Lea Garrity Enrolled Agent

Shared from colleague, John Sheeley Almost. Agreement reached, but the text of the law is being written.NOTE:. the 2.3 trillion cost being mentioned elsewhere INCLUDES the $1.4 trillion budget for 2020-2021. Cost of the stimulus is $900 billion. https://www.bloomberg.com//virus-relief-talks-drag-on-with

https://theintercept.com//covid-relief-bill-tax-deduction/

Good article indicating the differences of loans for employers https://www.krostcpas.com//the-economic-injury-disaster-lo

Tax season advice for taxpayers: Don’t be victim to "ghost" tax return preparers ________________________________________ As the 2020 tax filing season gets underway, the IRS is reminding taxpayers to avoid unethical "ghost" tax return preparers. A ghost preparer does not sign a tax return they prepare. Unscrupulous ghost preparers will print the return and tell the taxpayer to sign and mail it to the IRS. For e-filed returns, the ghost will prepare but refuse to digitally sign as the paid preparer. By law, anyone who is paid to prepare or assists in preparing federal tax returns must have a valid Preparer Tax Identification Number, or PTIN.

They love sending letters

Very interesting article. And with the TCJA there are even more quick questions. However, there are no quick answers.

Save your tax professional and say yes to the extension

Ever wonder what a tax pro feels like as a deadline is approaching?

An excellent article. Breaking it down in steps... for those non-tax peeps... this is what your tax pros are facing beyond the 11th hour. Extensions are good... good for tax planning, extra time to digest the complications of this & good for our sanity.

https://www.forbes.com//irs-offers-some-penalty-relief-fo/

Shared from a tax peer. I think it's important taxpayers know some IRS employees are still working.

Stash up to $6,000 in your IRA and $19,000 in your 401(k) in 2019and $7,000 more if you're 50-plus.Stash up to $6,000 in your IRA and $19,000 in your 401(k) in 2019and $7,000 more if you're 50-plus.

TAX UPDATE: 2018 Child Tax Credit Remember the federal Child Tax Credit has the following changes: Child must have a valid Social Security Number... Credit was increased to $2,000 per child of which $1,400 is eligible to be refundable New $500 nonrefundable credit for other dependents has been added for: - Children that are 17, 18, or students - Other qualifying dependents - Qualified children under 17 that have an ITIN Income phase out has been increased to $400,000 for joint filers ($200,000 for all others) For more information see IRS news release Get Ready for Taxes: Here’s how the new tax law revised family tax credits www.irs.gov//get-ready-for-taxes-heres-how-the-new-tax-law

Time to prepare for 2019 tax seasonTime to prepare for 2019 tax season

Working in the sharing economy? Do a ‘Paycheck Checkup’ now to avoid a surprise tax bill at year’s end ________________________________________ The IRS urges anyone working in the sharing economy to perform a Paycheck Checkup now to avoid an unexpected tax bill when they file their return next year. Many people working in the sharing economy are employees, in which case their employers should be withholding taxes from their wages. Many others are not working as employees, so ...they need to make sure they pay their taxes either through withholding from other jobs they may have, or through estimated taxes. Either way, because of the far-reaching tax changes taking effect this year, IRS urges taxpayers, including those in the sharing economy, to perform a Paycheck Checkup now. The easiest way for most employees to check their withholding is through the Withholding Calculator available on IRS.gov. See more

don't get caught up in a financial mess at tax time! Use the IRS "Paycheck Checkup" now to avoid a surprise tax bill at your tax appointment. Use the Withholding Calculator at www.irs.gov

Ready for 24 hours of solid continuing tax education in Reno next week.Ready for 24 hours of solid continuing tax education in Reno next week.

https://www.taxprotoday.com//12-red-flags-that-can-trigger

https://www.taxprotoday.com//how-to-choose-the-right-year- This is important for your tax professional to know.

Happy St Paddy's Day

A very useful tool.

Taxes isn't the most important... find your balance

With tax reform on everyone's mind, you might be wondering: How are my taxes going to change?

If you have had your return completed already... verify you don't have one of these items that need to be amended.

Tax season in full swing now!

Find your tax professional today.

Press Release: IRS Refunds What You Need to Know... Expecting a refund? Some refunds cannot be issued before mid-February. By law, the IRS cannot issue refunds before mid-February for tax returns that claim the Earned Income Tax Credit or the Additional Child Tax Credit. This applies to the entire refund, even the portion not associated with these credits. While the IRS will process your return when it is received, it cannot issue related refunds before mid-February. The IRS expects the earliest EITC/ACTC related refunds to be available in taxpayer bank accounts or on debit cards starting on Feb 27, 2018, if they chose direct deposit and there are no other issues with the tax return. Including your DL# Information will help speed the process of refunds too.

The beginnings of simplification

Happy & prosperous tax season!

We will be returning to the office January 6th.

It’s January 1st; if you use your vehicle in your work, take a picture of your odometer today. OR first thing tomorrow morning, go to Les Schwab and have them check the tires. They will log the mileage for you! The IRS requires contemporaneous proof, and a photo of starting mileage or independent third party verification is excellent proof for those purposes. Remember your mileage can also fall under charitable contributions.

Log your ending mileage today for all those that use your vehicle for business.

Still working out the kinks. This is just a part of the new tax bill. It will be applicable to many businesses. More tax planning required and longer time frame for preparation. It's a good explanation with a nice break down of examples. https://www.forbes.com//tax-geek-tuesday-making-sense-of/

Working on getting my duckies in a row. Finished reading one part of the new tax bill. I see hours of education in my future.

https://www.taxbuzz.com//tax-reform-side-by-side-compariso

Julie Dailey, EA, from Kansas, wrote this and it bears repeating: A do-it-yourself tax software ad says "it doesn't take a genius to do your taxes." That is quite correct. It doesn't take a genius to do your taxes. It also doesn't take a genius to do the wiring in your house nor does it take a genius to install a toilet. It doesn't take a genius to make a soufflé; and it does not take a genius to change the brakes on your car.... All of these things you can certainly do yourself. If you figure them out without training or experience, you may luck out and not get electrocuted, or flood your house, or serve an embarrassing dessert to your guests, or hit something because your brakes fail. Yes, you can certainly do your own taxes, but you don't know what you don't know. The IRS knows this about do-it-yourselfers, and give those tax returns more scrutiny. You don't need me to do your taxes and you also don't need insurance on your house. But, once your house is in flames and your tax return under scrutiny, you're going to wish you had spent the money. Hire an Enrolled Agent. Maybe a genius, maybe not, but we are highly educated and experienced in the field of income taxes....and these days, it is more important than ever to avoid dealing with the IRS. Lea Garrity, EA Fellow National Tax Practice Institute.

Spending the holiday reading the new tax plan. Regardless of how you feel about the tax plan, it is not simplification of the tax code. It adds nearly 1100 pages to the current tax code. All this results in tax professionals spending many hours learning all of it and understanding many of the redesigned forms before clients come for this year's appointment. Tax planning is essential and this will be an added service for after April 15, 2018. ... Could you imagine representing yourself in an audit for tax year 2018? http://docs.house.gov/billsth/20171218/CRPT-115HRPT-466.pdf

A little bit of number fun

December work load... still going strong!

Tax pros doing something other than taxes.

Everyday... during tax season or after!

A few pics from the October open house

An interesting read. This is why it is important your tax pro, financial advisor & attorney should all be working together.

Tax questions? Call your local Enrolled Agent. Dixon EA's know how to get their tax clients Moooooving in the right direction.