Leah’s Accounting & Business Solutions Facebook Feed
*** Tax Tip Tuesday ***
Got a Letter? Owing Taxes?
Check if there’ a barcode on it. The Service is adding a QR barcode to its CP14 balance due notices. Taxpayers who receive the letter can use their smartphones to scan the QR code to go directly to the IRS’s website for information on resolving the balance due online.
*** JUST IN ***
IRS Announced - Tax Season will begin February 12th!!!!
The Internal Revenue Service (IRS) has announced that tax season will open on Friday, February 12, 2021. Yes, on a Friday.
The IRS will begin accepting paper and electronic tax returns that day. This is about two weeks later than had been expected. The delay allows the IRS time to do additional programming and testing of IRS systems following the December 27 tax law changes - especially those involving a second round of stimulus checks (Economic Impact Payments, or EIPs).
Are you ready? We are! If you receive your information PRIOR to, we can still get it entered into our tax program so when it’s time we “click-file”.
Our offices will resume normal business hours next week once our power has been restored. Call, or email for an appointment!
Happy Friday! The wind storms that came through here did a ton of damage. Yesterday I took a drive and saw multiple downed power lines, tress and all that fun stuff! The good news is, we are safe, we are warm and we are simply camping indoors! Our offices are still without power and internet...I guess we needed a long weekend!
Hopefully will be back up and running by tomorrow....that doesn’t mean we are open, we will be closed until Monday. I am receiving emails, and Wendy is able to work a little from her home (she has power and internet restored) but she has limited access to information, and can only get onto our server.
Stay safe, stay warm, be kind.
Good morning! Happy to hear that a ton of places in town have power back....sorry to say our office isn’t one of them! Another day of rest....maybe this is what we need before tax season is in full swing! Happy Friday Eve everyone....stay safe, stay warm and be kind.
Good morning! We hope you are all safe and warm! Our offices are closed for the day, we have no internet and no power. Hoping things will be restored soon, but high winds are expected all day!
*** Worry Free Wednesday ***
Victim of Scam?
The victim of scam has more time to roll over withdrawn IRA funds, as the IRS privately rules. For example, a woman took money out of the IRA to comply with the demands of fraudster posing as an enforcement official, who threatened her if she didn’t pay up. She later wanted to put money back into her IRA, but 60 days had already passed. The Service granted her 60 days from the date of the ruling to complete her rollover.
*** Tax Tip Tuesday ***
Economic Impact Payments
Here is a recent one: A parent claimed their 21-year-old daughter as a dependent on their 2019 Form 1040, but they won’t be eligible to claim her on their 2020 return. She plans to file her own return for 2020, and her income will be below the threshold for getting the $1,200 stimulus payment. Will she get the rebate? Yes, but not this year. She can instead claim the amount as a refundable credit on her 2020 Form 1040.
*** Worry Free Wednesday ***
Can’t Pay Your Tax Debts?
Get help form a Kinder – Gentler IRS in the new taxpayer’s relief initiatives. This will give taxpayers, who qualify for a short –term payment plans an additional 60 days to pay their tax debts, increasing from the original 120 days to the new 180 days to pay. Easing the paperwork requirements with respect to certain installment agreements in turn allowing some folks who owe less than $250,000 in 2019 taxes, penalties, and interest to set up an installment agreement without IRS filing a notice of federal tax lien. Suspending collection efforts for some taxpayers who are unable to pay.
*** Tax Tip Tuesday ***
IRA’s New Life Expectancy Tables for Required Distributions
For the first time since 2002, the tables have been updated by the IRS. This will account for more-current individual mortality rates and allow distribution to be spread over more years. For example, a 72-year-old IRA owner currently uses a distribution period of 25.6 years to calculate RMDs. Under the new table, a 72-year-old would use a period of 27.4 years. (Note that the government stimulus law waives RMDs for 2020.) Basing the RMDs on longer life expectancies allows plan participants and IRA owners to take out smaller annual payouts and lets them keep money in their accounts longer. The updated tables apply to computing withdrawals for 2022 and beyond, even for those people who have been using a shorter life expectancy in prior years.
Looking for a monthly planner to help you budget your family, your life, your business. Live planner at it's finest!
Give us a call and let us know how we can help.
Year End is here! Time to get rolling on W2's, 1099's and year-end forms! If you aren't a regular client, and need help, give us a call before it's too late!🤓
Our Offices will be closing early today, so we can ring in the New Year!
Happy New Year!
Stay safe out there! Love lives here!
*** Worry Free Wednesday ***
Is my purchase really business related, or would the IRS deem it a personal purchase?
Of course every situation is different in nature and will have specifics for justification of questionable purchases. Coleman v. Commissioner, 2020-146 a laptop deduction was denied by the IRS under Section 274(d) Substantiation Required
IRC 274(d) Substantiation required states, "No deduction or credit shall be allowed under section 162 or 212 for any traveling expense (including meals and lodging with away from home), for any expense for gifts, or with respect to any listed property (as defined in Section 280F(d)(4), unless the taxpayer substantiates by adequate records or by sufficient evidence corroborating the taxpayer's own statement (A) The amount of such expense or other item, (B) the time and place of the travel or the date and description of the gift, (C) the business purpose of the expense or other item, and (D) the business relationship to the taxpayer of the person receiving the benefit. The Secretary may by regulations provide that some or all of the requirements of the preceding sentence shall not apply in the case of an expense which does not exceed an amount prescribed pursuant to such regulations."
What does this mean? Record keeping is imperative for ALL deductions, if you can't prove it you loose it! If you need some assistance setting up adequate accounting services, contact our office. We are happy to help keep your records so that if you need them, you have them accessible!
