Unclaimed refunds totaling more than $1.3 billion are awaiting nearly 1.4 million people who did not file a federal income tax return for 2006, the Internal Revenue Service announced. However, to collect the money, a return for 2006 must be filed with the IRS no later than Thursday, April 15, 2010. The IRS estimates that the median unclaimed refund for tax-year 2006 is $604.
Children’s Health Insurance (CHIPRA)
There are new notice and disclosure requirements associated with CHIPRA. Employers must notify all employees of their potential eligibility for the subsidies under Medicaid or CHIP. Model notices have been developed by the Department of Labor and the Department of Health and Human Services. Employers are not required to provide these notices until the first plan year after the model notices are issued by he first day of the plan year after February 4, 2010 or by May 1, 2010, whichever is later.
Find the model notice here.
Help! It’s time for my tax appointment!
Here’s a checklist that will help you organize the documents that are necessary for your tax preparer to assist you in the preparation of a complete and accurate return.
- Estimated tax payments
- Wages, salaries, and other employee compensation – Forms W-2
- Pension and annuity income – Forms 1099R
- Social Security benefits received – Forms SSA
- Interest income, statements of tax exempt interest earned, and
- seller-financed mortgages – Forms 1099-INT
- Dividend income and statements of tax exempt dividend earned – Forms 1099-DIV
- Miscellaneous income – Forms 1099 or other forms
- Stock brokerage statements
- Income from business – Attach a schedule of income and expense for each business
- Details of home office expenses
- Capital gains and losses – Forms 1099-B and 1099-S
- Sale/purchase/refinance of personal residence; home equity loans
- Job-related moving expenses
- Rental income – Provide a separate schedule for each property
- Income from partnerships, estates, trusts, or S corporations – Forms K-1
- Contributions to retirement plans including IRA’s and ROTH IRA’s
- Alimony paid/received
- Itemized deductions including:
- Medical and dental expenses
- Taxes (including Sales Tax!)
- Interest – Mortgage, student loan, other
- Contributions, including expenses incurred in performing volunteer work, auto mileage
- Casualty and theft losses
- Investment-related expenses
- Employee business expenses
- Business mileage and travel
- Child care expenses
- Education Expenses
- Please note any changes in dependents or filing status.
ps, a nice bottle of wine is always appropriate.
To friend or not to friend, that is the question
Therapists and many other independent professionals need to keep a clear line between their professional relationship with clients, not stepping over the line into being friends.
Many therapists are asking how to draw the line on dual relationships when they are also active on social media, and a client sends them a friend request.
For a great resource on how to respond when clients send a “friend request” on Facebook, MySpace, LInkedIn, Twitter, or other social networking sites go to http://www.zurinstitute.com/facebook_clinicalupdate.html.
Thanks to Pat Wicklund of Leading Your Organization of One for the notice.
Three Steps to Protect Data from Rogue Employees
Robert Grapes, Chief Technologist of Cloakware, Vienna, Va., posted these tips at Business Week’s, Today’s Tip:
1. Know who has access to privileged information. Assess who has access to what data so you can understand and manage access as appropriate.
2. Apply appropriate policies to protect sensitive information. Create an actionable plan and put it into place, applying privileged passwords and access management controls throughout each level of information.
3. Update security and access credentials regularly to monitor and maintain control. Implement a regimented program to automatically update access management and passwords so you can ensure that the right people have the right amount of control over critical information.
The Sky is Falling-Paulson as Chicken Little
Source: CPA Letter Daily
In his book “On the Brink,” former Treasury Secretary Henry Paulson recounts the 48 hours before Lehman Bros. declared bankruptcy. Paulson explains the conversations he had with various Wall Street CEOs, including Ken Lewis of Bank of America, John Mack of Morgan Stanley and Dick Fuld of Lehman as federal officials and bankers scrambled to find a resolution. Paulson also delves into how he was feeling as he explained the situation to his wife. ” ‘What if the system collapses?’ I asked her. ‘Everybody is looking to me, and I don’t have the answer. I am really scared.’ ”
Just Say “Hack Me”
Ashlee Vance reports in today’s NYTimes that one out of five Web users still decides to leave the digital equivalent of a key under the doormat: they choose a simple, easily guessed password like “abc123,” “iloveyou” or even “password” to protect their data. Read More
Lent is Coming-Consider a Financial Fast
Michelle Singletary writes the nationally syndicated personal finance column, “The Color of Money,” which appears in The Post on Thursday and Sunday. Her award-winning column is also carried in more than 120 newspapers. Her third book, “The Power To Prosper,” is scheduled to be released in January 2010. In her spare time, Singletary is the director of a ministry she founded at her church, in which women and men volunteer to mentor others who are having financial challenges. She was recently selected to receive the Distinguished Alumni Award from The Johns Hopkins University.
See her column on a financial fast. Good words here.
Dodged a Bullet
From WEBCPA: Internal Revenue Service Commissioner Doug Shulman has decided against coming up with rules on the taxation of employer-provided cell phones and said the IRS would instead wait for congressional legislation.
Savings Opportunities for 2009 from Tax Law Changes
IRS Fact Sheet FS 2010-4 provides a summary of new and expanded deductions and credits available for the 2009 filing season. Here are some topics that are covered:
- American Opportunity Credit helps pay for the first four years of college.
- Many energy improvements qualify for expanded tax credits.
- New vehicle purchase incentives.
- Tax credits for low and moderate income workers.
- Standard deduction increases for most taxpayers.
Read the full text at the link provided above.