How to generate proof of expenses in an audit.
- October 2nd, 2019
- David Greene
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As you know the IRS will not accept your word for expenses. They want to see backup documents and proof of payment. If you did not keep receipts, you can order old bank statements from your bank and then go…
When does an incorrect tax return become criminal, Part 2?
- September 20th, 2019
- David Greene
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Last week I stated that that only fruadulent acts lead to criminal trouble and I listed five things that can cause real trouble. This week I will add four more things you do notwant to do that, if done, can lead…
Hints to help new businesses stay out of tax trouble.
- September 4th, 2019
- David Greene
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There are many hints or suggestions I can give a new businessman, but I do not have that much room. I will give you five very important hints to keep you straight with the IRS. First, form your business as…
What are some of the special rules about reporting losses on Schedule C?
- August 28th, 2019
- David Greene
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Schedule C is the most audited of all the tax forms! In order to claim losses based on Schedule C a taxpayer must first prove that the business activity has a clear profit objective. Factors to consider are whether the…
More Tax Tips for Grads Entering the Work Force
- July 23rd, 2019
- David Greene
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Last week I listed 5 things to consider. Here are some more. (1) Remember that graduation gifts are not taxable to the recipient, so you do not need to be concerned with taxes on them. (2) If you worked a…
Special Tax Tips for Grads Entering the Work Force
- July 16th, 2019
- David Greene
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The transition from college to the work force raises some “flags” of which you should be aware. (1) Coordinate your taxes with your parents for things such as your dependency status. (2) You can still claim student loan interest, but…
What proof is needed to support charitable deductions?
- April 30th, 2019
- David Greene
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Here are the rules: (1) You must have a written statement from the charity for a gift over $250 or at least a bank or credit card statement for any monetary donation; (2) gifts are deductible in the year made,…
Will it help to itemize deductions – Part 2?
- March 19th, 2019
- David Greene
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Last week I discussed the standard deduction changes and this week we’ll take a brief look at itemized deductions. Many deductions are still allowed but limited. Foreign income taxes, state and local real and personal property taxes, and state and…
Will it help to itemize deductions for 2018?
- March 14th, 2019
- David Greene
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That is a question that has to be answered on an individual basis. The new law in general will help many people and hurt many other “middle class” people. We have already seen that many are upset because their refunds…
What is an ABLE account?
- February 20th, 2019
- David Greene
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ABLE is an acronyn for Achieving a Better Life Experience. ABLE accounts, created by IRC Sec. 529A, are availanble to people who become disabled before age 26. Distributions, including earnings, are tax free to designated beneficiaries if used to pay…