*** Tax Tip Tuesday ***
For Montana Small Businesses & Residents
* The 2021 UI Wage Base for Employer and Employee contributions is $35,300
* Minimum Wage is increasing to $8.75 per hour.
* There is no tip credit.
Our offices will be closing early today and will remain closed Thursday December 24th and Friday December 25th so we can spend the holidays with our family. Merry Christmas, stay safe, be well, and love always!
*** Worry Free Wednesday ***
Holidays are here what is deductible for employee gatherings and what is not? With all the additional COVID regulations on businesses it may be tough to decide if it is worth it to host that annual christmas party, or celebration. Are there health hoops to jump through, yes. There are additional tax laws that you may need to know before you plan that small gathering.
Holiday gatherings and holiday parties are considered 100% deductible you meet the following:
* It can be classified as a social or similar activity primarily for the benefit of employee morale without a preference for highly compensated employees, owners, or officers.
There have been numerous things canceled this year due to the inability to follow all of the additional regulations imposed by COVID. If you can find a way to still have a small gathering, then do it!
*** Tax Tip Tuesday ***
For Washington Small Businesses & Residents - The WA Minimum Wage is increasing effective January 1, 2021
New Rates are as follows:
* 16 years and older - $13.69
* 14 - 15 years old - $11.64
* There is no tip credit.
* To be exempt in a firm of up to 50 employees; the employees must earn at least $821.40 a week ($42,712.80 annual).
* To be exempt in a firm of 51 or more employees; the employees must earn at least $958.30 a week ($49,831.60 annual)
* Computer Professional in firms up to 50 employees; at least $37.65 an hour
* Computer Professional in firms 51 or more employees; at least $47.92 an hour
*** Worry Free Wednesday ***
Are you a small business that applied for an received the PPP Loan back in April? If so I have some great news for you! The "final" (nothing is every really final with the IRS) regulations are out that will make applying for forgiveness of the loan process simple if the amount you received was under $50,000
If you borrowed $50,000 or less you do not have to:
* Maintain the number of employees formerly employed; or
* Ensure that employee compensation was not reduced by more than 25%; or
* Provide data on employee hours and salaries on the application; or
* Show calculation of the requested forgiveness amount. Borrows need only state the amount of the loan they believe qualifies for forgiveness. Lenders do not have to verify the claim or review borrowers' receipts or other documents to verify the forgiveness amount.
As a small business it is your responsibility to keep all records as your records are potentially subject to audit in the future.
*** Tax Tip Tuesday ***
For Idaho Residents - if you received money from the state due to COVID-19 Pandemic, be aware that this money is taxable for the state.
* Idaho Unemployment benefits
* Pandemic Unemployment Assistance for self-employed workers, including independent contractors, and gig workers
* Rebound Idaho Grants for Small Businesses and the Self-Employed
* Idaho's Return-to-Work bonuses for employees idled as a result of the pandemic who returned to work from April 20th through July 15th.
If you think you may owe, you can make and estimated tax payment. Or, start putting away some savings now for the tax bill that will be due in April. If you need to do some tax planning to see where you stand, please contact our offices for an appointment.
*** Worry Free Wednesday ***
Did you know this week is National Tax Security Awareness Week? Scammers are out more than ever this year, just adding to the already hectic year we have all experienced. As the holidays are upon us and 2021 tax season right around the corner, here are a few basic steps that everyone should remember during the next few months.
* Use security software on computers and mobile devices, and keep them updated
* Purchase anti-virus software that includes features to protect against malware.
* Be on the lookout for Phishing Scams - these come in a variety of methods from emails, phone calls and text messages. Remember if it is from the IRS you should receive a letter FIRST.
* Use strong and unique passwords for all online accounts.
* Take advantage of multi-factor authentication whenever possible.
* Shop at sites where the web address begins with "https" - the "s" is for secure communications over the network.
* Don't shop on unsecured public Wi-Fi places.
* At home, make sure you secure your network with a password.
* Back up fiels on computers and mobile phones regularly
* If you are working from home due to COVID, consider using a virtual private network (VPN) to securely connect to your workplace.
*** Tax Tip Tuesday ***
Are you ready to file your taxes? What are some things you should do before the tax year ends?
* Donate to a charity. Taxpayers who don't itemize may take a charitable deduction of up to $300 for cash contributions made in 2020 to qualifying charities.
* Report any name or address change to the IRS and Social Security Administration
* Renew expiring ITINs
* Contribute salary deferral to a retirement plan to maximize the tax credit for eligible contributions.
If you would like assistance, or any tax planning, contact our offices for an appointment, we are happy to help!
*** Worry Free Wednesday***
Just a reminder to those of you that were laid off, received unemployment, including the additional $600 per week under the CARES Act; all the money received is considered taxable and must be included in gross income.
If you are currently receiving benefits you can opt to have taxes withheld. If you have returned to work, and did not have taxes withheld from Unemployment income, you can adjust your wages to have more withheld. If you have not had any taxes withheld, it is highly recommended to make an estimated tax payment.
There is still time for some last minute tax planning, contact our office for an appointment!
*** Worry Free Wednesday***
Just a reminder to those of you that were laid off, received unemployment, including the additional $600 per week under the CARES Act; all the money received is considered taxable and must be included in gross income.
If you are currently receiving benefits you can opt to have taxes withheld. If you have returned to work, and did not have taxes withheld from Unemployment income, you can adjust your wages to have more withheld. If you have not had any taxes withheld, it is highly recommended to make an estimated tax payment.
There is still time for some last minute tax planning, contact our office for an appointment!
