Category Archives: cpa hourly rates 2013

Cpa Fees Per Hour

Frequently Asked Questions

  1. QUESTION:
    How much do CPA’s charge per hour?
    I’m at the very beginning stages of a business acquisition. In fact, I’m just in the search stage, but would like to retain a CPA to assist. I’m just wondering if they charge a flat fee or per hour rate for this, and what would it be?

    • ANSWER:
      Most CPA’s charge an hourly rate and not a flat fee.

      The rate will vary depending on the type of service, size of the CPA firm, geographic location and experience of the CPA. As an example I am a CPA and I have a hourly rate of 5, but I’m a sole practitioner and have no overhead. A larger firm might charge 5 and up for the same service.

      Although price will always be a consideration in business you want to find a CPA that has the experience to handle your particular situation.

  2. QUESTION:
    How much should I expect to pay for an accountant?
    What is the going rate per hour for an accountant to do personal, small business tax, and perhaps financial advice? I am in los angeles

    • ANSWER:
      Rates vary from -0 depending on complexity and their specialty. Just make sure you hire a CPA – they are the only ones licensed by their state and have continuing education requirements. Wininbiz has a free service to find a local CPA that will offer a no cost consultation were you can ask about their fees.

  3. QUESTION:
    Working for an Independent contractor,How much do I claim on my taxes?
    Working for an independent contractor, they pay me 150.00 an hour with a max of 12 hours per week. How do I figure my taxes on that

    • ANSWER:
      As an independent contractor, you will have to pay in the full self employment (SE) tax amounts, currently 15.3%, unless your income from that activity is over the social security limited (some where around 90,000).

      Along with the SE tax, you will have to pay income taxes.

      If you have a lot of activity and expenses (like the expenses listed above) it will be well worth your time to consult a CPA. Now is the time to make that contact, build your relationship and figure any year end tax planning. And, if this is your only income activity, the full accounting fee can be claimed as an expense.

      Good luck!!

      PS – I would try to set aside around 25% of your checks for taxes.

  4. QUESTION:
    Should a millionaire have a CPA do their taxes and a Financial planner to help manage their money?
    I was wanting to know when I even become a millionaire, should I right off get a CPA to help with my taxes? Also should I also get a financial planner to help me have my money make money?? Please serious inquiries only!!

    • ANSWER:
      Anyone making over about k per year should use and Enrolled Agent to do their taxes. Their fee is a tax deduction and they usually can save more than their fee (and save you 50 hours of tax preparation).

      I don’t trust financial planners. Most of them are probably less intelligent than I am, and what the hell do they know about the future that I don’t know? Save 15% of your gross and diversify, that’s all you need to know.

  5. QUESTION:
    Can someone tell me what is the annual recurring mandatory goverment expenses for C-corporation?
    Pls. suggest for new C-corporation which would do less then K in annual revenues what would be the annual Federal fee for C-Corporations and how much one CPA would charge us? It is based out of Delaware.

    • ANSWER:
      your federal tax will be a % on your net income
      depending on the state you operate the state minimum will vary, in Calif. it is 0 regardless of activity
      fees for CPA’s will vary per each, you might get a one time quote, or the may charge you by the hour

  6. QUESTION:
    How much should a financial plan cost?
    I need help putting together a financial plan. I spoke with a CFP who charges on a per-project basis. Her fee would be between 00-00 (depending on how simple or complicated it is) to put together a detailed financial plan which would take into account my long-term savings and investment goals. Is this fee reasonable?

    • ANSWER:
      There are 2 ways that CFPs might be compensated. On a fee basis, or on a commission basis. If the CFP is not trying to sell you specific investments, ,500 to ,500 is probably very reasonable for a fee-only comprehensive plan (Goals, investments, insurance, retirement, and estate planning).

      If however you are going to be encouraged to buy particular mutual funds or insurance products, then the planner is probably being compensated by commission. In that case, charging ,500+ is probably double dipping. The complexity of your financial situation factors into whether the fee on the whole is reasonable. Think in terms of the CFP having professional fees equivalent to those of a CPA or attorney. If professional fees in your part of the country average 0 hourly and the bill ultimately is ,000, then that translates to about 20 hours of professional services work on the part of the planner.

  7. QUESTION:
    how much do cpa charge to contact the irs?
    How much do CPA or Tax Accounts charge fro contacting the IRS on behalf of a taxpayer?

    • ANSWER:
      Hello,

      It really depends. On average I would say the going rate is approximately 0 per hour. What it depends on is if a CPA or EA would have to contact the IRS at all. If you received a letter from the IRS, typically called a CP2000, then there may be no need to contact the IRS. Many times all it takes is an amended return and/or just a letter back to the IRS explaining the position you took on a return.

      For my clients, I typically do not charge this high of a rate. If you are a new client, I would determine what is needed and then quote you a fee. If an amended return is required, then I would typically only charge you what it would cost to file an amended return; those rates vary as well.

      In other words, without knowing the details of the case, it is difficult to quote you a solid rate. Bank on at least an hour to be conservative.

      One tip on handling IRS issues; respond timely. You can get a lot more accomplished and establish good favor with the IRS if you respond by their stated time frames. If this means you have to hire someone to get it done quickly, I think it would be worth it to you.

      Good luck.

  8. QUESTION:
    What do people usually charge/pay for bookkeeping consulting?
    I did bookkeeping going through college at a supermarket for an hourly rate I wouldn’t touch with a ten foot pole now, but what do people charge outside of hourly retail? A personal trainer wants me to help streamline her bookkeeping, unsure yet if it’s a one time or continuous thing. Any ideas would be appreciated.

    • ANSWER:
      You have two questions to answer … what is the market rate and what is your time worth. They are not necessarily the same thing.

      Market rate will depend on education skill and experience. A CPA firm may charge a couple hundred an hour while the local bookkeeping service may only charge per hour. Call a couple of local services and ask what they charge. It will cost you 30 minutes of your life.

      Lots of times in situations like you describe the person asking is really looking for something for nothing. They want you to do it for a very low rate because the don’t have money to start with. As you go they add extra tasks but assume it is all inclusive.

      Be clear on the scope and fees and really take the time to understand what your time is worth.

  9. QUESTION:
    How does a person become an acountant?
    Basically I want to know how much it costs for school and how long it takes?

    • ANSWER:
      You have to go to college for 4-5 years, major in accountancy, get a degree, and then take the CPA (Certified Public Accountant) exam. How much it costs for school depends on where you go. You can save money by going to community college for the first two years — just make sure all your classes will transfer to the 4-year college or university you want to go to after you finish your first two years. To give you an idea: Our local community college charges around .00 per credit hour for in-county residents (adds up to around 0.00 to ,040.00 per semester for tuition, plus 0.00 to 0.00 for books and fees). By contrast, the University of Michigan charges over 0.00 per credit hour for classes, so you’re looking at ,000.00 to ,000.00 per semester for classes, plus books, fees, and room and board if you live on campus (my nephew lives on campus and it costs over ,000.00 a year for room and board).

  10. QUESTION:
    Who has the lowest tax preparation fees between the national companies?

    • ANSWER:
      Let me start by saying the cheapest isn’t really what you should be asking nor for the largest refund. You really want a quick and accurate return for a good value.

      If you are referring to H&R block or Jackson Hewitt then they charge by the form, usually. If you have a simple return it is more cost effective to go the turbo tax route.

      National CPA firms are very expensive.

      Local CPA firms can be the best value for the money if you have a complex return but be sure to find out up front what they charge per hour.

  11. QUESTION:
    About how much does it cost to hire a tax preparer?
    For a solepreprietor ?

    • ANSWER:
      It all depends on the complexity of your return, where you live, and who you have prepare it. Tax prep services like H&R Block usually have a set fee based on the forms they fill out for you. A CPA will charge you an hourly rate plus expenses (which are nominal). A small CPA firm will probably charge you around per hour to prepare your return, a medium sized firm will be around 5, and a large firm can be from 0 to 0 per hour. My suggestion would be to ask fellow business people in your area if they can recommend a CPA. No matter the cost, trust and integrity are the most important qualities of a CPA. If they’re good, someone will recommend them. :) PrissyPanda, CPA

  12. QUESTION:
    How should I go about starting a house cleaning business?
    My girlfriend and I are not making enough money for the amount of experience and work ethic we have. We are really getting shafted at our current jobs and would like to look into managing and employing ourselves. We have the means necessary to transport cleaning supplies and have a great bit of experience in simple house keeping and also home maintenance and stuff like that. We thought it would be a good idea to at least look into all of this and try to put our skills to better use. Any thoughts?

    • ANSWER:
      before either of you quit your jobs you need to know that most new businesses fail within their first five years. Next, you need to know that any business you do you’d have to work 80 hours or more per week. And understand that people change their minds often so you need a phone and a secretary of sorts (maybe a recording because you can’t talk with clients while you’re working, and only one person can take care of the schedule so dates don’t get mixed up). Next you need to choose an area and work 15 miles within it so your gas costs don’t get out of hand. And you need to schedule people so that you can do 2 in one day that are within the same block as each other.

      You need to do your five-year business plan which would take 3 months to prepare and it’s everything from what you’d charge to what accounting system you’d have to which attorney you’d hire and which CPA. Your first year you can claim a loss (Schedule C) however anything past that the IRS will look at you with a raised eyebrow so keep good records. You’d need a business license (I think you can work up to 0 without a license if you do it quietly and with an eye toward a business license and work for relatives).

      You’d need a contract, and you’d need to learn to look at the job and say “no” before you schedule it, but then you’d need to know to increase your fees to accommodate these estimates. I don’t know what you mean by transporting cleaning supplies since “house cleaning” (I assume you mean dusting, making beds, vacuuming, etc.) only requires a large bottle of windex and paper towels, a couple of soft rags and a vacuum and you can put that in your car.

      Although I hear you when you say “home maintenance” well that could involve too many things and contracts for each as well as estimates and

      You’d need to be bonded and insured on either business or any business and those are expensive. Know that today everything is televised (some kind of camera at the house). You’d need a clean record (criminal) no bankruptcy (because home owners would check your records and want your SS number). A lot of cleaners start out as sole proprietors which leaves you open to suit personally, and then move into a LLC or S corporation so you’ll have to look up and decide which you want.

      Some maintenance jobs would require a city or county permit so you’d need to make sure you’re not doing those. You need to build up your clientele so first work for friends and neighbors, church contacts, teachers you knew, etc. Doing work for people is not just “trying”, either you’re in business or you’re not. You put your heart and soul into it or you don’t.

      Btw, there is no such thing as “simple” house keeping. Either you get down on your hands and knees and dig out the dust and crud and climb to the ceiling for the fan, and clean under the beds and re-make them…or you don’t do the business. It’s definitely hard work.

  13. QUESTION:
    How do you become a certified personal accountant CPA?
    do you have to have a four year accounting degree to prepare yourself for the licensing examination?

    Do you think the IRS (where I will be working soon) has a lot of opportunities for CPAs and if so, where do you think these are?

    I guess i could ask my employers but I am starting entry level and i dont want them to think that I dont care about the job that i will get in two weeks.

    • ANSWER:
      CPA (cerified professional accountant)

      First, things first… you do not need to be a CPA to do Accounting or Auditing. The CPA along with a bunch of other types of licensing prove that you known your profession and you will simply have higher credentials and along with that more income. In order to become a CPA you need a combination of education, work experience, and you have to pass the exams – which are extremely difficult over a certain duration of time. In NYS, you currently need a masters degree OR a BS with supplemental credits (additional credits). You need in total 150 credits in certain areas of study. I gave you a link that you can look by state.

      I am CMA (certified management accountant) not a CPA. I selected the CMA because I worked in cost accounting and it fit my job better then a CPA. I gave you this link as well below.

      Also, no one needs to be a CPA to do taxes – it is a BIG misconception. :-) In order to do taxes, you need to know your state and revenue laws and codes. Once again, it always looks better though to have a CPA or other type of license because if proves you know what you are doing.

      Also, with any licensing, it requires continued education yearly. I believe CPA’s have to have 40 credit hours per year and CMA’s is 30 (but more emphasis on ethics).

      You pay for your tests, your study material, your licensing fee (CMA is yearly) and your continued education credits – it is costly but then again you normally make more money.

      Look at the field you want to be in and determine if it will help you.

      Hope this helps clarify.

  14. QUESTION:
    What are some legit sites for online work in the customer service field specifically email consultants?

    • ANSWER:
      One of the most popular topics in forums today is the opportunity to work from home. I have been researching this for a while now. I enjoy making money online through eHow and other paid posting sites, but that is only a supplemental income for me. For those who are looking to find a steady work-at-home job, I have compiled a list of resources to get you started. Be careful of scams out there. I have not fully researched all of these opportunities, but they seem reputable. Make sure you never pay a fee to apply for online work.

      AccuTran Global
      This company hires transcriptionists that type at least 70 words per minute.

      ADS
      This company hires transcriptionists that have at least 2 years of experience.

      Alpine Access
      Alpine Access hires agents for customer service work. There is no upfront fee, but employees must pay for a background check after they are hired.

      A Place for Mom
      This company hires people to be Eldercare advisors to assist people across the country with finding senior housing for their loved ones. There is a 3-day training in Seattle, Washington but is a work-from-home job after that. They provide benefits and business expense reimbursements.

      Arise
      You can work from home doing sales, customer service, or technical support. The pay scale was not listed.

      Axion Data
      Sometimes this company will accept applications for work from home date entry specialists. Some projects would be paid per piece. For example, it might take you 2-4 minutes to complete a form and you would get paid 4-8 cents per form. Other projects are complex, requiring 30-60 minutes per document, with compensation ranging from -9 per document.

      Balance Your Books
      This site is for bookkeepers who want to work from home. An associates degree in Accounting or equivalent experience is required. Please see the site for more details on the job requirements.

      Bateman & Co.
      This company hires telecommuting staff accountants. CPA and 3 years experience is required. Please click on the link above for more information.

      Brighten Employment
      You can earn up to per hour in a telemarketing position with this company. You can work whatever hours you want between 8:00 am east coast time and 5:00 pm west coast time.

      CPG
      Continental Promotion Group offers a work-from-home, contract data entry program in Tempe, Arizona only.

      Custom Loyalty Concepts
      CLC hires phone agents to call clients. The pay range starts at per hour once training is completed and then you can move up to – per hour depending on performance. They only hire in 26 states which are listed on their website.

      Idapted
      This company offers a great opportunity to help others learn the English language. You engage in a conversation in English and perform other exercises for them to practice speaking in English. The pay will vary by assignment.

      LiveOps
      LiveOps hires independent contracts to fulfill various assignments. You can set your own hours and work as often or as little as you want. The pay range varies by assignment. There is a background check fee if you are hired.

      Palm Coast Data
      Offsite data entry positions for this company are only available to those who are Palm Coast residents living west of the toll bridge.

      SpeakWrite
      This is a company that hires online transcriptionists. Once you are hired and go through the training process, you will be required to purchase a foot pedal to start and stop the recordings while you type. I believe this is around . Transcriptionists can average – per hour or more.

      Tigerfish
      This is another company that hires transcriptionists. You can apply on their website.

      West at Home
      This company provides work-at-home customer service assignments. The pay scale is not specified.

      Working Solutions
      This company hires online agents to perform various assignments. Pay range varies from – per hour depending on the type of assignment and experience required.

      There is a lot more, but I didn’t want to take up too much space. You can get the links and more information from the source link below.

  15. QUESTION:
    How can I make substansial money while still in University?
    I have a /hr job that I can work 8 hrs/week – but I need a little more than 900 dollars a semester – more like 600 after taxes – to travel europe next summer while I’m spending close to 1000 dollars a week

    • ANSWER:
      One of the most popular topics in forums today is the opportunity to work from home. I have been researching this for a while now. I enjoy making money online through eHow and other paid posting sites, but that is only a supplemental income for me. For those who are looking to find a steady work-at-home job, I have compiled a list of resources to get you started. Be careful of scams out there. I have not fully researched all of these opportunities, but they seem reputable. Make sure you never pay a fee to apply for online work.

      AccuTran Global
      This company hires transcriptionists that type at least 70 words per minute.

      ADS
      This company hires transcriptionists that have at least 2 years of experience.

      Alpine Access
      Alpine Access hires agents for customer service work. There is no upfront fee, but employees must pay for a background check after they are hired.

      A Place for Mom
      This company hires people to be Eldercare advisors to assist people across the country with finding senior housing for their loved ones. There is a 3-day training in Seattle, Washington but is a work-from-home job after that. They provide benefits and business expense reimbursements.

      Arise
      You can work from home doing sales, customer service, or technical support. The pay scale was not listed.

      Axion Data
      Sometimes this company will accept applications for work from home date entry specialists. Some projects would be paid per piece. For example, it might take you 2-4 minutes to complete a form and you would get paid 4-8 cents per form. Other projects are complex, requiring 30-60 minutes per document, with compensation ranging from -9 per document.

      Balance Your Books
      This site is for bookkeepers who want to work from home. An associates degree in Accounting or equivalent experience is required. Please see the site for more details on the job requirements.

      Bateman & Co.
      This company hires telecommuting staff accountants. CPA and 3 years experience is required. Please click on the link above for more information.

      Brighten Employment
      You can earn up to per hour in a telemarketing position with this company. You can work whatever hours you want between 8:00 am east coast time and 5:00 pm west coast time.

      CPG
      Continental Promotion Group offers a work-from-home, contract data entry program in Tempe, Arizona only.

      Custom Loyalty Concepts
      CLC hires phone agents to call clients. The pay range starts at per hour once training is completed and then you can move up to – per hour depending on performance. They only hire in 26 states which are listed on their website.

      Idapted
      This company offers a great opportunity to help others learn the English language. You engage in a conversation in English and perform other exercises for them to practice speaking in English. The pay will vary by assignment.

      LiveOps
      LiveOps hires independent contracts to fulfill various assignments. You can set your own hours and work as often or as little as you want. The pay range varies by assignment. There is a background check fee if you are hired.

      Palm Coast Data
      Offsite data entry positions for this company are only available to those who are Palm Coast residents living west of the toll bridge.

      SpeakWrite
      This is a company that hires online transcriptionists. Once you are hired and go through the training process, you will be required to purchase a foot pedal to start and stop the recordings while you type. I believe this is around . Transcriptionists can average – per hour or more.

      Tigerfish
      This is another company that hires transcriptionists. You can apply on their website.

      West at Home
      This company provides work-at-home customer service assignments. The pay scale is not specified.

      Working Solutions
      This company hires online agents to perform various assignments. Pay range varies from – per hour depending on the type of assignment and experience required.

      There is a lot more, but I didn’t want to take up too much space. You can get the links and more information from the source link below.

  16. QUESTION:
    How Much Do Accountants/CPAs Charge to Set Up Books & Maintain Them?
    I know this varies significantly depending on the business. But I am looking for a general cost of what most CPAs charge to help you set up your initial books.

    This is for an online business, with only about 2-3 sources of revenue (from advertising networks), and expenses such as marketing, hosting, domains, etc.

    Any estimates of what they would charge to setup quickbooks or an accounting system? Also, how much to update it?

    I live in northeast TN. Thanks!

    • ANSWER:
      It depends on the type of business. Business entity doesn’t influence price directly. In my area ( San Francisco, CA) a CPA would probably charge hourly, and for a business like yours it shouldn’t take more than 5-10 hrs. At 0/hour, you are looking at around 2k. It depends on hourly rate. It also depends on if the CPA will charge a flat fee for this service, which is probably best. But it is hard to give you an exact figure without knowing more details about your business.

      If update means bring your books up to date, it depends how much work is involved. That is not something anybody here will be able to answer accurately. If a CPA keep in mind they will charge you between 0 – 0 per hour. A bookkeeper will charge you between -70/hr. I strongly suggest hiring an experienced bookkeeper, even if it cost /hr. You are already saving money compared to CPA, and your books will be accurate.

  17. QUESTION:
    Can you really get money off of an at home customer service job?
    Bill collectors? Telemarketors? Is it true?

    • ANSWER:
      Yes, but never pay a fee upfront. One of the most popular topics in forums today is the opportunity to work from home. I have been researching this for a while now. I enjoy making money online through eHow and other paid posting sites, but that is only a supplemental income for me. For those who are looking to find a steady work-at-home job, I have compiled a list of resources to get you started. Be careful of scams out there. I have not fully researched all of these opportunities, but they seem reputable. Make sure you never pay a fee to apply for online work.

      AccuTran Global
      This company hires transcriptionists that type at least 70 words per minute.

      ADS
      This company hires transcriptionists that have at least 2 years of experience.

      Alpine Access
      Alpine Access hires agents for customer service work. There is no upfront fee, but employees must pay for a background check after they are hired.

      A Place for Mom
      This company hires people to be Eldercare advisors to assist people across the country with finding senior housing for their loved ones. There is a 3-day training in Seattle, Washington but is a work-from-home job after that. They provide benefits and business expense reimbursements.

      Arise
      You can work from home doing sales, customer service, or technical support. The pay scale was not listed.

      Axion Data
      Sometimes this company will accept applications for work from home date entry specialists. Some projects would be paid per piece. For example, it might take you 2-4 minutes to complete a form and you would get paid 4-8 cents per form. Other projects are complex, requiring 30-60 minutes per document, with compensation ranging from -9 per document.

      Balance Your Books
      This site is for bookkeepers who want to work from home. An associates degree in Accounting or equivalent experience is required. Please see the site for more details on the job requirements.

      Bateman & Co.
      This company hires telecommuting staff accountants. CPA and 3 years experience is required. Please click on the link above for more information.

      Brighten Employment
      You can earn up to per hour in a telemarketing position with this company. You can work whatever hours you want between 8:00 am east coast time and 5:00 pm west coast time.

      CPG
      Continental Promotion Group offers a work-from-home, contract data entry program in Tempe, Arizona only.

      Custom Loyalty Concepts
      CLC hires phone agents to call clients. The pay range starts at per hour once training is completed and then you can move up to – per hour depending on performance. They only hire in 26 states which are listed on their website.

      Idapted
      This company offers a great opportunity to help others learn the English language. You engage in a conversation in English and perform other exercises for them to practice speaking in English. The pay will vary by assignment.

      LiveOps
      LiveOps hires independent contracts to fulfill various assignments. You can set your own hours and work as often or as little as you want. The pay range varies by assignment. There is a background check fee if you are hired.

      Palm Coast Data
      Offsite data entry positions for this company are only available to those who are Palm Coast residents living west of the toll bridge.

      SpeakWrite
      This is a company that hires online transcriptionists. Once you are hired and go through the training process, you will be required to purchase a foot pedal to start and stop the recordings while you type. I believe this is around . Transcriptionists can average – per hour or more.

      Tigerfish
      This is another company that hires transcriptionists. You can apply on their website.

      West at Home
      This company provides work-at-home customer service assignments. The pay scale is not specified.

      Working Solutions
      This company hires online agents to perform various assignments. Pay range varies from – per hour depending on the type of assignment and experience required.

      There is a lot more, but I didn’t want to take up too much space. You can get the links and more information from the source link below.

  18. QUESTION:
    Computer program, franchised tax preparer or accountant, which one has better value?
    I am married with a stay at home wife and 3 kids. I own a house and have a pretty straight forward job.

    Which one is the best value?

    • ANSWER:
      Your tax return will only be as good as the person entering the information. You can use a CPA, EA or franchised tax preparer and if the person whom you choose it not careful or efficient it doesn’t matter.

      H&R Block employees must have 99 credit hours of school plus 10 credit hours of case studies for thier first year and every year 30 credit hours of continuing education.

      If you attempt to do it yourself and use a computer progrom after you are done print out the paper forms. Read each line carefully and even if it blank see if it applies to you. The instructions from the IRS are explained step by step. One form may tell you to use another form and so on. You can go to irs.gov and read any of the form instructions or publications about a subject.

      Credits you will want to make sure you get is the child tax credit, and additional child tax credit if the first one is reduced to less than 1000 per child, day care, after school, before school, summer camp expense if the chilren attended any of these so you wife could look for work or was a student,

      When itemizing check for mortgage interest and/or points paid, private mortgatge insurance, medical bills not covered by health insurance, including dental and vision, health insurance premiums paid by you, any unreimbursed employee expense, real estate taxes, personal property tax, charity contributions, fee for preparing last year’s tax, if they were prepared by a professional.

      If you contributed to a qualified retirement plan, 401k or IRA he saver’s credit. Also, contributions to an IRA may be deductible.

  19. QUESTION:
    Does anyone know of a reputable “Work at Home” business for stay at home moms?
    I want to work from home because I home school my son and need money of course. I’m afraid of all the scams and spam out there. Does anyone know of a truely honest way to work from home?

    • ANSWER:
      How to find a Work from Home Job
      One of the most popular topics in forums today is the opportunity to work from home. I have been researching this for a while now. I enjoy making money online through eHow and other paid posting sites, but that is only a supplemental income for me. For those who are looking to find a steady work-at-home job, I have compiled a list of resources to get you started. Be careful of scams out there. I have not fully researched all of these opportunities, but they seem reputable. Make sure you never pay a fee to apply for online work.

      AccuTran Global
      This company hires transcriptionists that type at least 70 words per minute.

      ADS
      This company hires transcriptionists that have at least 2 years of experience.

      Alpine Access
      Alpine Access hires agents for customer service work. There is no upfront fee, but employees must pay for a background check after they are hired.

      A Place for Mom
      This company hires people to be Eldercare advisors to assist people across the country with finding senior housing for their loved ones. There is a 3-day training in Seattle, Washington but is a work-from-home job after that. They provide benefits and business expense reimbursements.

      Arise
      You can work from home doing sales, customer service, or technical support. The pay scale was not listed.

      Axion Data
      Sometimes this company will accept applications for work from home date entry specialists. Some projects would be paid per piece. For example, it might take you 2-4 minutes to complete a form and you would get paid 4-8 cents per form. Other projects are complex, requiring 30-60 minutes per document, with compensation ranging from -9 per document.

      Balance Your Books
      This site is for bookkeepers who want to work from home. An associates degree in Accounting or equivalent experience is required. Please see the site for more details on the job requirements.

      Bateman & Co.
      This company hires telecommuting staff accountants. CPA and 3 years experience is required. Please click on the link above for more information.

      Brighten Employment
      You can earn up to per hour in a telemarketing position with this company. You can work whatever hours you want between 8:00 am east coast time and 5:00 pm west coast time.

      CPG
      Continental Promotion Group offers a work-from-home, contract data entry program in Tempe, Arizona only.

      Custom Loyalty Concepts
      CLC hires phone agents to call clients. The pay range starts at per hour once training is completed and then you can move up to – per hour depending on performance. They only hire in 26 states which are listed on their website.

      Idapted
      This company offers a great opportunity to help others learn the English language. You engage in a conversation in English and perform other exercises for them to practice speaking in English. The pay will vary by assignment.

      LiveOps
      LiveOps hires independent contracts to fulfill various assignments. You can set your own hours and work as often or as little as you want. The pay range varies by assignment. There is a background check fee if you are hired.

      Palm Coast Data
      Offsite data entry positions for this company are only available to those who are Palm Coast residents living west of the toll bridge.

      SpeakWrite
      This is a company that hires online transcriptionists. Once you are hired and go through the training process, you will be required to purchase a foot pedal to start and stop the recordings while you type. I believe this is around . Transcriptionists can average – per hour or more.

      Tigerfish
      This is another company that hires transcriptionists. You can apply on their website.

      West at Home
      This company provides work-at-home customer service assignments. The pay scale is not specified.

      Working Solutions
      This company hires online agents to perform various assignments. Pay range varies from – per hour depending on the type of assignment and experience required.

      There is a lot more, but I didn’t want to take up too much space. You can get the links and more information from the source link below.

  20. QUESTION:
    Is paying Employees 80% O.T. with co. check Tax Evasion? 40hrs called in to payroll and payroll takes tax out
    My boss asked to call in the payroll @ 40 hours, to pay employees O.T. with a co. check 80%, Is this Tax Evasion? That is he only paid them 80% of their overtime, and I don’t think he is planning on reporting it. What should I do if I am the bookkeeper? Am I involving myself in illegal accounting practices, if I call in the payroll? We also have a CPA. Or is the CPA the responsible one?

    • ANSWER:
      The Fair Labor Standards Act (FLSA) requires employers to pay overtime to employees that work more than 40 hours per week. Overtime pay is calculated at 1.5 times the regular rate of pay for the hours WORKED over 40. If you have a payroll of only 40 hours for the week, there is NO overtime due.

      This situation is not tax evasion. If overtime is required, your boss is violating FLSA. If anyone complains to Wage & Hour, or hires an attorney, back wages, interest and penalties will be due — as well as attorney fees.

  21. QUESTION:
    is there any online job tht doesnt need registration feesor we can call it free online job?
    i m searching for online job that doesnt need registration fee does anyon over here knows any job of this type.
    if yes then plz let me know.

    • ANSWER:
      One of the most popular topics in forums today is the opportunity to work from home. I have been researching this for a while now. I enjoy making money online through eHow and other paid posting sites, but that is only a supplemental income for me. For those who are looking to find a steady work-at-home job, I have compiled a list of resources to get you started. Be careful of scams out there. I have not fully researched all of these opportunities, but they seem reputable. Make sure you never pay a fee to apply for online work.

      AccuTran Global
      This company hires transcriptionists that type at least 70 words per minute.

      ADS
      This company hires transcriptionists that have at least 2 years of experience.

      Alpine Access
      Alpine Access hires agents for customer service work. There is no upfront fee, but employees must pay for a background check after they are hired.

      A Place for Mom
      This company hires people to be Eldercare advisors to assist people across the country with finding senior housing for their loved ones. There is a 3-day training in Seattle, Washington but is a work-from-home job after that. They provide benefits and business expense reimbursements.

      Arise
      You can work from home doing sales, customer service, or technical support. The pay scale was not listed.

      Axion Data
      Sometimes this company will accept applications for work from home date entry specialists. Some projects would be paid per piece. For example, it might take you 2-4 minutes to complete a form and you would get paid 4-8 cents per form. Other projects are complex, requiring 30-60 minutes per document, with compensation ranging from -9 per document.

      Balance Your Books
      This site is for bookkeepers who want to work from home. An associates degree in Accounting or equivalent experience is required. Please see the site for more details on the job requirements.

      Bateman & Co.
      This company hires telecommuting staff accountants. CPA and 3 years experience is required. Please click on the link above for more information.

      Brighten Employment
      You can earn up to per hour in a telemarketing position with this company. You can work whatever hours you want between 8:00 am east coast time and 5:00 pm west coast time.

      CPG
      Continental Promotion Group offers a work-from-home, contract data entry program in Tempe, Arizona only.

      Custom Loyalty Concepts
      CLC hires phone agents to call clients. The pay range starts at per hour once training is completed and then you can move up to – per hour depending on performance. They only hire in 26 states which are listed on their website.

      Idapted
      This company offers a great opportunity to help others learn the English language. You engage in a conversation in English and perform other exercises for them to practice speaking in English. The pay will vary by assignment.

      LiveOps
      LiveOps hires independent contracts to fulfill various assignments. You can set your own hours and work as often or as little as you want. The pay range varies by assignment. There is a background check fee if you are hired.

      Palm Coast Data
      Offsite data entry positions for this company are only available to those who are Palm Coast residents living west of the toll bridge.

      SpeakWrite
      This is a company that hires online transcriptionists. Once you are hired and go through the training process, you will be required to purchase a foot pedal to start and stop the recordings while you type. I believe this is around . Transcriptionists can average – per hour or more.

      Tigerfish
      This is another company that hires transcriptionists. You can apply on their website.

      West at Home
      This company provides work-at-home customer service assignments. The pay scale is not specified.

      Working Solutions
      This company hires online agents to perform various assignments. Pay range varies from – per hour depending on the type of assignment and experience required.

      There is a lot more, but I didn’t want to take up too much space. You can get the links and more information from the source link below.

  22. QUESTION:
    Is being a public accountant a tough job?
    what is the annual pay for a public accountant nowadays?

    • ANSWER:
      Becoming a CPA is a tough road to travel. It is not necessairly the classes, but the CPA exam that will boggle your mind.

      Once Certified, continuing professional education classes and payment of the license fee are the only requirements to keep the certification.

      There are many different field within the field of accountancy. Between government accounting, public accounting, private corporate accounting..you have your pick of what you want to do.

      However, working for a CPA Firm is going to be rough during tax season. Long hours, weekends and when I say long hours….as in 14 to 16 hours a day..possibly 6 days a week. But, after tax season…back to 40 a week.

      I am an accountant for a government agency. I see both the long hours, but I also get my vacations and comp time.

      It depends on what type of entity you work for with respect to hours and stress.

      Annual salaries vary. I have seen controllers paid as little as ,000 per year…to as much as 0,000 per year…depends on the company, if it is a CPA Firm and you are a partner or owner…Government does not necessairly pay that much, but the benefits are worth it.

  23. QUESTION:
    how much charge the accountant to fill taxes for self-employed?
    if i want an accountant to prepare the taxes for my small self-employed business, how much do accountant usually charge?

    • ANSWER:
      It kind of depends on how much work the accountant needs to do to prepare the tax returns. If you give him or her a proper set of financial statements for the business and any personal information they need to prepare the forms it should not cost too much.

      Most will charge by the hour if they have to do a lot of preparation work. If it is just a matter of filling in the blanks on the forms they may charge you a flat fee based on the number of forms involved.

      Experienced CPA’s could charge up to several hundred dollars per hour. But a staffer supervised by a CPA may only be to per hour. Rates kind of depend on what part of the country you live in also.

  24. QUESTION:
    Which CPA review course should I go with Becker or Roger? Please try to be unbiased.?
    My accounting grades during college were 2 A’s, 3 B’s, and 5 C’s (I’m a pretty bright student but was having a lot of family issues when I made all those c’s.) What I mean is, which program would better aid someone who might have to re-learn some of the concepts?
    P.S. Because of my schedule I’ve decided to choose the self study method. Thanks if you can help!

    • ANSWER:
      The best CPA Review Course is the one which will:

      1. Help you to pass so that you do not have to pay additional access fees for your course AND to retake the exams.
      2. Supports the way you learn best.
      3. Gives you the best cost in relation to accomplishing 1 and 2.

      Let’s take these one at a time.

      1. Helps you pass so that you don’t have to pay extra fees. Since 2004, 87% of CPAexcel’s alumni have passed the CPA Exam. This is nearly twice the national rate! CPAexcel goes a step further: your course does NOT expire until after you pass the exam. Other courses expire in as little as 12 months and you have to pay as much as 0 per section to continue access to your course. CPAexcel realizes that life (children, parents, work, hurricanes, etc.) can intervene along your CPA Journey and you shouldn’t be penalized for that. You get unlimited electronic updates to your content and software until you pass. With CPAexcel, you have a high pass rate and a promise to be your “Partner until You Pass.”

      2. Supports the way you learn best: each of us learns differently–either we are visual, auditory, tactile or kinesthetic learners or a unique combination of these. CPAexcel offers more study tools than any other course so you can select the ones which support the way you learn best. By allowing students to pick their study tools, our students learn 25% more per study hour!

      With CPAexcel, you have an entire faculty of subject-expert professors in accounting, law and IT who are ready to mentor you every step of the way. Have a question? Post it! The professors will answer you within 24 hours. Interested in previous discussions on this topic? Search the archives. Your textbooks are authored by classroom-experienced professors who know how to teach the topics you need to know to pass the exam.

      3. Best relation to cost: If a course is cheap but gives you tools which don’t support the way you learn, then it’s a waste of money. Pure and simple. Conversely, just because something is more expensive does not necessarily mean it’s better–after all, Toyota recalled 138,000 top of the line Lexus cars. Be careful.

      Instead, look at CPAexcel, the course which gives you the best study tools to support the way you learn, a high pass rate, and an unconditional guarantee that CPAexcel will never charge you for any electronic updates to content or software until you pass the exam.

      You can pass the CPA Exam and CPAexcel can help you!

  25. QUESTION:
    is ther any way that i can make lots of fast money on the internet without paying anything?

    • ANSWER:
      There really isn’t any way to make fast money, but you can make a great living with different online jobs. One of the most popular topics in forums today is the opportunity to work from home. I have been researching this for a while now. I enjoy making money online through eHow and other paid posting sites, but that is only a supplemental income for me. For those who are looking to find a steady work-at-home job, I have compiled a list of resources to get you started. Be careful of scams out there. I have not fully researched all of these opportunities, but they seem reputable. Make sure you never pay a fee to apply for online work.

      AccuTran Global
      This company hires transcriptionists that type at least 70 words per minute.

      ADS
      This company hires transcriptionists that have at least 2 years of experience.

      Alpine Access
      Alpine Access hires agents for customer service work. There is no upfront fee, but employees must pay for a background check after they are hired.

      A Place for Mom
      This company hires people to be Eldercare advisors to assist people across the country with finding senior housing for their loved ones. There is a 3-day training in Seattle, Washington but is a work-from-home job after that. They provide benefits and business expense reimbursements.

      Arise
      You can work from home doing sales, customer service, or technical support. The pay scale was not listed.

      Axion Data
      Sometimes this company will accept applications for work from home date entry specialists. Some projects would be paid per piece. For example, it might take you 2-4 minutes to complete a form and you would get paid 4-8 cents per form. Other projects are complex, requiring 30-60 minutes per document, with compensation ranging from -9 per document.

      Balance Your Books
      This site is for bookkeepers who want to work from home. An associates degree in Accounting or equivalent experience is required. Please see the site for more details on the job requirements.

      Bateman & Co.
      This company hires telecommuting staff accountants. CPA and 3 years experience is required. Please click on the link above for more information.

      Brighten Employment
      You can earn up to per hour in a telemarketing position with this company. You can work whatever hours you want between 8:00 am east coast time and 5:00 pm west coast time.

      CPG
      Continental Promotion Group offers a work-from-home, contract data entry program in Tempe, Arizona only.

      Custom Loyalty Concepts
      CLC hires phone agents to call clients. The pay range starts at per hour once training is completed and then you can move up to – per hour depending on performance. They only hire in 26 states which are listed on their website.

      Idapted
      This company offers a great opportunity to help others learn the English language. You engage in a conversation in English and perform other exercises for them to practice speaking in English. The pay will vary by assignment.

      LiveOps
      LiveOps hires independent contracts to fulfill various assignments. You can set your own hours and work as often or as little as you want. The pay range varies by assignment. There is a background check fee if you are hired.

      Palm Coast Data
      Offsite data entry positions for this company are only available to those who are Palm Coast residents living west of the toll bridge.

      SpeakWrite
      This is a company that hires online transcriptionists. Once you are hired and go through the training process, you will be required to purchase a foot pedal to start and stop the recordings while you type. I believe this is around . Transcriptionists can average – per hour or more.

      Tigerfish
      This is another company that hires transcriptionists. You can apply on their website.

      West at Home
      This company provides work-at-home customer service assignments. The pay scale is not specified.

      Working Solutions
      This company hires online agents to perform various assignments. Pay range varies from – per hour depending on the type of assignment and experience required.

