Archive for November 2009

Disclosure Authorization

27. November 2009 by admin.


Client Disclosure Authorization Print E-mail
Effective January 1, 2009, before we can present ANY of your information to outside parties for any reason, we must have your WRITTEN authorization in our files per Internal Revenue Code § 301.7216-3.  We have our Authorization Form on the main website www.USATaxHelp.com

Posted in International Taxation, Payroll Tax, Sub S Corporations, LLC's, Income Tax, General | 1 Comment »

What does USA Patriot Act stand for?

27. November 2009 by admin.

Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism

Posted in General | No Comments »

Amending 2008 for the $8,000 First Time Homebuyer Credit

20. November 2009 by admin.

Yes, you can do that HOWEVER we are advising clients NOT to do it…..

The IRS has announced that an amended return (for any reason) is taking 16 to 20 weeks to process (it is because of this $8,000 credit that the system is bogged down).  Today is Nov 20, 2009.  If it takes the minimum of 16 weeks, that is the middle to third week of March, 2010.  If it takes longer (and it probably would since the 2010 tax filing season is then), that would be sometime in April, 2010 anyway.

Instead, file your 2009 return the first week of February, 2010 electroncially and have the refund electroncially deposited.  This will take somewhere between 8 to 14 days, 21 at the most…. so, you’ll receive your refund sooner without the time and trouble of amending 2008!

We will be happy to help www.USATaxHelp.com

Posted in Income Tax | 1 Comment »

Can I still qualify for the $500,000 exemption if my spouse died?

20. November 2009 by admin.

A Married Filing Joint couple can sell their home and not pay tax on $500,000 of GAIN if they’s lived in the home 3 out of the last 5 years.  There is no requirement to invest in a home of equal or greater value.

But, if one spouse dies and the home is then sold after the death, can you still qualify?  The answer is  YES. 

You can still qualify IF you are unmarried at the time of the sale and the sale occurs within 2 years after the date of death.  The time, use and frequency requirements still have to be met prior to death.

 Please feel free to contact us if you have any further questions www.USATaxHelp.com

Posted in Income Tax | 1 Comment »

What if I owe the IRS and Can’t Pay in Full?

20. November 2009 by admin.

Set Up an Installment Agreement.  You really don’t need to hire anyone.  Some general rules…

If you owe Personal Income Tax of less than $10k, divide the amount by up to 36 months and offer to pay this… it is a GUARANTEED INSTALLMENT AGREEMENT.

If you owe Personal Income Tax of less than $25k, divide the amount by up to 60 months and offer to pay this…. It is a STREAMLINED INSTALLMENT AGREEMENT.  It is not guaranteed but it usually works.

If you owe Payroll Tax, divide the amount by up to 24 months.  This is usually successful.

In all circumstances, you will have to be “In Compliance”… meaning, you have filed timely, and paid timely since the agreement.  If you violate the “In Compliance”, you are back to square one.

Again, you do not really need to hire anyone in the above circumstances… but if you feel more comfortable in doing so, or your situation is you owe more than the above amounts, you can contact us www.USATaxHelp.com

Posted in Payroll Tax, Income Tax | No Comments »

Small Business Loans (SBA)

18. November 2009 by admin.

The current stimulus allows a small business about to default on a debt to borrow up to $35,000 from a lender to assist in making payments. The SBA (Small Business Administration) will pay the interest AND repayment of the loan principal is deferred for 12 months!  This is known as the American Recovery Capital (ARC) Loan Program.

Not all banks deal in SBA loans.  If you need a reference, contact us www.USATaxHelp.com

Posted in General | No Comments »

Tax Preparers Beware

18. November 2009 by admin.

Currently, any tax preparer with 250 returns is required to e-file.  After 2010 the threshold drops to TEN!

Posted in Sub S Corporations, LLC's, Income Tax, General | No Comments »

Late Filing of S Corps and Partnerships

18. November 2009 by admin.

The Penalty for Late Filing of S Corps or Partnerships is now $195 per month per shareholder or partner for up to 12 months (more than twice the previous penalty).  It does not matter if he entity owes tax or not, this is a late filing of the paperwork.  It would INCLUDE not filing an extension.  DON’T WAIT TILL THE LAST MINUTE!

Posted in Sub S Corporations, LLC's, Income Tax | No Comments »

Homebuyers Tax Credit for EXISTING Home Owners!

18. November 2009 by admin.

If you’ve owned a home for 5 out of the last 8 years CONSECUTIVELY, you qualify for a tax credit up to $6,500 if you purchase another PRIMARY RESIDENCE aftter November 6, 2009 and before May 1, 2010.

The EXISTING Home Owner’s credit of up to $6,500 and the First Time Home Buyer’s Credit of up to $8,000 DO NOT APPLY for homes costing greater than $800,000 if purchased after November 6, 2009.

Posted in Income Tax | No Comments »

First Time Homebuyers Credit EXTENDED to April 30, 2010

18. November 2009 by admin.

It will not lapse on Nov 30th.  If the sales contract is signed by April 30, 2010 and CLOSED by June 30, 2010 you qualify for the extended credit.

Posted in Income Tax | 1 Comment »

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