*** Worry Free Wednesday ***
Just a reminder to those of you that were laid off, received unemployment, including the additional $600 per week under the CARES Act; all the money received is considered taxable and must be included in gross income.
If you are currently receiving benefits you can opt to have taxes withheld. If you have returned to work, and did not have taxes withheld from Unemployment income, you can adjust your wages to have more withheld. If you have not had any taxes withheld, it is highly recommended to make an estimated tax payment.
There is still time for some last minute tax planning, contact our office for an appointment!
*** Tax Tip Tuesday ***
Subcontractors, sole proprietors, and LCC's will see a new form this year. Technically, it isn't new, it was used 30 years ago to report Non-Employee Compensation. The reason for this is to help clarify the separate filing deadlines on Form 1099-MISC and the new 1099-NEC.
If you previously received a 1099 MISC for these type of services you will now receive a 1099 NEC by January 31st every year.
So what is nonemployee compensation?
* A payment made to someone who is not your employee.
* A payment made in the course of your trade or business.
* A payment made to an individual, partnership, estate or corporation.
* A payment totals $600 or more.
Please contact our offices if you have any additional questions!
*** Worry-free Wednesday ***
The biggest concern at this point should be, is the turkey completely defrosted!!!! Oh an who was cooking the pies?
Wishing you all a Happy Thanksgiving. Love lives here!
*** Tax Tip Tuesday ***
A new year is quickly approaching, and it's almost time to prepare year end W2's and 1099's.
By Dec 1st - Plan to:
*Remind employees that if they want to change their Federal Withholding due to any changes, e.g. marriage, divorce, birth, adoption, child turning 21 etc., file a new W4 with your HR department. Some states also have withholding forms, so make sure to update all!
*Make sure employee paycheck names and SSNs match their SSI Cards and W4 Data in your payroll system.
*Employers can elect to use the Special Accounting Rule and treat employee personal use of a company provided vehicle in Nov and Dec as Paid in 2021
If you have questions, need forms for employees, contact our offices, we are always happy to help!
*** Worry-free Wednesday ***
Record keeping is imperative!
IRS tax court was held in favor of the IRS when auditing a sales rep who travelled to meet with clients and potential clients and disallowed multiple deductions claimed by the individual. Proving payment is NOT proving deduction.
IRC Section 274 holds records must establish the specific date of arrival, departure time of each trip, the name of events attended, clients met with or business discussed on EACH trip.
If you want a hassle free way of accurate record keeping, give our offices a call, we are happy to offer additional guidance and suggestions.
*** Tax Tip Tuesday ***
Final entertainment and business meal deduction regulations have been issued!
For food and beverage to be a deductible business meal expense:
*the expense must not be lavish or extravagant under the circumstances
*taxpayer or employee must be present when food or beverages are furnished
*meal must be provided to a business associate.
If you have any questions, or need assistance in determining what is and isn't allowed please contact our offices, we are always happy to offer guidance.
We adopted this motto for our office a few months ago. An office sign has been in production for a few weeks. We felt today was a good day to share.
It's been said, ya get what ya pay for....Are you shopping at Kmart, or Nordstorm (we aren't talking rack)
*** Worry-free Wednesday ***
Good news from the IRS! The IRS will automatically abate some penalties due to mail backlog! Approximately 5 MILLION pieces of mail have accumulated due to COVID Pandemic shutdown.
The IRS system may automatically mail a penalty notice which will be abated once the IRS catches up. Also halted, automated collection actions!
If you have any questions or receive a notice you are not sure about, feel free to contact our offices, we are happy to do the footwork!
Looking for some feedback.
What sort of updates, information, and regular weekly posts would be interesting?
How often would you like to see posts about information, such as updates on payroll taxes, new tax, payroll and sales tax rates, changes or updates, suggestions for business operations, excel questions....?
Business planning or tax planning information? Personal finance, how to lower debt and raise your credit score?
I’m curious what is most helpful to my readers. I get a large variety of regular updates from 7 different states, the IRS, and a variety of business organizations I’m affiliated with, and sometimes I struggle with what I should share, and what my readers are interested in hearing about.
Feel free to comment suggestions on this post or send me a private message!
I appreciate each an every one of you and love doing what I do and helping everyone I can!
*** Tax Tip Tuesday ***
I can't believe it has been so long since I had the opportunity to share some Tax Tips on Tuesday! All I can say it has been a busy year with all the changes due to COVID.
I hope you are all staying safe and are well.
I'm sure people have heard this before but with the influx of changes I want to remind everyone that Gift Cards are NEVER used or requested to make tax payments. The most common way scammers will request gift cards is over the phone, through email, or social media.
Remember these key things and don't get scammed!
* The IRS will NEVER call to demand immediate payment, generally you will receive a letter in the mail FIRST.
* The IRS will NEVER demand the taxpayers pay taxes without the opportunity to question or appeal the amount they owe.
* The IRS will NEVER threaten to bring local police, immigration officers or other law enforcement to have the taxpayer arrested for not paying.
* The IRS will NEVER threaten to revoke the taxpayer's drivers license, business license or immigration status.
If you receive one of these types of messages it is a good idea to report it to the Tax Administrator, IRS, or call our office and we would be happy to assist you!
What’s new you may ask....well there are changes happening everyday! Our office has been focusing on tax returns.....STILL. Deadlines are right around the corner! If you are a Corporation, S-Corp or Partnership the extension deadline is September 15th, if you are an Individual, Trust or Fiduciary the extension deadline is October 15th.
Call and set up your appointment today or drop your things by, the deadlines will be here before you realize it!
*** Idaho Residents ***
Just in, the State of Idaho has passed a new law that allows first-time home buyers in Idaho to save money toward the purchase of a home while reducing how much Idaho Individual Income Tax they owe.
