Blog posts from: 2013

SCAM ALERT: Don’t Fall for Phony IRS Websites

The Internal Revenue Service is issuing a warning about a new tax scam that uses a website that mimics the IRS e-Services online registration page. The actual IRS e-Services page offers web-based products for tax preparers, not the general public....

New for 2013 – “In-Plan Roth Rollover”

For the past few years, plans with designated Roth accounts could allow an individual to roll over an amount from a non-Roth account into the individual’s designated Roth account in the same plan, but only amounts the individual could have...

IRS Audit Technique Guide Sheds Light on Examinations of Cash Businesses

The IRS has previously issued an Audit Techniques Guide (ATG) for examinations of cash intensive businesses. The IRS noted in the ATG that many cash intensive businesses have weak internal controls, lack an audit trail, and have inadequate books and...

Parents and Students: Don’t forget College Tax Benefits for 2012 and Years Ahead

Reminder to parents and students that now is a good time to see if you qualify for either of two college education tax credits or any of several other education-related tax benefits. In general, the American opportunity tax credit, lifetime...

Foreign Asset Reporting for Individuals

Ownership of foreign assets comes with a myriad of tax reporting considerations, many of which come with steep penalties for non-compliance. Individuals who own certain foreign assets need to be aware of Form 8938 (Statement of Specified Foreign Financial Assets)...

Client Question: What is the Earned Income Tax Credit?

The Earned Income Tax Credit (EITC) has been reducing the tax burden of working people since 1975. EITC can be a boost for workers who earned $50,270 or less in 2012. However, according to the IRS, one out of five...

Tip Reporting Basics

Tip reporting for businesses has become an extremely complicated area of law.  The business rules involve not only numerous areas of taxation but also employee reporting and wage and hour laws.  State and local governments also enforce their own separate...

Client Question: Are Electronic Health Record incentive payments are taxable?

Yes!  A popular belief is that the incentive payments made to eligible professionals and hospitals that adopt, implement, upgrade or otherwise demonstrate "meaningful use" of certified electronic health records (EHR) are not taxable.  This is not the case.  In fact,...

How to Make Great Decisions…Most of the Time

People, especially business owners, make thousands of small decisions each day but can struggle when the big ones come along. It's been suggested by the scientific community that people make around 35,000 decisions every day.  Most people manage these mundane...

Update: IRS is now accepting all forms!

  • March 4, 2013
  • Mark Hughes CPA CFE

The Internal Revenue Service announced today that it has finished updating its tax-processing systems allowing all remaining individual and business taxpayers to file their 2012 federal income tax returns. Over the weekend, the IRS completed reprogramming and testing of its...