Paperclips Tax - North Office

08/16/2023

I have a Business for Sale by Owner. Any interest investors or entrepreneurs? Contact us.

09/29/2022

Yes Sir !

Very well said Bobby Jones 🙏

05/02/2022

Who Is an Employee of the Corporation? – Generally, an officer of a corporation is considered an employee of that corporation. The fact that an officer is also a shareholder does not change the requirement that any payments made to that officer must be treated as wages. Courts have consistently held that S corporation shareholders who provide more than minor services to their corporation (and receive payment in return) are employees whose compensation is subject to federal taxes.

Tax regulations do provide an exception for officers who do not perform services or who perform only minor services. These officers are not considered employees.

12/01/2021

December 1 - Time for Year-End Tax Planning

December is the month to take final actions that can affect your tax result for 2021. Taxpayers with substantial increases or decreases in income, changes in marital status or dependent status, and those who sold property during 2021 should call for a tax planning consultation appointment.

December 10 - Report Tips to Employer

If you are an employee who works for tips and received more than $20 in tips during November, you are required to report them to your employer on IRS Form 4070 no later than December 10. Your employer is required to withhold F**A taxes and income tax withholding for these tips from your regular wages. If your regular wages are insufficient to cover the F**A and tax withholding, the employer will report the amount of the uncollected withholding in box 12 of your W-2 for the year. You will be required to pay the uncollected withholding when your return for the year is filed.

December 31 - Last Day to Make Mandatory IRA Withdrawals

Last day to withdraw funds from a Traditional IRA Account and avoid a penalty if you were born before July 1, 1949. You may delay your first distribution to April 1, 2022 if your birth date is July 1, 1949 through December 31, 1949. If you are required to take a distribution in 2021 and the institution holding your IRA will not be open on December 31, you will need to arrange for withdrawal before that date.

December 31 - Last Day to Pay Deductible Expenses for 2021

Last day to pay deductible expenses for the 2021 return (doesn’t apply to IRA, SEP or Keogh contributions, all of which can be made after December 31, 2021).

December 31 - Caution! Last Day of the Year

If the actions you wish to take cannot be completed on the 31st or a single day, you should consider taking action earlier than December 31st.

10/15/2021

Treasury and IRS Disburse Fourth Month of Advance Child Tax Credit Payments

Since July, Treasury and the IRS have delivered over $61 billion dollars in direct payments to families

WASHINGTON — The U.S. Department of the Treasury and the Internal Revenue Service announced today that more than $15 billion dollars in payments were made to families that include roughly 61 million eligible children. This is the fourth monthly payment of the expanded and advanceable Child Tax Credit provided in the American Rescue Plan. Since the first payments were sent in July, Treasury and the IRS have delivered more than $61 billion dollars to families across the country. Eligible families received a payment of up to $300 per month for each child under age 6 and up to $250 per month for each child age 6 to 17.

10/01/2021

The House Ways and Means Committee has released an extensive list of proposed tax changes . Here are some of it. Increase in Corporate Tax Rate -Increase in Top Marginal Individual Income Tax Rate -Increase in Capital Gains Rate for Certain High-Income Individuals -Deduction for Certain Employee Trade or Business Expenses
-Application of Net Investment Income Tax to Trade or Business Income
-Limitation Qualified Business Income Deduction -Limitations on Excess Business Losses of Noncorporate Taxpayers -Surcharge on High-Income Individuals, Trusts, and Estates -Termination of Temporary Increase in Unified Credit -Estate Tax Valuation for Real Property Used in Farming -Certain Tax Rules Applicable to Grantor Trusts -Valuation Rules for Certain Transfers of Nonbusiness Assets
-Contribution Limits for Individual Retirement Plans -Increase in Minimum Required Distributions -Limiting Back Door IRA Conversions -Statute of Limitations with Respect to IRA Noncompliance -Investment of IRA Assets in Entities Where Owner Has a Substantial Interest -IRA Owners Treated as Disqualified Persons -Funding of the Internal Revenue Service -Limiting Qualified Conservation Contribution Deductions -Limitation on Deduction of Excessive Employee Remuneration -Termination of Employer Credit for Paid Family Leave and Medical Leave -
Temporary Rule to Allow Certain S Corporations to Reorganize as Partnerships Without Tax -Enhancement of Work Opportunity Credit During COVID-19 Recovery Period -Research and Experimental Expenditures --and so on....

07/23/2021

Just about ready to move...Our New Westlake/Natomas location.
3511 Del Paso Rd, Ste 150. Sacramento CA 95835