When will you get a Tax refund?

This is a question many of us ask, when we pay our taxes. If you have paid your taxes on time, stating everything correctly and not having any penalties to deal with, then you are eligible for a tax refund in a month’s time. But before getting a tax refund, there is one very important thing to remember. If you get a big tax refund at the end of it, it’s not a good thing because you might have over paid your taxes throughout the year. This is like granting a fat check to the federal government. You can try cutting down your tax payments to the point where you will pay the actual amount you owe. This is quite a painstaking task to handle alone and it gets quite tedious to keep a rain check on your tax payments. If that’s the case, you can seek professional help.

 

Get the right tax help

 

A business accountant can help you tackle all your tax issues by maintaining your financial records and updating them on a periodic basis. This will reduce a lot of paperwork and it gets easier to manage your finances, as you know how the whole system works. A business accountant will maintain quality, accuracy and efficiency in the preparation of financial statements and tax returns. To hire the best person for the job, contact Cirimelli Pyle and Associates in Saratoga, California for tax help and valuable advice. You can mail them at cpa@cpasllp.com or call 408-879-9990 for an appointment.

 

Getting the right tax help will help you save a lot of money, which can be used for other purposes. Whether you are a business owner, family member, professional or student, make sure that you pay your taxes on time. It’s also very important that you maintain your honesty when it comes to revealing your income status to the IRS. That way you won’t have to face any problems of auditing or penalties from the federal government.

Back up your tax records

Why is it a good idea to back up your tax records? You will never know when disaster will strike. For instance, there could be a burglary, your computer system can crash or there could be permanent damage caused by natural elements. Whatever the case may be, it’s always smart to store a duplicate set of tax records. Even if the records are on paper, convert them into electronic format for safety. The most important documents you can create a back up set of records are your tax returns, bank statements, insurance policies, mortgage papers etc. However there are financial institutions and CPA companies that will store all your tax information electronically for safety. If you find that storing your tax records is getting to be too hectic and strenuous to handle alone, seek help from a professional CPA, who will do the job for you in a planned and systematic manner.

 

A Tax Company to help maintain your tax records

 

Cirimelli Pyle and Associates in Santa Clara, California has the best staff on call that will manage all your tax records. They use the best computer equipment to keep a track of your payment schedules and tax records. You can keep your mind at ease knowing that these Santa Clara business accountants will provide quality services and expert advice for all your tax needs. To hire these Santa Clara business accountants, call (408) 879-9990 for an initial consultation.

 

This sort of approach will help you reduce loads of paperwork for you and your financial advisor. You can start preparing for filing by maintaining a monthly or quarterly statement of records that will help in managing your finances. For business owners, day to day operations are carried out to gain a thorough understanding of your financial data and statistics.

Timely tax help

Would you like a professional to handle all the filing procedures for your income tax returns? This job is definitely not for an amateur and it’s not easy to just sit down and prepare a year’s worth of bills and statements in pen and paper. The most important thing is that your financial statements should be sound without any mistakes. Otherwise you could be facing a written statement from the IRS that your documents are under scrutiny. To avoid all these problems, take the easy way out  by letting an expert do the job for you. Cirimelli Pyle and Associates in Los Altos, California offers all their clients quality financial management in a timely manner.

 

The best CPA Firm with quality service

 

This CPA Firm in Los Altos offers a depth of business expertise and professional skills to a variety of organizations, large and small. They assist all their clients by ensuring that they receive the counsel and information necessary to help them make sound financial decisions. They provide a full range of traditional services like tax planning, financial statement preparation, budgeting, forecasting and data processing. They also assist in accounting systems design, selection and training of personnel, computer selection and installation, and related information systems to help you improve efficiency. This CPA Firm in Los Altos offers each client personal attention and service and will call upon the specialized knowledge of other staff members when needed.

 

For help in filing your income tax returns or an initial consultation, contact Cirimelli Pyle and Associates for their expert advice and guidance. Please visit their websites: www.sanjose-cpa.com and www.cpasllp.com. You can also call them at 408-879-9990 or email cpa@cpasllp.com.

Accounting services for all professions

Whether you’re an Attorney, Doctor, Realtor, or own a Manufacturing firm, Consultancy or any other type of business, Cirimelli Pyle and Associates is a San Jose CPA Firm which provides you a full range of professional financial services. They have a breadth of experience in serving numerous professions and industries over many years and are therefore familiar with the business needs of different types of organizations. To better meet the needs of our accounting and tax clients throughout the San Jose area, they have customized services for small businesses in industries like Construction accounting, Real estate accounting, Healthcare accounting, Technology accounting, Information technology accounting and other service businesses.