      There is a lot more, but I didn’t want to take up too much space. You can get the links and more information from the source link below.

  26. QUESTION:
    CPA review expenses(with a really tight budget)?
    Anyone knows how much will I spend on my review class inclusive of boarding house,food,review materials/books and review fees? I;m planning to have my review class last week of may 2009.Btw I have to budget my expenses.

    • ANSWER:
      That will depend completely on what you spend on housing and what you eat. I passed all 4 on the first try (though 2 of them barely), and I did not use a review course. I spent 5-6 days per class, 8 hours a day. I used the Wiley CPA review books, which cost about 0 total. The exams cost roughly 0 each.

      If you have a strong attention span and a good memory, review classes just aren’t necessary. If you feel that you must take them, just use the published federal per-diem rates in your budget.

  27. QUESTION:
    Is my CPA billing me fairly?
    We hired a new CPA last year to do both our personal and business taxes for our S-Corp business (Website Design). I am wondering if the fees he charges are standard or too high? He billed us 00 to do our corporate taxes but reduced it to 0 with a (-0 professional courtesy). Personal taxes were another 0. He charges 0 per hour for any meeting we had throughout the year. I got a bill from the state that I didn’t know what to do with (thought it had been paid) and he charged me to answer my question through email. Does this sound normal? I complained about that email charge and they took it off the bill. I have additional questions regarding set up of a 401K and payroll questions but I fear he will charge me to answer them. Should I find a new CPA?
    Our business is really pretty simple. We do webdesign. We supply all the spreadsheets and he just plugs them in. Doesn’t seem that complicated.

    • ANSWER:
      How complex are your taxes? Example, how many K-1s had to be prepared, were there note balances that had to be adjusted, was the information given in a summary form to the CPA or receipts and such brought in in a shoebox? Did you provide a balance sheet for the business to him or did he have to construct one from the information you gave him? Regarding the personal taxes, most CPAs charge based on the forms required to be completed for the return. 0 seems high to me, but I don’t know what your personal taxes included. 0 per hour for meetings is definitely high in my part of the country.

  28. QUESTION:
    what should i study in the US if i want to get lot of money?

    • ANSWER:
      - Law, very prestigious and highly respected degree within the professional services and although they are highly paid (starting salary of around ,000) the positions available are highly competitive.

      - Economics/Finance/Accounting, CPA, CMA and CFA’s are extreamly well paid.

      - Medical professions (M.D) – Again, a highly respected degree but it takes a lot of education and effort to acheive for a lot of pay but expect to work your way up and work very long hours in the process.

      - Various business degrees – business consultants and coaches who are self employed can and do charge astromical fees. My father-in-law for example is a buisness coach and charges 0 per hour, per person for his services.

      - Psychology is another field which is on the rise and is important in many professions such as law, medicine, government, law enforment, health and business. Many private psychologist charge 0-0 per hour for clients to use their services.

      - Engineers are another sought after field.

      - Certain fields withing the science industry to such as microbiology offers many paths.

  29. QUESTION:
    Is McGladrey & Pullen CA a good mid-tier accounting firm?

    • ANSWER:
      Working in an accounting firm seems to be a small world for fellow accountants. My friends working or who have worked in this firm said it keeps saying that they are a top 5 accounting firm. Duhhhh?!? There is only big-4 and that counts in the entire planet earth. Any other CPA firm would be recognized as a national firm or small/local firms. For this firm, creating a top-5 image comes from consolidating revenues from a bunch of small CPA firms all across the US. If you ever see the list of top CPA firms, the average revenue per office of smaller CPA firms is actually higher than McGladrey’s. You may also visit the career page on their website if you want to find out what type of work they have for you in there if you are considering on applying for a job. And you know, if you read things that are too good to be true, they must be false.
      Depending on your level, my friends said the average salary is low K for entry level and low for seniors. Don’t know for levels above that. There’s no OT pay. Bonus is discretionary for seniors and above. But since the CA offices have been on a losing (client) streak at least during the past 2 years, bonus is either crappy or nil. It’s also difficult to meet charge hour requrements due to low-fee engagement and loss of bigger clients. Most of the time, you have to walk around and ask for projects where you can get charge hours because the project scheduler simply has no project to put you on. This firm is also on a lay-off streak throughout the year. At least they don’t fire their employees all at the same time. They also overhired entry level staff so many of them are just sitting around the office.
      The people I know also feel this pressure. But they said, if you keep yourself in good standing with the office politics, you will be safe. If you are in a supervising position and you shout at your staff, you won’t get in trouble. The powerful group in this company is the FI group. So if your career concentration is anything but FI, don’t go there. Also, this firm caters mostly to small firms so their engagement fees hardly crosses 100K. At this rate, I think the training that you will get from a local accounting firm will just be the same, or may even be better, that what you will get there.

  30. QUESTION:
    can u plz give me the website addres of free onlinehome jobs for students without any investment.plz?

    • ANSWER:
      If you are refering to high school students, then I’m not sure if these companies hire minors, but they are reputable.

      One of the most popular topics in forums today is the opportunity to work from home. I have been researching this for a while now. I enjoy making money online through eHow and other paid posting sites, but that is only a supplemental income for me. For those who are looking to find a steady work-at-home job, I have compiled a list of resources to get you started. Be careful of scams out there. I have not fully researched all of these opportunities, but they seem reputable. Make sure you never pay a fee to apply for online work.

      AccuTran Global
      This company hires transcriptionists that type at least 70 words per minute.

      ADS
      This company hires transcriptionists that have at least 2 years of experience.

      Alpine Access
      Alpine Access hires agents for customer service work. There is no upfront fee, but employees must pay for a background check after they are hired.

      A Place for Mom
      This company hires people to be Eldercare advisors to assist people across the country with finding senior housing for their loved ones. There is a 3-day training in Seattle, Washington but is a work-from-home job after that. They provide benefits and business expense reimbursements.

      Arise
      You can work from home doing sales, customer service, or technical support. The pay scale was not listed.

      Axion Data
      Sometimes this company will accept applications for work from home date entry specialists. Some projects would be paid per piece. For example, it might take you 2-4 minutes to complete a form and you would get paid 4-8 cents per form. Other projects are complex, requiring 30-60 minutes per document, with compensation ranging from -9 per document.

      Balance Your Books
      This site is for bookkeepers who want to work from home. An associates degree in Accounting or equivalent experience is required. Please see the site for more details on the job requirements.

      Bateman & Co.
      This company hires telecommuting staff accountants. CPA and 3 years experience is required. Please click on the link above for more information.

      Brighten Employment
      You can earn up to per hour in a telemarketing position with this company. You can work whatever hours you want between 8:00 am east coast time and 5:00 pm west coast time.

      CPG
      Continental Promotion Group offers a work-from-home, contract data entry program in Tempe, Arizona only.

      Custom Loyalty Concepts
      CLC hires phone agents to call clients. The pay range starts at per hour once training is completed and then you can move up to – per hour depending on performance. They only hire in 26 states which are listed on their website.

      Idapted
      This company offers a great opportunity to help others learn the English language. You engage in a conversation in English and perform other exercises for them to practice speaking in English. The pay will vary by assignment.

      LiveOps
      LiveOps hires independent contracts to fulfill various assignments. You can set your own hours and work as often or as little as you want. The pay range varies by assignment. There is a background check fee if you are hired.

      Palm Coast Data
      Offsite data entry positions for this company are only available to those who are Palm Coast residents living west of the toll bridge.

      SpeakWrite
      This is a company that hires online transcriptionists. Once you are hired and go through the training process, you will be required to purchase a foot pedal to start and stop the recordings while you type. I believe this is around . Transcriptionists can average – per hour or more.

      Tigerfish
      This is another company that hires transcriptionists. You can apply on their website.

      West at Home
      This company provides work-at-home customer service assignments. The pay scale is not specified.

      Working Solutions
      This company hires online agents to perform various assignments. Pay range varies from – per hour depending on the type of assignment and experience required.

      There is a lot more, but I didn’t want to take up too much space. You can get the links and more information from the source link below.

  31. QUESTION:
    how to quickly make 3500 dollars?
    any ideas?

    • ANSWER:
      Pick up a second job online. One of the most popular topics in forums today is the opportunity to work from home. I have been researching this for a while now. I enjoy making money online through eHow and other paid posting sites, but that is only a supplemental income for me. For those who are looking to find a steady work-at-home job, I have compiled a list of resources to get you started. Be careful of scams out there. I have not fully researched all of these opportunities, but they seem reputable. Make sure you never pay a fee to apply for online work.

      AccuTran Global
      This company hires transcriptionists that type at least 70 words per minute.

      ADS
      This company hires transcriptionists that have at least 2 years of experience.

      Alpine Access
      Alpine Access hires agents for customer service work. There is no upfront fee, but employees must pay for a background check after they are hired.

      A Place for Mom
      This company hires people to be Eldercare advisors to assist people across the country with finding senior housing for their loved ones. There is a 3-day training in Seattle, Washington but is a work-from-home job after that. They provide benefits and business expense reimbursements.

      Arise
      You can work from home doing sales, customer service, or technical support. The pay scale was not listed.

      Axion Data
      Sometimes this company will accept applications for work from home date entry specialists. Some projects would be paid per piece. For example, it might take you 2-4 minutes to complete a form and you would get paid 4-8 cents per form. Other projects are complex, requiring 30-60 minutes per document, with compensation ranging from -9 per document.

      Balance Your Books
      This site is for bookkeepers who want to work from home. An associates degree in Accounting or equivalent experience is required. Please see the site for more details on the job requirements.

      Bateman & Co.
      This company hires telecommuting staff accountants. CPA and 3 years experience is required. Please click on the link above for more information.

      Brighten Employment
      You can earn up to per hour in a telemarketing position with this company. You can work whatever hours you want between 8:00 am east coast time and 5:00 pm west coast time.

      CPG
      Continental Promotion Group offers a work-from-home, contract data entry program in Tempe, Arizona only.

      Custom Loyalty Concepts
      CLC hires phone agents to call clients. The pay range starts at per hour once training is completed and then you can move up to – per hour depending on performance. They only hire in 26 states which are listed on their website.

      Idapted
      This company offers a great opportunity to help others learn the English language. You engage in a conversation in English and perform other exercises for them to practice speaking in English. The pay will vary by assignment.

      LiveOps
      LiveOps hires independent contracts to fulfill various assignments. You can set your own hours and work as often or as little as you want. The pay range varies by assignment. There is a background check fee if you are hired.

      Palm Coast Data
      Offsite data entry positions for this company are only available to those who are Palm Coast residents living west of the toll bridge.

      SpeakWrite
      This is a company that hires online transcriptionists. Once you are hired and go through the training process, you will be required to purchase a foot pedal to start and stop the recordings while you type. I believe this is around . Transcriptionists can average – per hour or more.

      Tigerfish
      This is another company that hires transcriptionists. You can apply on their website.

      West at Home
      This company provides work-at-home customer service assignments. The pay scale is not specified.

      Working Solutions
      This company hires online agents to perform various assignments. Pay range varies from – per hour depending on the type of assignment and experience required.

      There is a lot more, but I didn’t want to take up too much space. You can get the links and more information from the source link below.

  32. QUESTION:
    Any tips for a new “bookkeeper”?
    My husband recently started his own tree removal business and would like me to handle all the bookkeeping/accounting….and I am in desperate need of a system! I have piles of receipts for fuel, equipment costs/maintenance, insurance paperwork, invoices, bank statements, etc….I am drowning in paperwork and would appreciate any tips on how to keep it all under control, what would be the best way to file and keep track of everything? Thank you so much for the help!

    • ANSWER:
      The ‘system’ you need is called ‘double-entry bookkeeping’. If you have personally never taken an accounting class or have a basic understanding of accounting, you have a couple of options. But before I get to that, let me just say that you are on the right track by filing things according to category. Seperate file folders for fuel expenses, equipment costs/maintenance etc. All those title names for your folders/ categories are spot on to the two people who could approach to do this job.

      1) Would be a person like me – a small business bookkeeper for 20+ years – and I would be able to produce a good, reliable set of books for you charging you per hour. However, I am not a CPA. I just create a decent set of books that you give to the CPA come tax time and let him/her complete your tax forms. They have specialized software and they are required to keep up on tax law changes every year. They also charge around 0 per hour. So if it costs you to pay me say (12 months x per month) = 0, then we just drop those books off at the CPA and he will have your tax returns ready ASAP, but it will only take him/her an hour. So CPA charge in this scenario is 0. The total amount you pay is my bookkeeping fees plus the CPA charge = (0 + 0) = 0
      ——————–
      Option 2) would be to take ALL those folders full of receipts to a CPA and have him and his co-workers figure it out. Total cost in this scenario? Around (14 hours x 0 per hour) = ,100 (if not more). CPA’s and their staff don’t really like to do basic bookkeeping themselves – they are too busy reading those 4,000 page books of tax law changes so as not to screw up business tax returns.

  33. QUESTION:
    CPA or financial planner?
    Which do you suggest that I should have the meetings with? What benefits of each of them? Which more responsible? Which would you trust more to take care of my financial? Which cheaper fee?

    • ANSWER:
      A Certified Public Accountant is not a financial planner. You would see help from him/her if you would like your taxes prepared. However, in my opinion, you are better off going to a reputable tax preparer, not a CPA, or a place like HR Block, which is much cheaper. They are not cheap, I would think about 0 to 0 per hour. However, your tax preparation would also be expensive. At one CPA firm, I worked at about 20 years ago, they wouldn’t do your taxes, no matter how simple, for less than 0! Sometimes, CPA firms have Certified Financial Planners (CFP) on their staff. You should make sure they are CFPs though, since that is a certification which says that they are qualified to help you with that area.

      A Certified Financial Planner (CFP) will help you with your planning for retirement, buying life and health insurance, saving for childrens education, and helping you begin retirement savings, preparing a will, paying your debt, etc.

      CFPs are also not cheap. They may charge by the hour or charge a percentage of your assets, so they can be expensive. However, if financial planning is your objective, then they are the ones you need to seek.

      Let me know if this is helpful to you…

  34. QUESTION:
    What should I do about my boss?
    Ok, so I am a nanny for a family with 2 kids and I get to bring my daughter with me to work. My boss pays me with a regular check and she gave me a 1099 for last years wages. She is not withholding my taxes as if i were a regular employee. I earn .50 per hour before taxes. I got my taxes done a few weeks ago and my CPA said that she should be paying me with a W-2 and withholding my taxes for me. He stated that this is the correct way to do it (legally) and that it will save me about 0 a year.

    When I brought this up to my boss, she got very defensive and said she’d speak with her accountant. She spoke with me again in a few days and said that if she paid me with a W-2, she’d have to cut my wages to accommodate the difference she would have to pay in payroll taxes.

    I don’t want to complain because I get to bring my daughter with me so it saves with daycare, but I feel like I am getting cheated. Do I stand up for myself and risk my job (jobs aren’t exactly easy to come by nowadays!) or do I deal with it? The more I think about it, the more pissed off I get! I don’t like being a doormat.
    I have paid my taxes. Another question, can she be penalized for this?

    • ANSWER:
      Your employer CAN be penalized for this! I am working with a couple right now in this exact situation. Their nanny filed as self-employed and dutifully paid the self-employment and income taxes that she owed. She was audited and when the IRS discovered that she was actually an household employee they went back 3 years and recalculated her tax liability and gave her a pretty substantial REFUND of the excess taxes that she had paid.

      Then then went after my clients for the unpaid payroll taxes, along with some very stiff penalties. We were able to get them to abate the 100% trust fund penalty since the nanny HAD paid an equivalent amount in tax but the IRS only gave them 30 days to pay that portion of the total tax bill or they would reinstate it. The state also went after them for their unpaid unemployment taxes and failure to provide workers’ compensation coverage or get a self-insurance waiver from the State. They are looking at thousands in taxes, penalties, interest, and fees to clear this mess up.

      The law is quite clear on this. You are an Household Employee and your employer is required BY LAW to withhold Social Security and Medicare taxes from your pay AND pay payroll taxes on those wages. They are not required to withhold Federal income taxes (those are optional if you both agree to it) but may states do require them to withhold state income taxes. Most states also require them to pay into the unemployment system and provide workers compensation coverage for their household employees as well.

  35. QUESTION:
    CPA exam question! if you have taken it!?
    I am graduating soon with my bachelors degree in Fin/Accounting. I love accounting and would like to get a job in this field. I like to take the CPA exam after I graduate. To prepare for the CPA exam I have these questions.
    How to prepare better? Is attending live classes better than on your own?
    How many questions are there on the exam? one each 4 sections?
    What if someone does not pass the 2nd section?
    What else would help to prepare better for the exam?
    Thank You!
    also how expensive is it?

    • ANSWER:
      Great set of questions! Let me see if I can help.

      How to prepare better? Is attending live classes better than on your own?

      The key to passing is getting study plan and sticking to it. To create your own free personalized study plan, check out CPAexcel’s Exam Planner:

      http://www.cpaexcel.com/demo_reg.jsp

      Based on the metrics provided by CPAexcel’s alumni who have successfully passed the CPA Exam, Exam Planner will create a study plan for you based on either how many hours per week you would like to study OR your target day to sit for the CPA Exam. In addition, you can find out how to apply to sit for the CPA Exam.

      The plan you create works with CPAexcel. Because CPAexcel students learn 25% more per study hour, the number of hours you need to prepare to pass with CPAexcel is less than other courses.

      Online vs. live? Each person learns differently. If a “live class” is simply a grad student hitting “Play” on DVD player in a hall of 200 semi-drowsy Saturday morning CPA candidates, then the quality of the learning environment may be far less than studying in the comfort of your own home on your PC, laptop or iPad at anytime of the day or night—when you are ready to study! Each of us has busy lives between work, family, college and the seeming “whatever else of life.” CPAexcel alumni have appreciated the flexibility of studying anytime, anywhere in the world and having a personalized plan to pass.

      How many questions are there on the exam? one each 4 sections?

      There are 4 sections on the exam: AUD, BEC, FAR and REG.

      All four sections have three testlets of multiple choice questions (MCQs).

      AUD: 3 testlets of 30 MCQs each (90 total) + 7 short task-based simulations (inc. 1 research question)

      FAR: 3 testlets of 30 MCQs each (90 total) + 7 short task-based simulations (inc. 1 research question)

      REG: 3 testlets of 24 MCQs each (72 total) + 6 short task-based simulations (inc. 1 research question)

      BEC: 3 testlets of 24 MCQs each (72 total) + 3 written communication (essay) questions.

      What if someone does not pass the 2nd section?

      You can take the sections in any order you wish.

      If you do not pass a section, you have the option of taking that section again in the next window OR taking a different section. It’s your choice.

      Each time you take a section, you pay fees to AICPA, NASBA and Prometric. Certain courses charge you up to 0 for you to regain access to that section.

      The good news is that 87% of CPAexcel’s alumni pass the CPA Exam. For the other folks, CPAexcel offers the best guarantee in the business unlimited free updates to the content and software of their course until they pass!

      What else would help to prepare better for the exam?

      Know your learning style and then select the study tools which support the way you learn best. To ascertain your learning style (visual, auditory, tactile or kinesthetic), read a six part series on learning styles and appropriate study tools on CPAexcel’s blog. The links follow.
      Happy to help! If you have other questions, please ask!

      While the AICPA and NASBA fees are a flat rate, the Prometric CPA Exam fees are based on the maximum amount of time you might spend in their testing center. Therefore, a longer section like AUD or FAR costs more than a shorter sections like BEC or REG. The basic AICPA/Prometric/NASBA fees are 7.15 for either AUD or FAR and 5.10 for BEC or REG. The states have the right to charge an application fee and/or other fees so your costs can range. A CPA review course has a price sticker in addition to the state fees.

  36. QUESTION:
    How to determine CPA fees?
    For my small business. I already know the hourly rate the CPA I am going to “interview” charges, so if you don’t charge flat fees for some things, maybe tell me how many hours it would take you? I’d appreciate it.

    Filing of business and personal tax returns (including quarterly)?
    Entity selection?
    Payroll?
    Bookkeeping?
    Help with the business plan/Projections?
    Tax strategies/Setting up investments and retirement accounts?
    Business consulting?

    Again, just looking for some good estimates. I won’t get to speak with the CPA for a few days. Hours involved, or flat fees, would give me an idea of what to expect.
    Point taken. It will be a retail business with 3 employees. Answer what you can answer if some things are “cookie cutter”, and what you can’t answer, you can’t answer. I don’t expect much for unpaid advise. Just looking for numbers.

    • ANSWER:
      There’s absolutely no way to make any kind of legitimate attempt to put numbers on those items.

      It depends on whether you’re talking about a Mary Kaye business or a manufacturing operation with 30 employees.

      >>>Even knowing a retail business with three employees. Filing business and personal tax returns implies that you have formed an LLC or a corporation.

      I have several clients who have a handful of employees. The business bottom line might be identical. One client hands me rock-solid financial reports with all revenue and expenses cateorized, capital expenditures indicated, mileage logs, and copies of checks sent in for estimated tax payments. They’re return is around 0.

      Another client comes in with a shoebox, checkbook not reconciled, no books, intermingling of personal and business funds, and no prior-year information to compute carryovers. Their return is around ,000.

      About the only number I could give you that would mean anything is that after I give a quote for a return, I charge 5 per hour for additional work.

  37. QUESTION:
    how much does it cost to be a CPA ?

    • ANSWER:
      Well, it depends what all you are including in this. Obviously, you have to pay for college. In MO, you are required a minimum of 150 credit hours with certain other specifications as to the composition of those hours.

      The exam itself costs about ,000 and varies a bit from state to state, but it hovers right around there. If you have to retake a section of the exam, it’s around 0 per section (4 sections). Additionally, if you take a review course (which I am now in the process of doing), they can vary from a couple hundred up to a few thousand. Mine cost me about ,500, and almost everyone will advise you to take a review course as it significantly affects the pass rates of the CPA exam (which is about 10% for first-time takers and just under 50% overall).

      You are also required to take continuing professional education hours on a yearly or semi-yearly basis which can cost several hundred dollars a year (there are some package deals where you can take as many classes as you would like out of their catalog for a set price).

      Finally, many states required a yearly fee to belong to their CPA society and maintain your certificate. This varies widely from state to state.

      Good luck if that’s the path you are taking. It should be (I certainly hope so) worth it all in the end.

  38. QUESTION:
    I am looking for a online Master Degree Program in Accounting?
    So I have been at this for a few weeks now and have only come across one school that I have liked so far. It is SNHU. However, SNHU does not offer some of the things I am looking for in an online school. What I am looking for is an online school that offers Master degrees in accounting. I do not want to have to take the GMAT or GRE as I cannot afford either of the two. I am also looking for a school that has low tuition. 0-0 per credit hour would be ok. SNHU also does not offer scholarships so I am looking for a school that does offer them. I do not want to have to take out thousands of dollars in loans if I have other means to pay for it. It would be awesome if I could find a school that either pays for the students laptop or includes it in tuition. Books included in tuition would be great as well. Since I have no background in accounting SNHU wants me to complete over 54 hours but that is an awful lot. I am looking anywhere from 30 credits to 45 credits. They have to be regionally accredited and accredited by either the ACBSP or AACSB. I live in Illinois and these are the requirements to sit for the CPA exam. SNHU also waived my application fee since I am unemployed which was great. So if anyone has any schools in mind that would be great. I have already looked at places like Keller, UOP, and other well known online schools but I am not interested in any of those. I am looking for a reputable school where I am not going to be laughed at when I go to take the CPA exam. Any help is greatly appreciated.
    Sandra….I’ve already been to that website but thank you!

    • ANSWER:
      MBAs in the US, AACSB, Greek things like Beta Gamma Sigma, and Ivy league things are all deception.

  39. QUESTION:
    Is it legal for over-time hours for a salaried employee to be denied once the employee is fired?
    At the start of Tax Season, I was hired by a small three person accounting firm to be a full-time, salaried employee. The firm was made up of two CPA partners and a receptionist. The CPA partner I worked for required me to work 40 hours. He said to come in from 8:30am to 5:00pm Monday through Friday, and that I get an hour for lunch every day. During tax season he asked me to work 50 hours per week, Monday through Friday from 8:30am to 6:00pm, and on Saturdays I needed to work from 8:30am to 12:30pm.

    At the end of tax season, I was fired and my overtime hours were denied. The CPA partner accused me of stealing hours and told me to leave. The big problem is that I did work the hours he required me to work. I was completely honest in everything I did, and I did all that was requested of me. Every day I kept records of my hours and at the start of the week I would enter them into the quick books software for his review.

    My big issue is that if he thought I was cheating him, why did he not fire me a long time ago? Why would he wait until the end of tax season and continue to work me 50 hours per week?
    I feel like this is criminal. Am I right or wrong? If I am right, I would like to know what I should do from here?

    Any help is much appreciated.

    • ANSWER:
      -

      Just reading your question, it sounds to me that you got scammed!

      The other respondents are correct. “Salaried exempt employees do not get overtime.” They DO get other things like vacation, sick, family & bereavement leave; paid holidays; medical, dental, vision, life & ADD insurance; books & tuition reimbursement; reimbursed travel expenses; and job security LOL!

      BUT …. were you REALLY a salaried employee?

      It appears to me like you’re more a “contractor” hired for a specific project called “Tax Time”
      __

      Call your state’s labor commission and ask for assistance. Cite these facts:

      1. You were specifically hired at the “start of tax time”.

      2. You were specifically fired at the “end of tax time”.

      3. You worked 50 hours per week. You logged it every week. And the hours can be reviewed by your supervisor any time.

      4. You were fired because a) you wanted to be paid the overtime; or b) tax time was over.

      * It’s very expensive to hire a lawyer. In your case, it’s NOT worth it. However, lawyer fees cut both ways. It’s very expensive for a small business also.
      __

      Possible steps. Do any or all:

      1. Contact your state’s labor commission. They may send a letter of inquiry to the business. Then the company may decide that paying you your overtime is cheaper than hiring a lawyer and responding to a lawsuit.

      2. Research and contact a labor lawyer which offer free initial consultation. Document his advice. Could he send a legalese “letter of inquiry” for a minimal fee? You may get paid your OT.

      3. Contact BBB. See if they entertain complaints against businesses by their employees. I doubt it, but it’s another possible arrow you can send their direction.

      4. You can always sue them in small claims court. Even if you don’t win in SCC, you still win “in principle”. Let me explain:

      Right now, you’re unemployed (because of them) AND the current value of your time is zero. Say, the profit for their business is 0 per hour.

      If you took all these steps AND you spent, say, 200 hours. Your cost = [FAQ-ANSWER].

      If the business also needs 200 hours to defend your moves, it costs them ,000.

      I doubt your overtime for 120 hours > ,000 … so they may just pay you your OT (to get you out of their hair). WIN!

      Even if not, they will have lost ,000 … so you STILL win!!

      -

      I don’t know about you. But to me, revenge is much, much sweeter than money.

      -

  40. QUESTION:
    Best Ways to make money?

    • ANSWER:
      One of the most popular topics in forums today is the opportunity to work from home. I have been researching this for a while now. I enjoy making money online through eHow and other paid posting sites, but that is only a supplemental income for me. For those who are looking to find a steady work-at-home job, I have compiled a list of resources to get you started. Be careful of scams out there. I have not fully researched all of these opportunities, but they seem reputable. Make sure you never pay a fee to apply for online work.

      AccuTran Global
      This company hires transcriptionists that type at least 70 words per minute.

      ADS
      This company hires transcriptionists that have at least 2 years of experience.

      Alpine Access
      Alpine Access hires agents for customer service work. There is no upfront fee, but employees must pay for a background check after they are hired.

      A Place for Mom
      This company hires people to be Eldercare advisors to assist people across the country with finding senior housing for their loved ones. There is a 3-day training in Seattle, Washington but is a work-from-home job after that. They provide benefits and business expense reimbursements.

      Arise
      You can work from home doing sales, customer service, or technical support. The pay scale was not listed.

      Axion Data
      Sometimes this company will accept applications for work from home date entry specialists. Some projects would be paid per piece. For example, it might take you 2-4 minutes to complete a form and you would get paid 4-8 cents per form. Other projects are complex, requiring 30-60 minutes per document, with compensation ranging from -9 per document.

      Balance Your Books
      This site is for bookkeepers who want to work from home. An associates degree in Accounting or equivalent experience is required. Please see the site for more details on the job requirements.

      Bateman & Co.
      This company hires telecommuting staff accountants. CPA and 3 years experience is required. Please click on the link above for more information.

      Brighten Employment
      You can earn up to per hour in a telemarketing position with this company. You can work whatever hours you want between 8:00 am east coast time and 5:00 pm west coast time.

      CPG
      Continental Promotion Group offers a work-from-home, contract data entry program in Tempe, Arizona only.

      Custom Loyalty Concepts
      CLC hires phone agents to call clients. The pay range starts at per hour once training is completed and then you can move up to – per hour depending on performance. They only hire in 26 states which are listed on their website.

      Idapted
      This company offers a great opportunity to help others learn the English language. You engage in a conversation in English and perform other exercises for them to practice speaking in English. The pay will vary by assignment.

      LiveOps
      LiveOps hires independent contracts to fulfill various assignments. You can set your own hours and work as often or as little as you want. The pay range varies by assignment. There is a background check fee if you are hired.

      Palm Coast Data
      Offsite data entry positions for this company are only available to those who are Palm Coast residents living west of the toll bridge.

      SpeakWrite
      This is a company that hires online transcriptionists. Once you are hired and go through the training process, you will be required to purchase a foot pedal to start and stop the recordings while you type. I believe this is around . Transcriptionists can average – per hour or more.

      Tigerfish
      This is another company that hires transcriptionists. You can apply on their website.

      West at Home
      This company provides work-at-home customer service assignments. The pay scale is not specified.

      Working Solutions
      This company hires online agents to perform various assignments. Pay range varies from – per hour depending on the type of assignment and experience required.

      There is a lot more, but I didn’t want to take up too much space. You can get the links and more information from the source link below.

      http://www.freewebs.com/askwendyrenee/workathome.htm

  41. QUESTION:
    I have to do my personal tax.?
    Iam married and I have to do my personal tax. please tell me who is best and cheaper tax attorney in Sacramento or in elk grove.

    • ANSWER:
      if your income is less than ,000 go to IRS.Gov for the free file allowance. Some of the providers also file a state return for a small fee. A cpa, or enrolled agent will be a little less expensive per hour than a tax attorney and do the same quality job, unless you have committed tax fraud.

  42. QUESTION:
    Should i qualify for overtime as a Salaried Employee in Kentucky?
    I work as a staff accountant for a CPA in Kentucky, however im not a CPA myself…We are paid k per year salary, and are being forced to work 63 hours per week with no overtime pay. I called the Kentucky labor board and spoke with someone and they said that I am not exempt from being paid overtime becasue I was not a manager or supervisor or such, nor did I hold any professional licenses… Is this true? i just want to be sure before i go cause a scene with my boss…
    Thanks for the answers… I read the test for exemption… and the only part that i think that may no be met is the point # 2 about consistant exercise of discretion and judgment..

    • ANSWER:
      Not true.

      here are the qualifications of an exempt employee. it isn’t as simple as being a manager or having a professional license.

      # the employee must be compensated on a salary or fee basis (as defined in the regulations) at a rate not less than 5 per week;

      # The employee’s primary duty must be the performance of work requiring advanced knowledge, defined as work which is predominantly intellectual in character and which includes work requiring the consistent exercise of discretion and judgment;

      # The advanced knowledge must be in a field of science or learning; and

      #The advanced knowledge must be customarily acquired by a prolonged course of specialized intellectual instruction.

  43. QUESTION:
    What Does H&R Block pay new preparers in Ga?
    I was offered a gratis class at my local H&R Block on tax preparation. My initial plan was to take it and do my own taxes next year for free. (Saving 0 on prep fees! OUCH!) They have since offered me a job following the class.
    They have no offered any details on the pay structure. My spouse is in the Army, so I have to work around the availability of childcare. Do you make your own hours? Can anyone offer me any insight? Have you worked there before? Will you go back? Is the commission worth it or can I make more working a regular hourly job elsewhere?

    • ANSWER:
      Their pay is 100% commission, but it has a minimum of about .50 per hour. So you could probably make more per hour doing other things than you could in your first year. Your commission increases with time on the job for several reasons – you get a bonus %age per year that you work there and another based on how many hours of off-season training you get – plus you tend to build up a client base that will keep you getting busier and busier every year.

      My first year I only got a little over the minimum but I have increased my annual pay by over 10% per year every year that I worked there.

      So in time you can do pretty well unless … unless your only interest is how much money you can make per hour. The most successful preparers I know are those that have no idea how much money they make per hour. You can hurry through a return quickly so you can take on another one and thereby maximize your hourly rate for the current year. Or you can spend whatever time is necessary to get every last nickel back for your clients – do a little research, etc which takes time. That cuts into this year’s hourly rate – but it builds a client base that would never consider having anybody else do their taxes. I am proud to say that I am that second type and if I moved 100 miles away, I would not lose one out of ten of my clients – the other 9 would drive that 100 miles for me to work on their taxes.

      So if your only interest is how much you make on your first year, please do your potential clients a favor and go fry fries at McD or something else where the quality of your work doesn’t really matter. But if you like to take pride in your work and love to see somebody who is counting light up when you find a deduction that never knew about or get a refund twice as large as they ever had before, try the class and try the job for a couple of seasons. The hours are very flexible and the job can be very much what you make it. Since I have worked for them, I have done taxes, taught that class you are considering taking and many others, and become an Enrolled Agent (which is to tax accounting what a CPA is to GAAP accounting in the eyes of the IRS).

  44. QUESTION:
    Small business banking/financial questions?
    I’m starting my own business as a Pure Romance consultant, which means that I will be buying products from the company and sell them directly to women for a profit. I will not be an employee of Pure Romance, and there will be no other employees in my small business.

    I have the sales side figured out, but what do I need to know from the business side? My plan now is to open a separate free personal checking account for my business transactions, because the business accounts I’ve researched have fees, minimum balances and transaction limits, and until I know how the business will do I don’t want to sign up and get stuck with fees because I’m under- or over-performing. So on this account I will deposit my initial investment [which I have in savings now], and from there it will be used for purchases from Pure Romance, gas and other deductible expenses, and all of the company’s income will go into that account. At least from what I understand it makes the most sense to stick with a free personal checking account? Are there benefits to the actual business account that I’m not considering?

    I plan to sit down with a CPA in the next few weeks to figure out exactly what would be a deductible expense…gas obviously because the job requires me to drive to women’s houses all over the city, but what about oil changes and other car maintenance, and even like clothes and makeup so that I can look the part of the sophisticated 21st century sexually liberated woman?

    And how do I pay myself? Would I be allowed to just transfer money from the “business” account to my personal as I choose, or do I have to give myself a salary?

    anything else I should know?

    • ANSWER:
      You have the right approach. Definitely, keep business and personal revenues and expenses separate.

      Concerning paying yourself, anytime you pay yourself money, it is called a “draw”. (Your CPA will explain this to you.) You may take a draw anytime you want.

      Concerning expenses, I have found that taking the mileage deduction is essentially better than tracking gasoline, oil changes, etc. To get the mileage deduction (which is about [FAQ-ANSWER].50 / mile), you need to keep a journal of where you went, why you went there, and how many miles, etc. (Your CPA will give you better instructions.)

      Concerning other important considerations, if your income is substantial, you may want to set up a 401k / profit sharing plan for yourself. Fidelity Investments “Self-Employed 401k” is a fine option, and it’s free.

      Concerning quarterly estimated tax payments, you will need to consult with your CPA at least 4 times per year to make sure you pay the correct estimated tax each quarter. You may want to hire a bookkeeping service, if your recordkeeping becomes cumbersome. (Bookkeeping services charge about to per hour; anticipate 2 hours per month — which will save you expenses on your CPA, who is probably charging you 0 / hour.)

  45. QUESTION:
    Hiring a worker – contractor or employee?
    This will be an online retail company. I want to hire someone to take care of order fulfillment/shipping. When an order comes in, he will be notified by email (or he can also login to a website to check the orders). What can I do to make sure he will be classified as a contractor?

    I can provide him with the shipping materials or can buy it himself and charge me for it.
    He can ship out the item any time of the day, but with in 2 business days of receiving an order.
    I can pay him by the hour or by number of orders fulfilled.

    I really want this worker to be a contractor, as this will be a really small business. I will be surprised if more than 10 orders come in per day. Which shouldn’t take more than 10-15mins (put the item in a package, tape it and stamp it). So I don’t want to go through the hassle of hiring this worker as an employee.

    And if I want to talk to a professional, who would I contact – Small Business Attorney or a CPA?
    Category

    Business & Finance > Small Business

    • ANSWER:
      Confirm my advice with a CPA. If good, then proceed as follows:

      1. Draft an agreement that specifies person is an independent contractor. The agreement states the scope of work is to:

      - Ship out items within 2 days of receiving order.
      - Person can use any reputable shipping company or must use the shipping company specified by the purchaser of the product.
      - Person will provide his own place of work
      - Person may subcontract work out to others provided that the subcontractor meets exceptable standards (i.e., has insurance, has adequate facilities, etc.)
      - Person will be compensated at the rate of $X per shipment plus shipping fees and cost of shipping materials

  46. QUESTION:
    Adjusting Entries for Lowell Inc. Cash to Accrual?
    Cash5,650
    Accounts receivable, 12-31-98116,200
    Allowance for doubtful accounts12/31/199818,550
    Inventory, 12-31-9862,000
    Furniture and Fixtures118,200
    Accumulated depreciation, 12-31-9832,400
    Accounts payable, 12-31-9817,000
    Capital stock, par value50,000
    Retained earnings12/31/1998119,600
    Sales1,023,000
    Notes payable, 4%, due 3/31/200050,000
    Interest expense1,500
    Purchases405,100
    Land improvement expense50,000
    Salaries expense174,000
    Payroll Taxes12,400
    Income tax expense60,000
    Insurance expense8,700
    Rent expense34,200
    Utilities expense12,600
    Travel and entertainment expense13,000
    TOTALS,312,050 ,312,050

    7. Accrued expenses at December 31, 1998 and 1999 were as follows:
    19981999
    Utilities,800 ,000
    Payroll taxes 1,6001,400
    ,400 ,400
    Due to an oversight, the CPA hired last year did not accrue the expenses at the end of 1998. Ignore income taxes.

    8. Lowell is being sued for 0,000. The coverage under the comprehensive insurance policy is
    limited to 0,000. Lowell’s attorney believes that an unfavorable outcome is probable and that a
    reasonable settlement is 150,000.

    9. On December 29, 1999, Lowell advanced ,000 to a salesperson for a sales trip to New
    York City during the first week in January. The advance was recorded as salary expense.

    10. All employees are paid weekly on Friday. The average payroll is ,600 (6 day work week –Monday through Saturday)per week. Employees were last paid on Friday, December 28th, 1999 for the week ended December 22nd, 1999. Mr. Lowell would like to give all employees an extra day’s pay as a bonus for good performance during 1999.

