October, 2011

“ACH Payment Canceled” or “Rejected Federal Tax transfer”

These are both scams. If you get an email from “The IRS,” it is someone phishing for your account info. I’ve got them in my spam filter from admin, info, donotreply and rules dot nacha. All Scams. The IRS does not send emails; they donít think they’re secure enough to send personal data. They mail you a letter if something is wrong, and you usually have 30 days to reply. Do make sure they have your correct mailing address, and if you need to update your address, you can call them at 800-829-1040 or complete and send Form 8822 at www.irs.gov/pub/irs-pdf/f8822.pdf If you’re annoyed with the emails, you can forward them (don’t reply, don’t open attachments, don’t click on any links!) to phishing@irs.gov then delete the original email.

Personal Returns On Extension Are Due 10/15

If your personal or partnership return is on extension, the final date to file and still be on time for 2011 is Monday, October 17th but I’m telling people the 15th so I have time to transmit and verify receipt of tax returns. I’ll be reviewing my list of clients I put on extension and sending out reminder emails, but if your return is not yet filed, it is your responsibility to gather whatever remains (or complete your books!) and get it to either me or another tax preparer to file on time.

There are very annoying penalties for not filing on time, and separate penalties for not paying on time, so you should plan on filing, even if you think you won’t have enough money to pay your tax right now.

Because of the quantity of returns I have on extension this year, and other commitments, I’ve asked Ann Opara, CPA, to assist me with preparing some individual returns this year. You may be contacted by Ann, and although I will review the returns, if she has prepared “substantially all” of your return, she will “sign” the return as preparer this year, as is appropriate per the IRS Circular 230 rules.

Little Box of Inc: Incorporations Made Easy published on Kindle

The book with tips about how the S Corporation works is now published to Amazon’s Kindle, updated with additional information about S Corporations, and can be found by searching for Andrew S Rogers as author, and click on “Kindle.” Here’s the blurb:

Considering incorporating as an S Corporation? This booklet will help you understand how the S Corporation works, what you need to do to become incorporated and what you need to do once you have a corporation to stay out of trouble. The structure and the requirements are reviewed, as well as helpful tips to use your Corporation to reduce your tax liability and retain your status as an S Corporation. I’ve worked with S Corporations for many years, and as a tax preparer, I can choose the kind of entity I have for my business: I choose the S Corporation myself, and I’ve convinced many of my fellow tax preparers to incorporate as well. I’ve divided the information into clear, easy-to-understand topics, and cross-referenced sections when it might be helpful.

After you’ve read this material, you can view on-line videos via YouTube.com for free to access more advanced information about S Corporations.


Tax Buddha Messenger Bags

Want to be the first person in your tax bracket to sport the fabulous Tax Buddha Messenger Bag? I’ve now got a “shop” on Café Press at www.cafepress.com/TaxBuddha in case you’d like to order your own Tax Buddha logo items. The messenger bag came out particularly well, not quite “saffron,” but easy to find in an airport.

The Eightfold Path to Pay Less Tax and Avoid an Audit

Eight basic things business owners want to know printed in a booklet in “executive summary” form.†This is 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 the purchase is tax deductible!

You can order from Amazon.com.†Hereís 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 sections on how returns are selected for audit, when to seek professional help, and how long to keep your tax records.

EBAEA—Speaker Development Group

I’m tired of going to see boring speakers for my continuing education requirements, so at the East Bay Association of Enrolled Agents, we’ve started a group to help develop speaking skills.†Go to the link for the current bulletin for more information: http://www.ebaea.org/Bulletin/current.pdf. Our next meeting is scheduled for October 23rd at 3 pm at 3333 Fernside Drive in Alameda CA.

EBAEA—Audit and Representation Group

Our meeting is scheduled for Wednesday October 12th, there’s a meeting November 9th that I’ll miss, and then December 7th. We’ll try to take a case and review it, and discuss other audit and representation issues. We’ll meet in Lafayette at Millie’s Café at 9:30 am for two hours at 1018 Oak Hill Road, A, just off highway 24. Go to the link for the current bulletin for more information http://www.ebaea.org/Bulletin/current.pdf. We’re still discovering if we can give CPE to Enrolled Agents who attend for two hours.

Classes—S Corp vs. LLC, Basic Payroll, How to Prepare for an Audit, Schedule C, Household Employees and The Essential 1040/Beyond the 1040

Here’s a link to the seminars page on my website: www.taxbuddha.com/seminars.html

S Corp vs. LLC
I’m working on a new seminar S Corp vs. LLC for the LA chapter of Enrolled Agents
Contact Pamela Price EA at 323-663-5727 for more info, or to register. This will be part of an all day event.
Taix French Restaurant, 1911 Sunset Blvd in Los Angeles.
1 ≠ 3 pm, October 25th

Basic Payroll
In conjunction with the IRS and EDD, I’m 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

The next seminars will be:

San Francisco at the SBA office 455 Market Street, 6th floor (I take BART to Embarcadero or Montgomery Street)
10 am ≠ 4 pm, October 11 and again on December 13

Oakland at Elihu M. Harris State Building, 1515 Clay Street, Room 20, Second Floor,
9 am ≠ 3 pm, November 17th

San Rafael on November 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 for business owners and bookkeepers, plus they’re free.

How to Prepare for an Audit
I’ll be presenting How to Prepare for an Audit as part of the East Bay Association of Enrolled Agent’s “Tax Talk” at 8 am for 2 hours. This is part of continuing education for Enrolled Agents and other licensed tax professionals. Register online at: www.123signup.com/calendar?Org=ebaea
The Holiday Inn in Dublin, CA
8 am – 10 am, November 4th

How to Prepare your Own Schedule C
Prepare your business taxes for this year and get ready for next year. 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 wonít get audited, but this class will make it less likely.

I will be at the SBDC in Oakland at 250 Frank Ogawa Plaza near 12th Street BART station
Thursday December 1, 2:00 pm ≠ 4:30 pm.

Household Employees
This is an update class for both employers and the tax practitioners who help them.†This is currently scheduled for late January, 2012 in Lafayette. The cost to attend this class will be $75.

The Essential 1040/Beyond the 1040
These are update and intermediate class set over two days for 16 hours CPE for EAs. For CPAs and CTEC, the price is $349-433 for both days depending on your membership status with NATP. Sign up at www.natptax.com. I will be teaching about half the class each day with Kathryn Keane, EA in the following locations and dates:
Amherst NY, at Marriott Buffalo Niagra, 1340 Millersport Highway, Monday–Tuesday, November 7–8
Erie PA, at Manufacture & Biz Assoc Conf Cntr, 2171 West 38th Street Wednesday–Thursday, November 9–10
Boardman OH, at Holiday Inn Youngstown S, 7410 South Ave, Friday–Saturday, Novembe 11–12

If you’re in the market for QuickBooks training in a classroom setting, I recommend Mani Business Services. This is a two-day QuickBooks seminar offered in various places around the country. The website is http://www.manibusinessservices.com/

Phone and Fax Numbers

Our northern California physical office is shared commercial space in Alameda, which is currently undergoing a bit of construction over the summer, so we’ve been meeting people at Starbucks on Mt. Diablo Blvd in Lafayette near the mailing address.
Phone numbers are:
Phone (510) 332-0401
Fax (925) 478-2726
Our mailing address:
3527 Mt. Diablo Blvd #366
Lafayette CA 94549

“You too can be enlightened about tax” — Tax Buddha