* Kay Bell gives us the bad news that “IRS wants to more than double some payment plan fees”.
There originally was no fee for entering
into an installment payment agreement with the IRS. And that is how it should be. Taxpayers are already paying the IRS interest
and some penalty – that is enough.
Setting up an installment payment agreement
when filing a balance due tax return is good for the IRS and good for taxpayers
– but it is not so good for taxpayers any more with these fees. I used to advise clients to use installment
agreements when there was no fee – but I no longer recommend formal agreements
because of these fees.
One of my clients had set up an installment
agreement with the IRS, with the fee added to the amount due. Then he received additional income and was
able to pay the full balance due in one payment, no longer needing an
installment agreement. However he was
still forced to pay the fee for setting up the unused agreement.
* Kay tells you “How you can help Louisiana flood victims”.
* And for the trifecta, check out Kay
Bell’s recent post “Tax deductions for allergy-related medical costs”.
* Just a reminder to check out my RAMBLINGS
if you have not done so yet. And let me know what you think. BTW - a new post is coming August 30th.
* Joe Kristan ends his “Tax Roundup, 8/22/16:USA #1! I’m not talking about medal counts. Also: links on AIRbnb taxes, scams, frivolity and much more!” at the ROTH AND COMPANY TAX UPDATE BLOG with a truly
great quote from TAZX ANALYSTS’ David Brunori (highlight is mine) -
“But
why is every good goal accompanied by a tax plan? Why is it that every time
someone thinks something is wrong, they turn to the tax law for a fix? Folks, the tax laws are supposed to be for raising
revenue, not engineering whatever it is we’re trying to engineer this week.
We do this all the time. Obesity? Fat tax. Urban violence? Gun tax. Skinny
polar bears? Carbon tax. Skinny polar bears? Prius credits. Let’s just stop it.”
Right on, Brother David. That is what I have been saying for years.
* The IRS actually has a “Sharing Economy Tax Center” for those who participate in “online
platforms available to rent a spare bedroom, provide car rides, or to connect
and provide a number of other goods or services” like Uber, Lyft, and AirBNB.
* Another self-absorbed and self-important
reality tv idiot in trouble with the IRS.
Kelly Phillips Erb, FORBES.COM’s Taxgirl, gives us the scoop in “More 'Real Housewives' Tax Drama As IRS Hits NeNe Leakes With Massive Tax Lien”.
As Kelly points out, this boob isn’t the
first “Real Housewife” (these drunks are neither “real” nor what I would
consider a “housewife”) to be in trouble with Uncle Sam. Click here for a FORBES.COM slide show of
reality show idiots who were thinking about themselves so much they forgot to
think about taxes.
MY AUGUST SPECIAL OFFER-
I have created a new monthly newsletter
titled BOBSERVATIONS with
my observations on "life, liberty, and
the pursuit of happiness".
The cost of this new monthly newsletter
is normally $9.95 for 12 monthly issues delivered as a pdf email
attachment. For all orders postmarked in
August 2016 you the cost is only $6.65 – 1/3 off!
Plus I will send you as a free gift my
e-book WON'T YOU TAKE THIS ADVICE I HAND YOU LIKE A BROTHER - a compilation of
my best tax advice from 45 years of preparing 1040s that currently sells for
$7.95.
Send your check or money order for
$6.65 payable to Robert D Flach – and your email address – to –
BOBSERVATIONS, ROBERT D FLACH, PO BOX
A, HAWLEY PA 18428
* A recent CHECKPOINT NEWSSTAND week-day
daily email newsletter reports “New self-certification procedure for taxpayers
who miss 60-day rollover deadline” -
“In a
Revenue Procedure {Rev Proc 2016-47, 2016-37 IRB; IR 2016-113 – rdf}, IRS has provided a new self-certification procedure designed to help
recipients of retirement plan distributions who, due to one or more specified
reasons, inadvertently miss the 60-day time limit for properly rolling these
amounts into another retirement plan or individual retirement arrangement
(IRA). The new self-certification procedure allows these taxpayers to claim
eligibility for a waiver of the 60-day rollover requirement that can be relied
upon by a plan administrator or IRA trustee in accepting and reporting receipt
of the rollover contribution.”
Sally P. Schreiber lists the 11 reasons
that qualify for relief in this new procedure in detail in her article “IRS allows self-certification for late rollovers of retirement plan funds” at the
JOURNAL OF ACCOUNTANCY.
* Jason Dinesen correctly warns that
“Payroll Penalties Are Almost Impossible to Get Rid Of” at DINESEN TAX TIMES
(highlight is mine) –
“I
preach this to my clients all the time: payroll is a big deal. If you choose to go down the road of having
employees, you MUST jump through the hoops.”
* At the Tax Foundation’s THE TAX POLICY
BLOG Scott Greenberg suggests there are “Three Good Ideas in Clinton’s Small Business Tax Plan”.
I strongly oppose the Democratic Party’s
tax platform and proposals (see my TWTP post “Politics and Tax Reform”). But I do somewhat agree with Scott when it
comes to these 3 items.
I definitely do agree with Scott when he
says -
“If
expensing and cash-flow taxation are good policies, then the Clinton campaign
should push to extend them to all U.S. businesses, not just the smallest ones.”
In addition to the proposals discussed
above “Clinton’s small business plan
would create a new standard deduction for small businesses, which would give
businesses the option to stop keeping track of their business expenses for tax
purposes.”
This is not really a good idea. Businesses must be taught and encouraged to
keep track of their business expenses for all sorts of reasons, not just for
taxes, and should not be given any "excuse" to avoid this task. And it must be done even with a
standard deduction option. As with any
other tax return option, to make an intelligent decision regarding which to use
you would need to compare actual business expenses to the standard deduction.
THE FINAL WORD
Republicans, conservatives, and
independents – your opposition to Hillary Clinton, based on political or trust
issues, is NOT a good enough reason
to vote for dangerous narcissist Donald Trump.
There is absolutely
no good reason to vote for Trump. The only rational and intelligent option
is to vocally oppose and denounce him. If Trump wins America and the world
truly loses.
If you oppose Hillary Clinton vote for the
Libertarian Party ticket of Gary Johnson and Bill Weld, two former Republican
governors.
TTFN
Do you
want to learn how to pay the absolute least amount of federal and state income
tax possible – and experience the joy of avoiding taxes? Click here to check out my
compilation of FREE TAX STUFF
No comments:
Post a Comment