    11. Lowell’s has made estimated income tax payments of ,000 per quarter for the first three quarters of
    1999. Lowell’s estimated tax rate is 30%.

    12. Lowell’s took out a 2 year note payable on April 1, 1998. The note bears interest at 4%.
    Principal and interest are due at maturity.

    13. Included in cash is ,000 that has been set aside in an escrow account for future plant expansion. An appropriation of retained earnings has been made for the same amount.

    • ANSWER:
      Are you a lead controller/accountant for Lowell Inc? I just finished my Masters in Accounting at Rutgers and I am curious to answer your question in completeness and accuracy. Would you consider a reasonable consulting fee for this particular job? You gave me the numbers so I can solve your problem(s) within hours, please send me an email alms006@gmail.com.

  47. QUESTION:
    Should I rent out my house at a loss?
    We (spouse and I) bought our house on 2007 for 8,500. We still owe 2,000, and our monthly payment is 70 because we had to add the property taxes and insurance for a 100% loan. We have to relocate to another state and we don’t know what to do!! If we try to sell, we will have to pay out of pocket around 20-25K,including 6% real estate commission, home depreciation, closing costs for the buyer, and miscellaneous expenses. The home market right now in our area is bad…But I have another option…that is renting out our home at around 0-00 per month…The problem is that our mortgage payment is 70 and we also would have to pay 10% for the property management, home insurance, and other miscellaneous, which puts us at a monthly out of pocket expense of around 0-0!! We do not have the -K to pay out of pocket if we decided to sell it. We will need to settle down first before we can afford to pay the 0-0 monthly to keep the house rented out…I know that we could pay for our own rent in Texas for that amount!! It will be like paying double rent…and still we will need to sell the house later when we save enough money to pay for the loss and agent fees….But I’m afraid that the tenants destroy the house and on top of the house depreciation and the agent fees we will also end up paying for repairs or full mortgage if they move out before time. If we don’t sell it or rent it out it will have to go in foreclosure and our credit will be ruined…Please help if you have knowledge about the subject…Thanks

    • ANSWER:
      Tom’s advise is worst you could ever get. Don’t try and rent your home without a good property manager if you are not living in the area of the property. More than a couple of hours away. Drive that distance just once a month and it will cost you that amount in time and money vs. a property manager. That is about as good as an example as being penny wise and dollar foolish as I can think of.

      You shouldn’t have that large amount of a negative cash flow. Rent it for 00 a month and hire a property manager for 8% of the monthly rent, , plus water, and the difference between the payment with PITI 0….a 5 monthly negative cash flow.

      You will be able to deduct all the costs, including the 5 from your income tax plus you can write-off depreciate of about 0 a month. When the market comes back sell the property at a profit. You are no in a bad position. Just ride out the down market and five years from now you will have saved a lot of money on your income taxes and could have a nice nest egg. If you have an FHA loan do a FHA streamline loan immediately while you still live in the property. You should get a lower interest rate and you don’t need an appraisal. That should save at least 0 a month in principal and interest. Also file for a lower property tax bill since the value of the property has gone down since you purchased it.

      Go talk to a CPA or good tax adviser before you do anything, but in the long run you could come out very well.

  48. QUESTION:
    Claiming the money I make from Photography on taxes?
    Okay, so I got paid 0 to shoot a wedding this weekend. I will also have atleast 2 more weddings to shoot this year. I’ll atleast get ,000 more this year from them, but am not sure how much more business I’ll get other than that. I’m a stay at home mom and am just trying to do what I am good at to make some extra cash.

    After watching the movie “Seven Pounds”, I got scared that I was doing something illegal or could be auditted. I don’t want to get in troulbe or anything so my questions are:

    1. Even if I don’t make alot of money, am I still supposed to claim this money next year?
    2. Do I need to register as a business or something or am I just allowed to do odd jobs like this occasionally?
    3. Is there a way that if I were to claim this stuff, I would be allowed to deduct the money for my camera, lenses, travel, etc?
    4. HELP?!

    • ANSWER:
      In addition to the regular 1040 you must file a Schedule C – Income from Self-Employment. This can work to your benefit so don’t freak out yet. As a self-employed person, you only actually have to post a profit 2 out of 5 years, and the loss is deductible against wages and other income and can lower your tax bill while providing you with extra cash. This is the miracle of accounting.

      As to registering the business, it is in your best interest to do so. It will help convince the IRS that you are a legitimate business, not a hobbyist (IRS loves to ream photogs on that). So go to city hall, get the paperwork and register. The costs are a legitimate deduction.

      You may want to buy QuickBooks to help you keep track of your expenses, but you can use excel as well. Everything you spend on the business is deductible: Business cards, a portion of your cell phone, internet connection, any scrapbooks you use to show proofs, letterhead, liability insurance (except auto – discussed below), travel (airplanes, hotels, and 50% of meals when out of town), any fees you pay to assistants, advertising and promotion and office supplies. Everything.

      Your equipment is also deductible. Any equipment you bring into the business that was purchased last year will have to be depriciated, but current purchases like a new flash, remote switch, tripod, filters ect. can be written off under section 179. Also a portion of your rent or mortgage can be deduction for a home office expense if you meet certain qualifications.

      As to your car, get a small notebook and write down the mileage on the odometer. Keep track of every trip you make for business – getting office supplies, seeing the client, going to the wedding, whatever. If it has to do with business, its deductible. On Dec. 31, write down the mileage off of the odometer. (Also if you use the car to commute to work keep track of that. I just write the odometer reading down each and every time I get in the car with the purpose of the trip. Saves headaches filling out the form later.) Mileage this year, from July 1 to Dec 31 was 58.5 cents per mile – it adds up and makes a helpful deduction. All costs of the auto is computed in the IRS’s rate-you can choose actual costs, but this way is much less trouble and you’re less likely to be auditied on it.

      It is in your best interest to meet with a CPA to set up your business. CPA stands for Certified Public Accountant – their job is to help you get organized so your books are correct and auditable. She/he will also advise you as to state and local laws. It will cost a bit of $, but what you will save in the long run more than makes up for it. You should not need more than 1 or 2 hours of their time, so it shouldn’t cost more than 0 to 0, which yes sounds like a lot, but in the long run can save you thousands. Its a good investment. Also if you aren’t good with numbers or reading tax forms having the CPA (or a tax preparer) do the taxes can be very beneficial. They know things you don’t. If you are willing to do some homework and learn a bit about accounting (which I’d highly recommend) you could self-prepare your returns using Turbo Tax or any other of the packaged software.

      Please note that only Calif. and Oregon require tax preparers to have any training at all – unless you’re dealing with a CPA its buyer beware (avoid H&R Block, Liberty and the like.)

      Kudos to the previous answerer for bringing up liability insurance. You really, really, really do need this. Shop around for quotes and get at least 1 million in coverage. A friend of mine did studio work, had a great eye and was pulling in big clients. He neglected to buy insurance. One day the client brought in a guest who put his finger in the socket of the strobe power pack. The pack blew up, the guy lost his finger, and my friend suddenly owed him three million $. My friend did not have three million dollars. He’s out of business now.

      Before I went full time as a photographer I was an accountant. It was boring, but really prepared me to take full advantage of the laws. I pay much less tax on higher revenues than other photogs I know because of this experience (the only reason I learned it was to pay less tax.). Photo is better. LOL!


cpa fees per hour

Cpa Fees For Small Business

Frequently Asked Questions

  1. QUESTION:
    I want to start a subscription business charging small business owners a fee…what can it be?
    I want to start a business charging small business owners a monthly fee to provide a service, i don’t know what i can do though. The plan is to add as many clients as possible.

    • ANSWER:
      Taxes or toilets.

      Think about what you can do better than the small business owner (we hire CPA’s to do our taxes) or what you’d be willing to do that we don’t want to (unplug the toilet when it needs it).

      Which direction do you want to go?

      Figure that out first.

      In reality, I am looking for people like you – someone who knows and has a drive to achieve/aquire more than average – is willing to work hard to get there – but is unsure of what type of vehicle (restaurant, franchise, landscaping, fashion design) will take them there.

      Shoot me an email if interested.

  2. QUESTION:
    How much should a CPA firm charge me for this?
    I need help in securing bank financing and I also in the purchase of a business. I know rates vary, but if you’re a CPA, how much do you typically end up charging (or would expect to charge) for a small business?
    I think I just need a compilation. I just need to make sure that the information makes sense. After that, I need help with securing financing from a bank.

    • ANSWER:
      You don’t exactly say WHAT services you need to be provided. Do you need a compilation? A review? An audit? What is the size of your small business??
      A complication might cost as little as k or so and a full blown audit might be in the k range…..but again, the 100% depends on the nature of the business and how good your records are. I have some small business clients that have a k audit fee.

      Edit:
      Depending on the size and complexity of your business, and the state of your accounting records a compilation will run about k-5k…VERY rough estimate. However with that said, a CPA cannot really help you obtain financing. That is not what we do. We can evaluate financing options, but the the actual obtaining of financing itself is a management function and would destroy the independence of the CPA and the validity of the compilation.
      Good Luck!!

  3. QUESTION:
    Is it possible to incorporate a business without paying someone to do it for you?
    I want to incorporate a small business im starting, but, I dont want to pay someone a hefty fee to do it for me? Where can I get the documents myself to do it myself?

    • ANSWER:
      Get Nolo’s “Incorporate Your Business” (link below). This should give you everything you need.

      You can hire a Legal Document Assistant (called “Independent Paralegal” in some states) to do this relatively inexpensively (probably somewhere around 0-500). Just make sure that if your state requires some sort of licensing or registration, the LDA/paralegal you hire has the required qualifications. This ensures you are getting someone with the proper education and experience (and bonding in some states).

      There are many benefits to incorporating, and the “double taxation” can be easily avoided with the aid of a good bookkeeper or CPA. Check out “Own Your Own Corporation” from the Rich Dad/Poor Dad series (link below).

      Good luck.

  4. QUESTION:
    I have three rent houses but i still have to work a regular job . My question is can i start a small Business?
    for my rentals even if i have hired a manger to take care of them and collect rent . with a small business or home office i want to be able to deduct health insurance for my family and anything else i can legally deduct .

    • ANSWER:
      You can totally start your own business, but tax wise it might not be in your best interest. Consult your CPA or Tax professional regarding the specifics for your home state. There are many tax benefits on both sides of the fence between holding real estate personally, LLC’s, and Corporations. However, if you just want to create a simple management company that should be alright. If you form a standard C- Corporation health care is 100% deductible that wont be recorded as income, but rather an expense. In California (my home state) LLC’s and S- Corporations aren’t allowed to deduct health care cost because these entities have a flow-through income stream and income is recorded personally not separately as seen with a C- Corporation. The cost of forming a corporation, time, and any fees could out weigh the benefit of deducting the health insurance, but its always worth checking. Consult your CPA and hopefully the cost wont outweigh the benefit.

      This book might help you: The Real Estate Investor’s Guide to Corporations, LLCs, and Asset Protection Entities ISBN: 1427797021

  5. QUESTION:
    How do you go about determining the value of a business?
    What is the best way to determine the value of a small business?
    So an okay guess would be the earnings + assets = value ?

    • ANSWER:
      There are business that specialize in business valuation, financial companies and CPA firms would calculate this for a fee. Essentially, they will take into account the the earnings that company has the ability to make in the future as well as the net assets that are part of the company.

  6. QUESTION:
    How much of my earnings are taxable?
    I am starting a small business, I also work full time in another job and managing this from the sidelines. I will be taking out about ,000 in loans and will be paying back 95% of revenue (5% to run the small up keep) to the loans until they are repaid in full. I will not be taking any as income until the business is debt free.

    I plan to filing as a Sole Proprietor at first, then get the LLC as income becomes available.

    How much of he earnings will be taxable for my business? Do I claim earnings on taxes of only the 5% as 95% will be paying loans or do I claim 100% and then add deduction?

    I am planning on getting a CPA, but I don’t have one yet so I wonder if someone has a quick answer.

    • ANSWER:
      “I will be taking out about ,000 in loans and will be paying back 95% of revenue (5% to run the small up keep) to the loans until they are repaid in full.”

      The principal on a loan is NOT an expense.

      “How much of he earnings will be taxable for my business?”
      Gross Profit = Gross Revenues – Direct Expenses

      Net Income = Gross Profit – Operating Expenses

      The INTEREST you pay on the loans is deductible.
      Say you pay 3%, without a set time to repay the loan, the interest would be (only very roughly speaking) 00 for 12 months (1 year).

      Assume no other expenses and your Income is

      Revenues – 00. You owe self employment tax on about 92% of the Net Income if it is over 0 and, of course, Income Tax if applicable.

      “then get the LLC as income becomes available.”

      An LLC is a “disregarded entity” meaning the IRS does not recognize it. It defaults to a Schedule C unless you elect to file as a Corporation. LLCs also carry annual filing fees in the state formed. In MA, the fee is 0 (separate from your income tax return). And in MA, it doesn’t matter how you elect to file the LLC, you still owe the 0. So if you file as a Corporation, (a 6 minimum excise tax) you still owe the 0 for the LLC filing. This may also be true in your state.

      So, unless you need the liability protection of a separate entity, reconsider forming a Corporation and filing the Small Business (Sub-S) election. This makes the Corporation a “pass through” which means the profit is only taxed on your personal return. Normally, if the stockholder takes profit out of the corporation, it’s a “dividend” and taxed again. But the Small Business election does away with the double taxation of corporate profits.
      _________________________________________
      After checking out your answers, I see you are a personl trainer. Make sure you have plenty of liability insurance (business expense) and seriously look into the cost differences of the LLC and Corporation for your state. These are what makes or breaks an LLC choice. It’s not for everyone.

  7. QUESTION:
    Can a licensed Real Estate Agent be considered a business entity?
    Or would I have to actually incorporate myself or become a Sole Proprietorship even though I work under a Broker like Long and Foster?

    I ask because I want to get a small business loan to help cover the cost of advertising, cards, flyers, etc., and also to pay fees associated with being a Real Estate agent.
    I must add I just became an agent and I have not yet joined the board of Realtors or MLS because I can’t currently afford to. I have not sold any properties as of yet.

    • ANSWER:
      Entities
      An entity is entitled to a tax ID number from the IRS. Use SS4 form or call the IRS in Atlanta.

      1. The individual. The individual may do business using given name or a ficticious name. The ficticious name must be filed as DBA (doing business as) with the local government. Then a checking account may be opened in the ficticious name. There is no liability shield in the DBA.

      2. The Corporation. There are many types. You probably want a PC or personal corporation like the denstists and doctors use. Also called a ‘pass-through’ corporation because the assets are typically passed through to the individual. Has the benefit of the corporate shield and low corporate IRS auditing probability. You must follow the rules of the corporation and document all activiries etc etc etc and will need a CPA to do your taxes most likely.

      3. The Non-Profit

      4. The Irrevocable Trust. Assets placed inside an Irrevocable Trust are credit-proof, meaning that no one who has a claim to your assets (assets in your name) can access the trust assets, not even the IRS.
      The drawback is that you must find at least two people you can ‘trust’ literally with your money and to do what you ask them to do. Sadly most people cannot do this.
      However the I. T. may be given any name and is not directly linked to you in the public domain or in any public filings of any kind – it is ‘blind’.

  8. QUESTION:
    What are the tax liabilities for personal small business internet sales?
    I’d like to sell my hand-made jewelry through an internet site through which one can sell hand-made items for a small fee. The site is similar to E-bay. I can’t seem to find information concerning income tax (U.S.) regulations without dredging through IRS guidelines. Does one simply keep track of sales and file a 1099, or does the IRS even monitor this type of income? Any advice is greatly appreciated.
    Would it be profitable and advantageous to get a tax id. number in order to purchase supplies required for my jewelry?

    • ANSWER:
      Honestly, it depends on two things. First, the website. If they send you 1099s for the sales you make via their site (they should be able to tell you whether or not they do), then you have to report the income.

      Secondly, how serious are you about this? Is this going to be a significant source of income, or just an extention of a hobby. The reason I’m asking is this will effect the deductablity of losses. If this is simply a hobby, and there is no 1099, then don’t even worry about reporting it. The IRS will never know.

      However, if this is going to be serious, then I suggest that you get an EIN number, and keep track of your expenses. This will more than likely generate a decent loss, and that will lower your taxable income.

      My suggestion is to discuss this with your CPA (NOT H&R BLOCK!!!!). If you are located in Kentucky, then I recomend my firm. We specialize in helping individuals who own small ventures such as this one. Hope this helps.

  9. QUESTION:
    How much should I expect to pay for an accountant?
    What is the going rate per hour for an accountant to do personal, small business tax, and perhaps financial advice? I am in los angeles

    • ANSWER:
      Rates vary from -0 depending on complexity and their specialty. Just make sure you hire a CPA – they are the only ones licensed by their state and have continuing education requirements. Wininbiz has a free service to find a local CPA that will offer a no cost consultation were you can ask about their fees.

  10. QUESTION:
    What do I need to start a business like this?…?
    I am wanting to start a small business. Basically a small store that sells clothing and random things for teen girls and guys. I dont want to sell any food products. What’s everything I need to do this? Thanks. I live in Tennessee,if that helps.

    • ANSWER:
      (Things to consider)
      1. Your target! Who is your business targeting? That means you get realistic and the first thing you need to consider is race, gender, age, household income, and population. When starting a business, all the innocent non-generalizing non-stereotyping attitude flies out the window. Demographic is #1. In other words, location.

      2. You need capital. Even if you have enough for the business, don’t take wild chances and open it up, because a lot of people will be at risk. Make sure you have enough to back you up for at least the next three months. Assume in your mind that your monthly income will be [FAQ-ANSWER].00 for the next 90 days. You got to have capital or else it doesn’t matter how business savvy you are, you’re going to crash unless the business picks up quickly, but that’s rare.

      3. You want a plaza with a good anchor. By anchor, I mean the top company that holds the population of the shopping center. For example you may have a shopping center with a phone store, Chinese take out, nail salon, and a clothing store. But the anchor will be something like a Publix grocery or Wa-lmart super center. These are the big guys that make a huge difference to your income.

      (Legal Preparation)
      1. Go to the spot you want to open your store at and call the leasing management/landlord and talk to them about the space. Their number should be on the store window or a sign just outside the plaza. Don’t forget to check out the space before confirming any deals. The inside, back area of the building, and front. Keep in mind the CAM charges, annual percentage increase, and price is always negotiable. (But that’s a different topic)

      2. Don’t sign any papers yet! Once you agree on a deal, ask the landlord for the contact number of the city. You have to get a “Certificate of Occupancy” and “Sign Permit” depending on your county or state. Certain fees will apply.

      3. You get an inspection for building safety such as hazardous material, fire, or weak objects that could cause harm. (it could be a few days to a week or so depending on your agreed appointment.

      4. During this time, contact all the places such as the bank, phone line company, credit card company, sign company, your CPA etc.. and get things rolling.

      5. After the approval of the inspection. Go back to the city to get your Business license. You will have to pay another fee. Many places may give you one on the spot. Some places give you a temporary one and you have to wait for your permanent one in the mail.

      You’re in business!

  11. QUESTION:
    What business can we start, while not spending a bundle?
    I want to start a small business, but need information, on who i can talk to. What i need to know. Where i can start, and what i can base it on.

    • ANSWER:
      A business can be summed up as follows:
      Market (who are you selling to or in other words, who wants to buy what you want to sell – irrespective of this being a product or a service – where and for how much?)
      +
      Product / Service (what is your personal expertise. who do you have on your team that can do what you cannot or do not want to do?)
      +
      Revenue Model (financials i.e. how much does it cost you to run the business (your neighborhood bar in this case) and deliver the value you intend to and how much can you charge, to how many people you can serve ==> throw this is in a simple equation on a spreadsheet). This would also give you an idea as to how much start capital you need till you start seeing breakeven…that’s where you credit score kicks in and you may want to take a loan…if you have family and friends or investors, go to them…they know you better than what your credit score reflects…see if they can be convinced that their investment in your efforts are not risky and that you can guarantee a certain rate of interest payable in future.

      Based on the above understanding, you can now can make a serious decision on whether:
      1) you want to be IN THIS “new” business or not;
      2) it makes financial sense to be in the “new” business;
      3) it can “breakeven” and make money within a short/relevant period of time before you grow frustrated
      4) if this is a full time business opportunity or a sideshow that generates decent “extra” money.
      5) Why you are doing this – i.e. starting a “new” business – makes sense or does that answer to the question “why?” need a relook? is this because you have expertise in this area, or you have money to invest etc…

      That was the first stage of decision making and the most important part. Once you seriously know “Why?” you are in this, rest all is administrative and easy.

      Get a relationship with a CPA to help you get a good handle on your costs then you can go and mark up the service fees for your margin.

      Starting a business without any prior business or domain knowledge is not a bad thing by itself, just that the chances of failure are many.

      What is your financial health and budget for renting or buying an office? Is this going to be a -strategically speaking – real estate play or service business play? What term are you looking to sign up the lease (if renting) with the landlord? Be extra careful on the lease front, business people from Sam Walton (kicked out of his first succesful variety store by landlord who did not renew the contract) to regular johnnys who have had bad locations with long leases slammed on them…This is the key expense where you would need a long term investor partner to be on your team after payroll & inventory.

      Buy or lease equipment of such stuff for your business would be based on your specific financial modeling and short/long term plans.

      Lease if:
      Low on cash 2: write the lease of as expense each month 3: you have a short term lease with your landlord

      Buy if:
      You have cash on hand 2: you want to use depreciation on capital investment method for accounting and if this is a large amount 3; long term lease on hand through the break even time required and also if you are confident that your location is the perfect one.

      The following points are useful for you to note:

      Next, go to the website of your local state government, if you are in the USA, else to a legal counsel or account (CPA) to help with the basic decision making and advise on:
      1. Formation of the company: name, capital structure, accounting formats/software, financial year etc.
      2. Deciding on sole proprietor, partnership, S Corp, LLC or C Corp
      3. Financial health required i.e. cash flow analysis, financial projections, financing needs and loans etc.

      Then comes the execution part:
      1. Marketing ==> advertising ==> budget and reaching out to your market/audience constantly. This is where you get a website. I know a company www.bizdevsystems.com click on eBusiness that provides great deals for new businesses / start ups with package deals including custom websites onwards, business phone and DSL Internet , credit/debit card and check processing services.
      2. Sales ==> Getting big projects ==>cold calling, meetings, deal closures
      3. Business Development ==> partnerships, networking, swapping warm leads with other non-competing allies outside of your business / market area for a referral fee / affiliate commission.
      4. eCommerce and eBusiness: an online angle to your business, to generate revenues online as well as take your offline business online in some way or the other. This is another level of utilising the web through marketing.

      Last comes in HR / Production / Operations: Looks like you are experts in this area already. Just keep these in mind:
      1. to grow your company, you HAVE to hire new people, trust them (even if you are burnt multiple times…keep hiring), train them and try to get out of “you” out of the business and let it run on a systematic daily reports oriented effort…i.e most companies that are run by entrepreneurs / founders die when the founder leaves because the founder(s) was/were the company…therefore, on the operations front, put in an IT system in tandem with a Culture in place that can run the show on its own without your interference in the business decision making, revenue generation, order fulfilment and customer support. Also it is absolutely must that you get a T1 or higher internet with VoIP service for communications.

      All in all, always remember that the seed you are planting already knows how large it can get, the one who plants may not be so aware of which seed he/she is planting…you have to design this business model /seed before you launch.

      Good luck with your venture…nothing ventured, nothing gained…go for it…the learning would be fun after its been learnt…hindsight is 20/20…I can keep advising till the cows come home…having been there done that…for you, just do it :)

      Sanjay Saggere
      404-425-3021
      sanjay@bizdevsystems.com
      www.bizdevsystems.com click on eBusiness

      Source(s):

      1. For eBusiness eSsentials go to www.bizdevsystems.com click on eBusiness or email sales@bizdevsytems.com
      2. For eCommerce / offline retail merchant accounts go to www.wynpay.com or email sales@wynpay.com
      3. For phone & Internet VoIP services www.ebolo.com

  12. QUESTION:
    I want to start my own horse ranch. What do I need to do?
    OK-so I have a name and a brand but I’m not sure what else is needed. Is a ranch considered a small business? Eventually I will want to sell the horses and I also hope to raise bees and sell the honey. Help! I have no idea how to get started.
    I have the experience, knowledge, equipment and land. I am currently looking at horses and have the blood lines and what I hope to accomplish. I do not what I need to do legally.

    • ANSWER:
      You’re kind of asking this question under the wrong section.

      Most of the folks here have small businesses. You will be starting a small FARM or RANCH.

      The taxes are entirely different.

      Lets say you opened a small gift shop selling do-dads. You never, ever, have to make a profit. You can run your business at a loss forever.

      Entirely different with farm/ranch. You have three years to make a profit, per the IRS.

      Otherwise they can start to hit you with fees if they are feeling nasty. At the very least you will be forbidden from filling taxes as a farm/ranch, and writing off your expences.

      You really, really need to seek out advice from someone who knows how to handle setting up accounting and taxes for farms/ranches. This could be a lawyer, CPA, or anyone familar with the money side of farming.

      It is so VERY different from regular small business things.

      How do I know? Been doing it a while myself.

      ~Garnet
      Homesteading/Farming over 20 years

  13. QUESTION:
    what would be my best approach on taxes for my small business?
    I run a distributing company for bread. I have no inventory or billing , i am paid commission for what I sell each week. I have recently started the process on hiring one employee. I am so lost on the whole tax thing. I dont know if I really need a CPA since I really dont have alot of things to deduct or keep track of. Where would be a good place to get info I need, and should I use Quickbooks or something like that?

    • ANSWER:
      Quickbooks is a good software application for small business owners, but it can be tricky to set up and learn to use. The good news is there are a lot of classes around where you can learn to use it. There may even be a bookkeeper in town willing to give you lessons for a small fee.

      Your situation does not sound too complicated to me. I’m guessing you don’t need a CPA, although an accountant can be a good adviser for your business, helping you make decisions to minimize your tax liability while you still have a chance to take action – not after the fact.

      What makes your situation a little more complicated is that you plan to hire an employee. That means payroll taxes. While I am sure you can learn all there is to know in a short time, you wouldn’t want to make a mistake.

      You might want to look for a bookkeeper who can help you with all of the paperwork and quarterly filings. You could shop around for a CPA and try to find one that will work according to your budget. They are not cheap, but they can be worth it in the long run.

      A good alternative might be to find an enrolled agent. They are licensed by the IRS and have expertise in individual and business taxes. They may be able to do your quarterly tax statements as well as give you some tax planning advice for a fraction of the cost of a CPA.

      No matter who you choose, be sure to interview a lot of different people. Look for someone who has the experience you need, will work in your price range, and who you can get along and work well with.

  14. QUESTION:
    How do I choose an accountant for my start up business?
    I need a list of interview questions to ask prospective accountants. My business is new and will not generate a lot of revenue so I will need to manage resources carefully.

    • ANSWER:
      This link below has guidelines and questions for choosing a small business accountant. These questions include: Do you have your CPA? What kind of creative business advice will you offer me? Do you consider yourself to be tech-savvy? Who are your other clients? How do you calculate your fees? Why should I use you?

  15. QUESTION:
    Does my Colorado LLC have to file taxes if we did no business or made no money last year?
    A group of friends and I established a LLC in Colorado at the end of last year, that we intend to “use” this year. We are getting into the Real Estate investing business and were getting everything set up before we start. My question is simple. Since we didn’t do any buying or selling, and as such, didn’t make any money as a company, do we have to file taxes on anything?

    • ANSWER:
      A multi-member LLC is treated as a Partnership at the Federal level. You must file a Form 1065 Partnership tax return every year that the partnership is in existence. If you’re on a calendar year, that was due on March 15th by the way so you’re late. There is an penalty per month per general partner for late filing, so get moving on it to avoid additional penalties!

      At the state level, LLCs are usually treated as corporations with all of the corporate filing requirements including tax returns and often other reports as well. Many states also impose minimum franchise fees on corps regardless of profit or loss or even total lack of any business activity.

      I’d suggest that you consult with a local expert on small business tax issues, a CPA or EA, not a storefront tax prep mill. You’ve probably unnecessarily complicated your lives with the LLC but what’s done is done now so you have to play by the rules.

  16. QUESTION:
    How Much Does a CPA Cost Approximately? Anyone With Experience?
    I have a small business in east TN. Basically I have a website and make money with Google Ad revenues, and a couple of other ad platforms. I could easily do my bookkeeping once setup.

    I basically just need help filing a few tax forms (total of about 6 per year), and also consulting on whether or not this is taxable, or how books should be setup, etc.

    Anyone know what this would approximately run? Or any small business owners with similar situations that have paid a CPA?

    • ANSWER:
      Most CPAs want you as a monthly client so they can keep track of your progress. Minimum fee is 0 per month plus 0 at the end of the year to do your tax return. Good luck.

  17. QUESTION:
    I’m a owner of a small grocery store. How to files year end taxes?
    I use hrblock online filing program for personal taxes. Can I still use it? My business will be opened to public from November. Is it better to give to an accontant?

    • ANSWER:
      I own a small hair salon and have been in business 5 years. I have found that getting an accountant or cpa to do my taxes really pays off. They can find deductions that we would never think of. It doesn’t cost that much, and the fee is a tax write off for the next year!

  18. QUESTION:
    What are some suggestions as to how to go about getting the nececessary licenses to start a business?
    I would be opening in indiana. What licenses do you actually need? Where can you get them? Online or in person? Where is a good place to find a loan or potential investors to lower my personal startup fee?

    • ANSWER:
      Hi Greg, I’m based out of Texas and I started and filed for an S Corporation. You didn’t mention what type of business you want to start (what industry? a salon? a dealership?) or what type of corporation (an LLC, S Corp? C Corp).

      Here is the Indiana website for registering a new business with the Secretary of State:

      http://www.in.gov/dor/3744.htm

      You will also need to file the appropriate documents with the Federal Government stating what type of corporation you are so they will know how you intend to pay your corporate taxes. This is for your Identification number. Go here:

      http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Apply-for-an-Employer-Identification-Number-(EIN)-Online

      If your industry requires licensing (like for a CPA) that is a different license you would need to get.

      On start up fees – I’m a seasoned finance professional for small businesses – loans for start up businesses are hard to come by unless you have collateral to provide. Think real estate or vehicles, things like that. If no collateral I always advise my friends that private investors are the next best choice. Write up a business plan and start pitching your idea. Gain your investors and get going! Good luck and congrats on deciding to pursue your own business.

  19. QUESTION:
    What kind of administrative support do work from home small business owners need the most?
    I’m thinking along the lines of support staff–like administrative assistants, web design, marketing, etc.

    • ANSWER:
      well for my small home business my wife has become the accountant , the bill collector bill payer , the answering service. so this year we have outsourced our billing to a CPA. they now run the payment and the collection of fees owed. this has allowed the wife to work less and allow me to do what i am skilled in doing which is appraisal work.

      so depending upon what you are trying to accomplish here i would say anything that can be outsourced is feasible. find out how wide of a target market you want to attract. if you want to be some ones answering service then how many different clients do you want or do you want to specialize say for just private practice Dr offices. that way you don’t have to learn every ones terminology for hey i am on vacation here.

      for me letting me do my job instead of being the chief of everything was a big relief.

  20. QUESTION:
    What can I offer online to get from people from my own website?
    I wanna start me a online business but I do wanna offer something for the small fee through a website. Please help.

    • ANSWER:
      You could make a how to ebook (if you are uninspired, just reword one)

      Or you could look into CPA offers. They have hundreds of offers all ready to go for you. For example, you get 2.00 for someone to sign up at a new website.

      check out www.maxbounty.com

  21. QUESTION:
    Would I get good results doing taxes through online free services?
    I don’t want to have to pay more than I have to, but then again I want to be able to get all the deductions and everything I can. So if I use one of the free file services listed on the irs.gov site (like H&R block), is this suitable for a person with a small business (sole-proprietorship)?

    • ANSWER:
      Free file is not usually available for people with a Schedule C (small business). They hook people in by offering free services but if you read the small print, they usually charge when the return is moderately complicated.

      I am a little biased because I am a paid preparer, but I don’t think someone with a small business should be preparing their own tax return. Do it yourself software is great for simple returns and for people who have a basic understanding of tax law but there’s a good chance you may miss something important because you simply didn’t realize you could claim it on your tax return. Worse yet, you may claim something that is not allowed. If the IRS were to audit, you could end up owing more money plust interest and maybe penalties.

      For a small business, tax return preparation fees are a deductible expense. It’s really not something you want to scrimp and save on. The few dollars you save on tax return preparation fees could cost you hundreds of dollars on your return. I’ve seen many cases where someone brought a tax return to me that they prepared with off-the-shelf software. Once I’ve reviewed the return, I was able to find additional money for the taxpayer.

      I understand people’s desire to save money, but you could end up being penny wise and pound foolish. In fact, I recommend finding a qualified CPA to help you with business financial decisions throughout the year. If you want to save a little money, you may want to look for an enrolled agent. They have to pass an IRS test and usually cost less than a CPA.

      In my experience (including several years working for H&R Block), I wouldn’t trust my small business tax return to someone at a storefront tax office (Liberty, Block, or Jackson-Hewitt). There’s too much turnover in the industry. Most of the training programs for new tax preparers spend very little time on small business tax returns.

      You need someone with experience. Spend a little time shopping around to find someone qualified in preparing small business returns. You can still get a good deal if you shop carefully. Once you find someone good, keep using them. The advice you get can be worth its weight in gold.

      Hope that helps. Good luck.

  22. QUESTION:
    How will income from a rental property affect my taxes?
    Right now I’m making ,000 a year from an employer and have 4 kids. Right now I’m at zero taxable income when I fille taxes. I want to get a rental which I would rent out for about 0 a month. About 0 a month would be going towards the mortage on the rental and property management fees. How would all this work next year when I file my taxes?

    • ANSWER:
      You report the rental income and expenses on Schedule E. The interest portion of the mortgage is deductible but the principal is not. You can also deduct other rental expenses such as management fees, rental agent commissions, repairs & maintenance, utilities paid by you, insurance, property taxes, depreciation, etc.

      The depreciation deduction is particularly important because any depreciation allowed OR ALLOWABLE is subject to recapture when you sell. This means that even if you failed to take a depreciation deduction while you held the property for business use, the amount that you could have claimed is recaptured at sale time. This is also taxed at a higher long term capital gains rate of up to 25% instead of the usual 15%.

      In many cases you will show a loss for tax purposes while you hold the property for rental use. The “holy grail” of rental property is a positive cash flow and a tax loss. As long as you meet the passive activity loss limitation rules and active participation rules you can use that loss each year to offset other income. One of the key requirements is that you retain some management say in the venture, such as reserving final approval of tenants and major expenditures. If you turn it over to a property manager and let him or her make all of the decisions, any losses are disallowed and carry forward to future years. In the worst case, you recover them at sale time.

      Ideally you should set up a consultation with a local CPA or EA who specializes in small business issues. You need to get your bookkeeping system up to speed, including your depreciation schedule. With a single rental doing Schedule E yourself is pretty straightforward once you get your bookkeeping set up.

      @Bree: Damn, who’s your dealer?! I wanna get me some of that stuff that you’re smoking! But please don’t go NEAR a tax form while you’re high!

      Please ignore that mindless rant. Those are not legit tax code references and the information is useless ramblings.

  23. QUESTION:
    Is this enough documentation or do I need to be keeping more?
    At the beginning of the year I started up a small home business purchasing and re-selling consumer electronics products. Business license and registered with the state (Georgia) as DBA. I am a sole proprietor and the only one involved in the business.

    January and February have been kind of rocky. I was learning the best and cheapest ways to ship, the quickest ways to test my products (stuff like memory cards coming from wholesale suppliers that could unknowingly be selling fake/misrepresented cards to companies, etc.) I sell on Ebay only, and I only accept Paypal as a payment method. So every sale, sale date, product description, Ebay fees, Paypal fee, date sold, etc. are all there. When I was a little more naive, I unknowingly flipped some products before I knew of a solid way to test them, so I got some returns and had to refund. Long story short, January and the beginning of February turned into an accounting nightmare in regards to logging everything. I utilize the “Outright” program on Ebay, which pulls all of my Paypal data. So it basically organizes everything, tells me the final profit, the total fees/business expenses for each month and year, the product description, date sold, sale price, Paypal fees, Ebay fees…all of that. The only thing it doesn’t log is the original purchase price and purchase date. I’m pretty much screwed for January and February in regards to proper documentation in regards to bookkeeping, but I do have the final profit amount for both months, all of the expenses and fees, payments received, etc. and I will just have to eat the taxes on the purchase amount vs. re-sold price. So taxing the whole instead of only the profit.

    Is there a better way to keep track of this? I did make a spreadsheet in January. It has the item description, purchase date, purchase price, purchase tax paid, purchase shipping fee (I buy all of my inventory online and get it shipped to me from wholesale companies using my tax id), resale date, resale price, shipping fee, Georgia sales tax charged (if they were in my state – I only had one sale to Georgia during January and February and I have logged and paid taxes to the state on that), Ebay Listing/Insertion Fee, Ebay Final Value Fee, Ebay Final Value Fee on Shipping, Paypal Fee and then Finally Profit/Loss at the end.

    Yeah, that’s a lot of fields to log for each transaction. Outright seems to do a really good job with keeping up with everything and letting me just print out all fees and sales with proper dates and descriptions. The only thing it doesn’t keep up with is the purchase price. I try to print out the invoice each time I buy something to re-sell and staple that to the printed paypal transaction paper for each transaction, when I have sold it. Is there a good way to keep this from being too tedious? We’re talking probably…,000 a month in sales in February. January was rather slow.

    At tax time, Outright supposedly makes it easy to just see the total profit, total fees/deductions and such. But it doesn’t have an option to compare my purchase price per item to the re-sale price. So I could print that stuff out…but I’d end up paying taxes on everything for the whole year as a [FAQ-QUESTION] purchase price value.

    Any advice from sellers? Apart from “Get a CPA to do it all for you”…I wouldn’t make anything if I did that.

    • ANSWER:
      I keep all my items, prices, descriptions, final payouts, etc listed in an excel workbook. It does my calculations for me once I put the formulas in and I have a nice setup now after using it for a while. I don’t have to pay any fees to use it and I’m just very organized and attentive to it. If your business is so large that you can not handle the books on your own, I suggest hiring an employee. It shouldn’t take much training to keep good records. Just discipline.

  24. QUESTION:
    If I do not have the money to pay my taxes what should I do? I have about half to three-fourths of it.?
    I recently opened my own business and I have made to much money this year. I owe about 00 in taxes and I have about 00 what should I do about the remaining 0. I would like to avoid any penalties.

    • ANSWER:
      Make sure you check with your CPA before you do any of this, but you might try a couple of things.

