Author Archives: Russ

California Hasn’t Conformed to 2013 Debt Forgiveness…Yet

Posted on January 30, 2013 by Russ

Mortgage debt forgiveness was part of the “Fiscal Cliff” bill that passed Congress on January 1st. If you sell your primary residence in a short sale (or your home is foreclosed), the cancelled debt (up to $400,000) is generally not … Continue reading →

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1099, W-2 Mailing Deadline Is Tomorrow

Posted on January 30, 2013 by Russ

Thursday, January 31st, is the deadline for employers and others to put most 1099s and all W-2s into the mail or otherwise deliver them to recipients. This is a postmark deadline. This means that it might still be a week … Continue reading →

Posted in IRS | 1 Comment

Would You Deliberately Mail a Check to the Wrong Address?

Posted on January 28, 2013 by Russ

Seriously, would you? Assume you owed a customer $1,000. The debt goes back over a year, and now you’re ready to pay. The customer notifies you that she’s moved, and provides you with her new correct address. How many of … Continue reading →

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Form 8863 Added to Returns that the IRS Won’t Accept Just Yet

Posted on January 28, 2013 by Russ

From multiple sources comes word that the IRS will not accept returns with Form 8863 (Education Credits) at this time. Any returns with this form will also be delayed until (probably) March mid-February. While this form is not on the … Continue reading →

Posted in IRS | Tagged , | 5 Comments

Cash and Carry Doesn’t Work for Strip Club Owner

Posted on January 27, 2013 by Russ

A running theme of this blog is that it doesn’t matter how you are paid; income from cash is just as taxable as checks or credit cards. But it’s so tempting when you receive cash; who will notice if a … Continue reading →

Posted in Tax Evasion | Tagged | 1 Comment

What’s $62 Billion Among Friends?

Posted on January 27, 2013 by Russ

I used to live in California’s central valley. It’s prime agricultural land, with citrus, almonds, pistachios, stone fruits, grapes, and practically anything else that you can eat. The cities there aren’t big (Fresno is the largest), and poverty and unemployment … Continue reading →

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Alphabet Soup

Posted on January 22, 2013 by Russ

With the probable demise of the IRS’s initiative to create Registered Tax Return Preparers (RTRPs), the alphabet soup of tax professionals is now down to EAs, CPAs, CTECs, and JDs. While Robert Flach argues that RTRPs should be resurrected as … Continue reading →

Posted in Taxable Talk | Tagged , , , | 3 Comments

Phil Mickelson Yells “Fore” to California

Posted on January 22, 2013 by Russ

Phil Mickelson has overcome a chronic illness (psoriatic arthritis) and continues to be one of the best golfers in the world. However, Mr. Mickelson golf game may be felled by something that his home state of California and the US … Continue reading →

Posted in California, Texas | Tagged | 1 Comment

Institute for Justice 2, IRS 0

Posted on January 18, 2013 by Russ

Back in December I noted the Institute for Justice’s lawsuit challenging the IRS’ regulations of unenrolled tax professionals (preparers who are not CPAs, Enrolled Agents, or attorneys). The IRS had publicly stated that the lawsuit was without merit. They better … Continue reading →

Posted in IRS | Tagged | 2 Comments

Farmers & Fishermen Get Relief From Catch-22 Situation

Posted on January 18, 2013 by Russ

The IRS announced relief today for a Catch-22 situation for farmers and fishermen. Normally, farmers and fishermen who choose not to make quarterly estimated tax payments are not subject to a penalty if they file their returns and pay the … Continue reading →

Posted in IRS | Tagged | 1 Comment