" What Are The Year End Business Tax Planning Tips?"

Provide Year End Tax Planning Tips For Business:
1. Sole Proprietors:  
    Q1: Did You Pay Correct Amount Of Estimated Tax based upon your 2013 Income ?
    If your Business Revenue was better than last year, need to Pay More Tax in Jan 2014 Quarterly Payment.
    Q2:  Self Employed Business can also revisit Retirement Plans SEP, SIMPLE, IRA, 401K to see if     Maximum Pre-Tax Investment is made for 2013 ?
     Q3:  Do you Qualify For Health Savings Account or Have Family Health Insurance Deduction ?
     Q4:  Employee Vs Contractor ?  1099-MSC Vs W2  -  TRS Requirements
2.  LLC:  
     Q1:  What is the Tax treatment - Partnership / C-Corp/ or S-Corp ?
     Q2:  What are Effects of Profit / Loss Distributions on your Personal Taxes ?
3.  S-Corp: 
     Q1:  How Are the Articles Of Incorporation Executed through out the Year ?
     Q2:  What to do if your hired Employees in 2013 ?
     Q3:    Did your business Sign Guaranteed Service Agreement in the 2013 ?
4.  C-Corp:
     Q1:  What would the Corp do with Retained Earning ?
     Q2:  Is Your Business Fully Utilizing Business Credits ?
   
For More Information or Q & A Contact : 
Kash, @ (925) 963 4891

Yajnik & Mehta Associates  (YMA) 
Facebook : www.facebook.com/yma.taxpro
Twitter :     http://twitter.com/kash_yajnik
Linked-In URL:
http://www.linkedin.com/company/3246905?trk=tyah&trkInfo=tas%3Ayajnik%20and%20mehta%2Cidx%3A1-1-1

" What is Year End Tax Planning for Tax Payers ? "

For Tax Payers who would file 1040 for 2013, see the list of Tax Planning Items  to focus on:
1. If 2013 Income is lower than prior Years and is expected to go high in the future years Consider converting Traditional IRA into a Roth IRA. Since the Income is lower the tax on conversion will also be lower than future years.
2. If you have invested in Stocks & Securities and the current price is higher, it would be prudent to hold on to them for longer than year since long term gains are taxed at a lower rate than short term rate.
3. However, is the Stocks and Securities that you bought in the year, have less value than what you paid, it would be wise to sell them before the year end and deduct the capital loss on your 2013 tax return.
4.  Are you withholding enough to pay for your Taxes and Avoid the April 15th, tax shock ?
5.  If you are getting a large Refund, Increase your allowances to withhold less tax and get more money in your pay check.
6.  Make Charitable donations before the year end and keep receipts.

For More Information or Q & A Contact : 
Kash, @ (925) 963 4891

Yajnik & Mehta Associates  (YMA) 
Facebook : www.facebook.com/yma.taxpro
Twitter :     http://twitter.com/kash_yajnik
Linked-In URL:
http://www.linkedin.com/company/3246905?trk=tyah&trkInfo=tas%3Ayajnik%20and%20mehta%2Cidx%3A1-1-1

"What is IRS Warning about Telephone Scammers ?"

IRS Warns people today that Phone Scam is rampant and is targeted towards Taxpayers including recent Immigrants through out the country.

Victims are told they owe money to IRS and must be paid promptly with Debit Card or wire Transfer.  If the victim refuses to cooperate then they are threatened with arrest, deportation, or suspension business or Drivers License. In many case the caller becomes hostile or insulting.

Rest Assured, IRS never asks for Credit Card or Debit Card Numbers, nor do they send Emails or Voice messages.  Sometimes Scammers use  Common Fake Names and Surnames, and IRS Badge Numbers. Sometimes Fakers recite the Last four digits Of Social Security Number.  Scammers also make it looks like IRS Toll free number.  Threat is also followed by fake IRS like calls threatening jail time if payment is not made.

If you get such calls call IRS at 1 800 829 1040, if there is payment issue.  Remember IRS uses US Mail Service for their correspondence. They do not make threatening calls nor demand Immediate payment and jail time.  So, Beware Scammers  your Gig is up and cover is blown...

