IRS Warns of Possible Scams Relating to Orlando Mass-Shooting

The Internal Revenue Service issued a consumer alert about possible fake charity scams emerging due to the mass-shooting in Orlando, Florida, and encouraged taxpayers to seek out recognized charitable groups. When making donations to assist victims of this terrible tragedy, there are simple steps taxpayers can take to ensure their hard-earned money goes to legitimate […]

The IRS Gets a Raise – But Not As Much As They Wanted!

As part of the Protecting Americans from Tax Hikes Act of 2015 (PATH Act), Congress opened up its wallet and gave the IRS $290 million more to work with in Fiscal Year 2016 (FY2016). The extra money is expected to be used to deter taxpayer identity theft, protect vital data from cyber-based attacks and improve […]

The PATH Act Does More

The new Protecting Americans from Tax Hikes Act of 2015 (PATH Act) does more than just extend tax breaks. It also addresses tax administration and other matters. For instance, the new law: Approves a budget of $11+ billion for IRS operations Codifies the Taxpayer Bill of Rights Prohibits IRS employees from using personal email for […]

State of California Franchise Tax Board Admits Data Entry Errors

The Franchise Tax Board issued a statement that they identified a technical issue that resulted in a discrepancy in the wage and withholding information they use to verify the amount of withholding credits taxpayers claimed on their 2015 returns. When you whittle down the information provided, the FTB didn’t input the 4th Quarter 2015 information […]

Disaster-Proof Your Financial Information

Planning for a natural disaster requires more than just making sure you have an escape route and a case of bottled water.  You need to realize the potential financial consequences of such events.  Here are few smart steps we recommend. Make electronic backups of important records including: Insurance policies Tax returns Bank and credit card […]

Standard Mileage Rates Will Go Down in 2016

Optional standard mileage rates for business use of a vehicle will go down in 2016. For business use of a car, van, pickup truck, or panel truck, the rate for 2016 will be $0.54 per mile, compared with $0.575 per mile in 2015. Taxpayers can use the optional standard mileage rates to calculate the deductible […]

2016 Key Labor Law Changes

To go along with last week’s blog, here’s a quick bullet list of key labor law changes* that all business owners should be aware of: Senate Bill 579 New Minimum Wage: $10 per Hour Kin Care Law Employers are to allow the use of half of accrued sick leave to care for family members Employers […]

New Payroll Rules and ADP

Once again, this past year has brought us a series of complex legislative changes that affect the way business owners operate, from the Affordable Care Act to proposed changes to overtime laws that may have a direct impact on how millions of employees are compensated and classified. With the enormous responsibility business owner’s bear in […]

Good News and Bad News Regarding Estate Planning

Good News: The IRS has raised the federal estate tax exemption in 2015, allowing very large estates to shelter $90,000 more from taxes than they did last year. That means that those who are beneficiaries of substantial estates will have to pay a little less in taxes if they inherit this year. Bad News: This […]

1099’s and You

Have you paid anyone at least $600 in the course of your trade or business? If so, then you may be required to issue them a 1099-MISC and file a form 1096 with the IRS. You don’t need to issue 1099’s for payments made for personal purposes or to corporations. You’ll send this to any […]