michaelmars

Can't determine if salary is reasonable or not, the reasonableness is based on what you would pay someone to do the job of the officer. if there are 10 other employees then the distribution amount could be the profit of the employees and totally acceptable. if the shareholder is the sole employee then its not reasonable. Etc. in any case with the above scenario I would have the payroll raised to max out fica.

I went through this and there are things you should know. Yes the states communicate but maybe not for a year or so. Usually the state wants the unemployment insurance only but they will check and see if the individuals reported the income, if not then you are on the hook for swt too. as for the feds. and this is important to look at, they have a voluntary disclosure and reclassification program where you basically fess up and promise to make these individuals employees for the current year and beyond. NO penalties no back filing no nothing! I think there was a fee of a few hundred dollars to apply but don't really recall. The employer needs to explain how this doesn't cost the employees anything if they were paying the fica on their 1040 anyway. We billed them for the current years fica catch up and spread it out to make it easier on them. Didn't catch up on fwt or swt since they should have been making estimated payments anyway. Here is a major problem, if the employees had pension plans, they can no longer contribute and any write-offs they took against the income is now subject to 2%. For my doctors office, the state tried to reclassify even the landscaper and cleaning lady and even included payments to patients as refunds. They basically list individual that a check was written to and make you prove who shouldn't be considered.

DON'T forget the camera....ever at a client who doesn't have a copy machine and you want a copy of something, ie a check to answer a notice, just take a pick and print it later or email to staff to draft the response

also get a flash drive that is password protected and self destructs after 3 trues. Ironman Key is great but at the very high end. If you are afraid of keeping client data on something that could so easily be lost or stolen as a tablet then you can keep the data on such a drive and not worry if it gets lost.

if he was a general partner I would think he has the right to a copy of the return. Limited partners do not. As a general partner he could probably request a copy from the irs.

I use it on vacations so I can have a pdf of my clients returns incase they have an "emergency" need for info. surfing the web and handling emails is great. the best though is that it fits in a hotel safe which a lap top can't. and with a laptop handy I might be tempted to get some work done. Going to a seminar? you can download the info so you don't have to use paper. many of the seminars lately send you a pdf of the material and don't give paper copies. if you do a lot of internet work the battery on the tablet way outlasts a kindle.

CHEF FOR COOKING THE BOOKS

now I can sleep easily. thank you !

so....which was the official way, over or under???? curious minds want to know.

have a client who needs some help for an auction they are hosting on line for a plant that's closing in Canada. my client is the auctioneer.. I have gotten so many conflicting rules from talking to Canada that I want to get a Canadian accountant or someone very familiar with the gst/hst rules to consult.

I have used corrected opening numbers and have never received an inquiry, is 25k significant to the overall balance sheet? sounds like fixed assets cost would be grossed up and a/d reported so the net should be the same. negative a/r might include overpayments or advanced deposits so here to, reclassifying them will not change the net retained earnings figure.

I too just took out the reference for now. I am sure our carriers have something out to use but I haven't checked with mine yet. I plan on waiting a few weeks till they get theirs finalized.

it now seems that the removal of references to circ 230 and irs are mandatory Circular 230 Disclaimers: Deal or No Deal? After years of frustration among tax practitioners, relief came in the form of final Circular 230 regulations which meant the days of required disclosures attached to emails, faxes, and other correspondence had come to an end. Effective June 12, 2014, the previous covered opinion rules in section 10.35 were removed and replaced with new guidance in section 10.37. While this is welcome news to many, there are still those who have become so accustomed to having the disclosures that simply removing them elicits anxiety. As a result, many practitioners have been slow to remove the disclaimers that are now a standard part of most outgoing email. The problem with this slow response is that Karen Hawkins, Director of the Office of Professional Responsibility, has been clear on stating that the removal of any reference to Circular 230 or the IRS is not optional. It is important that the public not be misinformed and her office will take action against preparers who continue to use the original language. The new regulations do allow for “an appropriate statement describing any reasonable and accurate limitations of the advice rendered to the client.” Each individual or firm must determine what form of disclaimer should be included in their respective emails based on the type of work being performed, so long as the specific language in section 10.35 is removed. Read more on this topic in a Journal of Accountancy article.

what about a non-equity shareholder? might be a way to structure it but i'm not sure.

look at the state issues to, some states offer amnesty from penalties if you come forward and since they will be behind the irs in getting paid they might settle easily for a quick payment. we did one where irs was owed $250,000 and ny about $80,000 they took $25,000 over a few years, I forget the amount.

i love it!!!!!

sorry what is PEBKAC?

easy Jack.. Ken did say it was his error.

liquor is supposed to go under staff moral or mental heath training....Everyone that has gone through a recent tax season should know that.

I haven't changed in 2 years since I stopped using atx but still have access

I would still go with some sort of disclaimer if giving general advise that can be taken for real research.. as for the emails about lunch, I have 2 signatures saved, one with the disclaimer and one without and just pick the one I want for each email.

nope still there but I had to try some different ways to link to it and once I got in I saved it to a favorite which brings me right to the board bypassing the log in

one of my EX staff members did 7 amendments on a 1040. Notice the emphasis on EX

is there a profit on the land? basis is value on date of death so usually the profit or loss is very small [i don't know if farmland is different than other land]. And Lion is correct that if there is a spouse you should file a 706 for portability.

while I am used to large fees, I think I would charge about $600 for this. There is next to -o- liability in giving a comp report and you are mostly just putting their numbers into acceptable F/S format. Remember if you start reviewing the numbers or doing any attestation work on them then you are doing a review. I am sure that the cpa doing the 990 is spending more time on the entity for $1200 than you would spend doing a comp.