 

Traditional services for financial and tax preparation

 

Cirimelli Pyle and Associates are members of both the American Institute of Certified Public Accountants and the California Society of Certified Public Accountants. As a certified San Jose CPA Firm, their services are formulated to suit your business needs and also give you ample time to plan out your strategy and growth. By keeping track of all the tax law changes throughout the year, they ensure that you are taking advantage of the incentives in a proactive manner. By addressing your industry specific challenges, needs and standard tax practices, they will offer personalized services to help you combat them in an effective manner.

 

You can drop by their office at: 901 CAMPISI WAY, SUITE 380, CAMPBELL, CA 95008, or you can contact them by phone at: 408-879-9990 or by e-mail at cpa@cpasllp.com. They offer a free initial consultation for business owners in the San Jose area.

Who is a CPA?

A CPA is more than a Certified Public Accountant. In order to become a CPA, one should pass a series of rigorous examinations which is common for all the states in America and then work for a firm as a trainee by obtaining certain amount of experience. The firm will also conduct examinations that will ask the trainee to prepare financial statements and reports. CPAs are trusted financial advisors for individuals and businesses and they help in maintaining records and preparing reports/statements for the public. A Certified Public Accountant does more than what meets the eye. Their job is demanding and requires diligence, commitment and trust.

 

Why hire a CPA?

 

People rely on CPAs because they have good analytical and decision making skills apart from their dedication and integrity. Many CPAs provide a wide range of services apart from their usual accounting and auditing skills. They provide consultation in areas related to income tax help and planning, advice on management and Information technology, financial planning for businesses and families, preparing financial statements etc. To employ the services of a reliable and experienced CPA, you can contact Cirimelli Pyle and Associates in the Bay area, California for quality services for all your tax needs. They can be reached at (408) 879-9990 or by email cpa@cpasllp.com.

 

For income tax help in the Bay area, hiring professional CPAs can give you a wider perspective on tax planning like never before. You will reach new financial heights and experience breakthroughs that will safeguard your financial standing. There are certain matters which can’t be managed all by yourself. That’s when a CPA steps in and controls the proceedings one step at a time.

What is an IRS Tax Audit?

When you receive a letter from the IRS stating that your tax returns are selected for an audit, there is no reason to panic. An IRS Tax Audit is a review of your tax returns to determine its accuracy and authenticity. It usually leaves even an honest tax payer stressed out and unnerved. But there is no major cause for concern if you are truthful in submitting your tax returns. The people who receive letters from the IRS stating an immediate submission of their tax returns will usually cheat when filing their tax returns or demand a lot of tax deductions. The good news for all honest filers are that if you have taken the necessary steps in filing your taxes on time and in an accurate manner, there are chances that the audit will get concluded in a few hours time.

 

How to resolve tax filing errors

 

However if the errors made by you are intentional or if you had made mistakes like omitting your actual income and miscalculating the right amount, it’s time to seek professional help from experienced business accountants. In this case, you will be off the hook from any fines or penalties imposed by the IRS. Cirimelli, Pyle and Associates in San Jose have the best business accountants working for them who will give you the right advice and guidance on how to go about filing your taxes without any problems from the IRS. For tax help and assistance, feel free to mail them at cpa@cpasllp.com or visit their corporate website at www.cpasllp.com for more information.

 

If you have received any notification from the IRS and you prefer to let a professional handle it, then you can contact Cirimelli, Pyle and Associates in San Jose to do the job in a quick and efficient manner. It is always better to bring along a professional to the audit directly to resolve the situation in an amicable manner.

New rules for NOLs

Essentially, a net operating loss or NOL is generated when a business has more deductions than income.

Under prior rules, a business that had an NOL could carry that loss back only two years for a refund of taxes paid in those earlier years. (The business could also choose to carry the loss forward for up to 20 years.)

The “American Recovery and Reinvestment Act of 2009″ changed the carryback period to as many as five years. The new rule applies only to 2008 net operating losses in companies with average gross receipts over the last three years of $15 million or less.

* Planning opportunities

The carry back periods of three, four, or five years are elective. That means that the taxpayer can choose how long to carry back the NOL as long as it doesn’t exceed five years.

This opens up many tax planning opportunities, especially if taxable income has fluctuated significantly over the years. Not only that, it’s a terrific benefit to taxpayers with NOLs larger than could be absorbed over the traditional two-year period.

