ECL Consulting, LLC is
dedicated to informing
and educating our
clients about business, accounting, QuickBooks and tax issues.
Our biweekly e-newsletter
provides
timely articles to help you manage
your business and
finances and
achieve your financial goals.
Please come back and visit often.
Electronic
filing of Forms 1098, 1099, and W-2G.
File Forms 1098, 1099, or W-2G with the
IRS. This due date applies only
if you file
electronically (not by magnetic media). Otherwise, see March
1. The due
date for giving
the recipient these forms will still be February 1.
For information about
filing Forms 1098, 1099, or W-2G
electronically, see Publication 1220, Specifications for Filing Forms 1098,
1099,
5498 and W-2G Magnetically or Electronically.
April Tax Deadlines
April 15
Individuals - File an income tax return for 2009 (Form
1040, 1040A, or 1040EZ) and pay any tax due. If you want an automatic 6-month
extension of time to file the return, file Form 4868, Application for Automatic
Extension of Time To File U.S. Individual Income Tax Return, or you can get an
extension by phone if you pay part or all of your estimate of income tax due
with a credit card. Then file Form 1040, 1040A, or 1040EZ by October 15.
Individuals - If you are not paying your 2010 income tax
through withholding (or will not pay in enough tax during the year that way),
pay the first installment of your 2010 estimated tax. Use Form 1040-ES.
Electing Large Partnerships - File a 2009 calendar year
return (Form 1065-B). If you want an automatic 6-month extension of time to file
the return, file Form 7004. Then file Form 1065-B by October 15. See March 15
for the due date for furnishing the Schedules K-1 to the partners.
Corporations - Deposit the first installment of
estimated income tax for 2010. A worksheet, Form 1120-W, is available to help
you estimate your tax for the year.
Employers - Nonpayroll withholding. If the monthly
deposit rule applies, deposit the tax for payments in March.
Employers - Social security, Medicare, and withheld
income tax. If the monthly deposit rule applies, deposit the tax for payments in
March.
April 30
Employers - Social Security, Medicare, and withheld
income tax. File form 941 for the first quarter of 2010. Deposit any undeposited
tax. (If your tax liability is less than $2,500, you can pay it in full with a
timely filed return.) If you deposited the tax for the quarter in full and on
time, you have until May 10 to file the return.
Employers - Federal Unemployment Tax. Deposit the tax
owed through March if more than $500.
Getting
Organized
As
a
small business owner you wear many hats. With all the rewards and
responsibilities
of ownership, it's no wonder that paperwork often
falls to the
bottom
of your list, along with organizing
your office,
work flow and schedule.
If
you want to eliminate
misplaced
paper files, know exactly where you put
that document on
your
computer, have a clutter-free path to your desk,
and remember
important
deadlines and appointments every time, contact
us to
put ECL's Organizing
Solutions
to work for you!
Better yet - call
us BEFORE
you get stuck to free up your
time
& start saving money!
QuickBooks
Specials
A+
Consulting, LLC is offering the following promotions:
25% off
QuickBooks
Enterprise Solutions 10.0
Up to 40% off
QuickBooks
Point of Sale 9.0 software and hardware
Tax season is fast upon us, and with it come tax scams. Test your knowledge of the IRS's top tax scams in our article below.
ECL Consulting, LLC provides accurate, timely, customized and accessible financial record keeping
solutions that
give you with the tools to make informed and profitable management
decisions.
IRS 2010 List of "Dirty Dozen" Tax Scams
The IRS
released its annual list
of scams that taxpayers should watch out for. The IRS uses the list
to alert taxpayers both to potential swindles as well as areas where
the IRS is aware that taxpayers will try to cheat. The list, which the
IRS dubs the “dirty dozen,” comprises:
Dishonest
return preparers;
Abusive
offshore transactions;
Phishing
schemes;
False
returns;
Nontaxable
Social Security benefits with excessive withholding;
Improper
charitable deductions;
Frivolous
arguments;
Abusive
retirement plans;
Disguised
corporate ownership;
Zero wage
returns;
Illegitimate
trusts; and
Excessive
fuel tax credits.
The 2010
list is the same as the 2009 list, although some of the descriptions of
the items have changed. For example, taxpayers are now warned about
phony Tweets under the “phishing” item.
In addition
to alerting taxpayers, the IRS uses the list to promote awareness of
various initiatives. In the “dishonest return preparers” item it
discusses its plans for return preparer registration. In the “abusive
offshore transaction” item, it talks about the recent voluntary
disclosure program.
In its
announcement, the IRS invites taxpayers to report suspected tax fraud
using Form 3949-A, Information Referral, and alerts them
to the existence of the IRS’ whistleblower program.
Ask
An Expert
Q: What will happen if I can't pay my taxes or file my return by April 15?
A: The tax
filing deadline is approaching. If you don’t file your return and pay your tax
by the due date you may have to pay a penalty. Here are nine things the IRS
wants you to know about the two different penalties you may face if you do not
pay or file on time.
1.If you do not file by the deadline,
you might face a failure-to-file penalty.
2.If you do not pay by the due date,
you could face a failure-to-pay penalty.
3.The failure-to-file penalty is
generally more than the failure-to-pay penalty. So if you cannot pay all the
taxes you owe, you should still file your tax return and explore other payment
options in the meantime.
4.The penalty for filing late is
usually 5 percent of the unpaid taxes for each month or part of a month that a
return is late. This penalty will not exceed 25 percent of your unpaid taxes.
5.If you file your return more than 60
days after the due date or extended due date, the minimum penalty is the
smaller of $135 or 100 percent of the unpaid tax.
6.You will have to pay a
failure-to-pay penalty of ½ of 1 percent of your unpaid taxes for each month or
part of a month after the due date that the taxes are not paid. This penalty
can be as much as 25 percent of your unpaid taxes.
7.If you filed an extension and you
paid at least 90 percent of your actual tax liability by the due date, you will
not be faced with a failure-to-pay penalty if the remaining balance is paid by
the extended due date.
8.If both the failure-to-file penalty
and the failure-to-pay penalty apply in any month, the 5 percent
failure-to-file penalty is reduced by the failure-to-pay penalty. However, if
you file your return more than 60 days after the due date or extended due date,
the minimum penalty is the smaller of $135 or 100% of the unpaid tax.
9.You will not have to pay a
failure-to-file or failure-to-pay penalty if you can show that you failed to
file or pay on time because of reasonable cause and not because of willful
neglect.
Ever
have tax, QuickBooks
or accounting question, but didn't know who to
ask? Now you can Ask An Expert. Send us your
question
and we'll answer it here.
New Arizona TPT Rates
Arizona has new Transaction Privilege
rates effective February 1, 2010. See table.
Have
you enjoyed this newsletter?
Have
any suggestions for things you'd like to see covered? Have a question for our resident
Accounting
Expert? Let us know
by
emailing askexpert@eclconsulting.com.
Each issue will cover
different
topics and have different features, so watch for our next
e-newsletter.
Remember,
we
provide accounting and cash flow solutions for successful companies
--
yours!
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about
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Contact
Us with your questions or comments and we'll be happy to extend a
free 1 hour consultation to all new clients!
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who could use ECL's services? When you refer someone who becomes
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client
we will give you either $25 off our services or a gift card to
one
of many great local businesses. *Please see Referral Rewards
on our website for more information.
ECL Consulting, LLC
PO Box 57669
Tuson, AZ 85732 Phone: 1-520-843-2092Ext 1
Fax: 1-520-843-2092 info@eclconsulting.com
