June, 2009

• Second Quarter Estimates due June 15th
• The Eightfold Path to Pay Less Tax and Avoid an Audit
• Classes – Basic Payroll and Schedule C, plus QuickBooks
• For Relaxation and Clear Thinking
• Phone and Fax Numbers

Second Quarter Estimates due June 15th

If you are required to make Estimated Payments for 2009 and you’re a calendar year taxpayer (most people are) your next installment is due mid-June.

The IRS and state have a ‘pay-as-you-go’ policy. If you will owe money, they want their share in quarterly installments.

Also, if you’re a household employer, you pay your federal employment taxes with your personal estimated payment (state taxes are due separately based on payroll deadlines).

Your ’09 estimates are based on what you owed for ’08. What, haven’t finished your ’08 return yet? Although it IS an Estimate, you basically have to project the whole year’s tax return to make an accurate payment. Depending on your tolerance for penalties and interest, more or less effort can go into creating this estimate.

You should plan to pay in at least as much as you owed in the prior year.

Corporations also have estimated payment requirements. California adopted a 30/30/20/20 accelerated payment scheme for ’09 – the June payment is supposed to be 30% of what you owed. Plus, if you owe a bunch of money, (like $20k) California requires that you pay electronically in ’09.

The Eightfold Path to Pay Less Tax and Avoid an Audit

Eight basic things all business owners need to be masters of is printed in booklet form. Think of this as ten years of working with the IRS Tax Code distilled down so it doesn’t take YOU ten years.

Just another way we’re trying to simplify your life and save you money. And the purchase is tax deductible!

You can order directly from us at Tax Buddha, or you can order from Amazon.com.

Here’s the link to Amazon:
http://www.amazon.com/Eightfold-Path-Less-Avoid-Audit/dp/0615233422/ref=sr_1_22?ie=UTF8&s=books&qid=1226611038&sr=1-22.

The booklet also contains a sections on how returns are selected for audit, when to seek professional help, and how long to keep your tax records.

It’s not in the Amazon.com top ten, of which one is a diet book and five are from the Twilight series – my plan for my next book: Diet for Romantic Vampires.

Classes – Basic Payroll and Schedule C

In conjunction with the IRS and EDD, Andy's going to be doing some Basic Payroll seminars coming up in the near future.

Basic Payroll: Seminar runs 9 am – 3 pm with an hour for lunch

• California payroll reporting requirements: forms DE-34, DE-6, DE-7, employer obligations, reporting, and payment requirements.
• Independent contractor reporting requirements, forms W-9, DE-542, 1099, and 1096, obligations, reporting for both California and the IRS.
• Federal payroll reporting requirements: Forms 940, 941, W-2, W-3, W-4, I-9, and alternative filing.
• Electronic filing and payment requirements and options.
• Practical Example with completed forms for sample company.

The next seminar will be
Basic Payroll in San Francisco at the SBA office 455 Market Street, 6th floor (I take BART to Montgomery Street) 9 am – 3 pm.
June 17th and July 15th

Basic Payroll in Oakland at Elihu M. Harris State Building,1515 Clay Street, Room 2, Second Floor, 9 am – 3 pm.
June 3rd and July 1st

Basic Payroll in San Rafael is presented at 120 North Redwood Drive, 2nd floor, Redwood Room East Wing, Room E-212 9 am – 3 pm.
July 29th

Register by going to http://www.edd.ca.gov/Payroll_Tax_Seminars/ and find your favorite location

These seminars have proven to be very popular, plus they’re free.

Andy will be participating in the “Train the Trainer” two day seminars to train professionals to give the Basic Payroll seminar’s themselves (with an EDD co-presenter!). If you’re interested in exposing yourself to potential clients, and you don’t mind public speaking, sign up for the class. Andy will be in Oakland September 1-2, and San Jose August 18-19

How to Prepare your Own Schedule C
Prepare your business taxes for ’08 and get ready for ‘09. Review what the IRS wants to know from you and how to report it on the Schedule C for your business. This is a class for business owners who need a basic understanding of their 1040 Schedule C tax forms. We’ll also talk about what to do with the numbers once you have them. We can’t guarantee you won’t get audited, but this class will make it less likely.

Andy will be at the US Small Business Administration offices in San Francisco at 455 Market Street, 6th Floor August 6th, 6-8:30 pm. This class will be free. To register check out the SBA website, or just show up. We’ll do the same class at the same place and time on August 6th.

Andy will also be at the US Small Business Administration San Jose Entrepreneur Center at 84 W. Santa Clara St, Suite 100 in San Jose on June 11, 10 am – 12:30, and the class will still be free. http://www.acteva.com/booking.cfm?bevaID=173622 to register.

I went to a class on QuickBooks given by Kim Woodrum. If you’re in the market for QuickBooks training in a classroom setting, I recommend her. She teaches a two day QuickBooks seminar and travels a great deal. Her website is http://www.manibusinessservices.com/.

For Relaxation and Clear Thinking: On The Spot

To carry you through the stressful tax season, we recommend meditation and that you check out On The Spot Massage at http://www.onthespotmassage.com/corporate.html to help you relax. A relaxed mind is a clear thinking mind. We have some discount cards for $5 off at the Alameda Natural Grocery location on Park Street, open daily 11 am – 7 pm. Ask us for one!

Phone and Fax Numbers

Our northern California office is shared commercial space in Alameda (the Berkeley mailing address is still good for all deliveries, it is a Private Mail Box). Phone numbers are:
Phone (510) 522-2300
Fax (510) 522-2307

“The hardest thing in the world to understand is the income tax.” — Albert Einstein, physicist