRS & Income Tax Advice
Post by: RVR II on May 25, 2016, 10:13:47 AM
HA! BUSTED!
https://www.treasury.gov/tigta/press/press_tigta-2016-15.htm

Got one of these phone scams just 1 month ago :o
https://www.youtube.com/v/SKK7OF0RFic
Title: Re: IRS & Income Tax Advice
Post by: RVR II on April 15, 2017, 10:27:17 AM
Haven't posted anything tax related this year as I've been trying to keep my business going by myself for the most part since losing my wife to cancer over 3 months ago now, and I've had a new girl I hired just to contact clients that still have outstanding balances from years past and most either don't call back or don't have working numbers anymore..
Total amount outstanding is estimated to be under $11000 dollars that I'll probably never be able to collect.
My wife, as energetic as she was to catch clients, ran things her way doing favors for many clients where we'd do their taxes with some money down and they would supposedly pay us the rest when they got their refund checks and of course many did not pay.. She continued operating like this despite my objections because she felt she could collect the money..
A lot of good that does me now ... :-[

This years tax season has been horrible anyway. The clients that called find out she's no longer with us and some still come because they trust me and the service we've provided over the years but a lot of others did not.
Tax season is officially over on April 18 this year and I'm sure I'll still have a few stragglers as well as amended returns from clients for the next couple of months but for the most part, my Spanish services business is probably over.
I'll keep my business license active for years to come I'm sure, if just to write off a lot of my monthly expenses on taxes but it's now time to find a full time job in another line of work.
It was a good 16 year run but all things eventually come to an end  :'(
Title: Re: IRS & Income Tax Advice
Post by: MartyS (Gromit) on January 27, 2019, 09:31:33 AM
Just looked at the redesigned 1040 form that replaces the 1040A and 1040EZ, it's a bit odd, they could have simply redesigned the 1040EZ form into this new one and had everything on one side of one sheet of paper, but nope, they went with smoke and mirrors, both sides of a half sheet of paper is obviously easier, right?

The layout at least makes sense, all the income and tax stuff is on the back, all the personal info is on the front.  Seems like you would fill in the back first and then flip it over to fill in your name, address, and then sign it. 

Did a quick look to see if HR withheld enough last year and looks like they did, probably get 100 bucks back.
Title: Re: IRS & Income Tax Advice
Post by: RVR II on January 27, 2019, 10:29:19 AM
Just looked at the redesigned 1040 form that replaces the 1040A and 1040EZ, it's a bit odd, they could have simply redesigned the 1040EZ form into this new one and had everything on one side of one sheet of paper, but nope, they went with smoke and mirrors, both sides of a half sheet of paper is obviously easier, right?

The layout at least makes sense, all the income and tax stuff is on the back, all the personal info is on the front.  Seems like you would fill in the back first and then flip it over to fill in your name, address, and then sign it. 

Did a quick look to see if HR withheld enough last year and looks like they did, probably get 100 bucks back.
Yeah there's a bunch more questions I have to answer now when doing any tax returns to verify everything I enter is correct..
I'll be curious to see what I get back this year with 2 W-2's (Target & USPS) :o
Title: Re: IRS & Income Tax Advice
Post by: wihogfan on January 28, 2019, 06:52:53 PM
Haven't looked at new tax form yet, but have 2 W2s and a 1099 (thanks to claiming unemployment for 6 months), so expecting a more complicated filing this year and that I'll likely be sending a check instead of getting a refund.