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Showing content with the highest reputation on 02/01/2018 in Posts

  1. Caller: "I just have a few quick questions." Me: "Oh good, I have a special rate for quick questions. The answer to the first one is free. After that there's a charge." Caller: "How much is the charge?" Me: "$100 each. What's your next question?"
    6 points
  2. I have found this is highly dependent on which office you work with. I have had clients working with three or four locations over the years, and one has consistently done top-notch work with no screw-ups. One of the others seemingly can't do anything right, ever. The others are mostly OK but need an eye kept on them. This is probably the case with any large company. If you have a location with a good manager who demands high-quality work, you're golden. If not, caveat emptor!
    2 points
  3. Many will, but since the "gift" is a result of (and would not exist without the) employment, it is taxable income to the employee. There is no grey area, this exact situation (employer paying the employee's share of SS and Medicare) is covered, black and white, in the IRS Pub 15a, Page 22 (2017). Thus the employer will not be reporting wages properly, and the employer will not only be causing an issue for the employee, but with their WC company, FUTA, and SUTA.
    1 point
  4. AnswerConnect is the newest version, more intuitive, ask questions the way you would talk (saw a demo of voice activated that they're working on), much of the content has been rewritten. I was able to use AnswerConnect last fall along with my then-subscription to IntelliConnect. When my IntelliConnect was up for renewal in December, I moved to AnswerConnect instead. I don't have all the bells and whistles, but I like it.
    1 point
  5. If I remember correctly, this issue arose last in more than one place in the ATX software and the workaround was to enter .0001
    1 point
  6. Oops, forgot the extra employer side 7.65% on the 8.30...
    1 point
  7. 2017 Pub 15a, page 22, the gross up amount is taxable wages, including FUTA wages, SS wages, and Medi wages, so likely SUTA wages as well. So for 100 net, the gross (and taxable for all purposes) is 108.30. Providing the employee the extra 7.65, cost the employer 8.30, plus (at least) the increased WC, FUTA, SUTA, on the 8.30. In CA, using the default SUTA, and a low WC, the gift of the 7.65 has a real cost of at least 9.
    1 point
  8. This will end up in court...IMHO. Think about all the charitable giving that happens. Some of (or most of) it is given with no anticipation of a benefit in return (I choose to believe most Americans give from the heart and not their tax return). However, every single one of us know that we get a tax benefit from those gifts, even though a great majority of us would still give even without the deduction. What NY is doing is saying that they have a charity, and if the US govt can determine a deduction or credit for that giving, then they can too, and they can set the limit of the credit or deduction as suits them. That is a very powerful argument and one that may stand judicial scrutiny. I would expect that the IRS/Treasury will look at it as a tax scam and attempt to deny the deduction. Their argument is the charity is not a real charity, as the government cannot be a charitable organization, and an attempt to circumvent the tax laws of the US government. They will probably also argue that if all charitable donations are not eligible for a 100% credit, then this is not a legitimate law for the state to pass and only furthers tax evasion. Again, this is a very powerful argument that may withstand judicial scrutiny. The IRS could be directed by the treasury secretary (a political appointee) to attack the motive of the giver, by auditing every one of the returns claiming the deduction, disallow for motive, and then make the taxpayer challenge in tax court. Another strategy of the Treasury could be to deny non-profit status to the new charity. This would bring back shades of the Lois Lerner controversy that would get a bunch of people fired up politically. Bottom line is this is shaping up as a political fight that I feel will go to the courts to decide. Coin toss as to which way it goes. Tom Modesto, CA
    1 point
  9. Raise your rates 20%. Your business will be better, you will have less stress, and you will make more money. I did that in 2014. It works.
    1 point
  10. 1 point
  11. IRS Pubs. 886 series for EIC, etc. https://www.irs.gov/forms-pubs-search?search=886
    1 point
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