Idahoans who set up a First-Time Home Buyer Savings Account at an Idaho Financial Institution can claim and income tax deduction on their account contributions and interest earned starting with their Idaho Income Tax Return for 2020. Single/Head of Household Individuals can deduct up to $15,000 each year, and Married couples filing jointly can deduct up to $30,000 a year.
Withdrawals from the account, including accrued interest, aren't taxable when account owners use the money to make a down payment on their first home or to cover other eligible costs related to buying the home. Account owners can't have previously owned a home.
For more information, refer to Idaho Code Section 63-3022V:
legislature.idaho.gov/statutesrules/idstat/Title63/T63CH30/SECT63-3022V/
Section 63-3022V – Idaho State Legislature
legislature.idaho.gov
P.O. Box 83720Boise, ID 83720-0038P: 208-332-1000 | F: 208-334-2491 Information Center: P: 208-332-1000 E: idleginfo@lso.idaho.gov***Everyone BUT Idaho Residents***
Tomorrow is the day! If you haven't filed your tax return or filed for extension yet, contact our offices we can help!
For all of my clients that are in this boat, don't worry, I've already filed your extensions!
So excited that Tax Season will be OVER.....welllllll for a second that is! October 15th is right around the corner!
It's vacation time for this crew! Our offices will be closed from today at noon, returning Monday July 6th. I hope you all have fun, happy and safe 4th of July celebrations!
In case you missed it....we are in the Guide to the St Joe Valley 2020!
I owe this all to my clients, thank you for support of this small business!
Also a HUGE thank you to Tammy Trayer with Trayer Designs! You are AMAZING! Every time I come up with a wild advertising or website idea you knock it out of the park! ❤️❤️❤️
***Idaho Return to Work Bonuses***
So the details on how to qualify for the Return to Work Bonuses for the State of Idaho were released on Monday.
In summary, the Employer's apply for the benefits, and then pay the money to Employee's that choose to return to work between May 1, 2020 and July 1, 2020. The employee's position can be either full time or part time, full time will receive a one time $1,500 bonus, and part time will receive a one time $750 bonus.
Businesses can apply for the funds on or after July 13th, if they have employees who have completed the four-week work requirement.
If you are an employer and would like assistance with the application process, please contact our office, we are happy to help!
For the full article and requirements please visit:
rebound.idaho.gov/return-to-work-bonuses/
Return to Work Bonuses - Idaho Rebounds: Our Path to Prosperity
rebound.idaho.gov
Eligible entities may apply starting at noon MT on July 13, 2020 (subject to available funding). Bonuses will be awarded on a first-come, first-served basis until bonuses are fully expended. [...]Please let me introduce you to our new part-time Summer intern!
Jacob Spence joined our company last Monday and will be working for our office through August when he returns to college. Here is some information he would like you to know about her:
"My name is Jacob Spence I graduated from St. Maries High School and am currently a sophomore at University of Idaho with a dual major in Accounting and Economics. I am also the current treasurer of the UI Economics club. I am looking forward to working for Leah this summer because I can use what I've learned throughout the year in the University of Idaho College of Business and Economics to help out wherever I can and learn new things that job experience can teach, like how an office functions."
Please help me give Jacob a warm welcome!
Please let me introduce you to our new full time employee!
Wendy Baskin joined our company this Monday, and here is some information she would like you to know about her:
"Hi Everyone,
My name is Wendy Baskin and I am so excited to be a newbie here at Leah's Accounting Solutions. My family and I moved to St. Maries about 3 years ago and we are proud to call this our forever home. I have over 20 years of accounting experience while running a HVAC business as well as a home preschool/daycare. I look forward to being a part of Leah's growing business and serving our wonderful community with all their business needs."
Please help me give Wendy a warm welcome!
*** Idaho Workers***
Just in, under the Idaho Rebounds: Our Path to Prosperity, the Idaho Workforce Development Council is working to finalize a "Return to Work Bonus" for all unemployed individuals that return to work! This will be a one-time cash bonus of $1,500 for full-time work and $750 for part-time work, and will be provided to the worker after returning to work.
Eligibility and how to apply are expected to be available on June 15th.
***Idaho Residents***
The deadline for 2019 taxes is quickly approaching! In case you missed it, the State of Idaho was the ONLY state that extended tax deadline to June 15th instead of July 15th like the IRS. Why you may ask, they needed to make sure they could prepare the busget for next year!
If you haven’t filed yet, don’t worry there is still time! Call or make an appointment, we are happy to help! If you want to file an extension, our offices can do that as well!
We are still accepting applications, if you have prior bookkeeping experience that is a plus! Looking to get a person hired and working by June 1st! The most important requirement is that you know your way around QuickBooks, all the other duties can be taught if you are willing to learn. 😬
***PPP Loan Forgiveness***
On Friday, May 15th the process to apply for PPP Loan Forgiveness was released. If you are curious about the information it can be accessed on the SBA site:
www.sba.gov/document/sba-form--paycheck-protection-program-loan-forgiveness-application
If you need assistance, give our offices a call, we'd love to help!
Paycheck Protection Program Loan Forgiveness Application
www.sba.gov
PPP Loan Forgiveness Calculation FormGood morning on this beautiful Saturday morning! As I sit here on the couch sipping my coffee enjoying the sunrise through my living room windows I have made the decision that our office will reopen to the public on Monday.
Please be respectful, as my office will be open by appointment only. For those of you that I have been holding tax returns in my office, I will give you a call next week and we can schedule a time for you to pick them up.
