Monthly Archives: February 2009

Housing Credit as of 02.17.09 (Stimulus Law Signed)

For primary homes purchased before Dec 1, 2009, the max credit is $8,000 and it need not be paid back unless the home is sold within three years of purchase. The 2009 purchase can be carried back to 2008 for … Continue reading

Posted in Income Tax | 4,031 Comments

Identity Theft

The following is from the IRS website and it is good information…… IRS TAX TIP 2009-11 1. If you receive a letter or notice from the IRS which leads you to believe someone may have fraudulently used your Social Security … Continue reading

Posted in General | 35 Comments

Bad Debt Expense

If you are on CASH BASIS, and you never rec’d payment, you have no write off because you only declare it when you receive it.. never received it, never declared it, no write off.   If you are on ACCRUAL … Continue reading

Posted in Income Tax | 39 Comments

First Time Homebuyer Credit (as of 02.16.09)

First Time Homebuyer Credit We understand there are many questions about this new refundable tax credit. How Much is the Credit? AS CURRENTLY WRITTEN (this is the tax law today.. at least it was this morning 02.16.09!) the credit amount … Continue reading

Posted in Income Tax | 920 Comments

Health Insurance for Greater than 2% Shareholder of Sub S

Per IRS Notice 2008-1, Special Rules for Health Insurance Costs of 2-Percent Shareholder-Employees, health insurance must be included in the shareholder employee’s 2008 Form W-2 in order to take the self-employed health insurance deduction for shareholder employees owning greater than … Continue reading

Posted in Income Tax, Payroll Tax, Sub S Corporations | 5,660 Comments

Ask Questions or Comment

You are welcome to ask questions or make comments.

Posted in Ask Question or Comment | 122 Comments

Sales Tax Deduction

There is a sales tax deduction for sales tax paid on major items such as cars, trucks, airplanes, (this includes leasing of the vehicle) motor homes, mobile or pre-fab homes…   and improvements to your home (think bricks and mortar, not … Continue reading

Posted in Income Tax | 5,122 Comments

Mileage Deduction – what about driving to the office?

Driving from home to your first place of business (notice I did not say office) is not deductible.  From home if you visit a client first, no deduction (first place of business) but to the next place of business (office … Continue reading

Posted in Income Tax | 4 Comments

Cash Basis vs. Accrual

 In the Simpliest Terms…….CASH BASIS REVENUE means you declare it when you RECEIVE the money.ACCRUAL BASIS REVENUE means you declare it when you EARN the money (usually that is when the invoice is generated whether you receive a portion of the money or … Continue reading

Posted in General, Income Tax | 3,822 Comments

How Do You Know if the Electronic Efile was Accepted?

As an Authorized ERO (Electronic Return Originator), we receive notification from the IRS on a Form 9325.  IRS Publication 1345 is periodically updated but no changes have been made in over 4 years.    The latest IRS Revenue Procedures (rev … Continue reading

Posted in Income Tax | 174 Comments