As we take on more responsibilities, investments, and endure life changes the tax implications can grow significantly. And the failure to plan this out properly can end in a big debt owed when tax time rolls around…
“In order for taxpayers not to find themselves in an underpayment or failure to pay situation, they should regularly review their tax withholding and schedule of estimated tax payments, particularly after a major life event, such as a marriage, divorce or new job…” [ Read more here ]
America’s tax system can be a nightmare for many, with the endless paperwork, and tracking of all your finances. But tax time doesn’t need to incite fear! Get the professional help of Sterling Accounting, today!
“Americans will spend more than six billion hours this year gathering records and filling out forms, just to pay their taxes. They will pay some $10 billion to tax preparation firms to help get the job done and spend $2 billion on tax-preparation software…” [ Read more here ]
Your personal taxes can be daunting enough of a task… but if you’re on the books for payroll taxes to your employee’s the IRS will likely be keeping a watchful eye over your activities…
“Payroll taxes are withheld from wages and are to be promptly paid to the government. This is trust fund money that belongs to the government, and no matter how good a reason the employer has for using the money for something else, the IRS is strict…” [ Read more here ]
What is an Insurance Dedicated Fund (IDF)? Many are finding that this practice is a safe way of avoiding some big taxes…
“Many IDFs are owned inside of life-insurance policies, but they can also be held in annuity contracts, which have different tax implications. There’s no official accounting of how much money has been invested, but according to Aaron Hodari, who keeps tabs for Birmingham, Michigan-based Schechter Wealth, it’s at least $15 billion — triple what it was a decade ago…” [ Read more here ]
The IRS suspended PTIN registration and renewal at the beginning of this month, following continued court battles over it’s fees…
“The Internal Revenue Service reopened its Preparer Tax Identification Number system Wednesday after closing it earlier this month because it lost a lawsuit over registration and renewal fees…” [ Read more here ]
A number of states have begun implementing some new taxes on gasoline, using the funds to work on transportation services that are much needed. California is among one, with the governor proposing a 12 cent hike.
“Montana, Indiana, Tennessee and South Carolina are the other states that passed gas tax hikes this year. Several other state legislatures that are still in session are considering their own measures…” [ Read more here ]
Taxes are hard enough for a novice when filing a personal form, but when you also have to take the time to understand your business taxes, things can get a bit blurry. Cut through the paperwork and leave it to the professionals at Sterling Accounting. “There are different levels of taxes to remit, depending on the kind of business. These facts should be confirmed by speaking to an accountant, as well as the frequency the business is mandated to remit them. There are state and federal taxes, and specified taxes that must be remitted to either of them…” [ Read more here ]
The IRS has come to a ruling in their efforts to protect surviving spouses from an estate tax trap by overlooking regulations.
“Congress added portability to the estate tax law when it settled on a “permanent” exclusion of $5 million per person (indexed for inflation) and a flat tax rate of 40%, effective 2011. It lets a surviving spouse essentially carry over any unused portion of the deceased spouse’s exclusion…” [ Read more here ]
Payroll mistakes can cost your business big – and more than just monetarily. Let the professionals at Sterling Accounting handle your books and avoid devastating errors…
“Failure to comply with payroll laws can cause increased scrutiny from government agencies, penalties, fines and – in extreme cases – imprisonment. Employee goodwill also could be lost, as workers quickly tend to become disillusioned by payroll mistakes…” [ Read more here ]
Is it too late to file those 2016 taxes? What will your penalties be if you haven’t filed an extension?
“If you’re owed a refund, you can still claim it, and if you owe the IRS money, they’ll still be glad to receive it. However, the financial implications of filing late depend on whether you owe the IRS money or not, and if you had a legitimate reason for not filing before the deadline…” [ Read more here ]