Thursday, May 19, 2022

WHAT’S THE BUZZ, TELL ME WHAT’S A HAPPENNIN’?

FYI - According to the IRS, As of April 29 there were 6.2 MILLION paper returns awaiting review and processing.   The word is it will take 5 to 6 months to process a return and issue a refund.

There is absolutely nothing your tax preparer can do to expedite the processing of your federal return or the issuance of your federal refund – so DO NOT call or email him or her to ask about your refund!

 

* Back in March KIPLINGER.COM listed the “10 Least Tax-Friendly States for Retirees”.  Once again, like Oliver Twist, NJ is last on the list, despite the recently expanded Retirement Income Exclusion -  
 
Sorry, New Jersey, but you're the least tax-friendly state in the country for retirees. And, once again, it's the property taxes that are crushing retirees. The Garden State has the highest median property tax rate in the country.
 
KIPLINGER also more recently listed the “10 Most Tax-Friendly States for Retirees.

 

* Kay Bell celebrated Friday the 13th with “Don't fear, or fall for, these 13 scary, but wrong, tax myths” at DON’T MESS WITH TAXES.

 

Here is one tax myth she forgot – All CPAs are 1040 experts.  An individual CPA may be a 1040 expert, but it has absolutely nothing to do with the initials after his or her name.

 

*  Congratulations to Professor Annette Nellen on the “15th Anniversary of the 21st Century Taxation Blog”.

 

THE LAST WORD

I very sincerely believe anyone who actually listens to, believes, defends, and supports Trump is either a moron, a racist, has no conscience, or, like Trump himself, all three.

There is absolutely no intelligent or acceptable reason for anyone to listen to, believe, defend, or support Trump.

If you support Trump and today’s Trump-embracing Republican Party you truly are an enemy of America, American democracy and true American values.

TTFN










Wednesday, May 11, 2022

NOT A CONSERVATIVE ISSUE!

 BANNING ABORTION IS NOT A CONSERVATIVE ISSUE!  

IT IS CONTRARY TO TRUE CONSERVATIVE POLICY.











Tuesday, May 10, 2022

WHAT’S THE BUZZ, TELL ME WHAT’S A HAPPENNIN’?

 * In the Eide BaillyTax News & Views” blog’s recent “Calling Santa Roundup” Jay Heflin quotes an item from Bloomberg Tax (unable to provide a link here as it is a restricted paid subscription site) with the sad news about the IRS processing of manual returns (highlight is mine) -

’Taxpayers will have to wait at least six months to get refunds on paper tax returns filed this year’, National Taxpayer Advocate Erin Collins said.”

 

And –

 

Even if returns were filed in January, refunds for paper-filed returns may arrive in June’, she said, speaking Thursday at a D.C. Bar conference.

 

Collins also said amended returns, even if they were filed electronically, are being processed as if they were paper. Amended returns, she said, are 'just as backlogged as the original return.'”

 

There is absolutely nothing your tax preparer can do to expedite the processing of your 2021 tax return – so don’t email him or her if you haven’t received your federal refund yet!

 

* TaxGirl Kelly Phillips Erb discusses “Many Unhappy Returns: How to Deal With a Bad Tax Relationship” at her BLOOMBERG.COM blog.

 

One good point she makes that is important for taxpayers/clients to understand (highlights are mine) –

 

“. . . your tax professional isn’t a miracle worker. If you haven’t done any tax planning all year, checked up on your withholding, or paid attention to cryptocurrency and other transactions, your tax professional can’t simply wave a magic wand to make things different.”

 

* Russ Fox continues his series on “2022 Tax Season: The Tax Season From Hell” at TAXABLE TALK with “Part 2”, which looks at what should be done by Congress and the IRS to fix the mess he described in Part 1.

 

His first item hits the nail on the head, echoing what I have been saying for years – “(a) pass simplification . . . and (b) stop making the IRS a benefits agency (which it isn’t).”

 

But, as Russ correctly points out, “Unfortunately, there is no chance of anything like this coming from this Administration.”

 

Russ also recommends we “Change the Tax Filing Deadline to May or June 15th.”  While I have always opposed extending the mid-April initial deadline, I would actually not object to extending it to April 30 – but no later.

 

THE LAST WORD

I wonder how many of the 1 Million Americans who died of COVID would still be alive today if Trump was not the President in 2020.

TTFN
























Thursday, May 5, 2022

2022 TAX RETURN RECORD KEEPING

 


So, how hard was it to gather together all of your 2021 tax “stuff” to give to your tax preparer? 

