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Tax Strategies for the Retired Taxpayer: Convert your IRA’s Required Minimum Distribution into a Qualified Charitable Distribution

After years of saving for retirement, it’s time to start using those savings—even if you don’t really need to.  Once you reach 70 ½ years old, you must begin taking annual distributions from your qualified retirement plan.  This is called a required minimum distribution (RMD.)  If you don’t take your RMD, the IRS imposes a severe penalty—it’s a tax of 50% of the amount that was not withdrawn in time! Additionally, any RMD taken is considered ordinary income and will Read more [...]
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Cool Tech Tools: Fathom

If your eyes glaze over when you’re presented with financial statements for your business, you’re not alone. Many entrepreneurs benefit greatly when they can see their financial results in graphical and chart formats. Fathom is the perfect tool to help your numbers come alive so they can become meaningful for you. Fathom is a company based in Brisbane, Queensland, Australia and founded in 2011. The product is also named Fathom and is a cloud-based software application that crunches accounting Read more [...]
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Uh-Oh; I Got an Audit Notice from the IRS. Now What?

If you receive an audit notice from the IRS, do not panic.  Just breathe! Read the letter in its entirety to see what they are auditing.  In many cases, it’s a great idea to hire a tax representation professional to deal with the audit, especially if it’s a field audit (described below).  Why You An audit can be triggered in any number of ways. It could be that the IRS computer randomly pulled your number.  Certain amounts on the return can trigger this: high mortgage Read more [...]
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Due Diligence Requirements

As your tax professional, we may be asking you additional questions next year that are required by the Tax Cuts and Jobs Act. Tax preparers must collect new information from clients who qualify for any of the following tax credits: Earned Income Tax Credit (EIC)Child Tax Credit (CTC) American Opportunity Tax Credit (AOTC)Head of Household filing status (HOH) In addition to interviewing you and gathering the required information needed to answer all of the due diligence questions on Form Read more [...]