interest
What’s New on the 2012 Form 1040 and Related Forms and Schedules – Part II
IRS has released on its website a number of the final tax forms and instructions for the 2012 tax year, including Form 1040 and related forms and schedules. They reflect many administrative and law changes that apply for the 2012 … read more
Can I Claim My Parents as Dependents?
These days it is not uncommon for people to be looking after or taking care of their parents or other aging adults. However, did you know that there are tax laws that can offer some help if you meet certain … read more
IRS' Second (and Last) Settlement Offer of Reduced Penalties for Offshore Tax Evaders – Part 1
On February 8, 2011, the IRS announced a second special voluntary disclosure initiative called the 2011 Offshore Voluntary Disclosure Initiative (OVDI) which will be available through Aug. 31, 2011. It will give taxpayers with undisclosed income from hidden offshore accounts … read more
Does Your S-Corp. Pay "Reasonable" Compensation?
Shareholders of an S-Corporation can generally receive distributions of profits without immediate tax consequences. However, the IRS has taken a long standing position that where the shareholder is also acting as an employee of the corporation, “reasonable” compensation must be … read more
VITA – Let's Work with the Software
In the continuing saga of teaching the VITA class, Andrea taught the second session without me, as I had a conflict. After some feedback, we rearranged our syllabus a bit, in order to work in some computer entry for the … read more
Taxation of Foreign Persons U.S. Activities
Unlike US citizens and residents of the U.S., non-resident foreign persons are generally taxed only on income earned from US sources. The US tax system separates US source income into two types: 1) income that is effectively connected to a … read more
Is My Personal Property Taxable?
In Arizona, property taxes are assessed on real and personal property. All of us, however, own some personal property that is exempt from property taxation. When is personal property subject to property tax? The definition of personal property, for property … read more
Antrel Rolle vs. the IRS
No offense to Adrian Wilson, but my favorite Arizona Cardinal defensive player the last few years was Antrel Rolle. I fell in love with him (NFL speaking) in 2007 during the Bengal game when he had 3 interceptions for touchdowns. … read more
Are You Sick Enough to Avoid Filing Your Tax Returns?
Shortly after I began working at Henry & Horne in 2007, one of my assignments was to prepare past due federal and state income tax returns for tax years 2003, 2004, 2005 and 2006 for a new client who had … read more