It is important that you have documentation for all of the income, deductions and credits reported and claimed on your federal and state tax return.  And, of course, you do not want to forget or miss a qualified deduction or credit.  You must keep good records throughout the year.

I have created a 2022 GUIDE TO TAX RETURN RECORDKEEPING to help you in gathering and organizing your 2022 tax “stuff” and help you to pay the absolute least federal income tax possible for 2022.

My guide contains detailed text covering what is taxable and deductible and what information and documentation you will need to properly prepare your 2022 tax return, and forms, schedules and worksheets for compiling and identifying the documentation you will need to provide to your professional tax preparer in 2023.  It discusses in detail –


·         MY BEST TAX ADVICE

·         WHAT TO GIVE YOUR PREPARER

·         WHO MUST FILE A 2022 TAX RETURN

·         FILING STATUS

·         DEPENDENTS AND EXEMPTIONS

·         INFORMATION RETURNS

·         INVESTMENT SALES

·         2022 CONTRIBUTION LIMITS FOR RETIREMENT PLANS

·         REPORTING GAMBLING INCOME

·         ADJUSTMENTS TO INCOME

·         ITEMIZED DEDUCTIONS

·         DEDUCTIBLE RENTAL EXPENSES

·         CHILD CARE EXPENSES

·         ESTIMATED TAXES

·         HOW LONG MUST I KEEP MY TAX RECORDS

·         YEAR-END TAX PLANNING

The cost of the Guide is only $16.45 - postage included.

Send your check or money order for $16.45 payable to Taxes and Accounting, Inc. and your postal mailing address to -


TAXES AND ACCOUNTING, INC
2022 GUIDE TO TAX RETURN RECORDKEEPING
POST OFFICE BOX A
HAWLEY PA 18428

TTFN












Monday, May 2, 2022

LEARN HOW TO AVOID NEW JERSEY TAXES LEGALLY

As I say at the beginning of a new special report I have just completed – AVOID NEW JERSEY TAXES LEGALLY – “I have been preparing NJ-1040s for as long as there has been a NJ-1040.”

This new report explains in detail a tax strategy a NJ married couple can use to legally save up to $300+ in NJ state income taxes.  And perhaps save some federal income tax as well.

And it also identifies a special, I expect unintended, loophole in NJ state tax law that older married couples can use of to save as much as $2,500 in state income taxes.

The people who enact federal and state tax law – the members of Congress and state legislatures – have absolutely no concept of the practical application of the tax laws they pass.  In most cases they do not even read the legislation – they just do what the Party leadership tells them to do.  In this report I show you how to take advantage of the ignorance and laziness of the NJ legislature to put hundreds or thousands of dollars in your pocket.

This report includes several real-life examples of how I used this strategy and loophole to save my clients hundreds to thousands of dollars in NJ state income tax over the past few years and a special worksheet for your personal use.  It also briefly discusses other ways to legally avoid NJ state income taxes.

If you have not yet filed your 2021 NJ-1040 – you have requested an extension – you can use this strategy and loophole to reduce your 2021 state tax liability.  If you have already filed your 2021 return you can use this report to save for 2022 and beyond.

I will send you this special report for $6.99 plus $1.80 postage and mailing – a total of only $8.79.

Send your check or money order (payable to TAXES AND ACCOUNTING, INC) for $8.79 and your postal mailing address to –

AVOID NJ TAXES LEGALLY

TAXES AND ACCOUNTING INC
POST OFFICE BOX A
HAWLEY PA 18428

TTFN














Tuesday, April 26, 2022

WHAT’S THE BUZZ, TELL ME WHAT’S A HAPPENNIN’?

 BUZZ, BUZZ.  The BUZZ is back!

* The National Society of Tax Professionals (NSTP) lists “Seven Common Myths About Tax Refunds”.

 

It is very important that you pay attention to Myth 6 (highlight is mine)–

 

Myth 6: Calling a tax professional will provide a better refund date:

 

Contacting a tax professional will not speed up a refund. Tax professionals cannot move up a refund date nor do they have access to any "special" information that will provide a more accurate refund date.”

 

* Another return to normalcy in the White House – a President releases his tax return to the public, as reported by Kay Bell in “Tax tradition return redux: Biden and Harris again release their tax returns” at DON’T MESS WITH TAXES.

 

* Russ Fox begins a 4-part series on2022 Tax Season: The Tax Season From Hell” at TAXABLE TALK.


It looks like I picked a good time to retire.

 

Part 1 deals with IRS and government issues.

 

* Attention fellow tax pros - the IRS has announced “The 2022 IRS Nationwide Tax Forum Will Be Held Virtually”.

 

TTFN