I truly appreciate everything that my friends, family and clients have done to be supportive of our small business during these unprecedented times. Looking forward to the true end of tax season....it’s coming....I hope!
***Idaho Small Business***
Idaho Rebound Small Business Grant of up to $10,000 in financial grant support for Idaho small business and nonprofits with employees that have suffered interruptions due to COVID-19 eligibility details are now available.
To learn more visit: rebound.idaho.gov/idaho-rebound-cash-grants-for-small-businesses/
There is additional information listed on where you can access additional help if you do not qualify. Self-employed or independent contractors can seek assistance from the Pandemic Unemployment Assistance program through the Idaho Department of Labor.
Idaho Rebound Cash Grants for Small Businesses - Idaho Rebounds: Our Path to Prosperity
rebound.idaho.gov
Idaho small businesses are the lifeblood of our communities and the backbone of our state’s economy. However, the ongoing COVID-19 outbreak has forced widespread closures of small businesses across the [...]We are excited to announce that our office has an opening for a Bookkeeper to join our company. Must be local and in St. Maries, ID
Responsibilities will include:
Documenting transaction details
Entering financial transactions in databases
Organizing financial reports
Fact-checking accounting
Balance accounts by reconciling entries.
Notifying senior staff of accounting errors
Processing a variety of Quarterly reports for multiple states, including Payroll and Sales Tax.
Processing payroll for client accounts
Assisting with preparation of income tax returns for individuals, corporations, partnerships, and fiduciaries.
Contributes to team effort by accomplishing related results as needed.
A successful candidate will possess the following skills and qualifications:
Attention to detail and accuracy
Able to multi-task, prioritize, work under pressure and meet deadlines
Ability to communicate complex data clearly
Excellent data entry skills
Great interpersonal and customer service skills
Familiarity with a wide range of financial transactions including Accounts Payable and Accounts Receivable
QuickBooks Desktop and QuickBooks Online is a MUST
Must be proficient with Microsoft Word, Excel, and Outlook
Must like dogs too! Potato and Chip are the office mascots and they come to work with us daily!
Wage DOE. Looking to have this person start no later than June 1st.
If you think you have what it takes, please email your cover sheet and resume to landerson@leahsaccountingsolutions.com with the subject "Bookkeeper Position - Your Name"
Some exciting news for Idaho Small businesses that did NOT receive any funding from the PPP or received less than $10,000!
If you need assistance setting up the TAP portal, we are happy to help!
rebound.idaho.gov/idaho-rebound-cash-grants-for-small-businesses/
Idaho Rebound Cash Grants for Small Businesses - Idaho Rebounds: Our Path to Prosperity
rebound.idaho.gov
Idaho small businesses are the lifeblood of our communities and the backbone of our state’s economy. However, the ongoing COVID-19 outbreak has forced widespread closures of small businesses across the [...]Are you a small business that received a deposit from "ACH SBAD TREAS 310 MISC PAY" and wondering what this is for....if so read on.
This is your EIDL (Economic Injury Disaster Loan) advance. If your small business applied for the SBA EIDL loan from the recently passed CARES Act that is set to provide up to $10,000 to provide economic relief, then you may have received an advance of this loan in the bank account you used when submitting the application. This advance does NOT have to be repaid, however any loan following it does.
The advance can be anywhere from $1,000 to $10,000. Most small businesses will receive $1,000. If you received this advance, then the SBA has received your application.
There is no word yet on when the loans will be funded and processed, but you should receive an email from your funds provider on the terms, full loan amount, and instructions on repayment.
***People Receiving SSI***
Action Needed for Social Security Beneficiaries with Dependents and Who Do Not File Tax Returns to Receive $500 Per Child Payment
“Social Security beneficiaries and Supplemental Security Income (SSI) recipients who don’t file tax returns will start receiving their automatic Economic Impact Payments directly from the Treasury Department soon. People receiving benefits who did not file 2018 or 2019 taxes, and have qualifying children under age 17, however, should not wait for their automatic $1,200 individual payment. They should immediately go to the IRS’s webpage at www.irs.gov/coronavirus/non-filers-enter-payment-info-here and visit the Non-Filers:
Enter Payment Info Here section to provide their information. Social Security retirement, survivors, and disability insurance beneficiaries with dependent children and who did not file 2018 or 2019 taxes need to act by Wednesday, April 22, in order to receive additional payments for their eligible children quickly. SSI recipients need to take this action by later this month; a specific date will be available soon.
Non-Filers: Enter Payment Info Here | Internal Revenue Service
www.irs.gov
Steps to receive the Economic Impact Payment if you haven't filed a tax return for 2018 or 2019, and aren't receiving Social Security, SS Disability Income or Railroad Retirement benefits. This payment is also referred to as "stimulus checks" or "coronavirus relief."***People Receiving SSI***
Action Needed for Social Security Beneficiaries with Dependents and Who Do Not File Tax Returns to Receive $500 Per Child Payment
“Social Security beneficiaries and Supplemental Security Income (SSI) recipients who don’t file tax returns will start receiving their automatic Economic Impact Payments directly from the Treasury Department soon. People receiving benefits who did not file 2018 or 2019 taxes, and have qualifying children under age 17, however, should not wait for their automatic $1,200 individual payment. They should immediately go to the IRS’s webpage at www.irs.gov/coronavirus/non-filers-enter-payment-info-here
And visit the Non-Filers: Enter Payment Info Here section to provide their information. Social Security retirement, survivors, and disability insurance beneficiaries with dependent children and who did not file 2018 or 2019 taxes need to act by Wednesday, April 22, in order to receive additional payments for their eligible children quickly. SSI recipients need to take this action by later this month; a specific date will be available soon.
