IRS Tax

11/08/2024

FOR IMMEDIATE RELEASE
November 8, 2024

President-elect Donald J. Trump Possibly to Consider Lower Capital Gains Tax Rate for Seniors

Klein, Texas, November 8, 2024 – President-elect Donald J. Trump potentially is set to review a new tax proposal aimed at providing significant financial relief to senior citizens. The proposed "7@70 Capital Gains Tax Relief Act" is designed to ease the tax burdens on seniors by offering a reduced capital gains tax rate.

The proposal acknowledges the financial challenges many seniors face, including limited employment opportunities after age 70 and the high tax rates on realized capital gains from investments. Under the new plan, individuals who reach the age of 70 by December 31st of the taxable year would qualify for a reduced capital gains tax rate of just 7%, regardless of asset type, holding period, or other tax provisions. This represents a substantial reduction, offering seniors potential savings of 8% to 12% or more compared to current rates.

The 7% tax rate would apply to a range of capital gains, including those from the sale of collectibles (which are currently taxed at 28%), certain small business sales, and recaptured depreciation (currently taxed at 25%).

This proposal, which is being presented to President-elect Trump for consideration, is part of his ongoing efforts to provide greater financial support to America’s senior citizens.

For more information, please contact:
D. Estes
Community Tax Development- EV1Tax

09/30/2024

This article is written by our tax software provider- Taxslayer Pro:

What to Expect When You Go from Tax Preparer to Tax Business Owner

By TaxSlayer Pro Editorial Team | September 10, 2024

Even if you’ve worked for years as an employed tax preparer, running your own practice will be a whole new adventure.

From landing your first client to running multiple offices, these are some of the changes you’ll deal with as you grow from an employee to a business owner.

Beginning stages of transitioning to business owner
Getting your own EFIN

Now that you’re on your own, you won’t be able to use your previous employer’s Electronic Filing Identification Number (EFIN). Make sure to apply for one well before tax season as approval can take over a month.

Finding your first clients

At your previous firm, you may have had no role in finding clients. Now, client acquisition will be a part of your responsibilities.

Learning about small-business marketing will be just as critical to your success as your tax knowledge. Carefully planned customer acquisition strategies and consistent lead nurturing will help you gain traction and see growth quickly.

Two steps you’ll want to take immediately are:

Creating a web presence with social media accounts and local SEO strategies.

Leveraging your network and asking for referrals. Just be sure not to violate any non-compete clauses you may have signed with your previous employer.

Running an office

Even if you forgo a traditional office for a home office or co-working space, you’ll still have plenty of logistics to work out. You’ll need a business address and phone number, equipment like printers and computers, and a professional space for client meetings. Check off the Pre-Season Tax Office Checklist to make sure you’re ready to go.

As your tax prep business grows

Once you’ve adjusted to life as a business owner, you’ll find new challenges as you shift focus to business growth.

Managing employees

As you shift from solo practitioner to employer, you’ll be responsible for creating a productive and positive work culture at your business. Whether you’re bringing on full-time administrative support or a seasonal tax preparer, devote time to learning about management strategies and leadership styles.

Adding new locations

If your firm is thriving, expanding your business with new locations can be a logical growth step. Ask yourself these questions before you move forward with a new location:

Will a new location simply cannibalize business from my current location?

Will word of mouth extend to this area, or will I need to start marketing efforts from scratch?

Do I have an employee(s) I can trust to run this location in my absence?

Reevaluating your business tools

Some tools that worked fine for your practice in the early days may not serve you as well anymore. By periodically evaluating the current needs of your business, you can avoid drains on productivity and continue scaling your business.

For example, if your bargain printer is disrupting your office’s workflows, it may be time to invest in a commercial printer. Or if you’re now operating from multiple locations, switching to a cloud-based tax software can help keep you collaborate easily and work more efficiently.

Expanding your services

You can grow and diversify your income by offering additional services like bookkeeping, financial planning, or payroll. Even if you want to focus purely on tax preparation, you can still expand your services by partnering with refund settlement banks or gaining additional credentials like Enrolled Agent status.

06/19/2024

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01/18/2024

Do you want to ease into a Tax Preparer Career slowly?

Consider becoming a Volunteer preparing simple tax returns for individuals that cannot afford to pay a tax professional You can receive free training and can volunteer in your local community VITA office. Hours are very flexible.

Use this IRS website to receive more information that is Linking volunteers to quality e-learning solutions:

https://apps.irs.gov/app/vita/

Link & Learn Taxes is the web-based program providing six certification courses for volunteers and a refresher course for returning volunteers.

This training prepares Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) partners and volunteers to provide quality tax return preparation services in their local communities.

This fun, interactive course teaches you to accurately prepare income tax returns for individuals, and you can obtain volunteer certification along the way at your own pace!

Some tax professionals can even earn continuing education credits when certifying at the designated level and meeting other specific requirements.

Course descriptions

Basic: Covers the completion of wage earner type returns. Social security income and penalty on early withdrawal of savings is part of the Basic course.

Advanced: Covers the completion of the full scope of returns. Includes capital gains and losses and more complex pension issues.

