The tax return—getting the real deal.  Unless your client’s spouse is wearing a halo, never assume that the proffered tax return is the real deal. Current software makes it easy to prepare bogus––but professional looking––personal and business tax returns. Often these returns and the real ones submitted (if at all) to the IRS bear no [...]

[Read more →]

Payroll tax changes—The maximum amount of wages subject to Social Security tax has increased to $106,800 for 2009, up from $102,000 in 2008. That means you should stop making (and paying) Social Security for employees once they reach $106,801 in eligible earnings in 2009. The tax rate remains 7.65% on employers and employees.
Self-employment tax contribution [...]

[Read more →]

In the case of audit, be aware that the IRS training manual tells its auditors that they are examining you, not just your tax return. The auditor wants to see how you match up with the income reported on your return, or what the IRS terms “economic reality.” According to Frederick W. Daily, tax attorney [...]

[Read more →]

“Unforeseen Circumstances” Exclusion From Gain on Sale of Home
By DAVID W. RANDOLPH, PH.D.
NOVEMBER 2009
Despite the recent downturn in the American housing market, one of the highest-value assets owned by most taxpayers remains their home. While many taxpayers have seen the value of their home decline, those in locales where home values have remained relatively strong—such [...]

[Read more →]

Some words are red flags to insurers and using them could mean that your claim might be delayed or even denied
1. “I think …”
Never begin a statement regarding a claim with these words. If you aren’t sure, don’t guess. What you say could cause your claim to be delayed or denied, says attorney Vedica Puri. [...]

[Read more →]