Non-Filers: Enter Payment Info Here | Internal Revenue Service
www.irs.gov
Steps to receive the Economic Impact Payment if you haven't filed a tax return for 2018 or 2019, and aren't receiving Social Security, SS Disability Income or Railroad Retirement benefits. This payment is also referred to as "stimulus checks" or "coronavirus relief."Our offices are closed today.....even though our April 15th deadline has been moved to July 15th we decided to stay true to the way our company operates. Today is a date of rest, our way of saying “thank you to ourselves for the long days that you put in over the last 3 1/2 months”.
We will be intermittently in the office tomorrow, but will not be putting in a 12 hour day 😉.
Thank you for supporting this small business! ❤️💙💜💚
*** Idaho State Interstate Truckers ***
Idaho-based interstate truckers with an IFTA license: If you’re required to file your 2020 first quarter International Fuel Tax Agreement (IFTA) return by April 30, 2020, you may report and pay by June 1, 2020. You won't owe interest to any jurisdiction or penalty if you report and pay by the extended due date.
A little slow to get this update out! It was announced on the 9th, so many updates to keep you all informed of! Happy Saturday!
*** Direct Deposit UPDATE for EIP’s ***
Announced today by the IRS - Get My Payment Tool Available April 17
For Non- filers that need to submit an EIP return, you can now do so at:
www.irs.gov/coronavirus/non-filers-enter-payment-info-here
To help everyone check on the status of their payments, the IRS is building a second new tool expected to be available for use by April 17. Get My Payment will provide people with the status of their payment, including the date their payment is scheduled to be deposited into their bank account or mailed to them.
An additional feature on Get My Payment will allow eligible people a chance to provide their bank account information so they can receive their payment more quickly rather than waiting for a paper check. This feature will be unavailable if the Economic Impact Payment has already been scheduled for delivery.
If you need ANY assistance, please contact our offices. We will assist non-filers free of charge as our way to give back during these times.
Stay tuned for more updates!
Non-Filers: Enter Payment Info Here | Internal Revenue Service
www.irs.gov
Steps to receive the Economic Impact Payment if you haven't filed a tax return for 2018 or 2019, and aren't receiving Social Security, SS Disability Income or Railroad Retirement benefits. This payment is also referred to as "stimulus checks" or "coronavirus relief."Wellllllllll shoot! Lost power....not sure when it will truly be restored, guess that means the office is closed for the weekend! ❤️
*** Economic Impact Payment (EIP) Returns ***
People who aren't typically required to file a tax return do not have to take any action to receive the Economic Impact payment, as they will be receiving the money either direct deposit, or by paper check (just as they would normally receive benefits).
If people on SSI, Railroad retirees and SSDI who have qualifying children need to get that information to the IRS to receive the additional $500 per qualifying child you will need to file an EIP Return.
Our office is now processing EIP returns, if you fall into this category, or know someone who does, have them contact our office, we would love to help!
*** Employee Retention Credit ***
For Employer’s affected by COVID-19 that keep their employees on payroll after March 21, 2020 through January 1, 2021; the IRS has designed an refundable Employee Retention Credit that is 50% up to $10,000 in wages paid by an eligible employer whose business has been financially impacted.
First it must be determined if you are an eligible employer, then calculate the amount of the credit. Once you have determined the credit, the amount can be immediately reimbursed by reducing required deposits of payroll taxes that have been withheld from employee wages in the amount of the credit. All wages and credits claimed will be reported on the 2nd Quarter filing of Form 941, if the tax deposits are not sufficient to cover the credit at that point, employers can submit an additional form to the IRS requesting an advance payment of the Employer Credit.
For more reading on this issue, content.govdelivery.com/accounts/USIRS/bulletins/2843b6b?reqfrom=share
If you have any questions, or need some assistance, feel free to call our offices!
content.govdelivery.com
WASHINGTON — The Treasury Department and the Internal Revenue Service today launched the Employee Retention Credit, designed to encourage businesses to keep employees on their payroll. The refundable tax credit is 50% of up to $10,000 in wages paid by an eligible employer whose business has been f...Good morning! I'm sure most of you know that help is out there....but where you may ask?
We have clients in multiple states, each state has updated their small business site to assist you in figuring out how to access and apply for the funding available through the COVID-19 Stimulus Package that was passed.
If you do a search for "Small Business STATE NAME COVID" in Google, you can find the state's small business website that will assist you and list all of the relevant links. Make sure you are accessing REAL SBA sites.....don't be fooled!
Our office has started to compile a listing of multiple state websites based on our client base, and would be happy to offer our assistance, Send a message or give us a call!
***Unemployment for Self Employed***
The question is, is this true????? The answer is YES! For the first time Self-employed people that are not able to operate their businesses due to COVID-19 are eligible to file for State unemployment. I don’t know yet how the payments are being made, or if they are coming from the Federal package that was just passed or from the State, but I do know that some changes have been made on multiple state unemployment sites.
How you ask.....? I have been assisting multiple clients over the last few days maneuver through different state websites, as each website is different and each state is implementing this differently. What I can share with you is this:
1. Create an online account.
2. Most states are adding to their dashboard a spot to “Manage Work History” - this is where you will add your self-employed business.
3. Gather your tax returns, I would suggest going back at least 3 years if you can. You will be adding up your Gross Income, on line 7 of your Schedule C for all the years you have been self employed, and entering this information.
4. Pick the industry, most states have added a drop-down menu with the “non-essential” businesses listed, if your business industry isn’t there, pick the closest one.