For More Information or Q & A Contact : 
Kash, @ (925) 963 4891

Yajnik & Mehta Associates  (YMA) 
Facebook : www.facebook.com/yma.taxpro
Twitter :     http://twitter.com/kash_yajnik
Linked-In URL:
http://www.linkedin.com/company/3246905?trk=tyah&trkInfo=tas%3Ayajnik%20and%20mehta%2Cidx%3A1-1-1

" What Estimated Taxes Should the Sole Proprietors Pay ? "

Our Tax system is based upon " Pay as you go basis " i.e. Tax payer is supposed to pay 90% of the Tax liability as the tax year progresses. Generally, Self Employed Businesses will make Quarterly Tax Payments based upon prior year Revenue.

Catch:  What if the current year income is More / Less than prior year income by a wide margin?  There may be April Surprise for the Tax payer...

Solution:  Meet with your Tax professional to verify that Correct amount Quarterly Estimated Taxes are paid to avoid the April Surprise.

For More Information or Q & A Contact : 
Kash, @ (925) 963 4891

Yajnik & Mehta Associates  (YMA) 
Facebook : www.facebook.com/yma.taxpro
Twitter :     http://twitter.com/kash_yajnik
Linked-In URL:
http://www.linkedin.com/company/3246905?trk=tyah&trkInfo=tas%3Ayajnik%20and%20mehta%2Cidx%3A1-1-1

" What Are Post October 15, Tax Return Filing Implications ? "

When Tax Payer Files Tax Return after October 15, implications for Federal Tax and CA Returns are Listed Below::
1. The Federal & CA Tax Return can only be Paper Filed i.e. eFile Option is not available.
2. If the Tax Payer Owes money to IRS, following Penalties may apply:
       o  Failure To File Penalty
       o  Failure To Pay Penalty
       o  Electronic Payment Withdrawal Option From Tax payer Account is Not Available
3. If the Tax Payer is getting a Refund:
       o  Failure To File Penalty may apply.
       o  Refund Check will be processed in 6 weeks and mailed to Tax Payer.
       o  eDeposit Of Refund Check into Multiple Checking Accounts is not Available.

For More Information or Q & A Contact : 
Kash, @ (925) 963 4891

Yajnik & Mehta Associates  (YMA) 
Facebook : www.facebook.com/yma.taxpro
Twitter :     http://twitter.com/kash_yajnik
Linked-In URL:
http://www.linkedin.com/company/3246905?trk=tyah&trkInfo=tas%3Ayajnik%20and%20mehta%2Cidx%3A1-1-1

" When Will I get My IRS Refund Check ? "

Scenario:   
Taxpayer Filed Extension, before April 15th, and Does the following:
1.  eFiled  2012 Tax Return Before Octo 15, 2013.
2. Requested a Refund Check for 1000 $.
The Question is " When Will I get my Refund Check ? "
The Answer is - After the Government Shut Down Is Over.
The IRS is not sending out the Refund Checks as long a the Government is shut down. So Expect a delayed check.

For Q & A Contact : 
Kash, @ Yajnik & Mehta Associates (YMA) (925) 963 4891
Linked-In : kyajnik@yajnikandmehta.com
Facebook : kash@yajnikandmehta.com 
Twitter : Kash_Yajnik@kash_yajnik

" How Government Shut Down Affects IRS In SF East Bay Area ? "

Effects Of Current Government Shut Down on IRS in East Bay area are as follows:
1.  IRS Walnut Creek Tax Payer Center is closed.
2.  Refund Checks won't be sent.
3. Tax Courts are Closed.
4. Continue to eFile Tax Returns Until October 15, 2013.
5.  Many IRS Departments are closed - So call before sending items.
6. Much Longer Wait Times on IRS Telephone Calls.

For Q & A Contact : 
Kash, @ Yajnik & Mehta Associates (YMA) (925) 963 4891
Linked-In : kyajnik@yajnikandmehta.com
Facebook : kash@yajnikandmehta.com 
Twitter : Kash_Yajnik@kash_yajnik