by Karla Dennis | Jul 16, 2013 | Blog
Many of us have just enough time to juggle all the things that life throws at us on a daily basis, only to have to stop and organize our financial affairs to have our tax returns prepared. January through April seems to be the time everyone is hustling around trying to pull it all together. Squeezing out those last minute tax deductions can make the difference in paying a little or paying a lot in taxes. No one wants to be overtaxed but life sometimes gets in the way of the time available to be detailed and organized. Successful people aren’t typically successful by happenstance. It is because they have planned their lives down to each moment of time to make sure they fit in everything that needs to get done. Whether it is attending school, meeting with an important client, talking to the boss about a raise or simply carving out some me time, chances are it won’t get done if it is not scheduled. The old saying holds very true; if you want something done, give it to a busy person. Planning to have your taxes prepared and being able to squeeze out all the deductions possible is really simple if you follow these tips: read...
by Karla Dennis | Jul 16, 2013 | Blog
On February 1, 2011 the Senate approved an amendment to repeal the expanded 1099 information reporting requirements that were introduced with the passage of the health care reform law. The U.S. House of Representatives will vote as early as March to eliminate the tax-reporting requirement. As a business owner, my primary focus is on taking care of my customers and making sure I serve them. In this economy, business owners are already faced with extra burdens. We have to make sure we are servicing our clients 150%; we have to really think twice before increasing rent and watch our bottom line. This responsibility alone is a handful. Imagine having to deal with the new 1099 filing requirements in addition to the other items we need to track. The new law would have required me to track all my vendors that I have paid more than $600 to. I would then need to submit to both the vendor and the Internal Revenue Service form 1099. The headache gets much bigger as I would be required to hunt down vendors for their tax ID numbers. Additionally, I will have to give my tax ID numbers to my clients and tenants as well. This would not only force me to receive hundreds of 1099 forms but to also be concerned with identity theft. Sounds pretty ridiculous! read...
by Karla Dennis | Jul 16, 2013 | Blog
June 15, 2011, is the due date for making your second installment of 2011 individual estimated tax! June 15 is also the due date for calendar-year corporations to make their second quarter 2011 estimated tax payment. As a business owner, investor, or wage earner it is very wise and, in most instances, a requirement for you to pay estimated taxes or to make sure you are not under withheld on your income tax payments. Cohesive Tax is here to provide you with that service. If you received estimated tax vouchers with your 2010 income tax return, you are paying based on last year’s income and expense. It is advisable to pay based on current year income and expense so you can be assured you are paying the correct amount in estimated taxes or having the correct amount withheld from your paycheck. You do not want to over pay or underpay your income taxes. read...
by Karla Dennis | Jul 16, 2013 | Blog
With the New Health Care Reform Law, many medical professionals are second guessing staying in the medical field. Not only do medical doctors have to be concerned with the new burdens the Health Care Reform Law brings, they are also heavily burdened with income taxes. After spending several years to become a doctor and make an above average income, many doctors probably never thought about how that income could cause them to generate so much income tax. If you’re a doctor, not only are you paying income taxes, but in some cases, depending on how your income is paid to you, you may be paying alternative minimum tax as well as self-employment tax. Your tax bracket may be as high as 39% when you compare your total tax bill to your total taxable income. It may have crossed your mind once or twice as to whether or not there is anything you can do to lower your taxes. You may think that you’re working really hard but not really seeing the results of labor. read...
by Karla Dennis | Jul 16, 2013 | Blog
In 2011, personal exemptions and standard deductions will rise and tax brackets will widen due to inflation. These inflation adjustments relate to eight tax provisions that were either modified or extended by the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010 that became law on Dec. 17. New dollar amounts affecting 2011 returns, filed by most taxpayers in early 2012, include the following: • The value of each personal and dependent exemption, available to most taxpayers, is $3,700, up $50 from 2010. read...