      1. Go ahead and file your return on April 17th showing the ,000 liability and send a check for as much of it as you can pay. That way, you don’t have to pay failure to file penalties. You will however have to pay interest (The IRS charges a reasonable rate.

      2. Some have mention setting up a payment plan. I believe there is a small fee to set this up. And it will be more than interest. So find a way to come up with the 0. A friend, family member, credit card, or certainly a bank will loan this to you. Since it is only 0, this is what I would do.

  25. QUESTION:
    My wife and I made a lot of money this year, and both of us claim 0 on our taxes? Do we need to get a CPA?
    Whenever we do our taxes ourselves, using turbo tax, we don’t seem to get back much money? I am wondering if getting a CPA would be a better idea?

    • ANSWER:
      It depends on your circumstances. If all you have are a W2 job each and some mortgage interest and real estate taxes, TurboTax probably will produce a refund close to what a CPA will. However, if you have children that have education expenses, unusual charitable donations, rental properties, substantial investment income, etc., a CPA can provide a service that will be greater than their cost. I tell prospective clients if I don’t believe I can provide them a service worth my fee, I won’t do it. For at least 75% of the people in the US, their returns are simple enough that they can do them, either manually or with a simple program like TurboTax. It’s for the highly compensated, the small business owner and the self-employed that CPAs can really show their value!

  26. QUESTION:
    What are the applicable taxes for starting a staffing firm in ny?
    Im am thinking about starting a firm but i dont know all of the taxes differences. For example permanent vs temp placements are there different taxes i need to worry about?? Benefits for employees?

    • ANSWER:
      I would strongly urge you to consult with a local CPA or EA who specializes in small businesses. You need to get your bookkeeping system up to speed, including your payroll system.

      There are no taxes specifically for setting up a business but there are probably various licenses that you will need and those typically have fees that need to be paid. You’ll pay tax on your net income along with payroll taxes on the wages paid and have to make deposits to cover the taxes and employee withholdings.

      You should also consult with an attorney and your tax consultant about what type of legal entity to create, if any. Errors here can be costly both in taxes and the costs of preparing returns and reports.

  27. QUESTION:
    Has anyone compared tax returns from Turbo Tax with those from a CPA?
    For the last several years, my wife and I have used TurboTax, but every year we wonder if we should throw down 5 and see if an accountant could get us a better tax return.
    About us:
    *3 kids
    *Both employed full time
    *Own our home (well half; the bank owns the other half)
    *No investments, pretty simple financially

    If you know about this, your input is appreciated!

    • ANSWER:
      I myself am a CPA and given your situation, it is best that you stick with turbo tax and save the 5. Your situation is very simple and straight forward and the only thing a CPA could add besides the fees is a face. I’m sure you are already aware of this, but your mortgage interest and real estate taxes paid by you is deductible on your Schedule A if you itemize which are the only significant deductions I see given your situation. The only thing I would look into is the child tax credit and possible additonal child tax credit that you get for your children depending on how old they are and what your adjusted gross income is for the year. I would consult with a CPA if you do in fact make some investments such as in real estate (even in the sub-prime market), securities, or whatever the case may be. I myself specialize with small businesses, and I consult those wanting to start up a business and how that impacts their their personal tax return in the end. I hope this helps. Feel free to contact me with additional questions or comments.

  28. QUESTION:
    Can a 501c3 charge for services, and still be “charitable”? Using money to operate, but not profit a person?
    Again, its not to profit a person, but to keep place running. We charge a lot let than most. We will receive grants and donor support as well, but its not enough to cover everything right now. Trying to figure out the tax code is a nightmare and attorney fees are not something we can do as we are just trying to get started.

    • ANSWER:
      Watch out for the UBIT. The unrelated business income has to remain a small portion of total income.

      Make sure you consult with a CPA specializing in not-for-profits.

  29. QUESTION:
    How do I get funding to open a small business?
    Looking to open a spa and need funds…where do I start? I have good credit but no money, only a credit card.
    Thanks

    • ANSWER:
      Well your credit card doesn’t go far in this regard. Have you tried talking to banks for funds/loans? That should be your first step. Many banks are willing to give funds to entrepreneurial ventures at relaxed terms and conditions.

      As a beginning you may want to talk to some bank managers in your area or take legal help from a CPA (be ready to pay the fees).

      TW K

  30. QUESTION:
    how much does a busines license cost in arkansas?
    I plan on opening a game store next summer and i was wondering if anyone could give me a few tabs on the license and taxes and all the other cost and fees.

    • ANSWER:
      If you’re going to run the business as a corporation, partnership, LLC, etc.(Highly recommended), you will need to register with the Secretary of State and/or State Comptroller. Your city may require a business permit. Check with your City Clerk’s Office. If you will be collecting sales tax from your customers, you will need a Vendor’s account from your State Sales Tax Office so you could report and turn in your money. You’ll need bank accounts for your business. If you have employees, you will need to register with both State and Federal (IRS) Tax authorites to report wages and pay unemployment taxes, etc. You will also need to file quarterly tax estimates on your earnings with the IRS. You should have business insurance on your merchandise, property, and liability insurance to protect you from lawsuits.

      There’s a ton of stuff you need to know about. Best thing for you to do is make an appointment with a local CPA and let him advise you on how to do everything.

      Also, there are probably websites that will guide you exactly in what you should do. Just Google something like, “Starting a Business in Little Rock, Arkansas,” or whatever city your are in. Good luck.

      http://www.irs.gov/businesses/small/article/0,,id=99336,00.html

      http://www.businessnation.com/library/business-resources/arkansas-small-business/

  31. QUESTION:
    How much in back taxes do I owe?
    Lets say I owe 0 in back taxes from 2004, and did not file a tax return from 2004. How much in back taxes would I owe the IRS if I filed now?

    Can someone brake down all the fees I would owe over the years?

    • ANSWER:
      No one can answer this here because we don’t know your gross or adjusted income. Best see a CPA.

      “Haven’t Filed an Income Tax Return? Here’s What to Do”

      http://apps.irs.gov/businesses/small/article/0,,id=108327,00.html

      or
      “Back Taxes: Filing Late Tax Returns”

      http://taxes.about.com/od/taxtrouble/a/back_taxes.htm

  32. QUESTION:
    About how much does it cost to hire a tax preparer?
    For a solepreprietor ?

    • ANSWER:
      It all depends on the complexity of your return, where you live, and who you have prepare it. Tax prep services like H&R Block usually have a set fee based on the forms they fill out for you. A CPA will charge you an hourly rate plus expenses (which are nominal). A small CPA firm will probably charge you around per hour to prepare your return, a medium sized firm will be around 5, and a large firm can be from 0 to 0 per hour. My suggestion would be to ask fellow business people in your area if they can recommend a CPA. No matter the cost, trust and integrity are the most important qualities of a CPA. If they’re good, someone will recommend them. :) PrissyPanda, CPA

  33. QUESTION:
    I am interested in learning what steps are involved in becoming a partner in a law firm. I am not a lawyer?
    I have a small business and want to create a partner progam as in Law firms and Account offices. What are the steps necessary to do so. Lots of hours, bring in business, time with company etc.

    • ANSWER:
      First off, you should word it as “partner WITH a law firm” and not “partner IN” because partners IN the firm are lawyers who work for the firm and who have achieved some status. You may confuse folks if you do not word it properly.

      Before you get too far into your venture, you should check with your local Bar Association and CPA licensing body to ensure you are not violating any ethical standards by the partnership. In some areas it is illegal for attorneys to partner with other types of professional firms— especially doctors and lawyers! This is because the attorney-client relationship is very special and can easily be abused by unethical people. If it is permitted in your city and state, there is probably a clause that no money can change hands between the partner companies– you can’t get a “finder’s fee” from the attorney who refers you a new client.

  34. QUESTION:
    how do i start a online business?
    what types of equipment and software should I purchase in order to display a site for customers to upload sounds, images, videos, and etc.
    Marcia T.
    Side note: i think i put the question under the wrong heading i am interested in web designing. Sorry for the inconvenience and thanks for your thoughts and suggestions.

    • ANSWER:
      the best way to start an online business is trading worldwide money currency…there is no better business than that when you wanna start up business…in less than 3 month you’re making 60 a 80k monthly without believing your own eyes…to see your money growing everyday start with a little minimum investment of 0 at Currency Trading, the biggest and most exciting market on earth,offers you countless opportunities!The Euro-US-Dollar rate is constantly changing, usually in small movements. Daily fluctuations around 1% are quite common. In Forex trading, when you invest with a 1:100 “leverage”, changes of, say, 1.2% turn to 120%, during a single day, even hours or minutes! You may profit unlimited amounts, but if the exchange rate moves against your favor, you lose not more than your initial investment.A small change in the dollar rate can be a big opportunity for you and that’s a way to start doubling your little income to a major one and then invest on a something’else as you wish…see link here http://tinyurl.com/6q5ovw

      The Forex-Affiliate earning programs
      Forex-Affiliate.com offers a win-win earning program – combination of CPA and Revenue-Sharing, tailor made to suit you best! As our business partner, your commission is based on the revenue generated by your referrals, plus a flat fee for introducing referrals. In addition, you may well enhance your earning by running the 2nd-tier program (introducing Forex-Affiliates under you). Also the 2nd-tier program offers combined CPA and Comm-Share (flat fee, plus percentage of commission earned by your referred affiliates).

      http://tinyurl.com/5szx72

      The investor’s goal in Forex trading is to profit from foreign currency movements. Forex trading or currency trading is always done in currency pairs. For example, the exchange rate of EUR/USD on Aug 26th, 2003 was 1.0857. This number is also referred to as a “Forex rate” or just “rate” for short. If the investor had bought 1000 euros on that date, he would have paid 1085.70 U.S. dollars. One year later, the Forex rate was 1.2083, which means that the value of the euro (the numerator of the EUR/USD ratio) increased in relation to the U.S. dollar. The investor could now sell the
      1000 euros in order to receive 1208.30 dollars

      http://tinyurl.com/3hcwee

      this is the best answer you can get here on yahoo Q&A…better than that you won’t find it and it’s only time waste…bad for your money…see you at forex hopefully

  35. QUESTION:
    I worked in ten+ states this year, what is the best way to file taxes and how much is it going to cost me?
    I spent 9 months traveling the US working for a week to two weeks in each city. I had local state taxes taken out in every state plus taxes from my own state. What is the best way to file this year where I can get the most bang for my buck?

    • ANSWER:
      Assuming you’re not in the military (“Military personnel designate their Home of Record as the state where they enlisted. Generally, military personnel are considered residents of their military homes of record.” …

      You will probably have to file a state income tax return in each state you earned income. You may want to do this especially if you had taxes w/h that you may receive a refund for. Some states will let you off the hook if you only have a small amount of income. A few states don’t have an income tax at all.

      Do your own research on each state’s tax filing requirements through the state tax authority’s website. Find your states here: http://www.taxadmin.org/Fta/link/FORMS.html

      “Residency” is the state of your main home – the one you live in when you return from a temporary business trip(s).

      You are a “Nonresident” (NR) of any state you didn’t live in during the tax year, but received income from because you worked in the state.

      Or you may be a Part-year Resident.

      Decide if the time you spent in each state was permanent or temporary. The answer determines which tax forms you need to fill out for each state.

      If you made permanent moves to other states, you are considered a part-year resident of each state. OR If your work in the other state is temporary & you maintain a permanent residence in your home state while you go do the work, you may be considered a nonresident in the other state.

      States want to know: 1. Did you intend to make a permanent move? 2. How much time did you live in the other state? 3. Did your immediate family move to the new state with you?

      The IRS considers your move to be temporary if you are in the new state for work & you expect your job in that area to last less than a year.

      If your move is temporary, avoid doing the things listed for proving permanent resident status & do the following instead: 1. Vote by mail in your home state.
      2. Keep your car registered in your home state. Check with your insurance agent to find out if you need different coverage because your car will be in the new state temporarily.
      3. Keep your driver’s license from your old state up-to-date.
      4. Live in rented property in your new state, and maintain your household in your old state.
      5. Don’t move your family to the new state.
      6. keep your main bank accounts in your home state. Open a new bank account in anther state for your convenience.
      7. If you belong to a social or business organization, check with the local chapter in the state you’re living to see if you can have temporary visitor’s membership rights. An inquiry about membership may be a deciding factor if your residency is challenged.
      8. BE SURE to move back to your home state when your temporary job is over.

      The easiest way to deal with this situation may be through the use of tax software like H&R Block Tax Cut or Turbo Tax. These programs take the information from your federal tax return & transfer that info to your state tax return forms. Then determines what income is taxable, what expenses are deductible for each state, and what the filing requirements are for the states in which you have income. This may prove costly if you have to pay a separate fee for each state’s tax program.

      Compare the cost of the software against that of a good tax accountant/CPA (whose paid for or has easy access to software for multiple states). It may be worth your time and sanity to pay a trained tax preparer/CPA! (I recommend a good tax CPA)

      REMEMBER to deduct Employee Expenses for each state (travel expenses, meals, etc.) – that’s a Form 2106. http://www.irs.gov/pub/irs-pdf/f2106.pdf And don’t forget moving expenses if they apply!

      Hope this helps!

      http://onehourbookkeeper.com/

      http://turbotax.intuit.com/tax-tools/tax-tips/irs-tax-return/5608.html

      http://turbotax.intuit.com/support/kb/update/form-availability/1086.html

  36. QUESTION:
    Thinking of creating an online newsletter & seeking info on how to generate revenue from readers?
    Looking to start community based newsletter on specific subject matter. How would I generate revenue- from advertisers? Per page view? Any business professionals out there that can help me understand revenue model alittle further. Thanks.

    • ANSWER:
      If you are going to start an online newsletter, you can choose these business models:

      1. Subscription based model = you charge a membership fee whether monthly or annual to read and subscibe to the newsletter. Be sure to have really compelling and unique content that others will not be able to get for free with your newsletter.

      What others do is to give a free sample or teaser of the content — e.g. the first 2 paragraphs of an article — and to read more or access more content, the visitor has to subscribe and pay.

      There are several shopping cart systems that allow for memberships like this wherein you will automatically flagged when a membership payment is due and to ensure that the subscriber is not giving away the password/username to others

      2. Advertising based model = this basically means your entire content is free for all. Advertising can either be

      - cost per 1000 impressions or CPM wherein you are paid for every 1000 visitor that sees the ad
      - cost per click or CPC where you get paid everytime someone clicks on the ad
      - cost per action or CPA where you get paid everytime a predetermined action happens (e.g. sale, qualified lead, etc)

      There are several ways you can earn money from advertising:

      a. Join an advertising network. Advertising networks are organizations that aggregate Web sites that offer advertising space, and sell banner ads (and other advertising options) across them. Traffic requirement is often a minimum of 5,000 monthly impressions, although many do not accept sites hosted by free page services.

      Burst Media http://www.burstmedia.com
      Fastclick (ValueClick). http://www.fastclick.com
      Advertising.com. http://www.advertising.com
      Tribal Fusion http://www.tribalfusion.com

      b. Participate in contextual advertising networks. Contextual advertising are text ads delivered based on the content of the web page using an automated system.

      Google Adsense https://www.google.com/adsense/
      Yahoo! Publishing Network (currently in beta and available to US publishers only) http://publisher.yahoo.com/
      Intellixt http://vibrantmedia.com/site/web_01a5.htm
      Quigo Adsonar http://www.quigo.com/adsonarexchange.htm
      IndustryBrains http://www.industrybrains.com
      Commission Junction Evolution http://www.cj.com
      Kanoodle Brightads http://www.kanoodle.com/about/brightads.html
      Clicksor http://www.clicksor.com/affiliate_programs.php
      Contextweb http://www.contextweb.com/
      Bidclix http://www.bidclix.com/
      Bidvertiser http://www.bidvertiser.com/

      c. Sell advertising for your site directly. This is admittedly a more difficult route for a small business site wanting to earn advertising revenues. But hey, as they say: “no pain, no gain!”

  37. QUESTION:
    What is the best way to start up an LLC? (Which website, company, etc) ?
    Want to start an LLC and would like to hear some people’s opinions/experience on what/how to do it and where to go. Also, how to get licensed in multiple states.

    • ANSWER:
      In most states, forming an LLC is a matter of one form and an annual fee of around , so I would not suggest an online incorporator to do such a simple task. Also, you have to have an operating agreement and other documentation that incorporators often to not handle.

      If you are serious about your business, I would highly suggest engaging a local lawyer and a CPA to make sure you have everything setup correctly – especially if your LLC is going to operate in multiple states. I have been in public accounting over nine years, and I have seen many horror stories of do-it-yourself LLCs and S-Corporations that ran into huge problems years later all because of some small setup errors or missing formation documents. The legal and tax ramifications of do-it-yourself mistakes in the initial year are huge. The initial year can be expensive with a lawyer and CPA, but it is well worth the cost.

      For multiple state issues, the CPA and lawyer will also save you a lot of trouble as you do not necessarily need to register with every single states you come into contact with. Every state has different nexus rules and different tax systems, so you will want a professional who is actually going to sort this out for you. An online incorporator is only going to register you in states you request and function as your registered agent when necessary.

      Lastly, do not form an LLC in California! 0 minimum fee plus a gross receipts tax! For some reason the S-Corporation a Golden State favorite.

      http://pdxcpa.wordpress.com

  38. QUESTION:
    I would like to buy a small house in Sarasota Florida, but live out of state, I want this for when I retire?
    I want to remain where I am now and not move but I want this as an alternate residence and the place to go to when I retire. What do I need to do? (Getting a mortgage is obvious) is there any other things I need to make this happen?

    • ANSWER:
      Figure out how you’re going to protect your investment. A vacant house, even if owned by a motivated owner, will deteriorate rapidly. They can become eyesores with overgrown grass, squatters, crack havens, etc.

      Normally renting it out until you are ready to occupy it is the best bet, but there are considerations there as well. You need to address property management. Being an absentee landlord is the PITS when something goes wrong, such as when a tenant does a “midnight move” or something important breaks down; think of a water heater that takes a dirt nap on Christmas Eve, for example. The solution to that is to hire a local property manager. Interview several property management firms and base your decision on their track record, how professional they appear, and recommendations from other local landlords. The typical 10% of gross rents received is money well-spent. You want one with a flat percentage of rents and no extra fees for locating new tenants, evicting deadbeats, making minor repairs, etc. You will have to cover any related costs, such as court costs for evictions, bits and pieces for minor repairs, and the total costs for major repairs.

      Consult with a local attorney to get up to speed on landlord/tenant law and have your leases drawn up if the property manager does not provide a pro-forma lease. Even if the PM has a lease, have your attorney review it periodically to be safe. Mistakes there can be very costly.

      Also consult with a tax professional, a CPA or EA who specializes in small business tax matters and has experience with rental properties as there are tax advantages and disadvantages to being a landlord.

      Bear in mind that lenders will require a larger down payment on investment property, typically 20% to 25% minimum. It does not matter that you will occupy it later as your principal residence, what mattes is how the home will be used immediately upon closing. You also will have to use a conventional mortgage as FHA and VA and most other assisted purchase programs are not open to rental properties.

  39. QUESTION:
    how do you start a graphic design business?

    • ANSWER:
      Step 1: Learn graphic design
      Step 2: Get people to pay you to do it.

      That’s really the short version of it. The hard part is step 2. If you know how to do the work, you need to get out and market yourself to local businesses. Your best bet will be to find some very small businesses, and offer to design logos and the like for them. Charge them a minimal fee, with the understanding that you get to keep copies of their logos for your portfolio.

      As you progress along, you’ll find larger and larger businesses to work for.

      It’s also worth a short consultation with a CPA before you start, to ensure you have all your ducks in a row when it comes time to file taxes next year.

  40. QUESTION:
    how does one start a private pay home companion service? in new york city?

    • ANSWER:
      You could simply register your name with your state (there’s usually a small fee) as a “sole proprietor,” then just handle payments and all the work yourself. But when you get into the logistics of how risky this business could be (my mom lifted a disabled boy–part of her job–and his leg broke) you wouldn’t want to risk being sued. So in that case the simple “sole proprietor” status wouldn’t be good because it means that anyone can sue YOU directly.

      If you look into other ways to set up your business you will find that, by creating an LLC or a corporation, you have more legal protection. For instance, a corporation is considered a separate entity, so if it gets sued, worst case scenario the company fails (none of your personal assets are taken away) and you can create another company in no time.

      You should talk to an attorney or CPA specializing in business creation to discuss details, or if you’re a strong independent learner, get a book on business creation from the library or a book store.

      So, if you go the more protected route, you’ll have to file the business type and name on the appropriate form and send it into your state (to register the business name) –there’s a fee. Then you’ll need to contact the irs and get a tax id number or employee id number (every business has one of these). and then you’ll have to check with your city to see if there are any special licenses you’ll need. also, you’ll need to find some liability insurance.

      there are a ton of online resources out there. it takes some work, but you can do it on your own.

      http://www.sba.gov/index.html

      www.irs.gov

      and on the sba website you’ll find links to “score,” a volunteer program of retired businesspeople that you can email with questions.

      good luck!

  41. QUESTION:
    I am getting audited and can’t find my receipts?
    I am in a panic. The IRS is going to audit me in 3 weeks. They have ask for receipts for items I claimed on a Schedule C, however, try as I might, I am unable to find them and dont know what to do. I am scared. I did my own taxes. This is for year 2004, but they want to see 2003 and 2005 tax returns as well. At this point I don’t really know what to do. The schedule C relates to equipment, software and a class I took. I have tried to remember the when and where of it all, but just can’t. If I just tell them I can’t find them, what am I faced with? I don’t have the money to get an attorney, or CPA. I am beginning to think I am really screwed. Any advise from you folks out there?
    Okay with what everyone has said and thank you. What I what to know now, is what is the worst that can happen to me if I can not produce what the IRS wants? I have ordered bank statements. The bottom line here is, I did not take the time to keep good records.
    By the way I am in Texas.
    One more bit of information….The IRS wants to meet at my home instead of their office. Is this right? Can I request the meeting be held at their office? If so, how?

    • ANSWER:
      They want to see 2003 and 2005 to see continuity of operations.

      First tell the auditor that you do not have all your receipts and why you do not have them.

      Try to legally recreate them. For example you purchased a typewriter for your business. Get the instruction manual and warranty card for it, find a office supply cataloge that shows what the purchse price would have been then. Get what ever support you can to justify your deductions. Look at your credit card statements (get copies if you have to or download them). If you went to a seminar in Miami call them and have them fax you a statement saying you were there and what the dates were, same with the hotel where you stayed. Get the software books and boxes to prove you purchased them.

      Once the auditor starts looking at your return he will narrow in on only a couple of areas. You did not say what type of Schedule C you did but the usual places they go are Entertainment Expense and Travel Expense.

      The one thing he will do is ask you for all your bank statements. I mean ALL of them(personal and business accounts). Have them for him. If you do not have them now call the bank to get copies, or download them off the net.

      What he will do with the bank statements is add up all of the deposits that went into every account, subtract from this transfers that came from other accounts. This is the income that you should have reported as Gross Receipts on your schedule C. If not you better be able to account for every difference. If it is higher he will increase your income by that amount.

      If there were deposits to your account for reasons other than business income then you need to show proof where it came from. For example your brother gave you ,000 as a birthday gift.

      Give him every thing in a nice orderly package, tie each amount on the return to the package. DO NOT GIVE HIM A SHOEBOX. If the auditor feels you are not hiding anything then he not ask for more information if you are upfront with a lot of information.
      But do not give him more than he really needs to know.

      If he asks you “Do you know what time it is?” the correct answer is “Yes” the wrong answer is “It is 9:45am”

      If you do not know the answer tell him “I will check and get that information for you” Do not lie, make up information. you will trip over your own toes. Do not have any one else there with you, they will give out useless information that can bite you.

      Before your first meeting you will get an IDR#1 this is called a Information Document Request #1 and will list every item on it that he will need. It will narrow down where he will be looking at.

      At the end of the first meeting he will ask you for more information. Ask him for another IDR. Do not give him more information unless it is listed on the IDR!

      Also keep a list of what information you do give him.

      If you feel you are getting into trouble CALL A CPA from a local cpa firm spend the money because he may save you from thousands if you are really going to get into trouble. Or talk to your friends, one of them may know someone who works at a firm that could advise you for a small fee.

      Be aware that Schedule C returns are the most audited 1040 returns out there.

  42. QUESTION:
    Which is better to use an LLC or an Incorporation for a small business?

    • ANSWER:
      An LLC is a type of business entity, generally regarded as providing the greatest liability protection and being the most flexible. It is not a tax entity. There is no tax form for “LLC”. You must choose which tax form you will use. The default is a partnership, but you can also choose S Corp or C Corp. If you are a single member, you could also be a sole proprietor as an LLC.

      From a IRS standpoint, you can go into business very easily as a sole proprietor (which is the same as a freelancer or a consultant). You will be self-employed – in business for yourself. Once you have the intent to be in business, you are in business. Keep track of all your income and expenses, including mileage (58.5 cents/mile now). If you have a profit, you will have to pay both income tax and social security tax (about 15%) on it. If you have a loss, it will lower your taxable income. A sole proprietor is reported on Sched C on your 1040, so there is not a separate tax return or registration for it.

      If you do an LLC or a corporation, you will pay fairly large fees to the state, and a lawyer or an on-line agency. If you do not need the liability protection, you may be better off starting slowly as a sole-proprietor, than spending money later on an LLC or corporation if the business proves to be viable. If you need liability protection, then an LLC or corporation may be best right from the start.

      This is a long and complex discussion if you are trying to decide how to be taxed. As always, consult with a tax professional for specific answers. CPA Greg – glindatax.com

  43. QUESTION:
    how much charge the accountant to fill taxes for self-employed?
    if i want an accountant to prepare the taxes for my small self-employed business, how much do accountant usually charge?

    • ANSWER:
      It kind of depends on how much work the accountant needs to do to prepare the tax returns. If you give him or her a proper set of financial statements for the business and any personal information they need to prepare the forms it should not cost too much.

      Most will charge by the hour if they have to do a lot of preparation work. If it is just a matter of filling in the blanks on the forms they may charge you a flat fee based on the number of forms involved.

      Experienced CPA’s could charge up to several hundred dollars per hour. But a staffer supervised by a CPA may only be to per hour. Rates kind of depend on what part of the country you live in also.

  44. QUESTION:
    I would like to start my own business, but…?
    I don’t want to borrow money or rely on purely free hand outs from others and currently am in college with no job (that’s great isn’t it? <<<

    I live in the southeast and would like to do a business in not-overpriced crafts/art/baking.

    • ANSWER:
      1. Get the proper permits.
      -You are going to need a business license. Visit your city’s web site or go to your city office and obtain the criteria package and application for a business license. A basic business license is generally very inexpensive. Each year, at the anniversary of your business license renewal time, your city may require a report from you that will determine the renewal fee.
      -Depending on the types of products you make, your city may require a fire permit. This may lead to an inspection of your home and the area of your home in which you work.
      -Resale license or Use permit. If you live in a state that collects sales tax, and you intend to sell your products to the general public, you will need a Seller’s Permit or Resale License. Visit your state’s web site or call your State Board of Equalization for an application. There is usually no fee for a resale license; however, (depending on your state’s guidelines) you will be required to submit quarterly and annual reports that will determine the payment you will make to the state.
      2. Set up your purchasing. Establish a business relationship with manufacturers and/or wholesale dealers and distributors of the raw materials you use (fabrics, yarns, paints, floral products, canvas, hand tools or power tools, baskets, new or used widgets, paper, etc.). Buying direct from manufacturers and wholesale dealers requires a business license and a sales permit. (Where do you find these businesses? Google will become your best business partner. Simply type in what you’re looking for: such as – Wholesale Crafting materials, or Silk Flower distributors, or Textile Manufacturers, etc. There are thousands of them out there.)
      3. Start proper bookkeeping.
      -Are you going to do this yourself? If so, good for you! If you are familiar with keeping books (even at a minimal level) invest in basic bookkeeping software that you can rely upon to provide the information you want and need. Select a product that will monitor not only your sales and the bank balance, but your costs and inventory status, too. (Consult with your tax preparer for a product that is best suited for your needs.)
      -If you’re not so good at bookkeeping or you just don’t want to do this, the best investment you can make for your business is a good bookkeeper. Set up an “Informational Interview” with your personal tax preparer or CPA for guidance on finding a good bookkeeper (he/she might offer this service himself/herself).
      -Take a basic bookkeeping class. Even if you opt to have your CPA or tax preparer handle the books for you, you will want and need to have some understanding of your financial position. Check with your local community college or adult education center for a class schedule. (And, yes, there is a book distributed by Wiley Publishing “Bookkeeping for Dummies” by Lita Epstein. Look for it online or at an office supply store.)
      4. Don’t quit your day job. If you are already in the work force, stay there. Until you have solid income that you can depend on from your crafting, don’t bite the hand that feeds you. If you are fortunate to have a financial reserve or a source of funds that will sustain your living expenses and allow you to lay out money for materials and craft-related expenses until you have an inventory base, congratulations! You are among a very small group.
      5. Give yourself some room. Do you have work space in your home or garage where you can work uninterrupted and your crafting work will not take over your entire home? Segregate your work area from your living space. If you are truly going to make crafting your “business,” maintain your personal life, then “go to work” as you would if you were going outside your home. Take lunch. Take breaks.
      6. Build your inventory. Whether you plan to sell your crafted creations out of your home, online, at craft fairs, community farmer’s markets or at a yard sale, you need enough inventory stock to attract customers. Do you plan to consign your items? Meet with a retailer that accepts consignment items. Present samples of your craft item(s). The retailer might accept one piece or a dozen. Be prepared to fill the order.

  45. QUESTION:
    what form do i need or do i need one?
    i am starting a small bussiness and i am going to file 1099. my question is what form does the employers have to file or do they when they are hired?
    I am a contractor that has employees that work for me. I get paid then i have to pay them i dont want to have to pay the whole $ if i am not recieving the whole $.

    • ANSWER:
      If you’re starting a small business, YOU are your own employer. The people or firms you provide goods and services to are your customers, not your employers. Anyone who pays you more than 0 for services rendered in any year should provide you with Form 1099. Even if they don’t, you still must claim the income that you received. You will need to provide them with your taxpayer ID number — either your SSN or an EIN, Employer ID Number — so they can properly complete the Forms 1099. They will use Form W-9 to request that. You’ll complete the W-9 and return it to them.

      When you file your tax return, you’ll attach Schedule C or C-EZ to Form 1040 to claim your business income and expenses and calculate your net income. You’ll then attach Schedule SE to calculate the self-employment tax at 15.3% of your net income. Then you’ll complete the Form 1040 to figure your total tax liability.

      If you expect to owe more than ,000 in total taxes you must make quarterly estimated payments using Form 1040-ES. The 1040-ES package has worksheets to help you estimate your income for the year and calculate the required payments.

      At the end of the year when you file your return you’ll take credit for the estimated payments against the tax liability on your Form 1040 and either pay the balance due or (usually) mark the excess to be applied against next year’s tax liability. You could opt for a refund check but most self-employed folks just let it ride to reduce the size of the required estimated payments throughout the next year.

      If your state has an income tax, you’ll also have to make estimated payments to your state in most cases.

      Edit: OK, since you will have employees of your own, you’ll need to set up a payroll system to pay them. You cannot give employees 1099s, you have to withhold taxes from their pay and pay payroll taxes yourself.

      I’d urge you to consult with a local CPA to get the ball rolling. Payroll taxes are complex and you can get in deep do-do with the IRS if you mess it up. Alternatively you can hire out payroll preparation to any number of firms for a fee. It will allow you to focus on your business instead of worrying about payroll.

      BTW, you MUST pay your employees whether you get paid or not so it would be a good idea to work out a line of credit for payroll purposes with your bank if there are any cash-flow issues. Not paying your employees will get you in even more trouble than not paying the IRS!

  46. QUESTION:
    What bussiness do you like, merchandising or food bussiness??

    • ANSWER:
      none of those…the best online business is trading worldwide money currency…there is no better business than that when you wanna start up business…in less than 3 month you’re making 60 a 80k monthly without believing your own eyes…to see your money growing everyday start with a little minimum investment of 0 at Currency Trading, the biggest and most exciting market on earth,offers you countless opportunities!The Euro-US-Dollar rate is constantly changing, usually in small movements. Daily fluctuations around 1% are quite common. In Forex trading, when you invest with a 1:100 “leverage”, changes of, say, 1.2% turn to 120%, during a single day, even hours or minutes! You may profit unlimited amounts, but if the exchange rate moves against your favor, you lose not more than your initial investment.A small change in the dollar rate can be a big opportunity for you and that’s a way to start doubling your little income to a major one and then invest on a something’else as you wish…see link here http://tinyurl.com/6q5ovw

      The Forex-Affiliate earning programs
      Forex-Affiliate.com offers a win-win earning program – combination of CPA and Revenue-Sharing, tailor made to suit you best! As our business partner, your commission is based on the revenue generated by your referrals, plus a flat fee for introducing referrals. In addition, you may well enhance your earning by running the 2nd-tier program (introducing Forex-Affiliates under you). Also the 2nd-tier program offers combined CPA and Comm-Share (flat fee, plus percentage of commission earned by your referred affiliates).

      http://tinyurl.com/5szx72

      The investor’s goal in Forex trading is to profit from foreign currency movements. Forex trading or currency trading is always done in currency pairs. For example, the exchange rate of EUR/USD on Aug 26th, 2003 was 1.0857. This number is also referred to as a “Forex rate” or just “rate” for short. If the investor had bought 1000 euros on that date, he would have paid 1085.70 U.S. dollars. One year later, the Forex rate was 1.2083, which means that the value of the euro (the numerator of the EUR/USD ratio) increased in relation to the U.S. dollar. The investor could now sell the
      1000 euros in order to receive 1208.30 dollars

      http://tinyurl.com/3hcwee

      this is the best answer you can get here on yahoo Q&A…better than that you won’t find it and it’s only time waste…bad for your money…see you at forex hopefully

  47. QUESTION:
    business question about conducting business in another state?
    If you own a business in one state, do you have to register it in another state to conduct business in that other state??

    • ANSWER:
      The issue of nexus and sales tax is a tricky one – probably the most important. However, there are also potential tricky issues of income tax. If you want to be fully legal, sit down with a CPA and talk about it.

      I recommend you go ahead and try to generate income from interstate sales as your first step. See if you can and see what the volume of sales and profits are. If they start to add up (rule of thumb….maybe profits over ,000??) then you can make an appt. with your friendly, local CPA. If we’re talking about less than that, it’s small potatoes and not worth worrying about, in my humble opinion. The accounting fees will be lots more than the tax owed.

      Just as an aside, all those sports professionals who play in LOTS of different states, they all have to file income tax returns for every state they play in. Complicated, MUCH??!!

  48. QUESTION:
    i am in need of a small business consultant?
    I need a small business consultant for my small home based craft business. I need help with things such as record keeping, taxes, sales tax, business organization, etc.

    • ANSWER:
      See a CPA. You should have CPA’s in droves in your local area.

      As for “mentor” services, SCORE is a good one, and so is your community college’s SBTDC (small business technology development center)

      Either of those 2 will charge you money, but its a federal program that usually charges a fee based on ability to pay…..

  49. QUESTION:
    How much do you pay to have your taxes prepared?

    • ANSWER:
      Call around. It depends on the firm and the area of the country. Don’t assume high price gets you superior service. Some of the large chains charge a lot, but don’t give as good service as some small mom and pops who have been doing it a long time.

      When you call try to be as accurate as possible about what items you will be reporting on your return. Avoid phrases like “It’s real easy,” or “It’s just a basic return,” or “It’s a short form.” Tax professionals know the person ALWAYS has a complicated return when they start out trying to tell you how easy it is. I remember the person I quoted for a “short form,” that turned out to be two businesses and rental property. This is the mentality of some people who think it’s much easier than it really is.

      You’re likely to get more bang for your buck with an Enrolled Agent rather than a CPA. Nothing against CPAs, but many don’t specialize in taxes, and they’re always at the top end of the fee spectrum. EA’s are tax experts – period.

      Don’t listen to dunderheads who say you can do it just as well with a consumer tax program. I could go online and learn how to fix my brakes, and could probably put them back together with only a screw or bolt or two left over. I would be a fool to do it though, because I’m not an expert auto mechanic. I could fool myself into thinking I’m so smart, then I’d feel smart watching my car sink into the lake after I ran through the guard rail because that extra bolt left over actually was important.

      The only legitimate reason to adopt a false sense of security with a computer tax program is if you have only a W2. Maybe that’s why people say it’s easy to use a tax program, because they don’t have anything other than one W2. If you have anything else, don’t fool yourself into thinking you’re smarter than everybody.

  50. QUESTION:
    I’m a business owner and considering buying a suite at the stadium to better get to know my clients. is this t
    I am a small business owner considering buying season tickets to an nfl team. I would be purchasing a suite for the entire season and the cost is 65,000.n it would be used to get to know my clients better and help with my networking….is this tax deductible?

    • ANSWER:
      IRS business deductions and expense limitations

      http://www.irs.gov/publications/p535/ch01.html

      IRS entertainment expenses

      http://www.irs.gov/publications/p463/index.html

      Food and beverages in skybox seats. If expenses for food and beverages are separately stated, you can deduct these expenses in addition to the amounts allowable for the skybox, subject to the requirements and limits that apply. The amounts separately stated for food and beverages must be reasonable. You cannot inflate the charges for food and beverages to avoid the limited deduction for skybox rentals.

      You cannot deduct dues (including initiation fees) for membership in any club organized for: business, pleasure, recreation, or other social purpose.

      This rule applies to any membership organization if one of its principal purposes is either:
      To conduct entertainment activities for members or their guests, or
      To provide members or their guests with access to entertainment facilities

      You cannot deduct dues paid to: country clubs, golf and athletic clubs, airline clubs, hotel clubs, and clubs operated to provide meals under circumstances generally considered to be conducive to business discussions.

      Generally, you cannot deduct any expense for the use of an entertainment facility. This includes expenses for depreciation and operating costs such as rent, utilities, maintenance, and protection.

      An entertainment facility is any property you own, rent, or use for entertainment. Examples include a yacht, hunting lodge, fishing camp, swimming pool, tennis court, bowling alley, car, airplane, apartment, hotel suite, or home in a vacation resort.

      You can deduct out-of-pocket expenses, such as for food and beverages, catering, gas, and fishing bait, that you provided during entertainment at a facility. These are not expenses for the use of an entertainment facility. However, these expenses are subject to the directly-related and associated tests and to the 50% limit.

      Best course of action is to ask your CPA or tax attorney.


cpa fees for small business

Ca Fee Structure

Frequently Asked Questions

  1. QUESTION:
    i want to know the exact address of reliance institute for sap in ameerpet?
    i want to know the exact address of reliance institute for sap in ameerpet and how is the faculty(how they are teaching) and also about lab. this year i completed my b.tech(fresher) and my branch is c.s.e.so i want to learn abap/ca module. what is the fee structure in reliance.please help me so that i can join in a good institute.