Puerto Rico: Covers the completion of returns for U.S. citizens who are bona fide residents of Puerto Rico.

Foreign Student and Scholars: Covers the completion of returns for international students and scholars.

01/18/2024

01/14/2024

So begin your search and due diligence for the Income Tax Preparation software than aligns with your capabilities, economics and level of expertise. And the most popular tax preparation software for tax preparers depends on several factors, including the preparer's specific needs, practice size, and budget. Here are some top contenders, each with its own strengths:

Leading Options:

Intuit ProSeries Tax: Renowned for its speed, flexibility, and robust features, it caters to preparers of all experience levels, from independent professionals to large firms. It offers customization options, workflow tools, and strong integration with other accounting software.

CCH Axcess Tax: Widely used by larger firms, it stands out for its comprehensive features, including audit trails, client portals, and practice management tools. It excels in handling complex returns and integrates seamlessly with other CCH products.

Lacerte: Another powerful option, known for its accuracy and attention to detail. It's particularly favored by preparers dealing with complex returns, trusts, and estates. Its strong research capabilities and case management tools come in handy for intricate tax situations.

Value-Focused Alternatives:

TaxAct Pro: A more affordable option for smaller practices, offering unlimited returns and competitive pricing. While not as feature-rich as the top contenders, it provides all the essentials for handling most common tax situations.

Drake Tax: Known for its simplicity and ease of use, it's a good choice for solo practitioners or those focusing on simpler returns. It offers a good value for under 30 returns per year.

Cloud-Based Solutions:

doola: Gaining traction for its modern, cloud-based approach. It features a user-friendly interface, strong collaboration tools, and white-labeling options for branding the platform under your own name.

TaxSlayer Pro: Another cloud-based platform, emphasizing accessibility and affordability. It provides all the necessary features for preparing and filing returns, with options for individual and firm subscriptions.

Ultimately, the best software for you depends on your specific needs and priorities. Consider factors like:

Practice size and complexity: Larger firms with diverse clients may need powerful platforms like ProSeries or Axcess, while smaller practices might find value in TaxAct or Drake.

Budget: Software pricing varies significantly, so consider your budget and the number of returns you expect to file.

Features and ease of use: Prioritize features crucial to your practice and choose a platform with a user interface that aligns with your comfort level.

Integrations: Consider software that integrates well with existing accounting or practice management tools you use.

Researching reviews, comparing features, and trying demos can help you choose the software that best fits your needs.

Remember, the most popular option might not be the perfect one for you, so tailor your selection to your specific practice and preferences.

We hope this information helps you in your search!

And our choice for a top software is TAXSLAYER PRO!!! You can contact our Rep, Ernest Flores at 832-573-1547. (We are not compensated in any manner for this recommendation.)

01/11/2024

You also need to get listed on APPLE MAPS!!!

Getting your business listed on Apple Maps is free and straightforward! Here's how you can do it:

1. Create an Apple ID (if you don't have one): This will be your login for managing your business listing. It's free and only takes a few minutes to set up.

2. Access Apple Business Connect: This is where you can claim your existing listing or add a new one. Navigate to https://businessconnect.apple.com/ and click "Get Started."

3. Search for your business: Enter your business name and location in the search bar. If it already exists, you'll see a list of potential matches.

4. Claim your listing: If you find your business, click on the listing and then "Claim this place." This lets you manage and update the information displayed on Apple Maps.

5. Add a new listing (if your business isn't listed): If you don't see your business, click "Add a new location with this name." Provide all the necessary details, including your business name, address, phone number, website, operating hours, and photos.

6. Verify your listing: Apple will send a verification code via phone call or text message to the number you provided. Enter the code to complete the claiming or creation process.

7. Enhance your listing: Once your listing is claimed, you can add valuable information like business descriptions, menus, special offers, and even respond to customer reviews. This helps boost your visibility and attract more customers.

Here are some additional tips:

Use accurate and consistent information across all your online listings, including your website, social media profiles, and other directories.

Choose high-quality photos that showcase your business.

Encourage customers to leave positive reviews on Apple Maps.

Keep your listing information updated, especially your hours of operation and contact details.

By following these steps, you can easily get your business listed on Apple Maps and take advantage of the millions of users who rely on it for navigating and finding local businesses.

01/10/2024

We highly encourage you attend one of the IRS Nationwide Seminars held in 5-6 major cities across the US.

This is extremely valuable to learn the up-to-date IRS information, make important contacts within the IRS, meet the various vendors such as the largest Software companies, etc.

Nationwide Tax Seminars Live and Online:

Breakout Sessions in 2023:

The Taxpayer Experience with IRS Independent Office of Appeals

Keynote Address with IRS Commissioner Danny Werfel

IRS – Strategic Operating Plan and Implementation

Recent Developments in Foreign Withholding and Information Reporting

Foreign Gift and Trust Reporting on Forms 3520 and 3520-A

The New Schedules K-2 and K-3 and Form 1116, Foreign Tax Credit and Reporting Items from Schedule K-3 on Form 1040-NR, U.S.