After adding your work history you may need to log in and log back out for you to be able to then apply for unemployment, when going through all the questions make sure you select “YES” you were affected by the COVID-19, most State sites have added a question, and I believe it is being used to pull data. Note - most of the people I have assisted have been told they will need to look for work, at least 2 jobs a week while on unemployment, please check with your unemployment office, but I do believe this is their standard....not sure if it really applies, but check with your local office if you can get someone on the line.
Your claim will say “0” but this just means it is being processed.....just be patient everyone.....We will get through this.
UPDATED - IDAHO SELF-EMPLOYED - When you come to the question asking if you will be returning to work within 16 weeks, answer “YES”....by doing this you should eliminate the “requirement to search for 2 jobs”
***Individual Income Tax Deadline***
Yes the IRS has automatically postponed filing AND payment deadlines from April 15, 2020 to July 15, 2020 for individuals, trusts, estates, or any type of unincorporated business entity. Interest and penalties will accrue after July 15th.
So this is "old news" right.....sort of....what does this mean for states? Well, State filing and payments vary by state.
We have clients in multiple states and have compiled the most up-to-date list that we can here:
Arizona - Tax Deadline: July 15, 2020
California - Tax Deadline: July 15, 2020
Idaho - Tax Deadline: June 15, 2020
North Dakota - Tax Deadline: July 15, 2020
Oregon - Tax Deadline: July 15, 2020
Good morning, I hope everyone is staying safe during these uncertain times. For those of you that missed it on the news this morning.....our government has finally come to a decision on HOW they will help us, but they haven't said WHEN.
Announced this morning, the $2 Trillion in aid will include (Please note the full details have yet to be released, these are just the key points that have been):
Individuals/Workers would receive $1,200 per adult (each spouse if married) with incomes up to $75K, with married couples up to $150K
Families would receive an additional $500 per child
A Significant expansion of unemployment benefits extending the unemployment insurance by 13 weeks and including a 4 month enhancement of benefits, extending to self-employed workers
Stay safe, be smart, we will get through this.
We would like to let everyone know that our offices will be closed to the public. What does this mean to you......
We are still working diligently to get taxes completed and filed so that if you are due a refund we can get you e-filed quickly and money directly deposited into your account.
We are still accepting NEW clients and EXISTING clients, if you haven't gotten your tax information in yet, do so!
Monthly Accounting, bookkeeping, payroll processing and other services will continue without any issues.
As many of you know, our offices are set up to work remotely as we have clients spanning across multiple states.
For our local clients, if you have paperwork to drop off, please put it in the mailbox outside our office on the porch and put the flag up to notify the staff there is mail in our box.
If you MUST come into our office, call and speak to someone in our office to make arrangements. As many of you know, we run our business out of a building next to Leah's personal home, and she doesn't want to bring anything back to her family.
Walk in faith, stay safe, and just know that we are all going to make it through this. Be the sunshine for people during these uncertain times.
Thank you for your understanding and continued support of our small business.
***UPDATE***
For those of you worried about being able to pay taxes, the IRS has just announced they will allow a 90 day deferral on tax payments INTEREST FREE.....it hasn't been announced anything yet on the State of Idaho...but remember we are a conformist state, so most likely we will conform....stay tuned, more will be revealed.
Took our office mascots, Potato and Chip down to the groomers today. Barks & Bubbles Groom Shop knocked it out of the park with these two! ❤️
***Tax Tip Tuesday***
The State of Idaho is considered a conformist state, and we conform to most of the Federal rules and regulations regarding the tax changes implemented by the IRS. The new changes implemented in the last two years have really affected Idaho tax payers, most have been slammed with extremely large state tax liabilities when filing taxes. Last year this was due to an issue where payroll programs were duplicating the standard deduction for married couples, so the State of Idaho developed their own Form IDW-4 breaking away from the Federal Form W-4 for the first time in history.....most of you may have noticed this didn't completely fix the issue, as many are filing their state of Idaho income tax returns for 2019 and owing taxes.
There are options - update your ID Form W-4, take the amount that you owe, divide it by the number of pay periods in the year, and write this amount as an additional payment to make. Have your tax preparer set you up for estimated quarterly payments....those are just a few. If you are interested in learning some more, give our offices a call, we are happy to go over other alternatives! Be prepared for 2020! Remember, the State's highest tax bracket is 6.925%, if you aren't paying in at least that of your AGI, you will owe.
Offices will be closed today and possibly tomorrow. Thank you for your understanding
***Tax Tip Tuesday***
With the 2020 tax season in full swing, keep in mind, it's a great time to facilitate new changes to your record keeping if you don't have a adequate record keeping system in place. If you have operated a "shoe box" system for years, or kept receipts in this pile, or that pile, now would be a great time to consider implementing a better process.
Good recordkeeping throughout the year helps ensure that nothing gets overlooked come tax time! There is a period of limitation for refunds claims (Federal the later of 3 years or 2 years after the tax was paid. States vary by the laws regulated by each state)
Our office is happy to help with all of these services, not only can we file your taxes, but we can set up a monthly plan to keep your records accurate throughout the year.
Just putting it out there.....I wear a large!!!! 🤣🤣🤣
Have a wonderful Sunday! We will be enjoying our day in the great outdoors!
Big news in the tax world today.....it's official, the IRS is open for business! E-filing is now being processed for Individuals. The sooner you make your appointment the sooner we can get started working on your taxes and get your refund!
For those of you anxiously waiting to file and get your refunds, the IRS is officially opening the 2020 filing season for Individual filers on January 27th 2020........if you have ALL of your information by then, give our office a call and schedule and appointment!
*** Tax Tip Tuesday ***
Payroll Taxes are the first "tax season" we experience every year! Small business owners, make sure you are using the correct form to pay employment taxes. There is a difference between Form 944 and Form 941, and they are not interchangeable.