    • ANSWER:
      Reliance global services
      About US Reliance Global Services’s SAP consulting practice is uniquely structured to provide solutions and services that span the entire life cycle of SAP R/3 systems through onsite and Offshore development center. Our vision is to assist client maximize the business value and ROI of their SAP systems.

      Address: 26, Durga Nagar Colony, Opp Lane-Chandna Brothers Ameerpet

      Landmark opp lane-chandna brothers

      Phone +91 40 66666165, 66666156, 23416561, 23415276

      Fax +91 40 66666156.

      Email info@relianceglobal.com

      Website http://www.relianceglobal.com/

  2. QUESTION:
    What is the fee structure that I need to pay to CA institute in Delhi for CA Tuition?
    I have seen regd fee, and other. I want to know the fee that coaching institute charges for tuition.

    • ANSWER:
      Contact the institute directly for information./

  3. QUESTION:
    What would be the fees structure for Chartered Accounting Course?
    Can any one of you help me in giving the fees structure of it. coz i’m very much interested in doing it, so plz help….!!!!!!!!!

    • ANSWER:
      CPT
      Rs. 500.00

      CA -PCC / IPCC

      Group – I :
      Rs. 1200.00

      Group – II:
      Rs. 1200.00
      Both:
      Rs. 2000.00
      CA – Finals

      Group – I :
      Rs. 1,500.00

      Group – II:
      Rs. 1,500.00
      Both:
      Rs. 2,500.00

  4. QUESTION:
    Is doing a PG Diploma in Information Technology subjects in Canada worth?
    Hi! I am an Indian, I will be a graduate by June-2013, Bachelor of Engineering being the course and Information Technology as the field of study. I am planning to do a Post Graduation(PG) Diploma in any subject relating to Information Technology from a college in Canada.
    Please let me know:
    -> what are the good colleges and their fee structures?
    -> Is it worth doing a PG Diploma? I mean, has it got any considerable value in the view of the employers?
    -> Is it easy to get part time jobs when I reach there? If yes, what would be the average pay per hour? And what sort of jobs are available?
    -> How many working days are there for the college in a week?
    -> Am I entitled for any scholarships if I secure 60% aggregate in my Bachelors of Engineering course? If yes, to what extent I can get it and how?
    -> I heard there will be internship of 4 months in a year. So please let me know how much do they pay per month on an average?
    -> I would be opening an account in The Scotia Bank, how much interest do they pay on my savings?

    Please help me out friends, I am in a huge confusion for my future. Also let me know of your sources to the answers, that’ll probably help. May be I’m asking too many questions, but I can’t find any appropriate answers relating to my concerns over the net.

    Thanks all in advance! :)

    • ANSWER:
      What is a Diploma worth??? Take it to some employers and ask them? The school wants you as a Student and wants your fees.

      You do not get a part time job as part of school. The school day is not arranged around WORK schedules. The common school week is Monday to Friday.

      You can apply for scholarships but a grade of 60% is doubtful you will get any.
      Bank of Nova Scotia has a web site that lists interest for different accounts.

      You are aware you need a visa to study in Canada.

      http://www.cic.gc.ca/english/information/protection/fraud/document.asp

  5. QUESTION:
    What is pricing structure for commercial real estate brokers?
    Is there a range of commissions or fees most commercial real estate brokers use? For example residential real estate varies but is between 5-7% depending upon the area of the country.

    Could someone provide a rough outline of commercial real estate broker pricing?

    • ANSWER:
      In CA the standard commission is 10%. I would assume elsewhere it is about the same, but I do not know for sure.

  6. QUESTION:
    What are the risks in buying a home that has an enclosed patio done without a permit? San Diego, CA?
    What are the fees I might face? What would I have to do to get it permitted?

    • ANSWER:
      The main risk is that the patio will not be included in your homeowners coverage, as it is not permetted, and thus not listed on your property description. You may also face a tax increase when the home is revalued. To get this permitted the easiest way is to lust the dimensions of all lumber used in the construction of the enclosure and submit this as a plan on your permit application. You may be granted a permit and it will be listed as new comstruction of the tax listing for your home. You do realize that the tax assessor can and may require that you remove this enclosure. They are usually reasonable about granting permits, as you are trying to rectify the ommission. Before submitting any plan for the application of the building permit you should be sure that the structure is in agreement with the current builing codes for San Diego. If not… be sure to submit plans that list material and sizes that reflect compliance to the current code. For instance… If the code states that the structure should be made up of 2X4, and you have 2X3 construction… you will have to modify the structure to comply with the building codes. Don’t despair however, as if the structure has 2X6 construction and the code calls for 2X4… you are in compliance because you have exceeded the demensional requirements for material. The same goes for wiring and plumbing.

  7. QUESTION:
    Will an insurance company insure our home if there is a unpermitted cottage?
    I’m in the process of buying a foreclosure home (Saratoga,CA, can’t transfer the insurance since it has already lapsed) that has a detached unpermitted cottage (2 bedrooms, kitchen, bathroom and living room total of 900 sq ft), the main home also has a unpermitted converted garage that is used as a in law quarter (separate entrance and full bathroom), it also has a unpermitted sun room too. I really love the home and tried looking for home insurance but it looks like no one will insure me. Is there anyway I can get insured for this property without having to lie about these unpermitted additions to the insurance company? Any advice would be appreciated and any suggestions which insurance company would insure me for a reasonable price. Thank you in advance.

    • ANSWER:
      I think you should go to the local building department (city or county) and apply for as built permits for these unpermitted structures. Although costly, it’s better than Code Enforcement coming by, realizing that those additions/properties are unpermitted and going to court, seeking an injunction to have you (1) obtain as-built permits or (2) having them torn down.

      It is more expensive to have Code Enforcement come in and seek relief from the courts (assuming you don’t comply and apply for as built permits) because you may have to pay their attorneys’ fees when they win.

      I believe you apply for as built permits from the Building Department in the city. Make sure you’re in the incorporated portion of the city, otherwise you’ll have to go to the County Building Department.

      Also, if the bank didn’t know that these additions were unpermitted, you wouldn’t have an recourse. Most foreclosures are sold as is and requires buyer’s diligence. A title insurance policy may or may not disclose unpermitted additions (depends on the wording of the policy). As I recall, a title insurance policy only guarantees that you have marketable title to the property.

  8. QUESTION:
    What is the difference between charter schools and traditional homeschooling?
    I’m interested in home schooling my children my oldest is 6years old. He attended kindergarten this year and I might pull him out to homeschool him. I don’t know what is best right now. It’s a big responsibility. His current school has a charter school. I don’t know what that is or what my options are living in Modesto CA.

    • ANSWER:
      Hello! I home school in California too and there are a ton of resources here to help us, right on line:

      http://californiahomeschool.net/default.htm

      http://www.hsc.org/about/contact.php

      http://www.homeschool.com/

      I used the last link when I got started. For a small fee they sent a video and a book talking about the benefits of homeschooling, the different methods (charter school, unschooling, etc.) and how kids can excel in social and academic areas and homeschool.

      As I understand it, the charter schools still are very involved with a curriculum that you need to follow and criteria that must be met and they treat you like a regular school child, you just do your lessons at home with a teacher assigned to help out. Many people I know do the unschooling method for little ones (where education is largely child driven – we study whatever they are interested in) and then sometimes switch to a charter school as the subjects get more difficult or they find their child needs more structure.

      We are using the holidays this year to introduce new lessons (planting for spring, cutting and pasting for holiday decorations, etc.) and I also use a lot of web sites with my kids – as programmers it’s a natural for our family – and both of my kids (3 & 7 years old – the older is special needs) can read (thanks to starfall.com largely) and are starting math concepts (addition and subtraction, patterns, sorting) from sites we found on line.

      I have had so much success with this that I put together a tutorial for my local mother’s club, which includes step by step how I got my kids comfortable on the computer and helped the develop their skills along with skill appropriate sites for examples – and literally 50 links to various fun and educational web sites that I have found. Here’s the link: http://www.sonomamothersclub.org/kids_links.htm#online_games

      Peace!

  9. QUESTION:
    Why is it legal for an airline in Canada and the US able to disclose a ‘fuel surcharge’ as a tax?
    The fuel surcharge is not in fact a tax. It is an addition to the sale price by the airline to recover the cost of rising fuel prices. Websites like redtag.ca include the fuel surcharge within the taxes. In other industries an increase in the underlying cost to produce the item would necessitate a ‘price increase’. Why is this not considered misleading and deceptive conduct to infer that this fuel charge is a tax.

    • ANSWER:
      Here is a site that explains how to calcuate the surcharge (for freight, but it helps with the concept).

      http://www.aitaonline.com/Info/Fuel%20Surcharge%20Guidelines.html

      I’d imagine that the surcharge is lumped in with taxes is it is an additional charge that varies from time to time, but rather than being based on the consumer demand of the actual flight, it is based on the prices of the fuel over a two month period. It therefore is a separate calculation from the seat cost.

      The last flight I took, the surcharge was included in a category called taxes and other fees, or something to that effect (I don’t have the paperwork with me). I recall there were airport fees rolled into that category as well.I don’t think the intent is to disguise fees as taxes, but I do think they have structured the process in such a way that they can disclose a smaller amount of the fee up front, and advertise flights, for example.

  10. QUESTION:
    Can I get a building permit after the fact?
    Torrance, CA. Made a small garage into a room, in addition to putting a wall on the patio. The patio isnt a room, just a giant storage place with a wall instead of an open side. Dad made it 20 years ago and it was only recently reported, maybe by our new neighbors. Dad was told by an La County worker to tear it down, pay a tear down fee, pay a permit fee and rebuild again, but that seems harsh. Can I talk to a supervisor that will give a fine in addition to the permit fee, rather than making us tear it down? My dad’s old now and I dont think he can rebuild anymore. Does anyone know who I can talk to?
    The thing is, no experienced person came by to measure it or even look at his plans. 2 came by to just look at the junk my dad had in the yard, and based on what they saw on their computer, they noticed that my dad didnt get a permit for the room. The computer said the house was a 2 bedroom instead of a 3 that it is now. They didnt check if the room was structurally sound. My dad’s an engineer too and was the chief mechanical engineer at his old job in the Philippines. He built our house there. But I guess he didnt know America had tight rules about building or remodeling. In the Philippines, one didnt need to get a permit to remodel or make garages into rooms.

    • ANSWER:
      it doesn’t seem that the modification is up to code. You will most likely have to tear it down.

      Most cities are very strict about obtaining permits before any type of modification or remodeling is done to a residential structure.

  11. QUESTION:
    What is your opinion of working as a female process server colorado?
    I am 21 years old and female. I am trying to be a process server, however, my mom says I am an idiot, its too dangerous and unreliable pay. Thoughts?

    • ANSWER:
      It all depends on how you get your work. If you can earn clients that hire you directly to serve their papers, you can make decent money being a process server. You call the shots, you have the freedom to turn down jobs in dangerous parts of town, you set your price, etc. You can structure your business how you see fit: Charge a flat fee for unlimited attempts at service, charge per attempt, charge if you are sent to a bad address, etc. You’ve got total freedom but it is not the easiest thing in the world to get your phone to ring with clients wanting to hire you.

      You can perhaps find a job working for a large firm that will keep you busy with lots of papers to serve, but you may not make much money per serve and you don’t have the luxury of turning down jobs or pressing a client for additional expenses for tough serves, etc. I’ve heard that some servers make decent money working for a large legal services firm, but mostly I’ve heard negative things about not making much money, working too hard and long for little pay.

      Anyone who says you need a gun and a bulletproof vest to serve papers simply doesn’t know what they are talking about. Sure, serving can be dangerous and there are crazy people out there, but if you do your research, learn about who you are serving, have patience and use common sense, the chances of being blasted with a shotgun are slim to say the least. I’ve served papers in some of the roughest parts of San Diego, CA, and I’ve never been attacked and I’ve never seen a gun pointed at me. That said, there are stories from time to time of assaults on servers and servers across the country have been shot and killed. I just wouldn’t list “danger” as a primary component of the job.

      I suggest taking your thought a step further and look into starting your own one-woman business. Get licensed, get some ads running online to get clients in your area and go from there. It’s tough getting started, but there is an ocean of money out there for you to tap in to.

      I actually think that a woman has certain advantages when serving papers. People are more likely to open their door if a woman is knocking rather than me, an intimidating-looking big guy. You can maybe get more information from people over the phone when needing to track someone down, etc. Contact me at iservepapers.com if you’d like to chat about getting started serving papers. It can be very fun.

  12. QUESTION:
    I buying my first home in Georgia and need home insurance, what should I pay to have covered?
    What do I need to ask to be covered in my home insurance plan?

    • ANSWER:
      Here are some things to consider and ask when comparing policies. What is the liability coverage limits? Do I need excess liability? What are the medical payment limits? Do you need more of either for your purposes (like do you entertain a lot, have hired help on your property, etc.) Does it include worker’s comp (in CA it is mandatory) and it is mandated in your state? What is the coverage for out buildings (sheds), fences, yard ornamentation, etc. Are there mold and mildew restrictions? (Many insurers are excluding both after Katrina). Am I in a FEMA flood plane and do I require flood insurance? Do I need tornado insurance? Is wind damage covered? How are payments structured (i.e. do they have nuisance fees if the policy is not paid in full up front) and if so, is it recurring, a percentage or a specified amount per payment? Do I get a discount for: combining home and auto, fire and burglar alarms, being located close to a fire hydrant or fire station, fire proof construction (i.e. concrete roof shingles, metal framing), clearing a 100 foot defensible boundary, being a certain age, having no claims, having fire extinguishers in the kitchen and garage, etc. If going through a broker, ask how they are compensated, by commission you pay or commission paid by the company. If you are college educated, check with your alumni to see if they have an agreement with any certain insurer for discounts (same applies if you belong to professional membership organizations or a union). What is the personal possession coverage and do you require riders for special collections or jewelry or power tools in a workshop?

  13. QUESTION:
    What are the extra costs when buying a house?
    When you buy a house for the first time. Besides mortage payments, what kind of extra costs will there be and how much will they cost?

    • ANSWER:
      The extra costs are ones related to your loan;such as loan app fee, credit check, processing fee,and appraisal report of the value of the house,.

      The other costs are the closing costs such as recording fees, points, survey report, termite inspection and clearance report, title search , inspection report which is optional which checks the airconditioning, any appliance, electrical wires such as circuit breakers if up to code, roof inspection, pool inspection if avail.,basicallly structure’s inspection; the buying agent’s commission if not offered by seller to pay, any lawyer’s fees as some states require.

      Here in Ca, Title Co does all the work ; so there are charges emanating from the title co. the downpayment or deposit.
      that sure covers everything, I hope. Roughly we’re talking about ,000-00out of pocket expenses. Oh yeah, the impt outstanding property tax which will be prorated from the time you assume ownership.; otherwise there will late penalty and interests.

  14. QUESTION:
    I want pursue CA inter , pls suggest me, where should i go & how long it will take and fee structure?
    I am science graduate and I am in accounting job since last three year now I want to for overseas job that is why I thinking about CA inter, pls suggest me properly, I am from delhi.

    • ANSWER:
      Visit this website

      http://www.icai.org/

  15. QUESTION:
    What is the legal procedure to open a business in the USA?
    If possible, I’d like to know about the due taxes and obligations. Please skip details about infrastructure, supplies, etc. It’s just about “What do I need to do to create a legal company?”.

    • ANSWER:
      The legal procedure typically depends on the type of business that you want to start. For example, a catering business would need to get more permits and licenses compared to a Web publishing business.

      Typically, here’s what you need to do

      1. Decide on your legal structure. Sole proprietorships have fewer requirements compared to an LLC or corporation. The place to go for information on the state requirements for each legal structure is the Secretary of State.

      2. Register your business. Go to your county and check the procedure for business registration. In some states, this can be done online so check your Secretary of State or Governor’s website to see if there are links to online business registration. Sole proprietorships generally do not have to file any special forms or pay hefty fees. Declaring the business to be a sole proprietorship while filing the application is good enough.

      3. Fictitious Business Name or DBA – If you are going to use a name other than your own for your business, you need to file for your DBA. Go to you city or county clerk’s office; or check if your state allows you to do this online.

      4. Permits and Licenses. This depends on the type of business you will run. Some businesses will require permits to be run while others do not. Check your state’s requirements for your type of business.

      California has the best online facility for determining all the permits and licenses a certain type of business needs with their California Business Permitting Database http://www.calgold.ca.gov/ .

      5. Employer Identification Number (EIN) or tax ID. Generally, businesses need an Employer Identification Number (EIN) or federal tax identification number. The EIN is used to identify a business entity such as a corporation, LLC, or partnership. Sole proprietorships that need to pay federal excise of employment taxes are required to get an EIN.

      On the other hand, sole proprietors with no employees are not required to get an EIN, and can instead use their Social Security numbers.

      The Internal Revenue Service (IRS) web site at http://www.irs.ustreas.gov/businesses/small/article/0,,id=98350,00.html contains all the information you need about EIN and how to apply for an EIN electronically.

      6. Sales Tax Number. A business that sells any tangible item is required to get a sales and use tax license. Sales and use tax that applies to the retail purchase, retail site, rental, storage, use or consumption of tangible personal property and certain services vary between states. Check with your state Comptroller office for the requirements and procedures in getting a sales tax number.

      7. Zoning Permits. Check with the zoning board the requirements for your location. Zoning permits encompasses the signage of your business as well.

      Be careful if you are running a home business and your business requires customers to come to you — and your house is zoned as residential. Typically zoning boards turn a blind eye on home-based businesses but NOT after a neighbor complains.

      8. Other permits and licenses. This can run from healthcare permits if you are serving food or operating a tattoo parlor, or burglar alarm permits if you have a store, or even permits to play music in a public area if you want your music store to have music blaring. Check with your city or county clerk to see what other requirements you need.

  16. QUESTION:
    Which Canadian Bank offers good interest rate for their chequing or saving accounts?
    I currently have a saving account with TD, and getting zero interest paid on the account.

    • ANSWER:
      You pay taxes so that the Financial Consumer Agency of Canada can answer such questions. They list all the banks in Canada and exactly where you can get the highest interest rate. http://www.fcac-acfc.gc.ca/eng/consumers/iTools/SavingAccounts/SavStep1-eng.asp

      Right now it’s ICICI Bank Canada at 3.4% whereas ING offers 3% (with the economy it could be even lower now)

      But it’s never that simple haha :-) If you get 3.4% but you have to pay a fee every time you move your money, it eats into that 0.4% difference…

      I personally use PC Financial (never pay any fees- not even Interact – and you get free personalized cheques, plus you can use all the CIBC ATMs) for my checking account, the Royal Bank (no fees for students + great benefits) for my Credit Card account and ING (no fees and good – not great – interest) for my savings account.

      By keeping all my money in my savings account, paying all my expenses on credit and withdrawing the funds necessary to pay this bill once a month through my free ING-PC Financial link, I never pay any fees, get a lot interest and reap a lot of Visa rewards which is nice. :-) Life is good.

      If you’re ever paying a Canadian Bank a fee for anything, you should re-examine how your financial affairs are structured. Cancel your TD account if they’re charging your that 3.5$/month. That’s 42$/year and they really don’t deserve it. You deserve it much more. Say you’re in university and you decide to take the money you used to give TD and give it to ING. At the end of your four years, because of compound interest (I noticed that it’s down to 2.7% now) you’ll have 203$ waiting for you. Nothing has changed except now you’re 200$ closer to a trip to Cuba!

      Have fun!

  17. QUESTION:
    How do you know which debt settlement or debt consolidation program to choose?

    • ANSWER:
      Try consumer credit counseling instead. Do your homework and check this site: http://www.fcac.gc.ca/eng/about/role/default.asp

      Cautions regarding credit counseling (Canada)

      The Financial Consumer Agency of Canada (FCAC) advises Canadians to do their homework about credit counseling services before entering into an agreement. According to the Agency, consumers should shop around and compare services of credit counseling bodies and take note of the different fee structures of for-profit and not-for-profit credit counseling, as well as what services are offered for those fees. Consumers considering entering into a DMP should also be aware that an R7 credit rating will be entered in their credit report and that their credit report will show that they used credit counseling, a notation that will remain on the report for at least two to three years. Prospective lenders, employers and landlords may view information in an individual’s credit report, if the application forms consumers sign grant them permission to do so.

  18. QUESTION:
    What’s the best real estate company to work for in San Francisco CA?
    My concern now is which real estate company in San Francisco should i go for after i get my license.
    Which co. provides best training and benefits for new agents?

    • ANSWER:
      I would interview/speak with a few Brokers, A few things to consider is how the office does business, their expectations, cost/charges to you (desk fees, marketing, etc…). Bottom line is The Brokers support and professionalism is what to look for and follow your gut. Run if the first thing asked to do are; cold calls, expired listings, FSBO’s (For Sale By Owner) or door knocking. Don’t just assume because it is nation wide broker that they’re good. Interviewing is a two way street, as you will be an entrepreneur (stick with that mind set and you will be fine). If you want to Prudential has some of the best training, the only down fall is they are very corporate type structured, so if your are a good self starter and work well once your trained you could then switch to another broker and kick butt. In this Business always keep your integrity intact as that’s everything. Good Luck even thou it is not really part of it :)

  19. QUESTION:
    Does the police come if you built to room without a permit ?
    I have a friend who built two extra rooms and a bathroom without a permit about 2 years ago. Last week the Cops and city surrounded the house , question all the people living in her house, and told them they had to tear down those rooms ? Is that normal in the state of California ?

    • ANSWER:
      Yes, it’s normal for law enforcement to escort code enforcement if they feel it is necessary. You can not just add on a few rooms in CA without the proper permits. They can be forced to tear down the structure or negotiate a solution and pay the fees for the permits plus fine if the new structure meets local building codes. If it doesn’t meet code, it must be taken down.

  20. QUESTION:
    Moving distribution to California from Boston, do I have to pay there tax rates?
    I run a company out of Massachusetts and I’m looking to move operations to Los Angeles to reduce shipping charges from China to the U.S…

    My only concern is the high taxes; 10.3% personal income, and a corporate tax (around 6.5% I think)…

    If I’m just moving my distribution center and have corporate in Massachusetts, will I have to pay the 10.3% income and corporate tax in California? What other disadvantages might I have?

    • ANSWER:
      Assuming that you won’t personally work in CA, you won’t pay CA personal income taxes.

      The corporate end gets a bit messier though. A better idea might be a corporate subsidiary in CA with closely controlled income and costs such that no taxable corporate income is generated in CA. You’ll still be stuck with the CA Franchise Fee (minimum of 0 per year) but if you structure it properly that should be the limit of your tax burden.

      I’d strongly suggest a consult with a CA corp attorney and a CA tax pro such as a CPA or EA who specializes in corporate taxation in CA before you move on anything. Going in with advance knowledge and your eyes wide open will avoid any nasty surprises.

      Another option that you might want to consider is to partner with a logistics firm in CA to manage your distribution for you. The cost of a partner may be much less than setting up your own distribution warehouse, dealing with cross-country payroll, and all of the other hassles.

      One firm that I know of personally that has operations in CA (and a good track record with global experience to boot) is Menlo Logistics. This is not some fly-by-night operation but is part of one of the largest logistics management firms in the country — and one that is doing well during the economic downturn as well. Google them for more information or contact me through my profile for some contact information.

  21. QUESTION:
    If I go to an American college can I be a physical therapist in Canada?
    I am going to a college in America for 7 years to earn my DPT (doctorate of physical therapy). My dream is to live in a city like Montreal or somewhere in Canada. But is PT high in demand there like it is here in the US? How would the process work to be able to work in Canada?

    • ANSWER:
      Why on earth would you study in USA if you’d like to work in Canada?

      You might as well study in Canada. If you are an American you will pay about 1/2 of American tuition. If you are not, and will study as a foreign student, you will pay 1/4 of the American tuitions in Canada.

      Here is a list of over 80 accredited universities, with their fee structures, in Canada. Choose your course preference here:

      aucc.ca/canadian-universities/our-universities/

      The university will assist with a student’s visa after you have been accepted and proven that you have the funds to pay for your education.

      You will be free to stay in Canada on a “temporary three year work visa” after three years of studies, but not less. After those three years (a total of six in Canada) you can apply for Permanent Resident visa and stay for life, if you so desire.

      To work in Montréal, Quebec, you need to be certifiable good in French and pass a written and aural test. But, since you have a few years until then, you have plenty of time to study French, spoken as first language by 1/3 of all Canadians.

      Welcome to Canada, we love to get young and bright immigrants.

      .

  22. QUESTION:
    i want to know proper procedure for correspondence mba from symboisois?
    sir i am doing CA along with graduation. My graduation will be completed by mar 2009 and for same mark-sheet will be provided to me upto june 2009 ( approx). Sir afterwards i want to do correspondence mba from symboisios. Therefore i want to know its proper procedure including fees structure, contents, duration, eligibility, prospective future in mba

    • ANSWER:
      Hi

      pls go thrugh ths link

      http://www.scdl.net/programs.asp

      pls browse d site..d best mba..nw symbss is deemed INTERNATIONAL univ..

      all d best

  23. QUESTION:
    What are the school Schedule in Algeria?
    Can you guys tell me when their school starts and ends, how long their periods are, and when is their lunch and how long is it? Pls help. Any help given if greatly appreciated.

    • ANSWER:
      I’m here it’s me who ca help you dear
      ok
      let’s satrt
      the educational system in Algeria is based on epdagogical and theorical structures instructed by the MINISTRY OF NATIONAL EDUCATION of Algeria and cointrolled by the Academy of pedagogy and education .
      childeren have to enter school at the age of 6 he has to pass 6 years in primary school (now since 2005 we fellow a new educational system which minimize the primary school years into 5 years only)
      anyway during these 5 years the pupile have to learn Arabic as his mother language learn mathes basis in accounting and saying numbers … learning to wrire spell and speak
      then in his 3rd year at primary school he has to learn Frensh as 1st foreign language to aquire because it is used in most of official domains of the country
      then when he finishes his 5 years during which he learnt grammar science history sports civil scinec Islamic science drawing activities and frensh language of course all what he learns is elementary basically like 30% as it is common that during primary school we learn the intials stuffs all taugh by on eteacher for all the classes except frensh has its own frensh teacher the school starts from 80am to 11 am chgildren go home to have lunch meal at home
      except for those who live far from school they can stay at school where there is school restaurant sponsored by the ministry of education
      after they come back to class at 1 pm to 3 or 4 pm mostly to 3pm they are free it’s all the week since saturday to thursday
      but monady and thursday afternoon they don’t have class plus friday the weekend and they have 15days holidays in winter and spring and 3months of the summer final year holidays
      plus some days off religious or officials days of the country
      he has to pass an exam at the end of his 5th year and became graded the primary grade
      to pass to Middel school
      where he has to spend 4years they have to study now harder than primary school because they will have a teacher for each class and they will study deeper
      scinceof nature/ history and geography/ arabic language grammar and all/ islamic scince /civil scince / technology/ soprtactivites /drawing and paiting/ english /frensh

      at the end of the 4th year they have to pass the BEM exam of middle school grade
      if they pass they will go to High School where they spend 3 years
      here they can choose the stream they like or they are good at
      scinetific stream / literary stream /technic stream
      the 1st high school year is a general basic yearin their stream then the 2end year they also can choose a brach
      scientific stream divided into = maths stream scinece of nature or economy and management
      literary into = lierature and foreign languges where they can learn spanish +english and frensh/ Islamic science/ philosophy and literature
      also technic stream = industry / electronic and architecture

      when they finish 3 years they have to sit for the Final exam of high scool Baccalureat which is the most important grade
      and exam by which they can enter university they have to succeed with at least 10 out of 20 in all the grades before
      and university is open to all who has bacalureat certificate
      it’s free also student have to pay only subscription fees to subscrib in the university and choose to study what he likes or he is good at but 10 doesn’t allow all the student to have their favourit choice those who have 14 or 12 can go to medecines
      also 10 is good for em they can enter college anyway
      if they live far from university they can have a room in college campous also not expansive poors and rich can both have rooms there plus a bus to take em to they instutions
      also student are paid a scholar ship every semester about 2700DA
      only those whose parents have debts with taxes of the country can’t have this amount of money till they pay their debts

      i hope i have helped you dear
      ask me again about anything ok

  24. QUESTION:
    How can we pay for negative equity and real estate fees on our house at sale with very little cash on hand?
    We are moving from CA to somewhere more affordable but we’re going to take a large loss on our house (possibly up to k) in all likelyhood due to the market downturn and realtor fees and closing costs. Are there any loan programs out there that help people with good credit in these situations make up this difference? It seems like it would be fairly common. We figured out that if even with a large mthly payment on a loan for this shortfall we could still afford a much larger nicer house’s mortgage payment elsewhere. Or does anyone have any other ideas (besides not moving). Thanks.

    • ANSWER:
      By negative equity, I think you mean that the sale price you would receive will not cover the mortgage amount. Adding in other real estate costs of selling, you think your loss will be about ,000. There are no “negative equity” loan programs that would cover this specific loss. The money you need is just commonly known as “taking a hit in the real estate market.” It’s time to trim your expenses and increase your cash on hand as much as possible.

      You could try a signature loan at your bank or credit union, or perhaps your current mortgage company could offer favorable terms, but one of the most common lenders in situations like this would be a friend, a family member, or a relative. Is there anyone in your family, or circle of friends you could approach for a loan of this type?

      Once you move, you may want to rent for a while in order to save up some money towards your next house, and repay the loan you’ve taken out. If you wait a certain length of time (2 years, I think) to buy your next house, you will qualify for low downpayment, 1st time home buyer programs once again. That 2 year wait might also give the real estate market time to bottom out, so you can buy at the low point, rather than at a time when prices are still dropping. Learn as much as you can about the market in the area where you want to move, and make your best judgement as to the best time to buy.

      Can you borrow against a life insurance policy, or a retirement plan at work?

      The Realtor’s commission on the home you are selling is negotiable, and it’s sometimes possible to make payments towards their fees. For example, it could be better for them to receive a 7% commission over time, rather than 5% in a lump sum, or no commission at all if you decide you can’t afford to sell right now. Write the structured commission agreement into the listing contract so there is no misunderstanding of terms later on. And have an attorney check the wording before you sign.

      Other possibilities to help cover the negative ,000 would be to sell something else you own. Perhaps someone in your family would buy your living room set, or bedroom set, or maybe your boat, or jewelry you own. A credit union may make an auto loan on your car, or motorcycle. Or, maybe you could sell it outright and purchase a less expensive one. Furniture, kitchen appliances, and anything else of this nature in the home can be sold separately for extra cash. If the drapes are custom made, you can ask for extra money separate from the sale price of the home (This is called chattel, and your Realtor can help you with this). If you have mature palm trees or fruit trees on the property maybe it would be possible to sell them before you list and start showing the property.

      Good luck on your circumstances, and good luck on your move.

  25. QUESTION:
    10 points-Which universities in Canada offer scholarship to international students?
    Which universities in Canada offer scholarship or financial assistance like graduate assistantship or teaching assistantship to international graduate students pursuing MA/MFA in Graphic Design?
    What is the eligibility and requirement? What should I do to win those awards / funds? And how much is it? Is it covering all the cost of attendance or just part of it?
    I know it is a lot, but I really need help, thanks in advance

    • ANSWER:
      This is probably hard to find. But, to help you, why not spend some time going through the 62 Canadian university listings here?

      This annual study summarizes many factors, including study programs, living conditions and fee structures. Note that a foreign student always pays more than locals so check costs carefully. For a full year’s study, count on spending $ 40 000 – $ 50 000, including tuition, housing, food, travel and miscellaneous costs.

      You have to gain acceptance based on your previous marks, there is no automatic route to acceptance. You didn’t ask, but once you are accepted, the university will assist you with getting a student visa, but only after your acceptance.

      Unfortunately, as a student you are NOT allowed to work outside University campus. Jobs there are hard to come by and seldom pay more than minimum wage, $ 9.00 – $ 10.25 depending on which province you are in.

      http://oncampus.macleans.ca/education/rankings/

      Good luck.

  26. QUESTION:
    Does anyone know what needs to be done to move a business to another state?
    I am moving my business from OR to CA. I have a FIN and a BIN in OR. What needs to be done to officially move to CA? Thanks!

    • ANSWER:
      It depends what legal structure the business is.

      If it is a corporation or a LLC you need to either register as a foreign corp/llc in CA or file as CA corp/llc. If you are a sole proprietor filing a Schedule C, I believe you wouldn’t need to do anything.

      CA has very expensive LLC & corp fees. You may want to talk to a EA or CPA who is fluent in CA taxes to help you decide the best choice of entity for your business.

  27. QUESTION:
    How to make SEO, Search Engine Optimazion for my website ?
    How to make Search Engine Optimazion for my website ?

    • ANSWER:
      Some Of The Important Steps When You are going to do SEO of your website.
      1 – Having a Reasonable Goal in Mind: Having a reasonable goal means understanding that depending on your strategy, resources and competency you will either have to spend lots of time fine-tuning your campaign, or pay someone else to.

      Most competitive keywords take up to a year to secure with consistent optimization applied. Hence, managing expectations means understanding the competitive thresholds for your keywords and the degree of trust required for a website to “break loose” and start climbing over competitors.

      With the competitive landscape becoming more challenging by the day, the range of competitors fighting for topical relevance and keyword positioning can overwhelm those who are easily discouraged and seeking short-term gratification.

      There are only tens spots available for any given keyword; and depending on if those keywords are candidates for commerce determines how many companies, businesses or individuals will have them locked in their sights.

      The idea is to target keywords within your reach initially, but build the more competitive keywords into the site architecture, link structure and off page SEO to brand each page with a purpose, which leads to the next point.

      2 – Create Pages for Specific Purposes – Just because visitors arrive does not ensure success. You need compelling content infused with overtones of intent. Instead of overwhelming visitors with a bland one-size-fits-all approach, try segmenting your traffic by offering one specific conversion objective per page; unify your message, images & call to action.

      Search engines look at singular and plural keywords in a unique fashion. For example, just because you rank for one variation of a keyword does not ensure you will rank automatically for the stemmed or plural or synonymic variant.

      Most people search in plural format by default “bank accounts vs. bank account” for competitive 2 word key phrases and tend to use modifiers and / or alternate keyword synonyms.

      With this in mind, make sure you have a predefined destination page for each variation or create a page for multiple keywords by using the singular, plural and alternative keywords in the title or meta data. For example, a page about pricing could use keywords on the page about SEO rate, rates, fees, fee, costs, cost, SEO pricing, etc…

      If that does not work, then try utilizing conversion paths vs. traditional landing pages by offering a selection of 2-3 choice/selections to clarify consumer intent.

      Example: I am here for (a) SEO Services (b) SEO Consulting or (c) Free Themes and Downloads, then based on which option they click, tailor your message to get to the next layer of engagement. By segmenting conversion paths instead of pages is an effective way to deliver a targeted message to the right visitors at the right time.

      3 – Structure your website to facilitate rankings – Creating a tiered structure of relevance from the onset and matching your keywords to pages created specifically for those keywords is a must.

      You can theme and silo (use a series of topical categories) for your website or use flat site architecture and keep all of the naming conventions relevant that incorporate exact match keywords. The idea is to use unified titles, url structure, h1 tags, meta data and internal and external links to define each page with SEO.

      4 – Employ Staggered Link Diversity – Different links work better for different stages of your website’s development. For example, to warm things up, Yahoo Directory, Business.com, Best of the Web and other trusted directories work wonders to escalate trust (here is a great list from SEOCompany.Ca).

      After adding the base layer of links, invest time and energy looking for niche related links from notable aged sites in addition to fresh editorial links from news, press releases, blogs and social media to balance the mix.

      It’s better to get deep links to specific pages with specific anchor text (5-15 links per page) rather than just acquiring random links to the homepage. No one said building links is easy, but it is a mandatory step to distinguish your pages in search engines (and increase your potential exposure for readers).

      5- Add Fresh Content Regularly – Industries are competitive, which means you need to offer something worthwhile to search engine spiders and human visitors alike to encourage them to consider your website as an authority on a subject.

      The ultimate objective of SEO is to develop authority; from there rankings are produced from the on page and off page synergy of trust, citation and the coherence and / or synergy of the collective content within your website.

      6 – Pay Attention to the Long-Tail – Long tail keywords (keyword incorporating 3 or more words and or modifiers) are responsible for 80% of the traffic to most websites.

      Rarely do websites start from zero then jump to the top for competitive keywords. First they show signs of traction with one or more keywords then that phenomenon continues to stem as additional keywords cross the tipping point and become buoyant.

      The key is to use analytics, referral data to study where that traction occurs, then intersect the intent of those keywords with additional pages within your website that have a related theme

  28. QUESTION:
    M plannin to pursue commerce n think of doin CA. what are my options if i wanna study abroad?
    iv got 95.45% in ssc. which r d best universities? wat r d entrance tests? wen do d admissns start? wat is d fee structure? pls kindly help me.

    • ANSWER:
      For doing Chartered Accountancy (CA), you will have to join the Commerce Stream after you pass out your SSC Exam.
      You will have to then register with the Institute of Chartered Accountants of India and then give the CA Entrance exam after 10+2.
      For more details, see my source!

  29. QUESTION:
    What is J K Shah Classes fees Structure for CA Final for each subject?

    • ANSWER:
      try to google it i just did but lota of un necessry info come out guess u wont find direct answer

  30. QUESTION:
    Should I setup a Nevada Corporation?
    I have a business right now in California, but it’s structured as a sole proprietorship. I’m planning on incorporating. Being that it’s a small business, I intend on filing for an S corporation – after filing for C corporation. Would it be more advantageous to have a Nevada Corporation, or should I just incorporate in California as an S corporation?

    • ANSWER:
      Do not set up Nevada corp. just because someone says Nevada has less bureaucracy. You might end up with double fees and double paperwork.

      The most important issue is where you actually do business? Doing business means where you have your employees, office, warehouse, etc. If it is California then set up only California corporation. If you can easily move your whole business (employees, office, etc. ) to Nevada then set up Nevada corporation and get all the benefits of doing business in Nevada.

      In case you will be doing business in California and set up Nevada corporation you will be required to register the NV corp. in California (so called foreign qualification). The fees for foreign qualifcation are similar to fees to set up new CA corp. You will end up filing annual paperwork and fees in both states (NV and CA). That means more paperwork, more cost and no advantage.

  31. QUESTION:
    What Canadian Bank gives the best interest rates on a savings account?
    If you aren’t sure that your bank gives the best rates, I’d still be interested to know what rates you are getting so I can compare it with others..

    • ANSWER:
      I like PC Financial as they offer a structure where the more money you have in the account, the higher the interest rate will be for your savings. They offer up to 4% when the Bank of Montreal only offer a top rate of 2.6%, plus the PC banking has no fees!!! How can you beat that? ;)

      http://www.pcfinancial.ca

  32. QUESTION:
    Whats the cost to vancouver’s universites one year for canadian citizens?
    I’m living in toronto but the universities here are too expensive like 00 one year,,i want to study business how about vancouver it’s cheaper than toronto??

