4. February 2009 by admin.

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 procs) refer to it:  “The ERO must, at the request of the taxpayer, provide the Declaration Control Number (DCN) and the date the electronic individual income tax return data was accepted by the IRS. Form 9325, Acknowledgement and General Information for Taxpayers Who File Returns Electronically, may be used for this purpose.” 

This document is what we use to track the status of all electronically filed tax returns whether they be Corporate, Partnership, Estates and Trusts, Individual Income Tax, etc. 

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4. February 2009 by admin.

Curb Weight is the actual weight of the truck without any passengers or cargo in it. It’s the base weight that is used in subtraction to calculate the total weight of the vehicle with passengers and cargo.

Gross Vehicle Weight is the total weight of the loaded vehicle. This includes the vehicle itself and the cargo that is loaded within that vehicle.

Gross Vehicle Weight (GVW) Ratings are the ratings that are calculated by the manufacturers as to be the amount of weight that the vehicle will be when the vehicle itself is weighed filled with gasoline and loaded according to manufacturer’s specifications. 

Depreciation of a vehicle depends on the Gross Vehicle Weight.   

For 2008, Cars with a GVW (unloaded) up to 6,000 lbs. have a maximum depreciation when basis exceeds (with bonus) $18,266. 

For 2008, a Truck or Van (Including SUV’s and Minivans on a  Trust Chassis) GVW (loaded) up to 6,000 lbs. have a maximum depreciation when basis exceeds (with bonus) $18,600. 

For 2008, Cars, Trucks or Vans (Including SUVs and Minivans) GVW over 6,000 lbs. but not over 14,000 lbs. have no depreciation limit (up to the cost).  The Maximum §179 (upfront) depreciation is $25,000. 

Note: All of the above maximums have to be multiplied by the business use percentage to compute the deprecation deduction

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4. February 2009 by admin.

How is the LLC operating income taxed? The tax side is way different… BAD.  A single member LLC is a “disregarded” entity.  Thus, the LLC would not do a separate tax return as would a corporation.  The owner (now you know to say member) would account for the income exactly as a sole proprietor on a Form 1040 Schedule C.  But, the member gives up the opportunity to save on payroll taxes versus self-employment tax (the main reason for “S” corps).  That’s BAD.

There is more information on LLC’s on our website www.USATaxHelp.com

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4. February 2009 by admin.

How is the LLC income reported? 

The IRS considers the single member LLC to be a “disregarded” entity.  That means, it is reported for tax purposes exactly the same as a sole proprietor with no additional reporting requirements.  That’s still a part of the GOOD, ease of reporting income. 

A multiple member LLC comes under the partnership tax rules.  Thus, a partnership tax return is required.  In a partnership, partners take draws and do not have the same distribution rules as do “S” corporations.  Substitute the word members for partners.  That’s GOOD.

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