Personal Tax

Article Highlights Quid pro quo contributions Documentation requirements Separating charitable contribution from purchase price   A regular form of fundraising by charitable organizations consists of sales or auctions of property or services at a price in excess of value. These are referred to as “quid pro quo” contributions or dual payments made that consist partly of a … [Read more...] about Charity Purchases and Auctions

Article Highlights:   Reporting Gambling Winnings Comps Reporting Gambling Losses Netting Specific Wagers Proving Gambling Losses Supporting Documentation Generally, a taxpayer must report the full amount of his recreational gambling winnings for the year as income on his 1040 return. Gambling income includes, but is not limited to, winnings from lotteries, raffles, … [Read more...] about Gambling Income and Losses

Article Highlights: Scammers who pretend to be from the IRS are calling people across the country. IRS never initiates contact by phone or e-mail. IRS never asks for credit card numbers or account PINs over the phone. IRS never demands immediate payment. Don’t get hoodwinked! This office has repeatedly warned clients about scams related to taxes. The problem has only … [Read more...] about Repeated Warning about Phone Scams

Article Highlights: Extended due date Late filing penalties Interest on tax due If you were unable to file your 2013 individual tax return by April 15th and filed an extension, you should be aware that the extension gave you until October 15th to file your return or face a late filing penalty, which is 4½% of the tax due per month, with a maximum penalty of 22½% of the … [Read more...] about October 15th Extension Deadline Approaching

October 10 - Report Tips to Employer If you are an employee who works for tips and received more than $20 in tips during September, you are required to report them to your employer on IRS Form 4070 no later than October 10. Your employer is required to withhold FICA taxes and income tax withholding for these tips from your regular wages. If your regular wages are insufficient … [Read more...] about October 2014 Individual Due Dates