    • ANSWER:
      I looked up for Univ. of British Columbia – there are other schools in Vancouver, but you can look them up – here is the fee structure for UBC:

      http://www.students.ubc.ca/finance/fees.cfm?page=tuition

  33. QUESTION:
    I have two kids(4yrs and 12yrs)will they get admissions in school if we migrate to Canada from India?
    Which place is suitable for Indian migrants in Canada?

    • ANSWER:
      Contact the Admissions Office
      Admissions Office
      Athol Murray College of Notre Dame
      P.O. Box 100
      Wilcox, Saskatchewan, S0G 5E0
      Canadand.admissions@notredame.ca
      Telephone:(306) 732-1203
      Toll Free:(888) 404-6863
      Fax:(306) 732-4409
      John Smith
      Director of Admissions
      Tel 306.732.1221
      Patricia Selinger
      Registrar
      Tel 306.732.1202
      Shauna Sherven
      Coordinator of Admissions
      Tel 306.732.1203
      Admissions – Registration
      Parents and students will find the Parent/Student Handbook useful
      Steps to Registration:

      Step 1Complete Application Form with the reverse side signed by applicant’s parent/legal guardian. Include the Application Fee of 0.00 in Canadian funds (a non-refundable, one time fee) and one recent passport size photo of the applicant.
      Step 2Complete and sign the Student Health Information Form. If the student is Canadian, forward a copy of their provincial health card.
      Step 3

      Submit a copy of the student’s most recent report card
      Step 4Forward the following forms to the student’s current school after the student and parent/legal guardian have completed and signed section 1 on each form:
      Principal/Counselor Recommendation Form
      English Teacher Recommendation Form
      Mathematics Teacher Recommendation Form
      The school is then required to send these completed forms directly to the College in the envelopes provided (postage is required).
      Step 5Complete and return Student Activity Form.
      OptionalNew Students are invited to apply for an Entrance Scholarship. Please refer to the enclosed information. Application deadline is April 30, 2010
      Notes to Remember:

      Applicant must submit all documentation in the ENGLISH language.
      Parents should photocopy completed forms and retain for their records.
      Any material submitted to the College becomes property of the College and will not be returned to the applicant.
      Registration is based on a rolling admission. The College establishes a wait-list once each grade is full.
      5 Day Boarding Program
      Now you can be a Hound and go home on the weekends!

      Students within weekend commuting distance of the College can board from Sunday evening through to Friday after school and spend their weekends at home. The program provides these students the opportunity to experience all the benefits of a Notre Dame education, along with a transitional boarding school experience that helps prepare students for the independence of university life.

      Here’s how the program works:

      Students arrive on campus Sunday evening at 7:00 PM and leave campus Friday evening at 5:00 PM or when their activities for the day are complete (they must be signed in and out by an authorized guardian and may not have a car on campus).
      Attend classes and activities as a member of the Notre Dame school and community throughout the week. If there are activities on the weekend and/or after school on Friday, students are responsible to be at those events with their classmates and teammates.
      5 day boarding students are allowed 2 weekends per semester where they can remain on campus without paying an extra fee.
      Fees are as follows:
      *Tuition and boarding – 5 day program: ,900.00
      *Daily boarding charge (max 10 stays): .00
      *Daily boarding charge (11 days & over): .00 (or choose to move to the
      7 day boarding fee structure)
      To qualify as a five (5) day boarding student such student(s) must live with their parents, or legal guardians, and the student’s primary residence must be within 50km of Wilcox, SK.
      We invite you to navigate through our website and view the many athletic, academic and spiritual growth opportunities the College provides it’s students. Contact information to the team of people that can help answer your questions on Admissions and the Boarding Program options can be found by clicking here.

      A picture speaks a thousand words! If you have the time to view the Photo Gallery, you will see pictures of our students and staff in action.
      Ithink this would certainly do.
      ps:i am not a staff of this school and am no way related but i am sharing with you whatever i heard

  34. QUESTION:
    where can I rent a place to do a haunted house in La Verne, CA?
    I want to rent some where to decorate a house for halloween. But there’s insurance to deal with and such, it might be easier to find a place besides my own home.

    • ANSWER:
      Actually, you are probably better off haunting your own home.

      I’m marginally connected to the Haunt industry (a hobbyist, decorating my front lawn). There are a number of message boards and industry chat sites. Each time someone mentions getting into the biz, they are told “Don’t”. Owing to a fire in a haunt a number of years ago and the recent nightclub fire, cities are ever more restrictive about building codes and temporary attractions (which is how they classify a haunt, even if it is in a permanent structure). They demand exit hallways, handicap access, battery operated emergency lighting, a certain number of exits per linear foot, sprinklers, fire extinguishers, generators, flame retardant materials, etc, etc, etc. One pro haunt had the fire marshal squeeze himself into a corner no one would be in and then demand a sprinkler head be moved 4″ to cover the spot. And they won’t give you a permit until you comply.

      Now, even a home haunt can attract unwanted attention. One haunter had a “suggested donation” entrance fee and the fire marshal showed up demanding an inspection, saying they were a business. They pointed out the donation went to a charity. They said all the visitors were invited guests. Nothing worked. Finally, they moved their donation bucket to the end, where it wasn’t required for entry and managed to get around the marshal’s demands.

      Your homeowners insurance should cover any accidents that occur. Check with your policyholder. And of course, avoid open flames, don’t overload electrical outlets, keep water away from cords, and all the basic safety stuff including having a fire extinguisher handy.

      Or if you’re really intent on getting into the biz, why not volunteer at a local haunt? Help with their buildout, offer to do makeup or security or act. You’ll soon learn that there are many facets to the industry that hadn’t occurred to you yet. Then when you are ready, maybe join with a local organization and donate a portion of profits in exchange for the use of their facility (if it meets your city’s stringent requirements). But above all else, planning a haunt is not something that can be done a month ahead of time. If you want to open a pro haunt next year, start planning now.

      Oh, and visit TransWorld in Las Vegas in March 2008. That’s where 90% of the retailers and haunted houses buy their merchandise, effects, makeup and supplies for the year.

  35. QUESTION:
    how can i get a Canadian citizenship?
    I’m from the Indian Continent. I’m looking forward for higher education in Canada and I hope to get a Canadian citizenship and stay there and I don’t want to look back. I would also want to know which city would be in good price.

    • ANSWER:
      If you have the marks and are good enough to be accepted at a Canadian university and study for a MINIMUM of three years at a $ 30,000 – $ 50,000 annual cost, you have made a start.

      After your three year studies, but not less, you may apply for at “three year temporary work permit”. At the end of that, you have been in Canada and you can apply for Permanent Resident visa. Three years later, you may apply for citizenship. That process takes from two to three years to complete.

      So, If you, for sure can pay $ 90,000 to $ 150,00 for your complete studies, you could become a citizen in 9 – 12 YEARS.

      Choose your university here. You can also read about the fee structure for foreign students. Add $ 12,000 to pay for your cost of living.

      http://www.aucc.ca/canadian-universities/

      The university will assist with your visa after you, or your parents have proven that you do have the money to pay for a minimum of the first two years. There are no grants or student loans available for foreign students in Canada, you will have to get that from home.

      If you feel you already are well educated, you can, if you are good, apply for a regular immigrant’s visa the same way as every other person in the world.

      Start here, fill in each and every paper, attach your police report, CAD 475 (25,000 Rupees) and sit back an wait.

      http://www.cic.gc.ca/english/index-can.asp

      Your application will be opened and read in about three years time and take from one to three years to process. The earliest you can enter Canada is some four to seven years after you applied.

      Note, you can do all of this yourself via the internet. There is absolutely no need, whatsoever, to engage any consultant or agent.

      As an immigrant you also need to prove that you have $ 15,000 (800,000 Rupees) to pay for your living while you seek work and establish permanent housing the first few months after you arrive. The government does not pay anything for new immigrants.

      Save your money, nobody, absolutely nobody can issue a visa or give you a job. The ONLY people in the whole world that can give you a visa are the Immigration Canada personnel. Here is their contact information in India.

      http://www.canadainternational.gc.ca/india-inde/index.aspx

      Again, regardless of how much advertising and how many slick webpages you see in India – save your money, these people only want money and can never help you.
      .

  36. QUESTION:
    Emily Carr University, Canada- can i get admission in it?
    I live in India and looking forward to take admission in emily carr university of design in animation stream. I searched its site and came across an admission fee page and couldn’t really understand it, moreover there is no contact details like email id etc. are not given. So please help me out, i want to know about contact details and fees structure……..

    • ANSWER:
      This is a rather small university, located (practically) downtown Vancouver with about 1 800 students.

      They are open for all. A typical 12-credit course would call for $ 5,000 in tuition, plus $ 1,200 for a full year health insurance. In addition, add estimated house and board at about $ 1,200 per month.

      http://www.ecuad.ca/sites/www.ecuad.ca/files/pages/120/12%20-%2013%20Fee.pdf

      Here are the official entry requirements:

      http://www.ecuad.ca/admissions/undergrad/foundation

      For more information, send your questions to: international@ecuad.ca

      Good luck.
      .

  37. QUESTION:
    Tell me fee structure of symbiosis for regular MBA in SIMS?
    I am doing B.tech in information technology..
    so what will be the best option for doing MBA from Symbiosis.
    Because i have DEFENCE QUOTA because my father is serveng in IAF.

    • ANSWER:
      Try these links:

      http://www.simsmortgage.com/company.htm

      http://nfcgindia.org/presentations/SIMS.pdf

      http://healthcareleadershipconference.ca/assets/PDFs/Presentation%20PDFs/June%2012/Dockside%203/Optimizing%20Man…

  38. QUESTION:
    To have a party (with bounce house, music, and all) at a public park, I need a permit. Can I even get one?
    There is a sign at all of my city’s parks that says no temporary structures and amplified music without a permit.
    For my graduation, I want to have a party at one of these places, with music and a bounce house.

    How do I go about getting a permit?
    Can I even get one for just a simple party?
    Will it cost money?

    • ANSWER:
      It all depends on your city and state laws. In CA all that is needed is for you to go to the park of your choice and request a permit. You fill out the form and they apprise you of the law. Some parks are free, some are fee. The main question is scheduling. Somebody else may want that area the same day you do. It’s first come, first served. The park is public and maintained by public funds.

      There may be noise abatement laws, not telling you what type of music you can play but how loud you can play it.

      The bounce house may be proscribed if they consider it an activity that might cause injury.

  39. QUESTION:
    can i do ca course in canada after 12th and what will be its duration?
    i am from pakistan and i want to do ca in canada…
    what will be its requirement, duration and fee structure???

    • ANSWER:
      What is CA?

  40. QUESTION:
    I am a young mother and looking to put my child in pre-school, have some questions, please anyone can you help
    I have little on that just turned 2, another that will be 3 October 4th, and my oldest will be 4 October 30th – Im more so looking for something for my almost 4 year old, as we don’t know many people around here whom have children. I believe him getting into Pre-School and inneracting with other children will help him in many ways. I was wondering if anyone can tell me the following things – I live in Georgia by the way…

    1. About how much will it cost to put my almost 4 year old in pre-school??

    2. Will I have to drive him to school and pick him up in the afternoons?

    3. Are there any places that will help me pay for his pre-school costs, that don’t have long waiting lists or process in order to recieve the help?

    Anyone with a child in pre-school, please, any insight would be greatly appriciated!!

    • ANSWER:
      I’m in CA but I’m sure things are similar. First of all, wow!!! I commend you and think you deserve a much needed rest! I have a 5, 3, and 2 year old boys, so I know what your life is like. We have a Christian preschool/elementary school around the corner from us that accepts 3 year olds. I put my now 5 year old in there for that first year, at 3 half days a wee, then moved him to another (bigger) private school for PreK, and he is now in K there (this bigger school is where they will hopefully go through 5th grade). I just started my 3 year old at the 3 yr old preschool the same, 3 half days a week (and I am planning on my youngest to also do the same next year). I pay 0 a month for the three half days a week, they start at 8:30 and go to 12:00 noon, they have child care available after that at a fee. There are free preschools in our city, but we do not qualify (even on one income since I’m a stay at home mom) and there is a waiting list usually. Call your local elementary school and ask them if there is something. Also there is a coop type preschool in our town, where the parents take turns helping out. Be prepared though, the first two years of school (no matter what grade you start them at) are the sickness years…my oldest the last couple years brought home every type illness possible. My doctor said the other two should not be as bad when they start since they had already gone through it all with their older brother. A word of advice, if your child is not used to being left with “strangers” he may have separation anxiety (my oldest had a bit of it when he first started preschool, but only lasted a couple weeks right when I dropped him off) (my middle one though, who started last week, is taking is really hard). We have decided as time gets closer for my youngest we will start leaving him with neighbors while shopping, etc to get him used to it. A trick, I made a necklace for my son using a fishing license holder, put a pix of mom and dad, a pix of him and his bros on one side, and on the other a pix of a regular and a digital clock reading 12:00, which is when I pick him up. Also gave him a pix to keep in his pocket, and a family pix in his backpack (I got the backpack this summer to jazz him up). Anyway, you can also call your local county education department and talk to them. Also, call around and get rates of preschools, and maybe you want to find one your son will move on with to K and up. Also, with the 3 year old preschool I chose, I chose it because it had some structure (they had a schedule of their day) whereas the others were mainly daycares. I wish you the best of luck!

  41. QUESTION:
    I am poor emplyed person,guide me whether CA (Inter),MBA (F) or Computer Accountant will suit me?
    I am a poor class employed person, I want to complete my studies and get good job, please guide me whether I should do (CA (inter), MBA in finance or course from Institute of computer accountants, please advise me according to fees structure

    • ANSWER:
      I would suggest you in the following order:

      MBA (Finance)
      CA (Inter)
      Computer Accountant. (You may get immediate job if you choose this one, but long term growth may not be possible.)

      So, for immediate employment you can choose Computer Accountant, and then go for other studies.

      What about completing CA? Why did you stop with CA (Inter)?

      MBA (Finance) may cost you little bit higher, when compared to other two.

  42. QUESTION:
    Why do Liberals keep bringing up the “Every Industrial Country in the world has a Public Option” answer?
    Every time we debate a liberal on the Health care bill and they know they’ve lost they resort to two statements either an attack on our intelligence or the famous “Every Industrial Country in the world has a Public Option”

    In my mind, I am like so what if they have a public option, their taxes are high and their services poorer than the USA. Also they don’t have as many people as the USA. Who cares….

    • ANSWER:
      They do.

      It is crushing them financially.

      This means that although complementary insurance (providing private or semi-private hospital rooms, ambulance services, etc.) is available on the market, sale of private insurance covering the basic insured services is forbidden by law. Even if a Canadian wants to purchase basic private insurance besides the public coverage, he cannot find a private company legally allowed to satisfy his demand.

      http://www.theadvocates.org/freeman/8903lemi.html

      But as CNSNews.com reported, the Congressional Budget Office’s analysis of the final Senate health care bill indicates that it would impose a mandatory ,000 annual fee on middle-class families that earn greater than 400 percent annually of the federal poverty level. That means ,200 for a family of four.

      Among the five basic facts that the CBO analysis cites about the bill is that “Your family insurance plan – if your employer drops your coverage and you are forced to buy it on your own – will cost about ,000 per year when the legislation is in full force in 2016.”

      http://www.cnsnews.com/public/content/article.aspx?RsrcID=62587

      ObamaCare Nuclear Option Deal Close

      Behind closed doors, the Obama Administration, House and Senate Democrat leaders are cutting a secret deal on ObamaCare. They have come up with a way to pass the Senate version of ObamaCare in the House without any House members having to vote directly on the bill. Now The Hill is reporting that the House and Senate Parliamentarians are helping to advise Democrats on how to pass ObamaCare. When will the self proclaimed most ethical Congress in history start acting ethical and honest? This 111th Congress has proven, to date, to be the most secretive, non-transparent and devious Congress in recent history.

      I explained in a blog on The Foundry yesterday the unethical procedure being used to pass ObamaCare:

      House members have come up with a unique way to structure a vote that attempts to avoid the House voting on legislation before it goes to the President. First, the House Budget Committee will report out a reconciliation bill. It is unclear as to whether the Stupak Amendment will be added. This reconciliation measure would be reported for consideration by the House of Representatives as a whole. Speaker Nancy Pelosi (D-CA) would then package the Senate passed Obamacare bill and the House reconciliation measure into one measure. The House rules committee will report out a rule that will allow the Senate passed Obamacare bill to pass the House without a vote.

      This seems to be a violation of the constitutional requirement of Article 1, Section 7. The Constitution states in part “Every Bill which shall have passed the House of Representatives and the Senate, shall, before it becomes a law, be presented to the President of the United States.” The House will avoid a direct vote on the Senate passed ObamaCare by passing a self-executing rule that deems ObamaCare to be passed, if the House approves the rule setting up debate on ObamaCare. Under the rule if the reconciliation measure passes, then the Senate passed ObamaCare bill will be deemed to have passed the House without a vote.

      There is precedent in the House for self-executing rules. In 2007, the House to pass a self-executing rule during the debate on a War Supplemental. Also, during the budget process over the past few years, the House has inserted language into the annual budget resolutions that ”deems” as passed a debt limit increase. This type of rule allows the debt limit to pass the House without a vote and as similar rule would allow teh Senate version of ObamaCare to pass without a vote.

      Late last night, The Hill reported that “Democrats Nearing Deal on Reconciliation”:

      House and Senate Democratic leaders and White House officials were optimistic Wednesday evening that they were nearing a deal on a reconciliation package that would smooth the way for them to finally complete health care reform. Congressional leaders and senior administration officials met in Speaker Nancy Pelosi’s (D-Calif.) office late in the day to hammer out a deal on reconciliation, meant to act as a sidecar of adjustments to the original 1 billion Senate-passed health care reform bill.

      This meeting was not transparent and not open to the public. Pelosi was behind closed doors in order to cut a deal on a reconciliation measure that the House may consider in the next week or two. Yet again, Democrat leaders have used a closed door secret procedure to craft legislation to impose on Americans.

      House Democratic leaders will walk their rank and file through portions of the package in a Thursday morning meeting, a leadership aide said.

      This means that only Democrat elites have been part of this negotiation. Not until later today will the House Democrat caucus be allowed to see the reconciliation measure. Republicans need not apply, because they will not be allowed to see the reconciliation measure, until Democrats say so. And for your average American who will have to live under this new health care government run regime, you are not allowed to participate in the legislative process at all.

      http://socglory.blogspot.com/

      .

  43. QUESTION:
    Please tell me the procedure to join CA course?
    I have completed B.com in year 2003.After the gap of 9 years ,I want to join CA.

    so please tell me the procedure.

    • ANSWER:
      After completing your 10+2 from recognized board.

      you have to register your self with the ICAI for CPT level But if you are graduate

      than you can become eligible for to apply for IInd STAGE Executive Level provided you fulfill the other minimum eligibility necessary to apply for Executive Level.

      There are 3 level in CA which candidate need to clear for being Chartered Accountant.

      Chartered Accountant are always in required in corporate sector and they can even practice of independently.

      There are three stages in CA

      Common Proficiency Test(CPT)
      IPCC
      Final examination

      CA it takes around 4.5 years on whole.

      CA FEE

      C A TOTAL fee is around 40000/- to 45000/-.

      Chartered accountancy is the course cover various topics on finance.

      CA COURSE centers are spread all over in INDIA you may surely find centers in bangalore also through it’s official website.

      Official website

      www.icai.org

      Source: http://entrance-exam.net/forum/general-discussion/procedure-join-ca-course-fee-structure-course-institutes-offering-course-bangalore-737163.html#ixzz2FVHqZ9MX

  44. QUESTION:
    Dear friends this is regarding my future please help/?
    I want to study chartered accountant course . i need the details of procedure to join in Bangalore. what is the institute offer this course by valued certificate and fees structure and study mode of this course.
    Please friends your valued answer may change my future.

    • ANSWER:
      Call on just dial and ask for CA training institutes.
      Do some searcing on google and get a list of them.
      Check their reviews on Google and meet the best ones.
      Consult them and chose the one whom you find the best.

  45. QUESTION:
    College scholarship in the USA or Canada for Filipinos living in the Philippines?
    I’m a Filipino and I want to study college in the US or Canada but my family doesn’t have sufficient budget for me to be able to study abroad. I really want to study college in the US/Canada (i think ill take up accounting). I’m an incoming 4th year student here (16 years old this year so I’ll be 17 years old the year I graduate) Are there any scholarship grants available for me?
    oh, you guys might be thinking why am I a bit young to study college. well here in the Philippines, we only have 10 years of education (6 years elementary + 4 years high-school)

    • ANSWER:
      The brutal truth.

      There are no grants or scholarships available for “foreign” students in either USA or Canada.

      You ar free to seek a place, but you must be prepared to pay. USA is about twice as expensive as Canada. Check the Canadian universities here.

      http://www.aucc.ca/canadian-universities/our-universities/

      This list also shows the fee structure for foreign students, never less than $ 15,000 per year. Add in $ 12,000 for living costs and you cannot study for anything less than ~$ 25,000 per year. Double that for USA.

      You can only be accepted once you have good marks and also can prove that you, or you parents, have enough money to pay for your education, year after year.

      Good luck.
      .

  46. QUESTION:
    I’m going to a concert at the Wiltern, what should I know before going?
    I’m going to a concert at the Wiltern in Los Angeles CA. I’ve never been there, so I don’t know how early I should show up, and how parking works there. Is there any info and advice you can give me before I go? The concert is in 2 weeks. Just give me general info, like how many hours before the show I should get there and where to park, and of course any other helpful info you have.
    Thanks!!! :D

    • ANSWER:
      It’s a small venue, excellent sound.

      Ladies upstairs bathroom much less packed then downstairs. It gets pretty steamy/warm inside, so you won’t need a jacket or sweater inside. Not sure about the the Mezzanine section

      Parking is not the best. There is a four-level parking structure is designated for the venue. To enter the parking garage, enter through the Northern entrance (not through Ralphs,) which is located just south of the theater off Oxford Street or off Western Avenue. Parking fees about -

  47. QUESTION:
    I’m a B.Com from Mumbai, India,. I wud like to know how n’ whr I can apply for SAP?
    I would like to know details of the institute, fee structure, location of the institute and duration of the course. How wl it be beneficial to my career?

    • ANSWER:
      SAP Education in Mumbai

      Genovate Solutions India Pvt. Ltd.
      A Wing,First Floor
      Phoenix House,Senapati Bapat Marg
      Lower Parel, Mumbai 400 013
      Tel: (91) 22 30421840/30421841/30421842/30421843
      Fax: (91) 22 30421844
      Contact Person: Mr.Krishnan / Mr. Fabian
      E-mail: krishnan@genovate.com
      or E-mail: fabian@genovate.com

      You may contact them to know the fee structure and details.

      I feel you should go for professional qualification like ICWAI or CA and then progress your career in SAP. You may look at the job requirements for SAP FICO Consultants and the basic qualification employers ask is ICWAI or CA

  48. QUESTION:
    Does anyone know if Concorde College in San Bernardino has a good Vocational Nursing Program? And how much$$?
    Just want more info on the Vocational Nursing Program at Concorde in San Bernardino. I know it’ll be expensive but I don’t have time to go through the Community college route [i have 3 kids].

    • ANSWER:
      VOCATIONAL NURSE/NURSING

      Concorde Career College
      201 East Airport Drive, Suite A
      San Bernardino, CA 92408

      Telephone: 909-884-8891
      Fax: 909-384-1768
      Email San Bernardino

      The programme is the best in every respect.
      Fee structure for Nursing is not avaiable as it changes every year, financial aid is available for study and for these you have to contact the college for clarification.

      Please visit there web site for more information:
      www.concorde.edu

  49. QUESTION:
    In CA. What does a “salvage title” mean on a car. Can I get a regular registration.?
    I live in L.A. and I keep seeing ads for vehicles with “salvage title” can anyone explain this to me, and how I would register a vehicle with this title? thanks for you rtime . I appreciate it.

    • ANSWER:
      A Salvage Vehicle is a vehicle that has been wrecked or damaged to such an extent that it is considered too expensive to repair. The title, license plates, and a required fee are submitted to the Department of Motor Vehicles (DMV) and a Salvage Certificate is issued for the vehicle.

      A Revived Salvage is a salvage vehicle which has been repaired and reregistered with the DMV.

      ===

      How To Identify a Salvaged Vehicle

      First, look at the title. The title will tell you:

      * If the vehicle is salvaged.
      * The mileage when the vehicle was last sold.
      * Who the owner of record is.

      Sellers, including dealerships, are legally required to disclose the vehicle’s salvage title and history, but the law is difficult to enforce, especially when cars come in from another state. Be sure the seller is indeed the owner. If the seller isn’t the owner or an authorized agent for the owner, he or she is not entitled to sell the vehicle, and you are not entitled to buy it. If the seller’s name is not on the title, there must be documentation, such as a bill of sale, dealer report of sale, or power of attorney, authorizing that person to sell the vehicle.

      Next, inspect the vehicle itself. Some of the following “clues” may indicate the vehicle has an undisclosed salvage history.

      * Signs of major repairs on the inner fender structures.
      * Mud, mold, or rust under the carpet in the trunk.
      * Vehicle Identification Number (VIN) plate attached with materials other than rivets.
      * Safety restraint light is always on.
      * Airbag covers are resealed or improperly installed.
      * National Highway Traffic Safety Administration (NHTSA) labels which usually appear on doors, inside hood, tailgate, or hatchback are missing.

      You might also want to check various aspects of the vehicle’s history by using the following links. By clicking on any of these links, you are acknowledging and agreeing (1) to not hold the State of California, Department of Motor Vehicles, liable for any reason relating to the condition, identification, or status of a vehicle, including, but not limited to, whether the information is inaccurate, (2) the State of California, Department of Motor Vehicles, does not endorse or make any representations with respect to any vehicle, and (3) the State of California, Department of Motor Vehicles, does not have a duty or ability to ascertain any facts from these links at the time application is made for initial registration or transfer of ownership of a vehicle.

  50. QUESTION:
    I’d like to send real estate referrals to an Indian Co. I live in CA & have no license. Legal advice please.
    I’d like to be in the “referrals” business of real estate transactions in another country, namely India. My portfolio would inlude land parcels, apartments, single family homes, ranch homes, villas etc. May I incorporate primarily a “Marketing/Referrals Company” and earn my commisions without having to obtain a California Sales Person license? Thank YOU..!

    • ANSWER:
      Under the rules of the Department of Real Estate for the State of California (DRE) you cannot earn any commission or finders fee for conduct requiring a California Brokers license or a California Salesperson’s license not registered with a Broker licensed under the laws of the State of California.

      The inability to charge fees or earn a commission remove any motivation to move foreward.

      The law says that you cannot “list” property for sale, show property for sale,
      discuss property prices, accept or forward property offers, advise clients regarding property financing or otherwise engage in the operations of the business of real estate brokers.

      There is no legal way around this restrictions. Anyone claiming that you can circumvent these laws, which are routinely
      scrutinized and applied against large numbers of violators is lying. And the individuals who actually try to subvert the laws are called “criminal defendants”.

      California is among the most litigious of U.S. States and real estate litigation is as common as a barn swallow. You are not likely to operate long without a complaint to the DRE, who will then refer the matter to your local District Attorney. Obviously, you can forget any Court might protect any fees or commissions you thought you earned. You have no rights and immense liability.

      The closest thing to your solution is to pass your Salesperson’s license and find/obtain/hire a California broker under
      whom you work. You can find broker’s willing to accept most any commission structure or accept a monthly fee in lieu thereof.

      Good Luck.


ca fee structure

Cpa Fee

Frequently Asked Questions

  1. QUESTION:
    is there a deadline date to issue 1099 misc form?
    1099 misc form was issued and delivered to me on april 10th after I filed tax return. I have to submit amended form and issuer just shrugs off when i asked him to pay for cpa fee. Is it legal?

    • ANSWER:
      1099′s are supposed to mailed to you not later than January 31 of each year.

      Complain to the IRS and save the envelope it was sent in.

      Even if you don’t get a 1099 you should have still kept track of your income and declared it to the IRS.

      So you are just as wrong as they were.

  2. QUESTION:
    Are CPA fees paid to handle an IRS audit tax deductible?
    I paid my CPA ,000 this year to handle my 2006 IRS audit. Is this amount tax deductible? If it is tax deductible, what form do I include this amount on? And if you know could you give me the line number on the form, thank you.

    • ANSWER:
      You have to be able to itemize. And you have to subtract 2% of your income from them. But you can deduct them on Schedule A, Line 23.

      http://www.irs.gov/publications/p529/ar02.html#en_US_publink100026973

  3. QUESTION:
    What is the cheapest way to get a CPA designation in NYS?
    I have a bachelors degree in Business/Finance and an MBA and wanted to go back to school to get my CPA. What is the most cost effective way to do this in NYS? What are the minimum requirements? I don’t want to do a stint in public accounting? Do I have to?

    • ANSWER:
      You can read the requirements by following the link below. You’ll need to take the exam, pass it, get the experience and pay some fees

  4. QUESTION:
    If one can read and follow tax software is it useful to still have a CPA review your tax return?
    Can the CPA find some little known tricks of the trade to help you legally pay less tax, assuming you already followed the software properly on your own? Example: TurboTax, TaxCut, TaxAct.

    • ANSWER:
      First off – I take offense to what one the other responders said. All CPA’s are required to have continuing education each year (requirement are determined by the state(s) that a CPA is licensed in) and all CPA’s who are tax practitioners take CPE in Taxation. Tax practitioners are extremely up-to-date on current tax issues in order to provide the best service to their clients. We also have very strict requirements on education and experience before we can get our CPA license.

      That said, I think enrolled agents provide a very necessary service for some taxpayers, especially those who have prepared their own returns but need representation with the IRS.

      In answer to your question, while it could be useful to have a tax practitioner (be it CPA, tax prep business or enrolled agent) review your return, it may not be practical. If you have a pretty simple return (some wages, interest income, itemized deductions) then it would not be efficient. More complex returns would not be a bad idea. The problem is you have to pay the practitioner to review the file and I know that they will not charge significantly less than what they might charge to prepare the return. To have your return competently reviewed they will need to review all your back-up documentation and the review could take time. You would need to discuss the fees involved before you do this. There are no tricks of the trade to be found. A practitioner might ask questions about your finances or activities during the year that might lead to additional deductions or credits that you may not realize you had available to you that the software might not automatically count, but that is probably a pretty slim chance.

  5. QUESTION:
    Are CPA exam fees tax deductible or can you get a tax credit for amounts paid?
    Hi, I was wondering if there was anywhere where i can use the fees paid to take the CPA exam on my income tax form.
    I am already in the accounting profession and the CPA license is required to advance in my job.

    • ANSWER:
      Haha, I had a co-worker wondering the same Q, yes it is deductible, but I think it’s classified as a misc. deductible, either as an edu expense or business exp; So I think it’s subject to the 2.5% floor of your AGI.

      Something about expenses on improving skills that enable to further in your profession.

      Also note that if you get reimbursement from your employer, you would not be able to deduct this expense.

  6. QUESTION:
    I want to start a subscription business charging small business owners a fee…what can it be?
    I want to start a business charging small business owners a monthly fee to provide a service, i don’t know what i can do though. The plan is to add as many clients as possible.

    • ANSWER:
      Taxes or toilets.

      Think about what you can do better than the small business owner (we hire CPA’s to do our taxes) or what you’d be willing to do that we don’t want to (unplug the toilet when it needs it).

      Which direction do you want to go?

      Figure that out first.

      In reality, I am looking for people like you – someone who knows and has a drive to achieve/aquire more than average – is willing to work hard to get there – but is unsure of what type of vehicle (restaurant, franchise, landscaping, fashion design) will take them there.

      Shoot me an email if interested.

  7. QUESTION:
    did the irs stimulus checks start earlier than scheduled.?
    If my tax preparer is not a CPA but his fee did come out of my tax refund and I did do direct deposit will I get my refund direct deposit or a paper check.

    • ANSWER:
      Fantasy, that irs rep is incorrect. The statement above the check schedule on the irs website states:
      Paper checks will also go out based on Social Security number. For Social Security numbers ending in 00 through 09, the paper checks will be mailed starting May 9 and will continue through May 16. A similar process will be repeated in the following weeks.
      Some people have already started receiving them. Banks have seen them being cashed and deposited already.

  8. QUESTION:
    what is the best way to fight predatory charges from cpa?
    CPA charges that were given after personal tax returns were completed were excessive and were not provided prior to services.

    • ANSWER:
      Get the standard fee for the area and offer to settle for that.}{

  9. QUESTION:
    How much should a CPA firm charge me for this?
    I need help in securing bank financing and I also in the purchase of a business. I know rates vary, but if you’re a CPA, how much do you typically end up charging (or would expect to charge) for a small business?
    I think I just need a compilation. I just need to make sure that the information makes sense. After that, I need help with securing financing from a bank.

    • ANSWER:
      You don’t exactly say WHAT services you need to be provided. Do you need a compilation? A review? An audit? What is the size of your small business??
      A complication might cost as little as k or so and a full blown audit might be in the k range…..but again, the 100% depends on the nature of the business and how good your records are. I have some small business clients that have a k audit fee.

      Edit:
      Depending on the size and complexity of your business, and the state of your accounting records a compilation will run about k-5k…VERY rough estimate. However with that said, a CPA cannot really help you obtain financing. That is not what we do. We can evaluate financing options, but the the actual obtaining of financing itself is a management function and would destroy the independence of the CPA and the validity of the compilation.
      Good Luck!!

  10. QUESTION:
    Is CPA a requirement if you want to apply for H1B visa as an accountant?
    I am currently working on my OPT work visa in Houston, TX as a staff acccountant making ,000/year which meets the requirement of ,650 prevailing wage. I have my Bachelor’s degree in both accounting and finance. However I heard from someone that in order to apply for H1B visa as an accountant you have to get your CPA first, in which I could find any proof online. Is that true?
    Thanks for the answers. My current company is the one who will do the filing. They have hired a lawyer to do it. I actually just contacted the lawyer and he told me that CPA is not a requirement to apply for H1B as an accountant although I am still planning to sit for the CPA exam in the next few months. I will leave everything else up to my lawyer.

    • ANSWER:
      1. You cannot apply for any employment visa. Only qualified employers can apply for their qualified employees.
      2. Accounting does not qualify for H1-b visa, it’s not high-tech! Not even MBA or masters in accounting qualifies.
      3. You only have a bachelors degree. Minimum legal requirement for H1-b is a bachelors in a HIGH-TECH field plus minimum 2 years post-baccalaureate experience, or masters degree. In practice, today minimum of masters for employers to spend the vast time, money & hassle of getting an employment visa. Typically costs an employer ,000-25,000 for the visa, legal fees, etc.
      4. Over 31 million Americans are currently looking for work. Real unemployment rate is 23%. Another 27% of American workers are self-employed, independent contractors, freelance. So half the US workforce has no “job.” Only 20% of Americans earning MBAs the past few years have been able to find any work at all within a year after graduation. Your current employer could have hired half a dozen of your US classmates, and they’d be glad of the work. There’s no way your employer can obtain labor certification to hire a foreign accountant. US has thousands of more highly qualified accountants than you currently looking for work.

      It’s time for you to go home. Find work in your own country. There’s none for you in the US.

  11. QUESTION:
    What is the fees for universities in America and India?
    I am currently in India and I am doing commerce in 11th grade. I am planning to study the rest in USA. But before my final decision I would like know the fees of American universities for what I want to study. I am aiming to become a chartered accountant and so i guess i need to know the cost for studying accounts in university. Please also tell me the cost of doing the same in India. Thanks So Much.

    • ANSWER:
      America does not have Chartered Accountants but you can do an Accounting degree. Expect fees and living expenses to be in the region of ,000 to ,000 a year and an undergraduate degree takes four years. After this you will need to pass CPA (Certified Public Accountant) exams which is the American equivalent

  12. QUESTION:
    Where can i find the vehichles registration fee value on the registraion receipt?
    i have three vehicles tagged,one bought and i cannot figure out what to enter on turbotax.i can only deduct fees based on its value.

    • ANSWER:
      Personal vehicles are not allowed to be deducted on your 1040.

      If you have sales taxes associated with them, I guess you’re trying to do something with that.

      I’m sorry but I can’t understand your question.

      If you have a business and these are only for your business, then you can deduct the associated costs according to instructions on

      www.irs.gov – which has all of the forms and instructions FREE.

      GOD bless.
      CPA-retired

  13. QUESTION:
    Can a landlord write off legal fees paid to remove a tenant on my taxe return?
    I paid 2K to an atty plus other fees to deal with a bed tenant. I paid this in 12/07. The fees were for sherriff’s to serve notices, in addition to the atty. Would this go under professional services? Or, another tax category?

    • ANSWER:
      “4. Professional Fees: The costs you pay to an attorney for eviction, a management company, engineer, CPA etc are deductible as they relate to the rental.”

  14. QUESTION:
    Is there any benefit for a CPA firm to audit a charity?
    I’m speaking solely on the CPA firm’s behalf. I’m aware of the benefits that charities receive from having a CPA firm audit them. This question is regarding whether there are any benefits to the CPA firm for auditing charities.

    • ANSWER:
      Collecting the fee is good for business.

  15. QUESTION:
    If your audited by the IRS, can you write off the cost incurred during the audit, such as bills from your cpa?
    fwiw, I’m a loan officer who is 1099′d. I am currently undergoing an audit for the years of 2004 and 2005. i have probably paid my cpa in the neighboorhood of ,000 dollars thus far and i was just curious if I could write off this money as a business expense, or in some other way.

    • ANSWER:
      Yes, as a legal/accounting fee. You’ll be able to deduct it on your 2007 tax return.

  16. QUESTION:
    Can you amortize slotting fees in the food industry?
    I know theres debate in the past about food manufacturers amortizing slotting fee’s but has that changed in recent years? I believe I read an article stating that Food Manufacturers can now Amortize Slotting Fees. Please advise.

    • ANSWER:
      this is a subject for your CPA, who likely will have to search IRS private letter rulings in order to properly respond.

  17. QUESTION:
    Is there anyone who is preparing for CPA exam, i need some advice for the preparation?
    Can some one advice me what is the best way to prepare for CPA exam, which material or classes are the best?

    • ANSWER:
      Most people find that the easiest way to pass the exam is with the help of a review course. Considering the exam is 14 hours, quite costly, and the AICPA recommends 300-400 study hours… it makes sense that a person would want to make sure they pass each exam the first time around. The initial investment in a review course often saves money on extra exam fees and additional materials.

      That being said, I might be biased, but I fully recommend Roger CPA Review. Roger’s course is known for their 86% pass rates (compared to the national average of 48%), being highly motivational and energetic (helping you stay awake during class and studying), and coming with the best materials around (Roger writes his own books so they are supplemental; and he never ever reads from them like other courses have been known to do). Worth checking into – http://www.rogercpareview.com/cpa-exam-review-course-overview.cfm

      They offer three flexible formats too – so you can tailor your review to your personal schedule and go to a live class if you need structure, or take it online if your schedule is busy and you want to do it on your own time. It really is the best value in CPA Review – a great price for a superior product.

