WHAT 5 TAX SCAMS TO AVOID 2011 SUMMER ??

5 TAX SCAMS TO AVOID THIS SUMMER LISTED BY IRS ARE:
1. HIDING INCOME IN OVERSEAS BANKS.
2. PHISHING - SCAM PERPETRATORS USE eMAILS TO CON UNSUSPECTING TAX PAYERS TO REVEAL PERSONAL AND FINANCIAL INFORMATION.
3. TAX RETURN PREPARER FRAUD i.e. DISHONEST TAX PREPARERS.
4. FILING FALSE OR MISLEADING FORMS.
5. FRIVOLOUS ARGUMENTS TO AVOID TAX PAYMENTS.
FOR MORE INFO. CALL KASH @ (925) 963 4891 or VISIT www.yajnikandmehta.com

WHAT ARE NEW "PTIN" RULES FROM IRS ?

IRS ISSUED NEW RULES IN 2011 TO REGULATE CONDUCT OF ALL PAID TAX RETURN PREPARERS.
1. ALL PAID PREPARERS MUST OBTAIN "PTIN" ( PREPARER TAX IDENTIFICATION NUMBER) FROM IRS.
2. TAX RETURN PREPARERS MUST SIGN NAMES, AND INCLUDE THEIR PTINS ON THE RETURNS AND REFUND CLAIMS THEY PREPARE FOR COMPENSATION,
3. STARTING JULY 7, 2011 IRS IS SENDING OUT LETTERS TO ABOUT 100K TAX RETURN PREPARERS ACROSS THE COUNTRY WHO VIOLATED THE NEW RULES.
4. THERE ARE ABOUT 712K TAX RETURN PREPARERS ACROSS THE COUNTRY.
5.  MAKE SURE YOUR TAX RETURN PREPARER SIGNS THE RETURN AND THERE IS A "PTIN" ON THE TAX RETURN.
CALL KASH AT YAJNIK & MEHTA ASSOCIATES (925) 963 4891 OR VISIT www.yajnikandmehta.com

IRS: NEW 2011 BUS. MILEAGE RATE...

IRS JUST ANNOUNCED THE NEW BUSINESS MILEAGE RATE - 55.5 CENTS PER MILE FOR THE FIRST HALF 2011. THEIR GOAL SEEMS TO OFFSET THE HIGH COST OF FUEL.
FOR MORE INFORMATION, CALL KASH @ (925) 963 4891 OR VISIT www.yajnikandmehta.com

IRS: eFILE STATISTICS...

HIGHLIGHT eFILE DATA FOR INDIVIDUAL TAX PAYERS:
1.  OVER 1 BILLION RETURNS eFILED SINCE 1986.
2.  OVER 100 MILLION RETURNS WERE eFILED BEFORE APRIL 18, 2011.
FOR MORE INFO. CALL KASH YAJNIK @ (925) 963 4891, OR VISIT www.yajnikandmehta.com

MOST OVERLOOKED FEDERAL TAX DEDUCTIONS...

LIST OVERLOOKED DEDUCTIONS BELOW:
1. STATE TAX REFUNDS ARE NOT BE TAXABLE TO THOSE WHO OWE AMT (ALTERNATE MINIMUM TAX) AS LONG AS REFUND IS LESS THAN THE STATE TAX DISALLOWED UNDER AMT.
2. CHARITABLE DONATIONS:
  o  DONORS MAY NOT DEDUCT TIME OR LABOR BUT MILEAGE OR UNIFORMS ARE   DEDUCTIBLE.
  o DON'T FORGET CHARITABLE PAYROLL DEDUCTIONS -  NOT LISTED ON THE W2 FORM     OR NO LETTER SENT TO SHOW THEM.
3. HEALTH INSURANCE PREMIUMS - FOR 2010 SELF-EMPLOYED INCOME IS REDUCED BY  THE HEALTH PREMIUM WHEN SE TAX IS CALCULATED.
4. MEDICAL EXPENSES - IF OVER 7.5%  OF AGI, DON'T FAIL TO DEDUCT THE EXCESS.
5. MOVING EXPENSES: TAX PAYERS WHO HAVE MOVED MORE THAN 50 MILES FOR WORK   MAY QUALIFY TO DEDUCT MOVING EXPENSES - FORM 3903.
6. DOMESTIC PRODUCER DEDUCTION (DPD) 9% - FOR OIL RELATED QUALIFIED ACTIVITIES AND INCOME, USE FORM 8903, IF APPLICABLE.

CALL KASH @ YMA (925) 963 4891 OR VISIT www.yajnikandmehta.com FOR MORE INFO.

IRS FEDERAL TAX PAYMENT TIPS...

LIST TAX PAYER TIPS COURTESY IRS:

1. NEVER SEND CASH.

2. FOR eFILERS YOU CAN AUTHORIZE WITHDRAWALS THROUGH TAX RETURN PREPARATION SOFTWARE OR YOUR TAX PROFESSIONAL.

3. PAY BY PHONE OR ONLINE USING CREDIT OR DEBIT CARD. ePay Option.

4.  PAY BY CHECK OR MONEY ORDER TO "UNITED STATES TREASURY"

ALL KASH, Yajnik & Mehta Associates @ (925) 963 4891 for more details...

TAX PAYER RED FLAGS...

AS A BUSINESS OWNER OR TAX PAYER, WATCH FOR RED FLAGS LISTED BELOW:

1.  DON'T BE A VICTIM OF DOZEN TAX SCAMS.  IF IT IS TOO GOOD, IT IS.
2. IRS VIGOROUSLY PURSUES TAX PAYERS HIDING INCOME FOREIGN BANK ACCOUNTS.
3.  WATCH FOR IDENTITY THEFT & PHISHING TO GET PERSONAL & FINANCIAL INFO.
4. BEWARE OF TAX SHELTER SCHEMES.

VISIT www.yajnikandmehta.com OR CALL KASH @ (925) 963 4891 FOR DETAILS.