Client Memo – Tax Time Scam Awareness
As the IRS announced the beginning of the 2018 tax filing season last week, it warned that this is the time when identity thieves and fraudsters are actively seeking opportunities to steal from businesses and individuals. In addition to tax scams covered in our previous client memos – IRS Warns of Phone Scam, IRS Dirty […]
Client Memo – Tax Cuts & Job Act
The new tax reform law, commonly called the “Tax Cuts and Jobs Act” (TCJA), is the biggest federal tax law overhaul in 31 years, and it has both good and bad news for taxpayers. Below are highlights of some of the most significant changes affecting individual and business taxpayers. Except where noted, these changes are […]
Client Memo – Pass Through Income Under New Tax Bill
There has been a lot published about the pass-through deduction for income from pass-through entities (partnerships, LLCs, and S Corporations) which will lower the effective tax rate on business income, but very little has been talked about in the press as to the limit on this benefit, or definitions of how “qualified business income” subject […]
Client Memo – New State Law for Employees
Beginning January 1, 2017, employers with 10 or more employees will be required to electronically submit employment tax returns, wage reports, and payroll tax deposits to the Employment Development Department (EDD). All employers, including household employers, will be subject to this requirement beginning January 1, 2018. To comply with the e-file and e-pay mandate, employers […]
Client Memo – New Taxpayer Procedure
Early last year, the Franchise Tax Board (FTB) implemented a new procedure to notify taxpayers of the name of the tax preparer who has access to their tax information on the FTB’s website. In addition, the access right expires after 13 months and the FTB is required to notify taxpayers again. This means that you […]
Client Memo – Changes to IRS Partnership Audit Rules
The Bipartisan Budget Act of 2015 (the Act) enacted late last year repeals the existing partnership audit rules known as the Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA) and will allow the IRS to collect taxes associated with audit adjustments at the partnership level, rather than passing adjustments through to the individual partners. […]
Client Memo – Fake Tax Bill Notices
Two weeks ago the IRS issued an alert to taxpayers and tax professionals to be on guard against fake emails containing an IRS tax bill related to the Affordable Care Act (ACA). The scam involves an email with an attachment of a fake CP2000 notice for the tax year 2015. The CP2000 notice is a […]
Client Memo – Cyber Threats
In the last Presidential debate, the one topic that the candidates agreed on was that the cyber threats facing our nation are serious and potentially devastating. One little-known statistic is that according to IBM, 95% of security breaches are due to human error. In any business or industry, if the employees were wrong 95% of […]
