Income tax preparation services for 2019 returns

Posted Leave a commentPosted in Accounting, Taxes

Certified Public Accountants in private practice, like me, offer a high level of service for the preparation and filing of annual income tax returns. This comes at a price. CPAs are usually among the most expensive providers of tax preparation services. Annual tax industry surveys indicate that the cost of CPA return preparation is, on […]

3 IRS tax forms that you may need in 2020

Posted Leave a commentPosted in IRS, Taxes

Most of us file taxes electronically without any need for paper forms. However, paper forms are allowed in most cases and may be useful. Here are three downloadable and printable IRS forms from cpapracticeadvisor that may be useful now: 2019 Form 1040 for individual income tax filing 2019 Form W2 for reporting wages paid 2020 […]

Big tax savings for New Jersey small businesses

Posted Leave a commentPosted in Accounting, Small Business, Taxes

Today New Jersey Governor Phil Murphy signed into law the Pass-Through Business Alternative Income Tax Act. This new law allows flow-through businesses in New Jersey to elect to pay income taxes at the entity level instead of at the personal income tax level. Since there is no limit on deductions on the federal level for […]

Report foreign gifts received over $100,000

Posted Leave a commentPosted in Taxes

Clients with international financial transactions, specifically those with family overseas, need to keep this in mind. To keep it simple, we could focus on three points: Gifts received from a foreign source over $100,000 require disclosure to IRS even if not taxable. There is a specific procedure for reporting omitted reports from past years. The […]

Taxes for ministers: Summary of federal income tax planning issues

Posted Leave a commentPosted in Payroll, Self-employed, Tax Planning, Taxes

Planning the federal income tax treatment for ministers1 must consider several topics that are unique to ministers. Employee status A minister is considered an employee under the common law rules and yet payments for services as a minister are considered income from self employment pursuant to IRC §§ 1402(c ) and 3121(b)(8). This is the […]

Why the changes to NJ S4202 ( employee vs contractor) are no big deal

Posted Leave a commentPosted in Accounting, Employee Benefits, New Jersey, Self-employed, Small Business, Taxes

Keep it simple: if you primarily provide your labor to someone for pay then you are an employee. If you run a licensed business, with typical business features like a business plan, advertising, business insurance, and pay business taxes then you likely work as an independent contractor. I’m aware that some people are making a […]

IRS just got serious about cryptocurrency

Posted 1 CommentPosted in Cryptocurrency, Taxes

The just-released draft copy of Form 1040 Schedule 1 starts off with the question: “At any time during 2019, did you receive, sell, send, exchange, or otherwise acquire any financial interest in any virtual currency?” I’m sure much discussion will follow about the potential consequences of answering with a false negative. Responding with an affirmative, no […]