Blog posts from: 2017

Proper reporting of embezzled income to the IRS

To properly report embezzled income to the IRS, employers must document the losses for deduction purposes and meet filing requirements under Section 6721 and Section 6722. Reporting the embezzled income on Form 1099-MISC as non-employee compensation is necessary for each...

Revocation of passport for unpaid taxes

  • March 21, 2017
  • Maria Montie, CPA, MST, CVA, MAFF

The IRS has reminded taxpayers that Code Sec. 7345 allows the agency to certify to the U.S. State Department if an individual has seriously delinquent tax debt, which could impact obtaining or keeping a U.S. passport. The IRS has not...

Does your non-profit meet IRS requirements?

  • March 14, 2017
  • Mark Hughes CPA CFE

A recent report by the National Taxpayer Advocate uncovered that while the IRS approves 94 percent of the applications it receives from charities for tax-exempt status, approximately 25 percent do not meet the requirements. The Treasury Department’s regulations generally require 501(c)(3) organizations...

IRS to begin private collection of federal tax debts

  • March 9, 2017
  • Steve Wisinski, CPA, MAFF

Starting this spring, the IRS will initiate the collection of federal tax debts using one of four private collection agencies. These agencies have been designated to recover outstanding inactive tax receivables on behalf of the government. A sample taxpayer notice,...

The importance of trust and estate planning

According to a recent study by Caring.com, 58% of American adults have not yet created a will or trust. If you find yourself in this group, now is the time to start planning. While discussing mortality may be difficult, it...

Recent tax case related to income from surgical center

In Stephen P. Hardy and Angela M. Hardy v. Commissioner, the U.S. Tax Court found that Dr. Stephen P. Hardy, a plastic surgeon who owned a minority interest in a surgical center, was allowed to treat his income from the surgical...

Understanding related party debt

Debt forgiveness between related parties often raises tax implications, posing questions such as whether there are tax consequences, potential tax losses for the lender, or gains for the borrower due to the forgiveness. However, the answers to these questions are...

Are your internal controls sufficient?

According to a recent article in the Detroit News, a 52-year-old woman reportedly embezzled more than $1,000,000 over a six-year period from the Bloomfield Township staffing firm she worked for. At ShindelRock, we offer an internal controls analysis service, where we look at your business' internal controls...

ShindelRock’s Dana Cinquepalmi to join Walsh College Accounting Advisory Board

  • January 12, 2017
  • Steve Wisinski, CPA, MAFF

Dana Cinquepalmi, manager at ShindelRock, will join the Walsh College Accounting Advisory Board and teach a segment of the school's forensic course in 2017.  The Board, made up of practicing CPAs, brings the perspective of the business community into the Walsh...