Please make sure to bring all of your documents to Your CPA

 Taxpayers should be sure to have all their info before going to a CPA

Taxpayers using a professional tax preparer (CPA) should make sure they have all their information readily available before their appointment. Collecting their information and getting copies of any missing documents before taxpayers sit down to prepare their return is critical to filing an accurate tax return. Having organized records and information in hand helps prevent filing errors and will likely create a smoother filing experience.

Here’s a list of information taxpayers may need. Not all information applies to all taxpayers.

• Social Security numbers of everyone listed on the tax return.
• Bank account and routing numbers for direct deposit or information to make a tax payment.
• Forms W-2 from employer(s).
• Forms 1099 from banks, issuing agencies and other payers including unemployment compensation, dividends, distributions from a pension, annuity or retirement plan.
• Form 1099-K, 1099-MISC, W-2 or other income statement for workers in the gig economy.
• Form 1099-INT for interest received.
• Other income documents and records of virtual currency transactions.
• Form 1095-A, Health Insurance Marketplace Statement.
• Letter 6419, 2021 Total Advance Child Tax Credit Payments, to reconcile advance child tax credit payments.
• Letter 6475, Your 2021 Economic Impact Payment, to determine eligibility to claim the recovery rebate credit.
• Information to support claiming other credits or deductions, such as receipts for child or dependent care, college expenses or donations.

Taxpayers can get information about their Economic Impact Payments and advance child tax credit payments through their IRS online account.
Taxpayers who don’t have their letters about their Economic Impact Payment to claim missing stimulus payments and advance child tax credit payments to claim their full child tax credit have an online option. They can log in to their IRS online account and get the information from the Tax Records tab.

For taxpayers who are married filing jointly, each spouse will need to have their own Economic Impact Payment and advance child tax credit information.

What taxpayers should do if they’re missing other documents
Taxpayers who didn’t receive a W-2 or Form 1099 should contact the employer, payer or issuing agency and request the missing documents. This also applies for those who received an incorrect W-2 or Form 1099.

If they still can't get the forms, they can use Form 4852, Substitute for Form W-2, Wage and Tax Statement or Form 1099-R, Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc. If a taxpayer doesn't receive the missing or corrected form in time to file their tax return, they can estimate the wages or payments made to them, as well as any taxes withheld. They can use Form 4852 to report this information on their federal tax return.

Call today to schedule a appointment. 718-227-6035. 

Bookkeeping requirements for Tax Compliance and Other Business Needs

 

Do I need a Bookkeeper? What does a Bookkeeper do?

Bookkeepers are responsible for recording and maintaining a business’ financial transactions, such as purchases, expenses, sales revenue, deposits, credit card transactions, invoices, and payments. The bookkeeper will record financial data into general ledgers, which are used to produce the balance sheet and income statement. The bookkeeper is generally responsible for overseeing the first six steps of the Accounting Cycle, while the last two are typically taken care of by an Certified Public Accountant (CPA).

Bookkeepers lay the groundwork for accountants to analyze and prepare the financial statements. Bookkeepers use software, such as Quickbooks or Sage,  to assist with the recording of transactions and generally use built-in data processing tools to help in the preparation of the general ledger.

If you require assistance with your bookkeeping, our office can supplement your existing team.  For example, your team may want to control the bank deposits, payroll, and bill payment.  We can handle what accounting items are left.  Call today for a free consultation. 718-227-6035 ext. 301, info@gosucpa.com, or visit us at Staten Island CPA

The Paycheck Protection Program (PPP), under the newly legislated Coronavirus Aid, Relief, and Economic Security (CARES) Act, provides small businesses with forgivable loans. Administered through the Small Business Administration (SBA), the PPP loan proceeds are to be expended on payroll, rent, mortgage payments, or utilities. Funding spent on covered expenses qualify for PPP loan forgiveness. The (PPPFA) Paycheck Protection Program Flexibility Act of 2020, enacted June 5, 2020, provides borrowers flexibility in their PPP loan. New options include a 24-week covered period, payroll expenditure requirement reduced to 60%, and, for those loans not forgiven, a repayment plan of 5 years.
For assistance with your PPP loan forgiveness or SBA loan (EIDL) compliance, please call our Staten Island CPA office to arrange for a free consultation.
718-227-6035 ext 301
or visit us at www.gosucpa.com

Looking to Buy or Lease that New Auto? Read This First

Looking to buy or lease a new auto or truck? If you own a business, you should definitely complete that transaction BEFORE the end of your taxable year. This will allow your business to take full advantage of your purchase. Whether you finance or buy your new vehicle, you can take advantage of the IRS Sec. 179 deduction (Depreciation) which could be substantial in the case of heavy trucks or heavy SUVs.
Don't trust your auto dealer, they will tell you that "leasing" a heavy truck has tax advantages, not so. In fact, there are luxury auto add backs that you should be making on your tax return. Good luck auto shopping.

Year End Bonuses For Small Businesses

Looking to give yourself a bonus for the end of the year for your small business? Unsure of the payroll tax consuequences? Your bonus may not be fully taxable, be sure to check the limitations so you do not overpay. Dont worry if you do, you can receive the excess via refund from the IRS. For 2008, the FICA limitations are set at $102,000. There is no limit for medicare. Do not overpay Fica, check your payroll to date before your bonus and calculate the applicable amount of tax. For a small business this could mean a potential overpayment of 12.4% (6.2% for the employee & 6.2% for the company match). If you have any questions, contact David C. Egan, CPA of Goldenthal & Suss CPA's & Consultants, P.C.