Our office is happy to assist you in any of your payroll or 1099 needs, give us a call, send a message or email for any questions you may have!
***Tuesday's Tip - not necessarily a Tax Tip, just a tip!***
For 2020, you should NEVER shorten 2020 to "20" on Legal Documents. Think about it, when writing the date 01/07/20 someone could change this to a future or past date to defraud you and it can easily become "01/07/2019" or "01/07/2021".
We have decided that for the ENTIRE year, we are going to be dating ALL documents with the FULL year....why....cause 2020 ROCKS!
So.....I've been quiet for a little while...things have been busy around here, and they are about to get busier as tax season is upon us! YAY!
It has been brought to our attention that Tax Tip Tuesday has been missed!!!!!! Sooooooooo let me know if there are any questions you have, or things you may need tips on, as I am gearing up to get my Tax Tip Tuesday's rolling again!
Thank you all, and I look forward to a GREAT 2020!
We are closed for the holidays. Merry Christmas and Happy New Year! Our offices will reopen on January 2nd.
Our first parade appearance this year! We had such a great time participating in the annual Christmas in St Maries parade! Of course Potato stole the show!
Our offices are closed today through Monday for the holiday....I hope everyone has a wonderful Thanksgiving weekend. Surround yourself with love, laughter and life. Happy Thanksgiving to all my friends, family and clients that have become both! Be safe in your travels!
Why Work Wednesday when you can sit in front of Disney Plus all day and watch your favorite cartoons from the Disney Vault!!!!! Yep...I used to take Wednesday’s off as an “office day”....I think I am facilitating that rule today....office is closed! Up next, the Original Lion King!
Why is it that all my brilliant ideas come at midnight or 1 in the morning and here I sit at my desk and I can't remember any of them! Happy Hump Day! Let's hope I remember what I'm supposed to be working on today! Year end tax planning, Quarterly reports still not completed, studying for my exam, writing a business plan??? Who knows....I will just roll with my day as it comes...
On that note, if anyone needs year end tax planning, budgeting or if you are wondering "can we buy that house in 2020", give me a call, make an appointment, let's take a look at your credit and make a plan. We offer more than just "Accounting" we offer Solutions!
Apparently it’s National Boss’s Day! So Happy Boss Day to myself.....I give you a day off and a day of rest and recooperation! ❤️💚💜💞
Another successful “Second Tax Season” has come and gone, for those of you wondering....extensions were due yesterday. I am thankful that I love what I do, and grateful for the AMAZING clients I have! Thank you all for another great year!!!!! Today is a day of rest....I’m just crawling out of bed from the snuggles with my doggos....going to spend a day getting in some much needed “R’s”, relaxing, reading, and resting....tomorrow we start the process for next years tax planning cause it’s right around the corner!!!!! ❤️❤️❤️
Free Tax classes are being offered for small businesses by Idaho State Tax Commission....if you are interested in signing up, contact my office for more details!
Sept. 17th - Lewiston
Sept. 19th - Meridian
Oct. 8th - Boise
Oct. 16th - Coeur d'Alene
No tax tips today....instead, we’d love to hear your feedback about your experience with our office and services! Please take the time to leave a review and let us know your thoughts! Thank you for being a customer!
Our offices will be closed for the Fourth of July Holiday along with an extended vacation from July 2nd to July 8th. I hope you all have a safe and happy time celebrating!
***Tax Tip Tuesday***
Be on the lookout for new versions of scams and people trying to get your personal information.
One involves Social Security numbers related to tax issues .The other threatens taxpayers with a tax bill from a fictional government agency.
Remember these key things when working with the IRS, most ALL correspondence will be in written form. They will NOT call you, unless you are working with a specific representative or have a case worker/auditor assigned to you and you are under an official audit. If you receive a phone call or email, ALWAYS be suspicious....if in looks questionable, it probably is.
Contact our offices, we are always happy to investigate further and reach out to the IRS for you.
***Tax Tip Tuesday***
Just because we are sending our kids off to college, doesn't mean we don't get to claim them as dependents anymore! Remember there are some credits for students headed to college that will help come tax time!
Key things to remember are what are considered Qualified Education Expenses, these are amounts paid for tuition, fees and other related expenses for an eligible student.
There are different types of credits that can be claimed, education benefits, student loan interest deductions, scholarships and grants, qualified tuition programs, if you want to know more, call for an appointment!
Wow, what a busy month this has been! I would like to thank all of my clients for being so understanding the last few weeks as I have been busy juggling work and family as I helped my youngest son begin a new chapter of his young life. He graduated high school on the 1st of the month and as of yesterday has officially moved out of the house and into his first duplex down in Lewiston where he will start college this fall. Next week, things will be “back to normal” for me...well sort of! I have another kid coming home for a visit from college, friends visiting from California and then peace once again after the 8th of July! In the meantime, Tax Tip Tuesday will return this week with some pointers for parents with kids heading off to college! Happy Sunday!
***Tax Tip Tuesday***
Summer is just around the corner and that means jobs for teenagers!!!
Did you know that many kids ARE and SHOULD be paying taxes from their wages? Parents, make sure they are properly filling out Federal and State forms, you don't want to be surprised at the end of the year! Don't be fooled if you are told, "Your a teenager, your exempt".....that's not true.....there are a bunch of factors that determine who pays taxes.
If you need help, give me a call or send a message, I'm happy to assist you! Remember, Leah's Accounting Solutions isn't just open "during tax season" we offer solutions year round!
Happy Friday! This was shared on my page and I just thought it was hilarious!!!! Yes, I think I might just make a sign to hang in my office!