I always feel nervous when I have to amend a client’s taxes. After all, that means that the ability of the IRS to audit their report continues. Normally, there is a 6 year deadline for audits. Except that time frame starts from the due date of the return or the time the taxes are filed- whichever is later. (Yes, that means just because you filed in January of this year for 2021 does not mean that the audit period lapses on 31 January 2028; nope- it’s still [for this year, which the altered due date] 18 April 2028.
Tag Archives: taxes
Inflation and then some
It’s been a long time since I took the Special Enrollment Examination to become certified as an Enrolled Agent. Luckily, I aced the exams and was able to become an Enrolled Agent.
Cheaters!
We work diligently with our clients that have S entities to ensure that they receive reasonable compensation. You do recall that pass-through companies like S entities must pay their principals ‘reasonable compensation’ (a salary commensurate with their experience, capabilities, and time worked). In so doing, the rest of the profits of the firm can ‘pass-through’ to the principals, without being subject to employment (social security and Medicare) taxes, a savings of some 15+% to augment the pass-through revenue.
ProPublica Sensationlism
I should start out saying that I generally like ProPublica. It’s investigative journalism is generally above par- sometimes even top notch.
Pandemic Resiliency
What else did we learn from the Intuit study by Dr. Susan Woodward? (This is the second of two blogs discussing her thorough study of small business results during the pandemic. Here’s the first.)
Do not pass go. Let’s collect taxes.
This week, I am going to talk about taxes- and for what they are used.
Let’s start off with a really big problem. One that everyone (including the IRS) tries to hide under the rugs of their offices.
The Ides of March…
How I became an EA
So, about two weeks ago, I was perusing my bimonthly issue of the EA Journal. Trying to get a handle on what new regs and rules apply for filing taxes. And, I wasn’t paying too much attention to the authors, just the topics to decide which articles I need to read first.
A 2021 tax break. One we have to wait for 2022 to use
Yes, Congress waited until 27 December to change the tax laws. That’s exactly why we can’t file personal taxes until the Chinese New Year (or Lincoln’s Birthday) this year.
Continue reading A 2021 tax break. One we have to wait for 2022 to use
Hell Bent?
Here’s a scoop. Personal tax filing is now barred until 27 January Lincoln’s Birthday (12 February; hot off the press RIGHT now). (Business entities can file now.) Each and every year it gets later! But, that’s not the whole story- many states won’t finalize their forms until the 5th of February, so there may be further delays barring your tax filing.