      Overall, in any study regiment, you want to make sure to stay on track, pay attention, and do as many multiple choice questions and practice simulations as humanly possible. It’s also important to not only understand the correct answer, but to understand why the other answers are wrong.

      Another helpful hint – look for free resources online that can help you. Roger CPA Review’s blog (http://www.rogercpareview.com/blog) offers helpful tips and tricks to make sure you are fully prepared come exam day, but information on the exams, how to get a job, and industry news.

      Good luck!!! Let me know if you have any additional questions at all :) You can also find me @morganives.

  18. QUESTION:
    How much will it cost to be a CPA starting from college?
    I’m doing a research paper and I would like a brief description that explains the budget that I would go by during the entire training period of becoming a CPA. (from college to taking the CPA test)

    • ANSWER:
      That depends on how expensive your college is, but assuming you go to an average priced state school:
      Tuition: ,185 x 4= 24,740 (average cost of college from: http://www.collegeboard.com/student/pay/add-it-up/4494.html)
      Books: ,400 (guesstimate 0 per semester, 8 semesters in 4 years)
      Room and Board: ,000 (0/month, 48 months in 4 years)
      Food: ,400 (0/month for 48 months)
      Misc: ,800 (0/month for 48 months. Clothing and other random expenses)
      CPA review course: 00 (www.exammatrix.com, this is what I’m using
      Fees to state board for applications(varies by state, check your states website. I’m giving you TX because that’s where I am: 0
      Passport photos for state board of public accountancy ID:
      Testing Fees: 2 (www.beckercpa.com/texas)
      AICPA enrollment fee:

      Grand Total: ,592
      Assuming you pass all 4 sections on your first attempt. If you have to retake a section your State Board Fees and Testing fees will increase.

      An average CPA at a CPA firm will make about k annually (pre-bonus) their first years as a CPA. I think it’s one of the best returns on investment you could get!

  19. QUESTION:
    What is a normal percentage to charge a condo association for management fees? Any other fees involved?
    Out of the monthly condo association fees, what is the amount that would normally go to the actually management company for services performed. This is in regards to Indiana, but any states would be a good starting point. Also, can anyone point me in the direction of a good book that can explain how to start up a condo management business, i.e. Forms needed, marketing ideas, What to charge…Thank you

    • ANSWER:
      It depends upon the size of the property and what management services are provided.

      Typically, the fees would be similar to what property management companys would charge for a similar size rental property. I have seen fees from anywhere from 4 to 40% of collected rents.

      Study up on the property management business……

      Michael Casey CPA
      Business Consultant
      608-271-0068

  20. QUESTION:
    Can an accountant charge for taxes outside of work without being a CPA?
    I was wondering if an accountant can charge for taxes when they aren’t for there job? I know people aren’t allowed to charge unless their a CPA but I don’t know if a regular accountant is allowed to.

    • ANSWER:
      A CPA (Certified Public Accountant) is someone who has met the academic and experience requirements, passed the CPA exam and is licensed by their state.

      Most people who work at places that do a lot of individual returns at a lower cost (i.e. H&R block) are not CPAs (but do take tax training classes to get the job done).

      Anyone can charge fees for a service. Tax returns are something that do not require a CPA (or any other certification for that matter) unless they are going to be representing the taxpayer in front of the IRS. Usually, that’s a specific tax matter (such as something taken to tax court) and not your day to day filing.

      In summary, anyone can be and accountant. Only those who have met the requirements can be a CPA. All can prepare (and charge) for tax returns and related services.

  21. QUESTION:
    Are Grad School application fees tax deductible?
    For example UofX has a 5 application processing fee. Are these tax deductible? They can add up when applying to 3 or 4 schools.

    • ANSWER:
      Maybe, but probably not. If the Grad School itself is deductible, then presumably the application fee is also deductible. Most graduate school expenses are not deductible.

      Deductibility is generally based on whether the education or training helps you with your current career or with a new career. Training towards getting a promotion in your current career is generally deductible, but that is a factual determination that you will probably want to discuss with an Accountant or CPA. An executive MBA program can be deductible, but more often the company’s pay for that directly.

  22. QUESTION:
    How much should an advertiser expect to pay in a CPA (cost per action) program like azoogle?
    I own a small distribution company that sells a product on the web (www.epsomsaltgel.com). I’m interested in directing traffic to the website and would like to try a CPA program like azoogle ads (I think google is launching there own version also). I just don’t know how much I should expect to pay per action. Anyone have a ballpark estimate for me?

    • ANSWER:
      Google has already begun to launch their cost per action program, however it is currently only available to account with very high budgets. I would try to avoid places that sell you leads through a cost per action program like azoogle because they are going to try and turn the largest profit then can and sell you the lead for as much as they can. You would be much better off running a pay per click campaign with a search engine through Google adWords, MSN adCenter, etc. If you need help getting an effective campaign started there are quite a few search marketing firms out there who will help you setup and manage a PPC campaign for a small startup fee and a monthly commission based on the % you spend in your PPC accounts. I own a small search engine marketing consulting firm (http://www.guiverconsutling.com) and if you are interested we could put a proposal together for you. But there are dozens of other firms out there with the experience to help you with a campaign, just search for search engine marketing consulting and you will find them.

  23. QUESTION:
    I am finance major student. Is there any website where I can offer my trading advisory for a fee?
    I can offer my financial advisory service as I have been actively analyzing stocks as a part of my hobby. I want to know a website where I can simply sign up and link to my preferred payment method. I can pick up a client’s portfolio there and manage is for a fee. Likewise clients can be there asking for advice or looking for someone professional to manage their portfolio.

    • ANSWER:
      This is what you have to do.

      1. Call FINRA and tell them what you want to do.

      http://www.finra.org/

      2. Take and pass your Series 65 Exam. May now be called the Series 66 (Combined 63 and 65).

      3. Because you plan on soliciting the general public for business and intend to be paid, you have to register with your state as a “Registered Investment Advisor.” Contact your state securities regulator or state dept of corporations and they will tell you what you have to do.

      4. You will need to be background checked, fingerprint checked and file a lengthy form called, “Form ADV.” You only have to file this with the SEC if you are managing over M; if you are managing under that then you must file it with your state.

      http://www.sec.gov/answers/formadv.htm

      5. You will also want to get bonded (prob required now), show that you have so much in cash or a insurance bond (state regulators will tell you how much and what to do).

      6. If you do not do all the above, you could be be fined and your clients could actually sue you for not being registered. They can also sue if they lose money.

      7. Once all of the above is done and approved by the regulator, only then can you solicit clients, have a website, advertise, etc. You have to disclose the website and be mindful of your statements. Be sure not to promise any returns, or say how much people can make with you. This is a guaranteed law suit, and your career will be over before it starts.

      8. I would seek someone maybe a business consultant in this area on how to reduce your liability as a RIA, and help you with your Form ADV.

      9. There is another way to do all this, but you can’t make public solicitations, and it is highly restrictive. This is a long answer, and this is where a consultant comes in.

      10. Keep in mind that money management is not just about investing. It it is also about running a business, and also understanding law and compliance. Many states also require certified audits and will have a state securities auditor come and visit you every 2 years. CPA certified audits are very expensive. They can exceed your entire college tuition. Know the costs and handle the risks before jumping in the water.

      Once all this is done, you will find it to be very challenging to get people to place money with you with no experience, esp as a student. You can make it however, and do well if you are naturally talented or have an amazing background with an impressive verified track record. Just cover all your bases first.

      Good Luck!

  24. QUESTION:
    How come the US government can change tax laws over and over again during tax season?
    With certain tax law changes since the beginning of 2007, my CPA is having to correct my taxes several times. It doesn’t seem right that the govt can change tax laws several times during tax season. Other than “because they are the govt,” how come they can tamper with tax laws during tax season.
    My CPA is correcting my taxes because we keep getting corrected 1099′s from my brokerage firms. The reason for the corrections I was given was because the laws keep changing.

    *shrug*

    • ANSWER:
      The Tax Laws that were changed or extented in January 2007 were a benefit to the tax payer. The Tuition and Fees deduction was extended as was the Deduction for State and Local Sales Tax.. The changes were up for vote before the Holiday break, but Congress did not vote to extend them until after the first of the year. It was frustrating to both the taxpayer and the IRS as the Forms for 2006 were already printed

      http://www.irs.gov/newsroom/article/0,,id=165667,00.html

  25. QUESTION:
    How to get started on my CPA?
    I need to apply to begin the process of taking the CPA exam. I can’t find to much information on how to apply! Is it the AICPA that I should contact about exam info? And where online can I get the application form?

    • ANSWER:
      In the old days when I took it, you had to be sponsored by the CPA firm that you worked for, and you had to be preregistered with a copy of your college transcripts of all of your required courses.

      Of course, it may be a lot different now. I don’t really know, I’m just trying to help.

      But, it is given by your state board of public accountancy, so do a search for Texas (or whatever your state is) Board of Public Accountancy, or something like that. When you find it, it should give you a list of all the forms that you need.

      Hope this helps. Good luck (you’re going to need it).

      P.S. I have always thought that the number of people who pass that exam was totally controlled by the AICPA as they don’t want to flood the market with too many CPAs so they can continue to charge their high fees. So, they may have a quota of passers, and when that is reached, they don’t pass any more. So, if it takes several tries before you pass, don’t be surprised.

  26. QUESTION:
    Should a millionaire have a CPA do their taxes and a Financial planner to help manage their money?
    I was wanting to know when I even become a millionaire, should I right off get a CPA to help with my taxes? Also should I also get a financial planner to help me have my money make money?? Please serious inquiries only!!

    • ANSWER:
      Anyone making over about k per year should use and Enrolled Agent to do their taxes. Their fee is a tax deduction and they usually can save more than their fee (and save you 50 hours of tax preparation).

      I don’t trust financial planners. Most of them are probably less intelligent than I am, and what the hell do they know about the future that I don’t know? Save 15% of your gross and diversify, that’s all you need to know.

  27. QUESTION:
    How do you get certified as a CPA?
    Can I have a degree in economics and still become certified as CPA
    I plan to major in economics, I was just asking for right now. I know having a CPA will be beneficial for what I want to do, I just hope getting it will be easy since I want to major in econ….

    • ANSWER:
      It depends upon the state yo are in. The best thing is to viit the website of your state Board of Accountancy and look for the requirements. There is a minimum amount of pure Accounting courses you have to take. In California, the Board of Accountancy will ask you to send them your transcripta and for 0, they will evaluate your transcripts. Then if you meet the requirements th fees fo all 4 sections of the CPA exam is close to 7 of exam fees

  28. QUESTION:
    What are the tax liabilities for personal small business internet sales?
    I’d like to sell my hand-made jewelry through an internet site through which one can sell hand-made items for a small fee. The site is similar to E-bay. I can’t seem to find information concerning income tax (U.S.) regulations without dredging through IRS guidelines. Does one simply keep track of sales and file a 1099, or does the IRS even monitor this type of income? Any advice is greatly appreciated.
    Would it be profitable and advantageous to get a tax id. number in order to purchase supplies required for my jewelry?

    • ANSWER:
      Honestly, it depends on two things. First, the website. If they send you 1099s for the sales you make via their site (they should be able to tell you whether or not they do), then you have to report the income.

      Secondly, how serious are you about this? Is this going to be a significant source of income, or just an extention of a hobby. The reason I’m asking is this will effect the deductablity of losses. If this is simply a hobby, and there is no 1099, then don’t even worry about reporting it. The IRS will never know.

      However, if this is going to be serious, then I suggest that you get an EIN number, and keep track of your expenses. This will more than likely generate a decent loss, and that will lower your taxable income.

      My suggestion is to discuss this with your CPA (NOT H&R BLOCK!!!!). If you are located in Kentucky, then I recomend my firm. We specialize in helping individuals who own small ventures such as this one. Hope this helps.

  29. QUESTION:
    How to find a acounting/finance related job with H1B VISA sponsorship in Boston area?
    I am a CPA candidate and have already passed all exams in Australia. Right now I wish I could find a job in greater boston area. Can anyone offer me some useful information? I can even pay all application cost by myself. Thanks!

    • ANSWER:
      No, you cannot pay the visa application fees yourself. These must be paid by the employer! You are too late for a 2010 H1-b visa. They’ll be processing the applications in April, and it just ain’t gonna happen that fast.

      Since well over 600,000 per week are losing their jobs, and the true unemployment rate is now over 18%, jobs are scarce and getting scarcer by the week. The US has about as many unemployed adults seeking jobs as Australia has people. This makes it difficult for employers to get labor certification (prove that there are no qualified Americans available for the job), and the employer has to submit labor certification in order to apply for an employment visa. Your prospects are poor and getting worse. The economy is a real stinker, and there are no signs of any improvement in the coming year. It is hideously discouraging at best, and desperate & despairing at worst.

  30. QUESTION:
    As a Texas company, do I need to collect sales tax on software license fees I charge to clients in Texas?
    I f my company is in Texas and we sell online inventory management software to businesses via an online monthly subscription/license fee, would should my company collect sales tax from our clients in Texas, or in any other state? We do not ship a product as it is 100% online, our clients simply have access to our online software service which we customize for each client’s business.

    Thank you
    My software is somewhat custom for every client which I think means that it would not be applicable to sales tax. It is very difficult to get a clear definition on what is taxable and what is not whhen it comes to custom software licensing

    • ANSWER:
      The goverment always wants it money. I think this holds true for all internet software sales in the state of Texas. I know you are hoping your license fee is not an actual software sale, but anytime someone pays you money for a service, the tax man will want his cut.

      Texas Administrative Code
      Title 34, Part 1. Chapter 3, Subchapter 0 State Sales Tax:
      (3) Internet access service – a service that enables users to access content, information, electronic mail, or other services offered over the Internet and may also include access to proprietary content, information, and other services as part of a package of services offered to consumers. Internet access service does not include any other taxable service, unless the taxable service is provided in conjunction with and is merely incidental to the provision of Internet access service. Individuals providing Internet access should refer to §3.366 of this title (relating to Internet Access Services).

      check out this link, but also contact a CPA in your area.

      http://info.sos.state.tx.us/pls/pub/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=3&rl=330

  31. QUESTION:
    do tax professionals have to pay the e-filing fee if the return is over the threshold amount?
    I was wondering also what tax software most CPA’s use?

    • ANSWER:
      What e-filing fee are you talking about? Most software has some kind of fee. Individual software sometimes has a fee for each efile. Licensing rules for software like Turbo Tax prohibits its use for multiple returns by professional preparers.

      I use software called TaxWise. It’s one of the professional ones, but there are others.

  32. QUESTION:
    What do I need to transfer a property to my name only ?
    My father passed away and left myself and my brother a condo in Florida, over the years it has needed repairs and alot of work and fee’s. My brother can no longer afford to pay his share and has agreed to sign it over to me. Now my question is , what happens from here? Instead of paying a lawyer insane amounts I just want to know what document needs to be signed by both or what not and do it through legal zoom. Thanks !

    • ANSWER:
      You need to file a quitclaim afidavit with the registrar of deeds for the county.

      And you need to be ready for the IRS. Your brother is giving you a gift. If that gift exceeds ,000, then it is subject to gift tax. If your plan is to wink at each other and say the house is worth less than k, so half is less than k, then you two are committing tax fraud, and the IRS will catch you.

      Pay your CPA a few hundred bucks to make sure this is done right so that you don’t go to jail or get stuck wtih penalties from the IRS.

  33. QUESTION:
    How much should I charge a drink companies to advertise on my wesbite?
    I would like to charge a drink company to advertise on my nightclub website. It is 4 month old, and already well placed in search engines. Last month we had 14 900 page loads and 2900 unique visitors.

    I was thinking or creating some kind of bidding wars between drink companies to get the best price I possibly can but my partner think they may not respond well to this kind of strategy and proposes to ask for a fee and wait for a positive answer from one of them.

    If it isn’t clear already, only one drink company will be advertising on my site (exclusivity).

    What do you think the best strategy would be?
    If you think we should ask for a fixed fee, what kind of price range you think we should ask for?

    Thank you in advance for any informed answers.

    • ANSWER:
      This is one of the hardest questions you will ask as a Website business business owner. Website advertising (from a buyers perspective) is challenging because you are either interested in receiving traffic or branding.

      Buyers would probably be interested in a CPM (cost per thousand impression), CPC (cost per click) or CPA (Cost Per Action) offer.

      If you choose to go the CPM route, I don’t think it’s out of the question to charge -20 CPM for the amount of traffic you currently have. As your traffic grows, so will your revenue. The problem is, it’s all about branding and some advertisers will want access to your traffic. Plus, if your traffic gets any less – it won’t be worth the time to advertise.

      If you choose to go the CPC route, you’ll need to have reporting features for the advertiser. Advertising on such a niche site will require a lot of work for the advertiser (who will have to create a custom campaign for you) and have to actively monitor their success and conversion rate. You could conceivably get a few dollars per click in a situation like this. The downside is, no clicks, no website revenue.

      If I was going to advertise on your site, I would ask for a CPA deal. Find out what the advertiser wants (e.g. they want people to sign up to receive something like a free drink coupon) and for every lead you generate (say through a form) they pay you a fixed fee – say per lead which is very reasonable. If you have 3000 Unique visitors a month and 10% act on the offer – that’s 0.

  34. QUESTION:
    Is it possible to incorporate a business without paying someone to do it for you?
    I want to incorporate a small business im starting, but, I dont want to pay someone a hefty fee to do it for me? Where can I get the documents myself to do it myself?

    • ANSWER:
      Get Nolo’s “Incorporate Your Business” (link below). This should give you everything you need.

      You can hire a Legal Document Assistant (called “Independent Paralegal” in some states) to do this relatively inexpensively (probably somewhere around 0-500). Just make sure that if your state requires some sort of licensing or registration, the LDA/paralegal you hire has the required qualifications. This ensures you are getting someone with the proper education and experience (and bonding in some states).

      There are many benefits to incorporating, and the “double taxation” can be easily avoided with the aid of a good bookkeeper or CPA. Check out “Own Your Own Corporation” from the Rich Dad/Poor Dad series (link below).

      Good luck.

  35. QUESTION:
    Is there anyone who will advertise a site and get paid a percentage when work shows results?
    I am an independent saler who is just starting. I’m looking for someone who will help direct traffic to my site and promote a sturdy stream of interested individuals. I will gladly pay them their fee upon finished work.

    • ANSWER:
      There are cost per action/acquisition (CPA) arrangements in which a marketer is paid for generating a lead (email submission, form completion), this can be more cost effective than paying for clicks of unknown quality.

      You could install software than helps run a self managed affiliate marketing program of sorts, though they more traditionally pay for sales made immediately, not at the end of some drawn out process.

  36. QUESTION:
    How do I pay off all my creditors and get my credit report sparkling?
    I’m taking out a loan to pay off all my creditors, but how should I go about it? I have been past due in all of my accounts for over 2 years, and all of it is unsecured debt. I owe between ,000 and ,000 depending on the reporting agency. Should I just pick up the phone and start negotiating with them? What terms should I settle for? I’m wary of debt consolidators, so should I go to a CPA if I want professional help? And, should I get professional help?

    • ANSWER:
      Ok, I would have to know your exact credit situation to answer this. First, get all three credit reports AND scores and see exactly what is on there. Also, challenge everything. You can dispute EVERYTHING on it, even if you owe T-mobile 00, they have to respond to the credit agency by a certain time frame when you dispute it, if they don’t, it disappears. This might take a couple months, but go for it asap. I got 3 things knocked off every one of my credit reports this way. My score went up so high in 6 months I was able to buy a house.

      At the same time, pile up all of your bills and first make a copy or write down the addresses and your account numbers so you can start sending in payments (don’t worry, even if you send a month to someone they can’t report you as late or send you to a collection agency). The reason you need a copy is that some won’t send you a new bill once you made your first payment, so then you are waiting for that bill to come while they aren’t sending it so they can charge you more fees. Start sending each of them either the minimum payment each month (for credit cards still open) or each month (for collection agencies and closed credit cards). These are the first 2 steps for you turning your life around.

      After you’ve done that and you’re sure you can get some lump sum of money to pay your bills off start negotiations, don’t settle for anything more than 60% of your money owed to collection agencies, start at 40% though, they should counter with something and you guys can go back and forth.

      Then only use what you need to pay EVERYTHING off. Now, DO NOT use money to pay your bills only to have to pay a ridiculous interest rate though. Make sure you can pay that consolidated loan back before you get it.

      The only other step is to not ever miss another payment on anything, 5 years later, things will look a lot better, 7 years later, things will look perfect.

  37. QUESTION:
    What is the most anyone has paid H & R Block to do their taxes?
    The CPA that has done my taxes since 1979 is no longer doing them. I do have rental property so I can’t use the short form.

    • ANSWER:
      According to their annual report for 2010, last year H&R Blocks’ average customer paid 6 for their federal and state income tax preparation. I have seen some folks pay as much as 0 if they have extra schedules and diverse forms of income as I believe the software the firm uses calculates the fee based on the number of keystrokes, number of forms, and amount of time used in the process.

      Do some shopping around and find someone with a good reputation who charges a reasonable fee for the service. The BBB is a good starting point.

      Good luck.

  38. QUESTION:
    What is the process for becoming a certified public accountant?
    I am currently a sophomore in college going into the business program next year. I am seriously considering accounting and if that turns out to be the path I go down, could someone give me some info as to how it works? Do I go straight to grad school after my undergraduate degree? Am I supposed to work a few years before I can go to grad school to take the test? Do I need to go to grad school to get my CPA? What is my wage like before I get my CPA?

    I would really appreciate any information that you guys have for me.

    • ANSWER:
      Different countries have different method of being certified. In kenya you do CPA 3, Section 6. When you pass you get an invite from the KASNEB telling you to pay the registration fee and once you pay, you get to go to a ceremony of being certified and you are issued with a certificate

  39. QUESTION:
    How do I create Living trust without using a lawyer?
    I want to understand the detailed process for creating the Living Trust and what are the Tax benefits? I’m a legal resident of the Los angeles California and have a young daughter. Want to make sure I plan for her future. I don’t have the money to go to a CPA or to an attorney. also are there any free services available?

    • ANSWER:
      The previous posters are correct in recommending software. However, I would suggest you give serious thought to this before you proceed. If you can’t afford a CPA or attorney, you have other issues to consider.
      1) do I have sufficient assets that I need to be pursuing this now?
      2) Can I afford the fees associated with following thru with this.(filing fees, transfer fees)

      If you have real estate you will have costs associated with transferring it to the Living Trust. Check with your state CPA association or Attorney group and see if any free services are available. Another good source of information would be a local university. Most have knowledgeable professors on staff who could consult with you for free or at discounted rates.

      Hope this helps.

  40. QUESTION:
    What are common tax deductions for doctors?
    I’m a new doctor. Can I deduct my state medical license fee (), my state controlled substances license fee (0), my DEA license fee (0), work related books/literature (0), cost of scrub suits (0), cost of medical equipment like stethoscope (0), and other work-related expenses?? I also paid 5 to take the 3rd step of the USMLE, but my understanding is that is NOT deductible.

    • ANSWER:
      Of all the items you mention, the scrubs, your work related books and stethoscope could be possibly be deducted.

      These added up to 0. If you made more than 000, none of this will end up increasing your schedule A. If you weren’t itemizing anyway, it’s a moot point.

      (As a new doctor, the fees for licensing aren’t deductable. My costs in sitting for the CPA exam weren’t either.)

  41. QUESTION:
    What is the criteria for filing a 501c3 for a non-profit organization?
    There are Government filing fees that are necessary. What do these filing fees consist of? What is a Form 1023? Can I file all the necessary documents with the IRS? If so, how long do this process take?

    • ANSWER:
      I could talk to you about this subject for hours
      Not enough space to answer in this forum
      Best to discuss with a qualified CPA and attorney

  42. QUESTION:
    How much should a financial plan cost?
    I need help putting together a financial plan. I spoke with a CFP who charges on a per-project basis. Her fee would be between 00-00 (depending on how simple or complicated it is) to put together a detailed financial plan which would take into account my long-term savings and investment goals. Is this fee reasonable?

    • ANSWER:
      There are 2 ways that CFPs might be compensated. On a fee basis, or on a commission basis. If the CFP is not trying to sell you specific investments, ,500 to ,500 is probably very reasonable for a fee-only comprehensive plan (Goals, investments, insurance, retirement, and estate planning).

      If however you are going to be encouraged to buy particular mutual funds or insurance products, then the planner is probably being compensated by commission. In that case, charging ,500+ is probably double dipping. The complexity of your financial situation factors into whether the fee on the whole is reasonable. Think in terms of the CFP having professional fees equivalent to those of a CPA or attorney. If professional fees in your part of the country average 0 hourly and the bill ultimately is ,000, then that translates to about 20 hours of professional services work on the part of the planner.

  43. QUESTION:
    What are the Finance/Accounting degrees or Certifications out there?
    I’ve heard of CPA, MBA.,etc. You see I never went to college and I’m trying to help my granddaughter down the right path and get some information for her since she wants to get into Accounting. I just want a website where it has an overview of all the info that she needs like the different certifications and the college courses that she needs to take to get to her goal. Any help would be most appreciated.

    • ANSWER:
      You might want to check out a new school, they use curriculum based on MIT. They are on line University of the People uopeople.org . I heard about them on NPR a couple of months ago. They have 2 and 4 year programs in computer science and business. Price is right!!! You just pay entrance fee, and for you examinations.

  44. QUESTION:
    How do you get advice about money management?
    Do use a financial advisor? If so, what are their qualifications? Lawyer? CPA? Do you use a fee-based advisor rather than a Merrill Lynch type person? I’m trying to figure out the best way to approach this.

    Do you figure it out on your own?

    • ANSWER:
      If you want financial advise that includes goal planning, and investment advisement look for a professional with the certification CFP (Certified Financial Planner). CPA’s (Certified Public Accountants) are better at helping you plan for taxes, and doing your taxes, and tailer more towards helping businesses. But I have nothing against CPA’s, their great at what they do and are well qualified.

      Looking for personal financial advise – go with the CFP.

      I wouldn’t use anybody at Merrill Lynch or any other investment bank.

      Use only advisors that charge by the hour or charge a percentage of assets undermanagement (Fee based advisors) because this helps avoid many problems.

      Buy Personal Finance for Dummies by Eric Tyson – offers advice on how to select a CFP, CPA, etc. – worth the money

  45. QUESTION:
    Where can I go to get my taxes safely and properly done as a stripper/independent contractor?
    I have not kept a record of how much money/tips I’ve made over the past six months. However, I do have all of my receipts from paying my fees to the club.
    Would a large company such as H&R block, for example, be able to help me?

    • ANSWER:
      I don’t think a national company would be in your best interest. Its my understanding they are far too conservative. They prefer doing the tax returns for folks who prefer doing the short form – with little or no deductions for expenses.

      I THINK your best bet is to get an independent accounting firm or CPA – someone who will be aggressive in your best interests and on your behalf.

      Ask the other entertainers who they use.

      Ask the owners of the club who they use.

      If you have other contacts at other clubs, ask those folks.

      Thanks for asking your Q! I enjoyed answering it!

      VTY,
      Ron Berue
      Yes, that is my real last name!

  46. QUESTION:
    What are some suggestions as to how to go about getting the nececessary licenses to start a business?
    I would be opening in indiana. What licenses do you actually need? Where can you get them? Online or in person? Where is a good place to find a loan or potential investors to lower my personal startup fee?

    • ANSWER:
      Hi Greg, I’m based out of Texas and I started and filed for an S Corporation. You didn’t mention what type of business you want to start (what industry? a salon? a dealership?) or what type of corporation (an LLC, S Corp? C Corp).

      Here is the Indiana website for registering a new business with the Secretary of State:

      http://www.in.gov/dor/3744.htm

      You will also need to file the appropriate documents with the Federal Government stating what type of corporation you are so they will know how you intend to pay your corporate taxes. This is for your Identification number. Go here:

      http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Apply-for-an-Employer-Identification-Number-(EIN)-Online

      If your industry requires licensing (like for a CPA) that is a different license you would need to get.

      On start up fees – I’m a seasoned finance professional for small businesses – loans for start up businesses are hard to come by unless you have collateral to provide. Think real estate or vehicles, things like that. If no collateral I always advise my friends that private investors are the next best choice. Write up a business plan and start pitching your idea. Gain your investors and get going! Good luck and congrats on deciding to pursue your own business.

  47. QUESTION:
    What deductions or adjustments can be offered to musicians or songwriters?
    I am looking for a way to be able to deduct creative work in the music industry. While not much money is made, material is already copyrighted, and some association fees paid.

    Should this be considered a hobby, since there is already a “first job”?

    • ANSWER:
      There is a specific dollar amount of income which you must reach (from songwriting or performing or session work, etc.)in order to qualify to write these things off. Having been out of the “performing musician” biz for 8 years, I have no idea what it is anymore, I think it’s ,500. Check with a CPA and she/he’ll be able to tell you. I wrote off amps, guitars, strings, my ASCAP dues, travel to and from gigs, a portion of my vehicle, a portion of my rent each month (as studio space), and a buncha other stuff too. A good CPA can help with all of this.

      I’d suggest www.nicolefeldmancpa.com . I’ve been going to her for years and she’s super nice and very thorough, and does a great job of staying on top of the tax code and it’s changes each year.

  48. QUESTION:
    What taxes do i need to know if i want to start a clothing line?
    I want to know what taxes and fees i would be looking at if i want to start a t shirt clothing line.I plan on paying companies to pre print the shirts that i`ve designed and then opening a website , my problem is i want to know what taxes the government will be hounding me about and how much start up money i might need .

    • ANSWER:
      a lot of people start out buying t-shirts and then putting their design on it themself. So you’re not starting a clothing line, you’re merely designing and selling. it used to be that people wore t-shirts with lots of sayings on them but they are no longer allowed to wear those to school, and the only place really that they are somewhat popular anymore are in tourist shops and maybe at rock concerts.

      To know what taxes and fees you’d need to pay you need to hire a CPA. Websites are really hard to sell from unless you have a large brick and mortar store as well because you’d need lots of advertising. There are 2 places on the web already where you can do your creative artwork on t-shirts and sell them there. Search them out on the internet.

      no government is going to be hounding you about how much start up money you need. You will need to do a five year business plan (see sba.com website) prior to starting your business and it’s for yourself and not for the government, and it’s so you’d know your expenses ahead of time, and how to price your items, how much to pay for advertising, for transportation, for this and that. Look at bplans.com. Remember first of all you need a business license. (not sure but there might be some kind of retail license as well like if you plan to work on the beach). If you’re under 18 then your parents would have to get the license for you and you’d work for them.

  49. QUESTION:
    This is a difficult question regarding video streaming tax for video subscriptions?
    A company that provides video streaming content online for a monthly membership fee, how much percent does this company have to withhold state taxes on the subscription revenue? I have seen many contradicting opinions online and am really not sure about the answer/or if there is a defined answer.

    What does Hulu, Netflix, or other online streaming video providers have to withhold regarding state taxes?

    • ANSWER:
      sales tax is a tax on you, the buyer of goods/services. it can only be imposed by an elected governmental body (no taxation without representation) that represents you, not the seller. the rate is determined at the time and location of when it is delivered to you. For brick and mortar sales, it is collected at the point-of-sale because arguably that is where you also take delivery. For mail orders, it is not collected by the seller if they are out of state unless they are also under the tax authority of your home state for various reasons. For internet, it is complicated because the seller cannot independently determine your taxable location, ie you could claim to “live” in a state that has no sales tax, or a lower tax rate than your actual liability. Of course if you order something that is mailed instead of virtual, then that delivery address determines the tax status. Some states seeing a potential loss of revenue are trying to impose a tax on sellers that can be passed on to you, but this circumvents the US Constitution’s definition of legal tax. And such “origination” taxes can be simply averted by locating the servers overseas.

      There is suppossed to be a “tax holiday” on internet sales until the legal ramifications are resolved. And by the way you are not off the hook for internet or mail purchases as your local tax authority expects you to pay “use tax” in lieu of sales tax. the proceedure for paying use tax varies from state to state. And getting services free or reduced price does not eliminate sales/use tax, as you are liable for the fair value, that is why when using “coupons” the store taxes on the original amount.

      If this sounds like it could get complicated very quickly, you are right. The primary justification for the tax holiday is these taxes have rapidly become unreasonably burdonsome for people that don’t have a CPA and a Tax Lawyer in their home to advise about purchases.

  50. QUESTION:
    What charges are payable when buying house?
    We are looking to purchase a house in Athens GA. We are emigrating from UK and the purchase will be made in cash. What other fee’s are due when making a purchase of property?

    • ANSWER:
      This question is difficult to answer as we are not aware of any closing cost the seller would pay on your behalf. We are not aware of the dollar amount each state would charge for certain services. We are able to list the service that might be necessary to close your real estate transaction.

      For financial planning you might want to consult with a mortgage lender to find out if you would save by obtaining a mortgage loan to make this real estate purchase. You might also consult your CPA to see if it is better financial for you to pay cash or obtain a mortgage, based on your financial situation.

      In your offer to purchase a house you might would want to request of the seller to pay all closing cost both recurring and none recurring closing cost.

      Closing cost consist of

      1.Settle fee for the closing office (Georgia use attorneys as closing agents)(Paid for by either seller or buyer, could be split between the two)

      2. Attorney (This is an unnecessary evil) most real estate purchase contracts are on an approved form. Even if you have an attorney the form would not be changed. If you feel more comfortable in the hiring of an attorney to look over your forms that is a decision you would have to make and pay for personally as this would be outside the real estate transaction.(Paid for by either seller or buyer, could be split between the two)

      3. Insurance This cost would be based on the value of the property and personal things you might want to include in an insurance policy. (Buyer responsibility)

      4. Title insurance (Paid for by either seller or buyer, could be split between the two)

      5. County property taxes (Buyer responsibility)

      6. Appraisal (Buyer responsibility)

      7. Inspection (Buyer Responsibility)

      I hope this has been of some benefit to you, good luck.

      “FIGHT ON”


cpa fee

Cpa Fees For Tax Preparation

Frequently Asked Questions

  1. QUESTION:
    How much does tax preparation classes cost?
    I am thinking about going to Jackson Hewitt or one of the many other tax preparation businesses for tax classes. I am already waiting for a representative to get back to me, but I was wondering what are the fees associated with enrolling in a tax school.

    • ANSWER:
      I’v attached a link to H&R Block tax school. The CPA/Tax Prep firm that I worked for in the past had me go to that school, as I had never done tax returns before that point.

  2. QUESTION:
    How much does it cost to get your taxes done? I filed an extension and need to get them prepared soon.?
    I’m a nanny, and my employer doesn’t take out taxes. They are not complicated or anything.

    • ANSWER:
      Given that you may be an independent contractor, your tax preparation fees will be higher than a simple wage-earner.

      At H&R Block, along with most other chain tax firms, the charges are based on the schedules and forms that are prepared.

      CPA’s and other independents may charge by the hour, or by the form as well.

      I don’t know what area of the country you are in, that will have an effect on the charges as well. Additionally, you may have to file a state tax return, which will cost more.

      Best of luck. I sugest you don’t wait till the last minute. You may be able to have them prepared but not signed/sent, then pay when you pick them up to send them in.

      Good luck.

  3. QUESTION:
    What are the most sound tax practises available to use?
    I am a single, never married, white male guy almost 30 years of age with no shady background or anything, clean record etc.

    What are ways I can maximize my tax return, & minimise my expenses?

    What are the best ways to handle your taxes, & to get the most on your return. All answers should be legit & legal please! Thanks!

    • ANSWER:
      My advice is to hire a CPA with a good reputation (there are some bad ones out there too…)
      But if you want to save on preparation fees, you can always take a tax class at a community college and/or check out the IRS website.

  4. QUESTION:
    What qualities do tax accountants need?
    I want to finish my degree in accounting. But I am not sure if I would fit in as a tax accountant (I eat fast food, have cheap clothes and haircut, I don’t date much). But I am woundering if I should get my degree while I overhaul my life. Learn to eat other food than fast food, get some nice clothes and a good haircut, and get out of the house and socialize a little bit and maybe get a girlfriend. What other qualities do professionals need

    • ANSWER:
      Realistically, you should do taxes for at least ten years, then become an enrolled agent. Ideally, you should further do taxes for a corporation, partnership or two or an “S” corporation. Then you have the background and you can take a crash course in preparation for the enrolled agent’s examination.

      Enrolled agents are professional tax practitioners who have technical expertise in the field of taxation, and are licensed to represent taxpayers before the Internal Revenue Service at all administrative levels. Moreover, enrolled agents are the only tax practitioners required by Federal law to maintain their expertise through continuing professional education. Tax attorneys and CPA’s used to have that requirement, but lobbied and no longer are required. It was too hard for them to pass the EA examination and to maintain their
      EA certification through continuing professional education. Most taxpayers do not know that, so be diligent and get advice whenever you need to maintain the reputation of the firm. E.g: ask a certified public accountant to do taxes for a taxpayer who lived in 3 different states last year. They cannot without a computer, unless they are EA’s. I’ve been to seminars where the EA’s prepared nine sample of the 3 states by hand! The reason is that the computer is not going to try to find the lowest aggregate Federal and State income tax liability overall.
      www.naea.org
      Enrolled Agents are professional tax practitioners Whether you’re talking about enrolled agents, or run of the mill CPA’s, or H&R ripoff, jackson-dimwit, they often charge by the number of forms they have to fill out. That’s pretty rinky-dink, so there are not many enrolled agents that charge by how many forms they fill out. When I was an enrolled agent, I charged by how much I used my brain. And the reason is because I know how to do even the most complex tax situations. When I sign my name to the return, it means I will back the taxpayer up in the event of an audit. And I’m going to win 100% of the time. It takes a lot of time, study and research, but it is worth it to always strive to be the best. You can command a higher fee, and your clients, for the most part will gladly pay. There are always some grumblers as you know, but they are at a minimum if they understand that you can and will back the return up.

  5. QUESTION:
    how to get a reasonable test preparation assistance?
    I want to file my Fed and State tax returns with some assistance. Checked with one company yesterday and they told me its going to cost around $ 400. I have a simple earning from one source[salary] and nothing else. I feel this price is too high. need your guidance.

    • ANSWER:
      This price is WAY to high. I did a return for someone this year and charged her to file the federal, state, and local. All she had was W-2 income, interest income, and student loan interest. I thought she might balk at the high fees, but she was surprisingly thankful. Last year a CPA got her for 0. This is unreasonable for 25 minutes of work.

      If I were you, I’d ask around. Talk to coworkers, friends, and family members and see if any of them get their taxes done with someone else. Get their reaction when they speak of their tax preparer. If they light up and say things like “I’m so pleased” or “He/she does it for a reasonable price” or “I never have trouble with so and so”, then you may consider using the same person. You usually pay a fair amount at the big box places like H&R, and you can pay a substantial amount at a CPA firm. Neither of which guarentees you a good job. Although a CPA will generally do the best job, I’ve seen some miss out on the most obvious deductions.

