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We here at MARRS, SEVIER & COMPANY LLC feel that an informed client is our best customer. We know that there is a lot of information on the Internet and it can be tough to determine what is valuable. That is why we have selected the following article(s) for you to view.
Colorado Tax Amnesty Program
The Colorado Department of Revenue will allow certain taxpayers to pay the full amount of overdue taxes, including one-half of any interest due, without being subject to any other civil or criminal penalties. The Colorado tax amnesty program will run from Oct. 1 through Nov. 15, 2011 and applies to taxes that were due on or before Dec. 31, 2010.
IRS Increases Mileage Rates as of July 1, 2011
Beginning July 1, 2011, the standard mileage rates for use of a vehicle have increased. The rate for business miles driven will be 55.5 cents per mile, an increase from 51 cents per mile. Other rates have also increased.
IRS Announces 2010 Tax Relief Act will Delay 2010 Tax Filing for Some Taxpayers
Following last week's tax law changes, the Internal Revenue Service has announced that some taxpayers will have to wait until mid- to late February to file their 2010 individual tax returns. Please follow the title link for specific information regarding this delay.
2010 Tax Relief Act
On December 17, 2010, the President signed into law the 2010 Tax Relief Act. This new law has a number of new and extended tax provisions for individuals and businesses. One of the most notable new provisions for individuals is that employees and self-employed workers will receive a reduction of two percentage points in Social Security payroll tax in 2011, bringing the rate down from 6.2% to 4.2% for employees, and from 12.4% to 10.4% for the self-employed. The new law also brings back the estate tax. Estate taxes for 2011 will have a top rate of 35% and an exemption amount of $5 million per individual. Please follow the title link for a brief overview of the law's new provisions.
IRS Announces 2011 Mileage Rates
Beginning January 1, 2011, the standard mileage rates for use of a vehicle have changed. The rate for business miles driven will be 51 cents per mile. Other rates have also changed.
New Small Business Jobs Act of 2010
On September 27, 2010, the President signed into law the Small Business Jobs Act of 2010. This new law has a number of new and extended tax provisions for businesses. Please follow the title link for a brief overview of these new provisions.
Federal Deposits by Paper Coupon (8109-B) Eliminated After December 31, 2010.
Proposed regulations provide that beginning January 1, 2011, you must deposit all Federal taxes using the Electronic Federal Payment System (EFTPS). For more information, see IR 2010-92, www.eftps.gov or call 1-800-555-4477.
New Benefits for Small Businesses Who Provide Employee Health Insurance
Eligibility Rules:
Providing health care coverage. A qualifying employer must cover at least 50 percent of the cost of health care coverage for some of its workers based on the single rate.
Firm size. A qualifying employer must have less than the equivalent of 25 full-time workers (for example, an employer with fewer than 50 half-time workers may be eligible).
Average annual wage. A qualifying employer must pay average annual wages below $50,000. Both taxable (for profit) and tax-exempt firms qualify.
Amount of Credit:
Maximum Amount. The credit is worth up to 35 percent of a small business' premium costs in 2010. On Jan. 1, 2014, this rate increases to 50 percent (35 percent for tax-exempt employers).
Phase-out. The credit phases out gradually for firms with average wages between $25,000 and $50,000 and for firms with the equivalent of between 10 and 25 full-time workers.
HIRE Act
Under the Hiring Incentives to Restore Employment (HIRE) Act, enacted March 18, 2010, two new tax benefits are available to employers who hire certain previously unemployed workers (“qualified employees”). The IRS has also created new Form W-11, which employees can use to certify that they meet the criteria of the HIRE Act.
Reporting Foreign Bank Accounts
A U.S. person owning or having authority over a foreign financial account, including a bank account, brokerage account, mutual fund or other type of financial account, may be required to report the account annually to the Treasury Department. A U.S. person must file a Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR), if two conditions are present: first, the person has a financial interest in, or signature authority (or a comparable authority) over one or more accounts in a foreign country; and second, the aggregate value of all foreign financial accounts exceeds $10,000 at any time during the calendar year. A failure to properly file an FBAR can lead to civil and criminal penalties. The annual filing date of the FBAR is June 30 and it is considered filed on the day it is received by IRS.
IRS Announces 2010 Mileage Rates
Beginning January 1, 2010, the standard mileage rates for use of a vehicle have changed. The rate for business miles driven will be 50 cents per mile. Other rates have also changed.
First-Time Homebuyer Credit Extended to April 30, 2010; Some Current Homeowners Now Also Qualify
The deadline for qualifying home purchases was changed from Nov. 30, 2009, to April 30, 2010. The new law also provides a “long-time resident” credit of up to $6,500 to others who do not qualify as “first-time homebuyers.” To qualify this way, a buyer must have owned and used the same home as a principal or primary residence for at least five consecutive years of the eight-year period ending on the date of purchase of a new home as a primary residence.
Cash for Clunkers — now officially known as the Car Allowance Rebate System (CARS) — is a federal program passed by Congress and signed into law by President Obama on June 24, 2009.
This new program allows you to trade-in certain vehicles for certain other vehicles and receive a credit of $3,500 to $4,500 in lieu of any trade-in.
The New 2009 Stimulus Law Has Plenty of Tax Cuts
The new stimulus law provides various credits for individuals and businesses.
2008 Law Provides That Required Minimum Distributions are Waived for 2009
A new law enacted in late 2008 provides that retirement plan account participants, IRA owners, and their beneficiaries do not have to take required minimum distributions (RMDs) for 2009.
IRS Announces 2009 Mileage Rates
Beginning January 1, 2009, the standard mileage rates for use of a vehicle have changed. The rate for business miles driven will be 55 cents per mile. Other rates have also changed.
Filing Extensions Changing for Some Business Taxpayers Later this Year
The new business extension due dates have been changed for tax returns due after January 1, 2009.
IRS Increases Mileage Rates through Dec. 31, 2008
Mileage rates have been increased beginning July 1, 2008 to 58.5 cents per mile. Other mileage rates were also increased.
Scammers Use e-Mail, Fax to Pose as IRS
Although most of these scams consist of e-mails requesting detailed personal information, the IRS generally does not send e-mails to taxpayers, does not discuss tax account matters with taxpayers in e-mails, and does not request security-related personal information, such as PIN numbers, from taxpayers.
Colorado News
Here you will find articles and links for the latest news and tax updates for Colorado taxpayers.
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