Skip to main content

THURSDAY TAX TIDBITS


How to: Avoid an audit from the IRS
Being audited by the IRS is a common worry among business owners. To help, here is a list of 8 tips to avoid an audit from the IRS
  1. Too many round numbers on a tax return
  2.  Avoid too high or unusual deductions
  3. Assure income matches what is reported to the State
  4. Avoid claiming any flaky deductions
  5. Account for everything the first time
  6. Pay any bill from the IRS in a timely manner
  7. Report actual numbers that are reasonable
  8. Have a professional do your tax return

Dealing with the IRS can be stressful! We understand that at my office, so let us offer you some cunning Cunningham tax help! Not only do we want to provide the best tax services, but we also care about the growth of your business. If your business is still audited despite our audit proof tips, we will continue to stand by your side and defend you throughout the audit process. For any questions, do not hesitate to reach out to my office! We are open Monday to Friday from 9 AM to 5 PM; contact us by email or phone at: thetaxlady4u@gmail.com or 253.581.1461

Follow me!
Twitter: @thetaxlady4u
And ask me about PolkaDotPowerhouse!


Comments

Post a Comment

Popular posts from this blog

THURSDAY TAX TIDBITS

How does Trump's new tax law affect you? Under the Trump Administration, there have been many changes made. Read through this brief article on how it may impact you; if you come across any confusion or questions, do not hesitate to reach out! The Act  eliminates most  itemized deductions .  That includes moving expenses, except for members of the military. Those  paying alimony  can no longer deduct it, while those receiving it can. This change begins in 2019 for divorces signed in 2018.  It  keeps deductions  for charitable contributions, retirement savings, and  student loan interest .  The Act  limits the deduction on mortgage interest  to the first $750,000 of the loan.  Interest on home equity lines of credit  can no longer be deducted.  Current mortgage holders  aren't affected.  Taxpayers can  deduct up to $10,000 in state and local taxes . They must choose bet...
Post a Comment
Read more

Stimulus Check Information

Customers who use tax preparation services such as H&R Block, TurboTax and Jackson Hewitt complained on Twitter and to The Post that they didn’t get their stimulus payments Wednesday. Up to 21 million tax filers could be affected, said consumer law expert Vijay Raghavan, because the IRS does not have these people’s direct deposit information on file if they received an advance on their tax refund from these companies or had the fee for tax preparation taken out of their tax refund. The reason is that tax preparation companies received these people’s tax refunds first, deducted their fees and then distributed the remaining refunds to the customers. Because of that, the IRS had a “temporary bank account” on file that the tax preparer created for the 2019 tax season, Raghavan said.
Post a Comment
Read more

THURSDAY TAX TIDBITS

Tax Law Changes: Auto Deductions The biggest change in deducting automobiles is an increased deduction for car depreciation for cars used for business. This change may make business owners consider buying cars versus leasing. With Trump’s tax plan, you can take an $18,000 deduction for a new car the first year you own it.   Bigger depreciation allowances for passenger vehicles For both new and used passenger vehicles that are acquired and placed in service after 12/31/17 and used over 50% for business, the Tax Cuts and Jobs Act dramatically and permanently increases the auto depreciation allowances. For vehicles placed in service (put to business use) in 2018, the maximum allowances are: * $10,000 for Year 1 or $18,000 if you claim first-year bonus depreciation (see below). * $16,000 for Year 2 * $9,600 for Year 3 * $5,760 for Year 4 and thereafter until the vehicle is fully depreciated If you don’t use the vehicle 100% for business, these allowances are cu...
Post a Comment
Read more