May 03, 2012
Andrew Presti
Blog Posts
0 CommentsCode Sec. 1231 applies to gains and losses from property used in the trade or business and from involuntary conversions. Normally, you have to determine whether property is a capital asset or is ordinary income property. Property generally can’t be both. However, Code Sec. 1231 allows you to “have it” both ways. Any gains are […]
Read moreMay 03, 2012Andrew PrestiBlog Posts0 CommentsThe family partnership is a common device for reducing the overall tax burden of family members. Family members who contribute property or services to a partnership in exchange for partnership interests are subject to the same general tax rules that apply to unrelated partners. If the related persons deal with each other at arm’s length, […]
Read moreMay 03, 2012Andrew PrestiBlog Posts0 CommentsAs an individual or business, it is your responsibility to be aware of and to meet your tax filing/reporting deadlines. This calendar summarizes important tax reporting and filing data for individuals, businesses and other taxpayers for the month of May 2012. May 2 Employers. Semi-weekly depositors must deposit employment taxes for payroll dates April 25–27. […]
Read moreApril 04, 2012Andrew PrestiBlog Posts0 CommentsThe just-released 2011 IRS Data Book provides statistical information on IRS examinations, collections and other activities for the most recent fiscal year ended in 2011. The 2011 Data Book statistics, when compared to the 2010 version, shows, among other things, a notable increase in the odds of being audited within several high-income categories. Individual audits […]
Read moreApril 04, 2012Andrew PrestiBlog Posts0 CommentsBuilding on earlier steps to help taxpayers buffeted by the economic slowdown, the IRS recently enhanced its “Fresh Start” initiative. The IRS has announced penalty relief for unemployed individuals who cannot pay their taxes on time and has increased the threshold amount for streamlined installment agreements. Fresh Start Many of the actions that economically-distressed taxpayers […]
Read moreApril 04, 2012Andrew PrestiBlog Posts0 CommentsEverybody knows that tax deductions aren’t allowed without proof in the form of documentation. What records are needed to “prove it” to the IRS vary depending upon the type of deduction that you may want to claim. Some documentation cannot be collected “after the fact,” whether it takes place a few months after an expense […]
Read moreApril 04, 2012Andrew PrestiBlog Posts0 CommentsSometimes in a rush to file your income tax return, you may unintentionally overlook some income that had to be reported, or a deduction that you should or should not have taken. Now what? The solution is usually straightforward: you should file what is called an amended return. Taxable income is measured on an annual […]
Read moreApril 04, 2012Andrew PrestiBlog Posts0 CommentsA disregarded entity refers to a business entity with one owner that is not recognized for tax purposes as an entity separate from its owner. A single-member LLC ( “SMLLC”), for example, is considered to be a disregarded entity. For federal and state tax purposes, the sole member of a SMLLC disregards the separate legal […]
Read moreApril 04, 2012Andrew PrestiBlog Posts0 CommentsAs an individual or business, it is your responsibility to be aware of and to meet your tax filing/reporting deadlines. This calendar summarizes important tax reporting and filing data for individuals, businesses and other taxpayers for the month of April 2012. April 4 Employers. Semi-weekly depositors must deposit employment taxes for payroll dates March 28–30. […]
Read moreMarch 02, 2012Andrew PrestiBlog Posts0 CommentsOn February 22, President Obama signed the Middle Class Tax Relief and Job Creation Act of 2012. The new law extends the employee-side payroll tax holiday, giving wage earners and self-employed individuals 12 months of reduced payroll taxes in 2012. 2011 payroll tax holiday Until 2011, the Old-Age, Survivors and Disability Insurance (OASDI) tax rate […]
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