As an alternative to carrying the loss back to prior years, you can still elect to forgo the carryback altogether and simply carry your losses forward to reduce future taxes.

Remember that the new NOL rules are elective, and you may choose to carry losses back as you see fit for up to five years.

There are filing and time restrictions on this tax break for businesses, so contact us if you need details and filing assistance.

What’s New in Finances

“Do Not Call” doesn’t prevent scammers

Registering with the National Do Not Call Registry is supposed to keep you from getting all those annoying mass marketing phone solicitations.

It appears that the current recession has brought out scam artists hungry for revenue and unconcerned about the illegality of their sales pitches.  During the first quarter of this year, the Federal Trade Commission received 450,000 complaints from those who signed up with the Do Not Call Registry, but who are still receiving unwanted calls.

Among the scams currently being pitched:  extended auto warranties, swine flu cures, debt renegotiation plans, and free lunch seminars promoting “low-risk” investments.

Be aware that the scammers are especially active right now, and be very skeptical of offers and promotions made by phone or e-mail.

How to deal with finances after a spouse’s death

The death of a spouse can leave the survivor with a bewildering array of financial problems. In many families, one partner handles all the financial matters. If that partner passes away first, without having discussed and documented the couple’s financial affairs, the survivor may face a steep learning curve or make poor financial decisions out of ignorance.

In many cases, the surviving spouse will be the wife. In fact, recent studies indicate that seven out of ten baby boomer wives will outlive their husbands. So getting a handle on the family’s financial affairs is especially important for women.

If you’re dealing with the death of a spouse, here are a few guidelines to help you navigate.

* Locate important documents. These include wills, insurance policies, deeds, investment certificates, powers of attorney, birth and marriage certificates, bank statements, and vehicle titles. You’ll need these documents to change beneficiaries, revise asset titles, and verify account balances.

* Keep paying bills. Don’t risk losing your good credit by neglecting ongoing expenses.

* Check survivor benefits. Contact the Social Security Administration to learn about survivor benefits. Also call your spouse’s former employer to find out about employee benefits, such as payouts of unpaid salary, unused vacation, and pensions.

* Decide how you’ll handle life insurance proceeds. Benefits may be paid in a lump sum or an annuity. If you take proceeds in a lump sum, you’ll want to place them at least temporarily in readily available investments, such as money market accounts. Survivors often live on insurance proceeds for many years, so think twice before using the insurance money to remodel the house, pay off the mortgage, or take an expensive vacation.

* Get competent legal and financial advice. Seek out qualified and trusted professionals to help you through the process of probate, taxes, and planning for your financial future. All too often, the surviving spouse makes irrevocable financial decisions or unnecessary purchases in the days and weeks following a partner’s death. Unfortunately, widows and widowers are easy prey for con artists. Someone may call with a great deal on a “sure fire” investment, or attempt to capitalize on your grief by offering unnecessary goods or services. A trusted professional advisor can provide objectivity when such “opportunities” are presented.

* Plan before a death occurs. Ideally, you and your spouse will develop a financial plan before a death occurs. One way to organize such a plan is to set up a tabbed binder that outlines the family’s financial affairs. One tab might list key contacts, such as lawyers, accountants, and business associates. Another tab might disclose the location of important documents.

Discussing and documenting your financial affairs will be time well spent. If you need assistance, give us a call.

To contact these business accountants and get the best tax advice and guidance, call Cirimelli Pyle and Associates at 408-879-9990. If you need more information visit their website at www.cpasllp.com .

Major Tax Deadlines For June 2009

* June 15 – Second quarter 2009 individual estimated tax is due.
* June 15 – Due date for calendar-year corporations to pay second installment of 2009 estimated tax.
* June 15 – Due date for calendar-year trust and estates to pay second installment of 2009 estimated tax.

NOTE: Businesses are required to make federal tax deposits on dates determined by various factors that differ from business to business.

Payroll tax deposits: Employers generally must deposit Form 941 payroll taxes (income tax withheld from employees’ pay and both the employer’s and employees’ share of social security taxes) on either a monthly or semiweekly deposit schedule. There are exceptions if you owe $100,000 or more on any day during a deposit period, if you owe $2,500 or less for the calendar quarter, or if your estimated annual liability is $1,000 or less.

* Monthly depositors are required to deposit payroll taxes accumulated within a calendar month by the fifteenth of the following month.

* Semiweekly depositors generally must deposit payroll taxes on Wednesdays or Fridays, depending on when wages are paid.

For more information on tax deadlines that apply to you or your business, contact our office.

