Tuesday, September 30, 2014

WHAT’S THE BUZZ, TELL ME WHAT’S A HAPPENNIN’ - TUESDAY EDITION


I am off to Lancaster PA to learn how to prepare my PA corporation’s state income tax return.  I will return with a Friday BUZZ.

* The October “issue” of THE TAX PROFESSIONAL will be up early tomorrow morning.  It has some more food for thought for tax preparers, and I would appreciate hearing your comments on the topics discussed.  You can email them to rdftaxpro@yahoo.com with “THE TAX PROFESSIONAL” in the “subject line”.

I am also interested in your comments on topics discussed in previous “issues”. 

* KIPLINGER.COM warns “Retirees, Watch Out for the State Tax Bite”.

The item looks “at three primary categories: state tax treatment of pensions and retirement income, Social Security, and estates and inheritances.”

* That reality show idiot “The Situation” is claiming stupidity as his defense for cheating on his taxes.  In this case it is a credible defense – the fool certainly is stupid. 

Actually he is blaming the FU on his brother, who, in turn, is blaming everything on their accountant.  So TMZ (a truly rare source for a BUZZ item) tells us in “The Situation Clueless on Tax Filings ...Mi Familia Screwed It Up”.

* Kay Bell is a much better source of reliable information on the tax indiscretions of the brain-dead reality tv show “star”.  In her BANKRATE.COM post “Bad Tax ‘Situation’ for Reality TV Star” Kay tells us –

The feds charge that the Sorrentino brothers knowingly provided their accounting firm with false information, which was used unbeknownst to the paid preparers, to file incorrect tax returns.”

In this “situation” I tend to believe the Feds regarding the paid preparers.

* And at her DON’T MESS WITH TAXES blog Kay continues the discussion of the reality show fool’s tax FUs and correctly advises “Lying to Your Tax Pro Could Result in a Bad Tax Situation” –

We all know the old adage used when discussing tax-filing software: Garbage in, garbage out.

It also applies to taxpayer-tax preparer relationships. If a taxpayer isn't honest or forthcoming about his or her tax circumstances when working with a tax pro, then that preparer is going to complete and submit a 1040 that's flat-out wrong.

And that creates problems for both the taxpayer and the tax preparer.”

* Strange but true.  The IRS Says I’m Not Authorized to Speak On My Own Behalf”.  So says Jason Dinesen at DINESEN TAX TIMES.  Oi vey! 

* At TAXPRO TODAY Jeff Stimpson’s piece “IRS to Send EITC Due Diligence Warnings” explains one of the reasons why the Earned Income Credit does not belong on the 1040 –

The IRS estimates that from 22 percent to 26 percent of all EITC claims contain ‘some type of mistake’ that altogether cost the government a total of $13.3 billion to $15.6 billion in 2013.”  

TTFN

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