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My Tax Blog

  • Lauryn Hill Convicted of Tax Evasion & Compares It to Slavery…

    Singer/Songwriter Lauryn Hill has been sentenced to three months in prison and three months of home confinement for failing to file tax returns for five years and not reporting more than $2.3 million in income. In addition to being a singer and actress, Hill owned and operated four S corporations, and her primary source of […]

    Late Tax Filers May Qualify for Abatement of Penalties

    The IRS has a program called the First Time Abate which allows for a taxpayer to have the late filing penalties waived. The IRS abatement of penalties only applies if the taxpayer has been compliant for the past three years. This means paying on time, filing on time, etc. This also includes the penalty for […]

    Taxpayer Protection and Preparer Fraud Prevention Act of 2013

    Over the past few years we’ve seen the number of cases of fraud go from an occurrence that happened to “someone we know” to something that you can’t avoid reading or hearing about. It’s happening to hundreds of thousands of people in many different forms, but one of the most common forms in the tax […]

    IRS Closing for 5 days Due to Furloughs

    Due to budget cuts and sequestration, the IRS will be closing down all of its operations for 5 days, one at a time, from now to August. This will include all operations, including the call centers. The goal is to save money on utilities and man-power on slower days. Keep in mind that the IRS […]

    1 More Day to Timely File Rejected Returns

    Just a reminder that tomorrow, 4/20/2013 is the last day to timely file returns that were previously rejected. Also, be sure not to cause undue alarm to your clients that are getting refunds; there is no late filing penalty for filing a return after 4/15 if you are claiming a refund!  

  • Tax Preparer Tips – Manual Entry of SSNs now required on all W2s

    New for the 2011 tax season all W2s will require a manual entry of clients social security number.  Software companies will no longer be allowed to prepopulate SSN onto W2s.  The reasoning behind this is related cleints having ITINs (Individual Tax Identification Number) instead of Social Security Numbers.  In past years software programs would simply populate the […]

    When Does My Tax Preparer PTIN Expire?

    Tax Preparers were required to get a Preparer Tax Identification Number last tax season.  Those PTINs were initially scheduled to expire one year, to the day, from when they were issued.  That time frame has been changed by the IRS, now all PTINs will expire on 12/31 of the following year.  This translates to anyone […]

    Tax Debt forces SuperBowl Veteran to put championship ring up for auction

    Fuzzy Thurston, a former lineman of the Green Bay Packers will be auctioning off his 1967 SuperBowl Championship ring to help with his 1.7 Million tax debt.  The tax debt originates from Thurston’s post NFL business venture where he opened a chain of restaurants called The Left Guard.  The original debt was issued in 1984 […]

    Senators Press IRS to Adapt Tax Code for Same-Sex Couples

    8 democratic Senators have pressed the IRS for appeals to the tax code relating to the handling of same-sex couples.  Many states now allow for same-sex couples to file joint State returns, however these same couples must file separate federal tax returns.  A heavy portion of the problems these couples face are related to dealing […]

    Business Mileage Deductions Changes for 2nd Half of 2011

    The IRS has just released its’ adjusted mileage rates for the second half of tax year 2011. These rates will be in effect for all clients returns this coming January. Be aware, taxpayers always have the option of calculating and using actual expenses for their vehicle, but typically the mileage rates offer taxpayers the most […]

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