What’s New in Taxes

School’s out! That means moving time for millions

Millions of people move each year, often during the summer months when children are out of school. If you’re considering a move this summer, be aware that moving can have some important tax consequences.

* Retirement plans. If you have a retirement plan at work, you may have several choices upon leaving a job. You can roll your retirement funds into an IRA, possibly roll the money into a new employer’s plan, or perhaps even leave the money in your former employer’s plan. Keep in mind that any amount distributed directly to you is subject to automatic 20% income tax withholding, and you may also face a 10% early withdrawal penalty.

* 401(k) loans. Facing a layoff or new job and need cash? Tap your 401(k) balance only as a last resort. If you have an existing 401(k) loan, pay it off. If you leave your employer and can’t repay the loan within a preset time, the loan balance is considered a withdrawal. As such, you’ll be hit with income taxes and possibly a 10% penalty.

* Job search expenses. Expenses incurred to search for a new job are tax-deductible, even if your job search doesn’t land you that coveted position. To qualify, you must be looking for a job in the same occupation.

* Moving expenses. If your job-related move qualifies (the IRS has both a distance and a time test), you can deduct the costs of moving your household goods and your family.

* Home sale. When you sell your home, you can exclude up to $250,000 of the gain from your taxes. The exclusion amount is $500,000 for married couples filing a joint return. To qualify for the full exclusion, you must have owned and occupied the house as your main home for two out of the five years prior to its sale. A partial exclusion may apply if you fail the two-year test due to a job-related move.

If you’re considering a job-related move and want help sorting out the tax issues, give us a call.

Energy-saving home improvements could cut your 2009 taxes

President Obama signed the “American Recovery and Reinvestment Act of 2009″ into law on February 17, 2009. Among the various provisions in the law are new energy tax credits that can really add up to savings for the homeowner. Making energy-saving improvements to your home will help to save on utility bills, enhance your efforts to go “green,” add value to the home, and perhaps reduce your tax bill for 2009. These residential energy tax credits fall into two main categories: energy efficiency improvements and renewable energy systems. In many cases, the “Recovery Act” adjusts or extends similar energy credits previously available.

* Energy efficiency

The “Recovery Act” adjusts the residential energy property credits previously allowed, increasing the tax credit to 30% and the maximum aggregate cap to $1,500. The credit applies to eligible property placed into service in your principal residence during 2009 and 2010. Qualifying improvements for this energy credit include insulation; exterior windows and doors; central air conditioning systems; water heaters and furnaces burning natural gas, propane, or oil; stoves using renewable biomass fuel such as wood, pellets, and plants; hot water boilers; electric heat pump water heaters; certain metal roofs; and advanced main air circulating fans.

Installation of these items as part of a newly constructed home does not qualify for the credit. For certain eligible items, the credit can be calculated based only on the cost of materials; for other items, the cost of installation also can be included. This credit is not subject to income phase-outs, and the credit is allowed under the alternative minimum tax.

* Renewable energy

The 2009 law also generally removes the tax credit dollar limits for renewable energy systems. Such property includes solar hot water heaters, geothermal heat pumps, and wind energy systems. The tax credit, available through 2016, is up to 30% of the cost, including both labor and materials. Primary residences, second homes, and rental units qualify for this credit; existing and newly constructed structures are eligible.

Now may be the right time to upgrade the energy efficiency of your home. To discuss the tax breaks available for the improvements you have in mind, give us a call. We can help you sort through the details.

New Business

2009 vehicle deductions

Each year the IRS publishes depreciation limits for business vehicles first placed in service that year. Because 50% bonus depreciation is allowed only for new vehicles, these limits are different for new and used vehicles.

For new business cars, the first-year limit is $10,960; for used cars, it’s $2,960. After year one, the depreciation limits are the same for both new and used vehicles purchased in 2009: $4,800 in year two, $2,850 in year three, and $1,775 in all following years.

The 2009 first-year depreciation limit for trucks and vans is $11,060 for new vehicles and $3,060 for used vehicles. Limits for both new and used vehicles in year two are $4,900, in year three $2,950, and in each succeeding year $1,775.

For details relating to your 2009 business vehicle purchases, contact us.

Cirimelli Pyle and Associates LLP in Santa Clara will help you take advantages of tax breaks throughout the year by helping you avoid paying unnecessary remunerations.

To contact these business accountants and get the best tax advice and guidance, call Cirimelli Pyle and Associates at 408-879-9990. If you need more information visit their website at www.cpasllp.com .