Archives for October 2013

We continuously see new clients who had been using a tax preparation software package to prepare their personal tax returns and discover that preparation errors have been inadvertently made by the … [Read more...] about IRA 60-DAY ROLLOVER DEADLINE MISSED – TAXPAYER, NOT BANK, IS HELD RESPONSIBLE

Apparently, not all IRS employees believe in proper tax planning and tax preparation. A former IRS supervisory and group manager has been fined $20,000 and sentenced to a year in prison, followed … [Read more...] about IRS AGENTS – SAD BUT TRUE STORIES

Since the exemption from the federal estate tax is currently $5,250,000, indexed for inflation, some may say that federal estate tax planning and estate tax preparation are dead. If the emphasis is on … [Read more...] about EFFECTIVE ESTATE PLANNING TOOL – INTENTIONALLY DEFECTIVE GRANTOR TRUST

Proper tax planning and tax preparation considerations require that all taxpayers take the necessary steps to properly document their transactions. Failure to document transactions can lead to … [Read more...] about UNREASONABLE COMPENSATION – S CORP LOAN RECHARACTERIZED AS WAGES

Proper tax planning and tax preparation considerations require that taxpayers substantiate their tax deductions and document them. If these two steps are done, then most tax deductions will be … [Read more...] about INDIVIDUAL TAXPAYER DENIED DEDUCTIONS – IRS IMPOSES ACCURACY RELATED PENALTY