Nonresident Alien Income Tax Return

Circular 230 and Ethics in Tax Practice: How You Can Stay Out of Trouble

A Potpourri of (Potentially Painful) Tax Professional Problems

IA - Identity Verification for Tax Professionals

Taxable Transactions with Digital Assets

Abusive Tax Avoidance Transactions

Changes to 1099-K Reporting Requirements

What You Need to Know About the Information Returns Intake System

Retirement Plan Distributions after SECURE 1.0 and SECURE 2.0

Assist with Individual Taxpayer Identification Number Services;

Become an Acceptance Agent

Tax Law Changes for 2023

Identity Protection

Sailing Through the Rules of Refundable Tax Credits

01/10/2024

Who Needs Tax Preparer and Bookkeeping Insurance?

Our tax preparer, bookkeeping and accounting insurance coverage can help protect:

Tax preparers
Bookkeepers
Accountants

How Much Does Tax Preparer Insurance Cost

What Types of Insurance Do Tax Preparers Need?

Common business insurance coverages for bookkeepers, professionals in accounting and tax preparers include:

A Business Owner's Policy (BOP)

Cyber Insurance

Professional Liability

Valuable Papers & Record Coverage

01/09/2024

Don't forget to have your Tax Office listed on Google Maps:

Getting your business listed on Google Maps is a straightforward process that involves three main steps: claiming or creating your Business Profile, verifying your business, and optimizing your profile.

Here's a breakdown of each step:

1. Claim or Create Your Business Profile:

Claim an existing profile: If you already have a Google Business Profile but haven't claimed it yet, search for your business name on Google Maps. If you find your business listing, click "Claim this business" and follow the on-screen instructions.

Create a new profile: If you don't have a Google Business Profile yet, head to https://www.google.com/business/ and click "Add your business". Enter your business information, including name, address, category, and contact details.

2. Verify Your Business:

Once you've claimed or created your profile, you'll need to verify your business to prove ownership and gain full access to its features. Google offers several verification methods, including postcard, phone call, email, or instant verification through Google

Search Console (if eligible). Choose the most convenient option and follow the instructions.

3. Optimize Your Profile:

With your business verified, it's time to make your profile shine!

Here are some optimization tips:

Complete your profile information: Add detailed descriptions, high-quality photos, operating hours, services offered, and any links to your website or social media pages.

Choose the right categories: Select the categories that accurately represent your business to ensure better search visibility.

Encourage customer reviews: Actively request reviews from satisfied customers to build trust and credibility.

Respond to reviews: Address both positive and negative reviews professionally and promptly.

Post regular updates: Share news, promotions, and events through Google Posts to keep your profile active and engage with potential customers.

By following these steps and consistently managing your Google Business Profile, you can increase your business's online visibility and attract more customers through Google Maps.

Here are some additional resources that you might find helpful:

Google Business Profile Help Center: https://support.google.com/business/?hl=en

How to Add Your Business to Google Maps: https://www.google.com/business/

7 Tips for Optimizing Your Google My Business Listing: https://blog.hubspot.com/marketing/google-my-business

I hope this helps! If you have any further questions about getting your business listed on Google Maps, feel free to ask.

01/09/2024

A requirement of the EFIN application process is that you must submit your fingerprints for a security review.

Here's a summary of the IRS's new electronic fingerprinting process for e-file applicants:

Purpose: To enhance security and protect taxpayer information by verifying the identities of individuals seeking approval to electronically file tax returns for others.

Key Changes:

No more paper fingerprint cards: Applicants will no longer need to submit physical fingerprint cards (Form FD-258).

Mandatory electronic fingerprinting: All new Principal and Responsible Officials listed on e-file applications must be fingerprinted electronically.

IRS-authorized vendor: The IRS has partnered with Fieldprint®, an electronic fingerprinting service provider, to conduct the fingerprinting process.

Scheduling link: Applicants can schedule their fingerprinting appointment directly from their e-file application summary page.

No charge: The electronic fingerprinting service is free to use.
Process:

Submit e-file application: Complete and submit your e-file application online.

Access scheduling link: Find the scheduling link on your application summary page.

Schedule appointment: Choose a convenient time and location from the available Fieldprint® locations.

Attend appointment: Visit the Fieldprint® location for electronic fingerprinting.

Fingerprints submitted: Fieldprint® will securely submit your fingerprints to the IRS for processing.

Benefits:

Faster processing: Electronic fingerprinting can expedite the application process.

Enhanced security: Electronic fingerprints are more secure and reliable than paper fingerprint cards.

Convenience: Applicants can schedule appointments online and choose from multiple locations.

No cost: The service is free to use.

Additional Information:

Existing applicants: If you're already an authorized e-file provider and have previously submitted fingerprint cards, you won't need to be fingerprinted again.

Professional credentials: If you hold certain professional credentials, such as being a certified public accountant (CPA), enrolled agent (EA), or attorney, you may be exempt from fingerprinting.

I hope this explanation is helpful!

Become an Authorized e-file Provider | Internal Revenue Service
Review the instructions to become an e-file Provider to save money, increase your productivity and build your business, while providing a service the majority of taxpayers now expect.