      So, unfortunately, there is go one answer which will guarentee you a good preparer at a reasonable rate. It is sort of like finding a good auto mechanic. However, once you do find a good one, stick with them as long as you can and recommend them to others.

  6. QUESTION:
    What is the most anyone has paid H & R Block to do their taxes?
    The CPA that has done my taxes since 1979 is no longer doing them. I do have rental property so I can’t use the short form.

    • ANSWER:
      According to their annual report for 2010, last year H&R Blocks’ average customer paid 6 for their federal and state income tax preparation. I have seen some folks pay as much as 0 if they have extra schedules and diverse forms of income as I believe the software the firm uses calculates the fee based on the number of keystrokes, number of forms, and amount of time used in the process.

      Do some shopping around and find someone with a good reputation who charges a reasonable fee for the service. The BBB is a good starting point.

      Good luck.

  7. QUESTION:
    How can I avoid increasing my taxable earned income?
    I have a full time job. I want to do some commercial voice-over work on weekends. The weekend work will not be for an employer, but it will still generate income. How can I keep this extra income from putting me into a higher tax bracket? (I’ve already maxed out my 401k)

    • ANSWER:
      Remember that taxes are levied on a percentage of what you earn… If you earn an extra ,000 and the government takes 0 of that you still have a net gain of 0. Some people are so intent on not paying taxes that they spend more than the taxes would have cost them. Example: Your tax preparation fee is deductible… just pay your CPA ,000 for preparing your taxes. He’ll be happy, and if all you want to do is save taxes then you will be happy too…

      My point, look for ways to further your economic position by using the tax code to minimize taxes… but don’t get so wrapped up on what you are paying in taxes that you forget that you are still keeping more of your money than you are paying in tax… usually :-)

      Depending upon your income tax bracket you may save taxes by incorporating the side business. But that opens up a whole different “can of worms…”

  8. QUESTION:
    Who has the lowest tax preparation fees between the national companies?

    • ANSWER:
      Let me start by saying the cheapest isn’t really what you should be asking nor for the largest refund. You really want a quick and accurate return for a good value.

      If you are referring to H&R block or Jackson Hewitt then they charge by the form, usually. If you have a simple return it is more cost effective to go the turbo tax route.

      National CPA firms are very expensive.

      Local CPA firms can be the best value for the money if you have a complex return but be sure to find out up front what they charge per hour.

  9. QUESTION:
    Can we deduct CPA tax prep fees to handle IRS audit?
    I know we can deduct regular tax prep fees. How about tax prep fees for IRS audit?

    • ANSWER:
      if this is a business expense, of course
      as an individual, tax preparation fees are including in Misc deductions on Sch A, not audit fees

  10. QUESTION:
    Should a millionaire have a CPA do their taxes and a Financial planner to help manage their money?
    I was wanting to know when I even become a millionaire, should I right off get a CPA to help with my taxes? Also should I also get a financial planner to help me have my money make money?? Please serious inquiries only!!

    • ANSWER:
      Anyone making over about k per year should use and Enrolled Agent to do their taxes. Their fee is a tax deduction and they usually can save more than their fee (and save you 50 hours of tax preparation).

      I don’t trust financial planners. Most of them are probably less intelligent than I am, and what the hell do they know about the future that I don’t know? Save 15% of your gross and diversify, that’s all you need to know.

  11. QUESTION:
    How do I pay taxes on COMMISSION? mil +?
    I am expecting commision of nearly mil from a Ps3 stock deal. How would I go about properly excepting the money without getting auditted? How do I explain my new found income and so on?

    • ANSWER:
      Hello, Nate! My honest answer to you is this: if you’re getting almost million from ANY source, you can afford to hire a full-time tax professional to help you with tax advice, planning and preparation. If you go to a CPA or an EA, they can not only advise you on how to treat the income, but they would also be able to personally represent you before the IRS in the event that you DID get audited.

      The relatively small fees you pay a financial pro would likely pay for themselves in tax savings. The link below gives some tips on how to go about finding one. Good luck, and congrats on your commission! :-)

  12. QUESTION:
    Websites offering free tax preparation?
    Has anyone used any of the sites that offer free preparation of taxes if you make less than ,000 a year? I went to the IRS web site and it has numerous sites that directs you towards free filing. I wasn’t sure if its safe to do so.

    • ANSWER:
      I have seen the sites an AGI of under k. I’m planning on e-filing through those sites for family that qualify. I’ll do there returns before hand to make sure there AGI qualifies they have to pay me for doing an research for their returns but don’t have to pay the e-file fee (CPA exam fees are steep so no free lunches).

      I’ve been reading there have been a lot of complaints about the H&R block site.Me

  13. QUESTION:
    My mom has 6 years of unfiled tax returns. Should she contact the IRS directly to settle, or use a lawyer?
    She had three kids in the meantime and started a business. She may qualify for a settlement or forgiveness, but is it worth it to pay high fees if she can do it herself?

    • ANSWER:
      Neither. The IRS won’t even discuss any kind of settlement until her tax liability is established. She does that by filing the missing tax returns. Although she could go to a tax attorney for that, it would be much cheaper to either do it herself or hire a local tax pro (such as an Enrolled Agent) to handle the preparation of the missing returns.

      Once her tax liability is established, the IRS will work with her to set up a payment plan to get right with them.

      The IRS only considers settlements for less than the total debt in cases where the is no possibility of the taxpayer being able to pay the debt in full. Less than 20% of all Offers in Compromise are ever accepted by the IRS. If she has over about k in tax debt and thinks that she might qualify for an OIC she should consult with a local EA or CPA for assistance. Don’t waste your time with the firms that advertise on TV or radio; they are a ripoff for the most part.

  14. QUESTION:
    what information should I know to be a tax preparer?
    I’m looking into this course that trains people.
    after a while they start paying you to train more and more but also I believe they kick out the ones who do not show potential so that in the end they are hiring those who can do it the best

    I can handle any mathematics
    I also am pretty sure I will learn it well but I want to take a look at what it will be like in advance

    second question
    you think with this type of job I’ll probably just get laid off after tax season?

    • ANSWER:
      1. I would not say taxes are all about math. You have to enter numbers on software but most of the calculations, amortization schedules and so forth are done on the computer, on occasion you need to do calculations with new clients who have depreciable assets or a few other situations but generally it’s a quick calcuatlion.

      2. Taxes in my opinion are more about theory and understanding what the law is. You won’t learn the law right away and every year expect changes, you’ll probably get an area of expertise, maybe it will be 1031 exchanges, home sales, or farms, a certain section of the law that can be complicated.

      3. I’ve done taxes for three years. A good portion of people get laid off after tax season. There are two distinct “busy” seasons, mid-January to the end of April and about mid-August to October 15. If you can get in a place that does estates the likelihood of you getting laid off will probably be less. Estates, and some corporations have different due dates than the usual March 15, April 15 deadlines.

      Conclusion:
      Doing taxes pays well. You’ll make a lot of money during April tax season, it’s not uncommon for people to walk away with 15k-30k pretty good for 3-4 months of work. The longer you do it, the more you’ll get paid. There is some degree of volatility which is part of the reason I’m looking to switch careers (that and taxes are no longer fulfilling for me). Every 4 years when we have a new Presidential election and some politician says “The first thing I’m going to do is put a closed sign on the IRS building” you worry a little. I know Barack Obama’s tax plan for example is supposed to be so simple for most people that he is expecting it will save the taxpayers a billion dollars in tax preparation fees. Great for the people, but not too good for places like H&R who thrive on the lower net value clients. And finally, if you can work with a CPA firm that would probably be best. They’ll pay you a flat rate, and it’s not uncommon for people to get /hr.

      Best of luck!

  15. QUESTION:
    how much charge the accountant to fill taxes for self-employed?
    if i want an accountant to prepare the taxes for my small self-employed business, how much do accountant usually charge?

    • ANSWER:
      It kind of depends on how much work the accountant needs to do to prepare the tax returns. If you give him or her a proper set of financial statements for the business and any personal information they need to prepare the forms it should not cost too much.

      Most will charge by the hour if they have to do a lot of preparation work. If it is just a matter of filling in the blanks on the forms they may charge you a flat fee based on the number of forms involved.

      Experienced CPA’s could charge up to several hundred dollars per hour. But a staffer supervised by a CPA may only be to per hour. Rates kind of depend on what part of the country you live in also.

  16. QUESTION:
    Other tax deductible expenses?
    What qualifies as an other tax deductible expense on line 23 of the schedule A?

    If I paid a family member a fee to do stock market research for me, can I deduct this payment?

    • ANSWER:
      NO!.
      Other will include work related travel expenses, CPA tax preparation, medical expenses, if applicable, etc., which are not reimbursed.

  17. QUESTION:
    how do i adopt a chinese or japanese baby girl with out going to china or japan?
    i just cant go through pregnancy in the future and im single and not intimate with anyone i have a great and perfect job and it just came to mind since i love those two countries maybe i should welcome a baby girl into my arms i love those two cultures very much thx in advance for your answers guys
    hey frank thanx on your feed back well im not worried about money because i have a great career thanx on your input

    • ANSWER:
      You cant!! You will have to Travel to China. Most likely Guangzhou, China. It will take some time and could cost a lot of money. It’s not like it’s free.

      Adopting a child from China can be an exciting opportunity for your family, but you’ll have many papers to file before the pitter-patter of little feet fills your home. The international adoption process is time-consuming, arduous and expensive – it can take 48 months or more and cost as much as ,000 to ,000 – but it’s well worth the effort. Here is an overview of the steps required to bring your newest family member home. These instructions are written with Americans in mind, but many of the steps will apply to parents-to-be of any nationality. http://www.wikihow.com/Adopt-a-Baby-from-China

      Steps

      1

      Find an adoption agency specializing in adoptions from China. The China Center of Adoption Affairs (CCAA) is in charge of all adoptions from China, and they only accept applications submitted through a registered adoption agency. The CCAA maintains an extensive list of agencies on its website (see the links section). Some are better than others, and some have lower fees, so research to find your best option.
      Ads by Google
      Chinese Love International Chinese Marriage. Find Love Now. Join 100% Free!
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      2

      Complete a home study. The home study is a biography of the prospective parents and an assessment of their living situation, and must be performed by a licensed social worker employed by a registered Chinese adoption agency. The home study requires four face-to-face visits with a social worker which usually includes a social worker’s visit to your home and three more interviews which can be conducted in your home or in the social worker’s office. If the home is not stable, you cannot adopt.

      3

      Assemble your application dossier. Your full application dossier requires a long list of supplementary documents, including a cover letter, certified copies of health documents, a criminal background check, tax documents or a letter from a CPA stating your yearly income, and pictures of you and your home. All documents will need to be notarized, certified by your Secretary of State, then authenticated by the Chinese Consulate that is responsible for your home state. It can take some time to get all these documents together, so start the process as soon as you can. Most people take about six months to complete the paperwork.

      4

      Complete your adoption application, as provided by your adoption agency. Along with all the supplementary documents, you’ll also send your application, which will include your preferences in age, sex, and health status of your child. Think long and hard about the preferences you list – the decisions you make will determine what child will join your family, and if you decide to change your preferences later, it can delay the process or even bring it to a halt. It should be noted that while the CCAA makes an effort to meet the requests of parents, files are matched based on the date that they are logged in with the CCAA with the files of children who are paper ready at the time. Individual requests may not be possible to meet, especially requests for a very narrow age range. Once your dossier is completed, your agency will submit it to the CCAA.

      5

      You should also submit an I-800A form (“Application for Determination of Suitability to Adopt a Child from a Convention Country”) to the USCIS in Chicago, IL, to get preliminary approval for your child to come to the U.S. This can take some time, so file it promptly.

      6

      Wait for a referral. There’s not much to do at this point but wait (and make sure your passports are current in preparation for the eventual trip to China). For many prospective parents, however, this is the hardest part of the process. The CCAA is seriously backlogged and you will be waiting for 4 – 5 years if you are requesting a non special needs child. Follow up with your agency occasionally, but mainly just try to be patient.

      continued… http://www.wikihow.com/Adopt-a-Baby-from-China

  18. QUESTION:
    My tax preparer miscalculate my tax return?
    now instead of getting ,494 i only get 6 ,an i had to pay my preparer a percentage of the return i thought i was getting back as the fee for my tax preparation is there any recourse ?

    • ANSWER:
      If your preparer is governed by IRS Circular 230 (he or she is an attorney, CPA or enrolled agent) you should report the fee arrangement to IRS because it is not allowed for return preparation. (It is on some amended returns but as an enrolled agent, I personally would never take a percentage as a fee.)

  19. QUESTION:
    sections of FBAR to fill for a resident alien?
    I am a U.S. resident alien for tax purposes, but citizen of another country.

    For 2012, I need to file a FBAR http://www.irs.gov/file_source/pub/irs-pdf/f90221.pdf as I have 26 financial accounts in my home country and I have signature authority and financial interest in all the 26 financial accounts. My mother is a co-owner(has signature authority and financial interest) for few of the accounts and not a U.S. person.

    My total overseas assets are around 12K

    1. Do I have to fill section V of FBAR form or not because it is only for businesses as per instructions of the form at http://www.irs.gov/pub/irs-pdf/f90221.pdf

    2. What should I answer for question 14 on section 1 of the form which asks

    Does the filer have a financial interest in 25 or more financial accounts?
    Yes
    If “Yes” enter total number of accounts
    (If “Yes” is checked, do not complete Part II or Part III, but retain records of this information)

    3. If I choose yes for question 14 on section 1, I do not have to report part II and part III as per instruction “(If “Yes” is checked, do not complete Part II or Part III, but retain records of this information)” Am I understanding correctly?

    3. Or, should I just complete part II for accounts where I am the sole owner and part III where the accounts are jointly owned with my mother?

    My tax refund is less than 600 and going to a CPA or enrolled agent for this would mean I spend my tax refund on their fees which I cannot afford. A CPA in my area starts with 350 for a simple 1040 and extra for FBARs like mine.

    The free tax volunteers in library and at http://www.irs.gov/Individuals/Free-Tax-Return-Preparation-for-You-by-Volunteers told me that they are not trained for these questions.

    • ANSWER:
      1. No, because you are not an entity or business

      2. Yes, and total number of accounts

      3. No, leave part II and part III blank but keep records of your overseas bank accounts for five years in case you are asked for it.

  20. QUESTION:
    H&R Block tax preparation fees for preparing individiual tax returns?
    How much does H&R block normally charge for their tax preparation fees to do federal as well as state tax returns for personal tax returns?

    • ANSWER:
      ~0 so “normal” returns. As a CPA, I highly suggest that you just visit the IRS website www.irs.gov and try and do it for free. Its really not as difficult as you may think.

      H&R Block and other CPA’s charging for tax preparation are robbing you blind in my opinion for a service that you can easily do yourself.

  21. QUESTION:
    I paid a CPA to prepare and file my taxes, but she never filed them..?
    I found out my taxes weren’t filed after 10 days. After seeing that my friends and family who filed after me had already received theirs, I decided to check on mine. Turns out, the IRS never received mine. At this point, I would like to do my own, because I don’t trust the CPA anymore. Not just because she didn’t file, but because it took her a week with excuse after excuse as to why she wasn’t able to get to it (printer problems, the irs had problems, so on and so on). My question is, am I entitled to have my preparation fees refunded by her if I choose to do them on my own?
    No, I don’t run a business. I could have easily done this on my own to begin with. However, my husband had it in his head that paying a CPA was better. He thinks or thought that if IRS ever audited us, then he would not be held liable sine he paid someone to prepare taxes. LOL, I swear, I tried to explain to him that isn’t how it works, but he is hard-headed. I still would like to be refunded by her though, because I paid for a service and it should have been handled properly. I think I am gonna try turbo tax and see what she missed if anything. Maybe if it wasn’t prepared correctly, then this would justify my prep fees being refunded.
    There’s no status on IRS website as them being received and I called IRS and verified they weren’t received and the CPA is out of town.
    My return is not simple, because I work for 2 different work-at-home companies. So, even though I don’t own a business, I am able to deduct quite a few expenses since I work out of my home. ie; electric, internet, phone, printer ink, paper, new computers, and the list goes on.

    • ANSWER:
      That sucks

  22. QUESTION:
    what form do i need or do i need one?
    i am starting a small bussiness and i am going to file 1099. my question is what form does the employers have to file or do they when they are hired?
    I am a contractor that has employees that work for me. I get paid then i have to pay them i dont want to have to pay the whole $ if i am not recieving the whole $.

    • ANSWER:
      If you’re starting a small business, YOU are your own employer. The people or firms you provide goods and services to are your customers, not your employers. Anyone who pays you more than 0 for services rendered in any year should provide you with Form 1099. Even if they don’t, you still must claim the income that you received. You will need to provide them with your taxpayer ID number — either your SSN or an EIN, Employer ID Number — so they can properly complete the Forms 1099. They will use Form W-9 to request that. You’ll complete the W-9 and return it to them.

      When you file your tax return, you’ll attach Schedule C or C-EZ to Form 1040 to claim your business income and expenses and calculate your net income. You’ll then attach Schedule SE to calculate the self-employment tax at 15.3% of your net income. Then you’ll complete the Form 1040 to figure your total tax liability.

      If you expect to owe more than ,000 in total taxes you must make quarterly estimated payments using Form 1040-ES. The 1040-ES package has worksheets to help you estimate your income for the year and calculate the required payments.

      At the end of the year when you file your return you’ll take credit for the estimated payments against the tax liability on your Form 1040 and either pay the balance due or (usually) mark the excess to be applied against next year’s tax liability. You could opt for a refund check but most self-employed folks just let it ride to reduce the size of the required estimated payments throughout the next year.

      If your state has an income tax, you’ll also have to make estimated payments to your state in most cases.

      Edit: OK, since you will have employees of your own, you’ll need to set up a payroll system to pay them. You cannot give employees 1099s, you have to withhold taxes from their pay and pay payroll taxes yourself.

      I’d urge you to consult with a local CPA to get the ball rolling. Payroll taxes are complex and you can get in deep do-do with the IRS if you mess it up. Alternatively you can hire out payroll preparation to any number of firms for a fee. It will allow you to focus on your business instead of worrying about payroll.

      BTW, you MUST pay your employees whether you get paid or not so it would be a good idea to work out a line of credit for payroll purposes with your bank if there are any cash-flow issues. Not paying your employees will get you in even more trouble than not paying the IRS!

  23. QUESTION:
    Are there any free online tax courses?

    • ANSWER:
      Dear Tax Info For Free,

      Believe it or not, if you call the IRS directly, they can tell you what tax programs and classes are available. Even some of your local Unemployment Offices in your state will have classes for business owners and individuals that are looking for tax solutions and courses. I highly doubt that there will be any free online courses, but I do know that a lot of statement agencies have free full-day courses and classes that they offer to people like yourself.

      Also the IRS or better known as the Department of the Treasury has many PDF files online that you can down load that will give you tax information. Try going to the IRS FAQ section that I provided in the sources below… And most importantly, try calling your local Unemployment Office or the IRS directly to find out what courses are available for people interested in learning more about tax structure and tax preparation.

      By the way, one reason why tax advice isn’t given freely online is that virtually all tax advice has to be interpreted and presented by a CPA – just calling your local CPA is well enough and for the consultation fee (which is what most CPAs charge) you should be able to get a lot of information out of them on the subjects that you’re interested in (i.e. small business, mortgages, etc.).

      Good luck!

      ~ A.R. Pouretezadi

  24. QUESTION:
    do you need to be a cpa to file business taxes in usa?

    • ANSWER:
      No, you do not. The IRS will accept your tax return prepared by anyone, yourself included. If you are up to the task, I would recommend a computer program such as Turbo Tax or Tax Cut. They both have a business version, and they lead you through, step by step. It will save you money on the preparation. The question is, do you feel up to it? You can always consult a CPA, they charge a small fee for that, and then you will feel confident in your work.

  25. QUESTION:
    Do you have to pay to put someone as your dependent on your taxes?
    My dad says it costs 0 but I don’t believe him…

    • ANSWER:
      Your Dad may be referring to what some chains charge to add additional forms to the cost of preparation. Or the fee charged by an attorney to prepare paperwork to change a “claim for dependent” authorization due to divorce.

      Putting you on as a dependent would normally save your Dad money unless he makes too much to claim the full exemption amount.

      In any case, you should first determine whether or not you qualify as a dependent of your Dad.

      Jessica May Moore, EA CPA

  26. QUESTION:
    Question about tax, accounting= itemized deduction ??
    Hi friendly folks,

    Customs duties and city dog license fee are nondeductible fees because it is personal. I heard you can deduct CPA preparation fee as itemize deduction subject to 2% AGI but why Legal fee for preparation of someone’s will is not deductible?

    Are there any legal fee deductible?

    • ANSWER:
      Legal fees for preparing someones will is considered a personal expense and is not deductible. The key word is personal. Like commuting expenses are not deductible because they are personal in nature. But going from one job to another in the same day is a deductible expense, because it is not considered commuting, per se.

      Legals fees which are deductible usually deal with a part of the IRS code which talks about protection and conservation of income.

      You can deduct legal fees related to doing or keeping your job.
      Legal fees related to producing or collecting taxable income or getting tax advice.
      Tax advice fees. ( If a bill is for legal fees , where a portion is allocated towards tax advice fees, usually designated on the attorneys invoice_)

      Hope this is useful information.

  27. QUESTION:
    Is it better to do my taxes with turbo tax or by going to a h&b I know they charge a arm and a leg?

    • ANSWER:
      If your return is fairly simple, go ahead and use TurboTax. According to a friend who used to work for H&R Block, H&R Block employees are required to initiate every form that is even remotely possible, and the taypayer’s fee and the employee’s compensation are based on how many forms are used. I would NEVER go to any tax preparation service that operates that way. Perhaps they have changed, but I rather doubt it. Further, their preparers for tax season are mostly amateur temporary employees who are “trained” by the company just for the tax season.

      If your return is at all complex, I suggest you give TurboTax a try, but be prepared to go to a real professional such as a full-service permanent accounting firm or a CPA.

      Personally, I just take things to my CPA, who does a very good job at a fair price.

  28. QUESTION:
    OK so, I got behind on my taxes. My fault just had a brain fart. I contracted with JK Harris to help me out?
    Now I see they just lost a huge lawsuit for not doing what they say they can do. And they have 00.00 of my $$$ What do I do? They have filed 4 years of past returns. But I’m not sure that now that I know a little more that I couldn’t have just gone to a local CPA.
    So Ride it out or get out? If so how?

    • ANSWER:
      J K Harris and another big tax resolution company both took hits from suits filed against them by states. Many of them have poor records with their local Better Business Bureaus.

      How much more has JKH promised to do for ,500. That could be a reasonable fee for tax preparation but is kind of high for an ordinary person. If you get into to representation, they will probably quote you fees in the ,000 range and “seem to promise” to deliver but won’t be able to.

      The first thing IRS is going to want from you is compliance with filing requirements. It won’t deal at all without that.

  29. QUESTION:
    Accountant fees ?
    What is a reasonable fee to pay a CPA for a s-corp. federal and state tax preparation ? The revenue of the s-corp. is under ,000.00. With clean and simple records kept by us.

    Also a fair fee for personal joint returns federal and state. with GAI of 0.000.00 with cleanly kept records.

    • ANSWER:
      When I was working in public accounting, the minimum fee to do a corporate return was 0 (that was 7 years ago). The amount of revenue isn’t really all that relevant-it takes as much time to do a return with ,000 as ,500,000. That said, most CPA firms charge about 0/hour to do a return, so I would think that if the return was fairly clean, it should have billed out at about 0-0. Add in the personal return, another 0, so I would think the total bill would have been about ,000.

      Is this fair? Maybe, maybe not, but you are paying for presumably a professional who is there for you all year, not just tax time.

  30. QUESTION:
    What do you pay/charge for tax/accounting services?
    I am working on my own business and I am not soliciting for new business here, rather, I want to know what you currently pay (or charge if you provide these services) for the following services so that I can align my fees accordingly.

    Personal Tax Preparation
    Business Tax Preparation
    Bookkeeping Services
    Accounting/Tax Consulting

    Please give me just an average, I don’t need specific amounts. And again, no specifics are needed, but where do you go for these services? CPA, private accountant/bookkeeper, chain-type tax service?

    Thank you so much for any info you can provide – it will help a great deal! :)

    • ANSWER:
      depends on a lot of things – geographic area, how well you keep your records, which will determine how much time is needed – with a CPA you’re going to pay 0-200 an hr , a local self employed NON-CPA, bookkeeper might only charge you an hour, but might not be able to answer all your questions

      look in the phone book and call a few places of all types – it only counts what those professionals in YOUR AREA charge

  31. QUESTION:
    how to get job doing income tax preparation?

    • ANSWER:
      To get a seasonal job at HR Block or Jackson Hewitt, you’ll have to complete a tax training course, which is usually 2 months long and starts in September and October for most classes. You have to pay a fee of about 0 for the class and must pass the course with a good grade.

      A year-round tax prep job is only available to those with accounting degrees and in many cases, required a certification of CPA or EA.

  32. QUESTION:
    Legal Environment of Business Help?
    Ray Moon is a CPA, certified public accountant and is properly licensed in Ohio. For the past 15 years he has been self-employed as a tax preparer doing business as Ray Moon, C.PA. a sole proprietorship. Ray had an office in the Corryville neighborhood of Cincinnati and another office in the Hyde Park neighborhood of Cincinnati. Clients paid Ray to prepare their income tax returns. Ray offered clients instant tax refunds by way of Refund Anticipation Loans (RAL). The RAL process which allows a taxpayer to receive an anticipated refund more quickly than if the refund was issued directly to the taxpayer by the IRS. The RAL transactions entered into by Ray and his customers were facilitated by Hour PayDay Loans of Cincinnati (HPDL).

    The RAL process works as follows: (1) the client signed an RAL form which Ray submitted to HPDL for approval; (2) if approved, HPDL pays the customer an amount equal to the anticipated refund, less the amount of HPDL’s fees and Ray’s fees; (3) after the IRS processes the return, the refund amount is paid to HPDL; (4) HPDL retains the fund as repayment for the loan; and (5) Ray then receives his fees from HPDL.

    Ray has prepared about 1500 returns. Almost all of the clients were to receive refunds. An examination of about 100 of the returns show that 90 had discrepancies on their Schedule-A, Itemized Deductions, and/or Schedule-C, Profit or Loss From Business, of their returns and had false entries. Those clients ended up owing a substantial amount to the IRS, after admitting that the entries were different than the actual deductions, etc. The clients showed the information that they had submitted to Ray for preparation of their tax returns. Ray had told them that there were IRS regulations that allowed the differing amounts to be reported on their tax returns.

    Ray received $ 124,833 in tax preparation payments from his clients in 2012, that were not listed on a Schedule C, Profit or Loss for Business for Ray – Ray did not file a Schedule C when he filed his own tax returns in February 2013. Ray did not have separate bank accounts for his tax preparation business from his personal bank activities. Fees of 1, 833 were paid out to Ray from RAL transactions, according to HPDL’s records. An audit of HPDL’s activities disclosed the deposits which had not been accounted for by Ray.

    QUESTIONS: Number your answers to correspond with the question you are answering. Use the appropriate legal terminology and give complete answers.
    1.Explain in detail any legal claims anyone has and against whom and why.
    2.Explain who should win and why. Also explain what remedy should be awarded.

    • ANSWER:
      A good process and good management is the main condition of business success. If you start a business without a proper business process you can not success. We help you for you a good business process with expert businessman.

  33. QUESTION:
    CPA or financial planner?
    Which do you suggest that I should have the meetings with? What benefits of each of them? Which more responsible? Which would you trust more to take care of my financial? Which cheaper fee?

    • ANSWER:
      A Certified Public Accountant is not a financial planner. You would see help from him/her if you would like your taxes prepared. However, in my opinion, you are better off going to a reputable tax preparer, not a CPA, or a place like HR Block, which is much cheaper. They are not cheap, I would think about 0 to 0 per hour. However, your tax preparation would also be expensive. At one CPA firm, I worked at about 20 years ago, they wouldn’t do your taxes, no matter how simple, for less than 0! Sometimes, CPA firms have Certified Financial Planners (CFP) on their staff. You should make sure they are CFPs though, since that is a certification which says that they are qualified to help you with that area.

      A Certified Financial Planner (CFP) will help you with your planning for retirement, buying life and health insurance, saving for childrens education, and helping you begin retirement savings, preparing a will, paying your debt, etc.

      CFPs are also not cheap. They may charge by the hour or charge a percentage of your assets, so they can be expensive. However, if financial planning is your objective, then they are the ones you need to seek.

      Let me know if this is helpful to you…

  34. QUESTION:
    Trust Fund Tax Question!!!?
    Okay, I really need help with this one! I’m hoping someone in the tax profession or someone else can answer this.

    We won a lawsuit for my mother and brother’s wrongful death when I was four years old. The money was put in a Federal trust for me, with a principle of 0,000 dollars. This was non-taxable as I understand it! Now…almost ALL of that money has been put into mutal funds over the past several years. It grew at one point, but now, when I recently got the money (21 years later) it’s down to ,000.

    Here are my questions:

    1. Can we claim a capital loss on this?

    Or

    2. Is this money taxed individually year by year? In other words, whatever the mutual funds gain or lose is taxed individually for that single year, not as a whole?

    Understand I had no control over how this money was managed, and I’m not sure how I can be taxed for something which wasn’t even income at the time! So how would this be handled?

    • ANSWER:
      You have a very rare situation and complex situation and need to consult a CPA or Enrolled Agent that specializes in trusts. I have never done a trust fund return and am not sure if they are handled differently than an estate return.

      If trusts are handled like an estate then, everything that happens will pass thru to your personal return (you may not have noticed this if you weren’t required to file a return; but you probably were required because dependents can be required to file if non earned income is more than 0), if not then the trust will have to pay taxes on the income it generates.

      Either way, there will be more involved than just capital gains. At minimum taxes will have to be paid on the interest and dividends the trust generates each year, and if invested in mutual funds that the fund generates from buying and selling securities (gains realized this way add to the basis of the mutual fund). In addition a capital gain or loss would occur and must be reported when the fund is sold, even if the money is invested else where.

      The trustee can and probably will charge the trust for things like managing the trust and paying for tax preparation. So, it is possible for the trust to decline in value if you have been paying high fees and tax preparation costs or if the trust provided money for your support. The trustee does have to give an accounting to you and to the court that authorized the trust. You may be able to sue if the trust was grossly mismanaged or if fraud is involved. However the most likely reason is that the funds were invested in conservative investments ( the court won’t allow aggressive investments because they want to preserve capital) and the fees ate the balance.

  35. QUESTION:
    what does IRS require to inactivate PTIN?
    I got a PTIN this year when I got my CPA license. I just got a job with a tax preparation company who told me I have to inactivate the PTIN, but I can’t get through to the IRS PTIN hotline to see what documentation the IRS needs to inactive my PTIN. The website doesn’t say what is needed. My new employer also said they needed a letter from the IRS establishing the inactivation. Please help if you can.
    Everyone, thanks so far. They want me to sign returns with a PTIN THEY provide. I really don’t think don’t think the person who told me I had to do this knew what she was talking about. All they want is that I won’t do tax returns behind their backs, which I wouldn’t do. I see on IRS’ website that they inactivate PTINs on case by case basis if they get documentation. Can someone have only one PTIN? I agree that IRS shouldn’t care if I just don’t use my PTIN, which I haven’t even renewed for 2011 anyway!
    Thanks, everyone. I found out from the IRS site that the only way I could get a new PTIN would be in a case of identity theft, where someone found out what my PTIN was. Obviously I don’t want to start out my career by lying to the IRS. So either my employer accepts my PTIN in its system, or I can’t work for them.

    • ANSWER:
      Call the IRS PTIN number. 877-613-PTIN (7846).

      I think you might stump them. If you’ve paid the fee and simply don’t use the number, the IRS isn’t going to care. If you haven’t renewd, I don’t even know if there is a letter saying you didn’t.

  36. QUESTION:
    Can someone help me understand this?
    I was reading this article in the wall street journal and I often use H&R Block but I’m confused about what they’re talking about. Any accountants out there?

    “Get Money Fast for Free.” That is the lure H&R Block HRB +0.90%uses to attract more customers. It already prepares one in six U.S. tax returns. But the company also makes a big chunk of its money from services that are anything but free.

    .While potentially lucrative, those lines of business also open up the company, which Wednesday reports results for the third fiscal quarter ended January, to a number of regulatory risks.

    Since 2010, for example, H&R Block hasn’t been able to offer “refund anticipation loans,” following regulators’ crackdown. While the change helped force rival Jackson-Hewitt into bankruptcy, H&R Block was able to replace much of that lost revenue: Analysts expect earnings of four cents a share in the recently completed quarter versus a four-cent loss a year earlier. One way has been through a shift to refund anticipation checks that advance customers just the company’s preparation fee, deducting it from the refund. The company also offers temporary debit cards and bank accounts for additional fees.

    Retail customers paid H&R Block 3 in average preparation fees last year, down slightly from when the company processed loans. But this is still three times the cost of Intuit Inc.’s INTU +1.97%TurboTax and six times the retail cost of H&R Block’s own software.

    H&R Block has faced only minor regulatory scrutiny over the checks. Risks abound, though. One is that the “earned income tax credit” making up much of lower-income filers’ refunds is modified. Another threat is that the Treasury Department’s botched effort last year to route refunds to low-cost debit cards is revived. That could undercut H&R Block’s own cards.

    There also is the risk posed by tax-preparation competition from payday lenders such as Cash America International Inc. CSH +2.22%That group has attracted scrutiny from the new Consumer Financial Protection Bureau, which could spill over to services offered by the likes of H&R Block. Yet at 11 times forward earnings, H&R Block’s stock trades at a 20% premium to listed payday lenders, suggesting this risk isn’t priced in.

    One positive is that software isn’t yet gaining market share at H&R Block’s expense. Instead, it is converting pen-and-paper filers. That may change, though, especially if online tax forms offered by the government really provide a free alternative.

    • ANSWER:
      Acme you are wrong about some things. The IRS isnt trying to eliminate paid preparers. You are not going to get uneducated preparers. You have uneducated preparers now. Only 3 states have any regulation in tax prep so anyone can call themselves a tax preparer. As of now, the IRS has a mandatory exam that all preparers must pass (unless they are an EA, attorney, or CPA) and they must also get a PTIN. This will weed out all the people that cannot pass the exam. HRB did offer free RAC’s and 1040ez’s during Feb when the number of filers is at its highest.

  37. QUESTION:
    incorporating a small business?
    i own a sole proprietor business /on 46k i paid over 7k in taxes with 4 dependents/ next year i’ll have 1 less dependent/ am i better off incorporating or bending over on self employment tax

    • ANSWER:
      If you want to “save” money on taxes. Hire a good CPA. It’s worth paying someone two or three hundred dollars a year for good sound tax advice. They will pay for themselves, trust me. Tax preparation fees are tax deductible so you have nothing to lose.

  38. QUESTION:
    How much should tax preparation cost?
    My dad died this summer and he had a small business and a salary of less than 0k/y, and he has definitely never been audited by the IRS or anything like that. My mom should have hired a CPA to do his taxes but she had family friend who she thought was helping her out instead.

    He ended up charging her ,000. He had called some lawyers who my dad had hired at some point about gaining access to two accounts that she didn’t have access to, and they charged him consultation fees. We don’t know how long he talked to them because he never told my mom he was calling them. She has been crying about it because she should have just hired one of her CPA nieces, but she felt like he was doing her a favor because of their friendship (she did know he would charge her but believed he was taking his time to be nice to us… we used to be neighbors and she’s still good friends with his wife, and when my dad died they even sent stuffed animals for me and my sister to our house).

    Is this fee really reasonable?

    • ANSWER:
      Since we don’t know what what behind the amount charged we really can’t comment other than to state that it seems excessive. If the work was done by a CPA, attorney or enrolled agent regulated by Treasury Dept Circular 230, it would violate regulations to charge an unconscionable fee. If not one of those, I can’t imagine that the person would have the background to do that quantity of work. Next, since we have a decedent situation, the bill would be owed by the estate and the estate’s attorney could challenge it and a probate court judge would decide what is reasonable.

  39. QUESTION:
    taxes! help!?
    i filed my taxes online with H&R block taxcut, but i forgot to add my other w-2 since i worked 2 jobs in 2007(i only filed one w-2) plus i got an email the next day from taxcut stating that my tax return wasnt able to be sumitted due to some issues, so …is it ok if i just go to some other place in person to file my taxes instead of going back online and fixing all of my issues? im really new to this so im in extra need of help and im tired of struggling so, IS IT OK TO GO IN PERSON TO A PLACE AND GET MY TAXES DONE???

    • ANSWER:
      Don’t use taxcut and don’t use block. There have been too many complaints about block’s taxcut, as well as their so-called income tax preparation. block motivated the start of my business. I became sick of their lies and costing me a ton in taxes. You can be sure they never will make restitution to any one. They must be agents for the IRS because they cost you so much in taxes and they never tell you to get a second opinion. Matter of fact, they lied to me, screaming their heads off: “it doesn’t make any difference. They were lying about we being employers because we paid a babysitter a couple dollars, and, at that time, you had to pay out something like 150. To make matters worse, they lied when they said they would “fix” our return. They didn’t and they charged the same fee on top of it! I could tell much more.

      Just do FreetaxUSA, Free1040now, or Taxact on line. Some states do not have free eFile on their website. One taxpayer emailed me and said it was only 10.00 to do BOTH Federal and State on FreeTaxUSA. Turbotax is 30.00; TaxAct is 17.00. H&R ripoff’s taxcut is 45 and there have been complaints about the software and even the accuracy of the software. Several States do not charge on their website to do income taxes. So you may be able to iFile {eFile} the State return for free. If the IRS accepts your return, you should get your State back in 5 business days {except NY} and your Federal in 10-15 business days depending upon how late in the season. This also depends upon the software not messing up. You have to keep checking to make sure it went through. I’ve bought very expensive software before (Drake) and it didn’t go through. I got all kinds of lies and excuses for why it didn’t go through, depending upon which rep answered the phone.

      You can do your taxes yourself unless you are in a complicated situation – a proprietorship, partnership, lot of real estate deals with depreciation, foreign taxes and regulations, own a mutual fund
      – along that line. If you are not comfortable, get on the National Association of Enrolled Agents – naea.org – website. Click on “Find an enrolled agent”. Type in your town, state or zip code. Enrolled agents do not work cheap, but your taxes will be done right and they will go with you if you are audited by the IRS. They are usually not attorneys but have the power of attorney with the IRS.
      Enrolled agents are professional tax practitioners who have technical expertise in the field of taxation, and are licensed to represent taxpayers before the Internal Revenue Service at all administrative levels. Moreover, enrolled agents are the only tax practitioners required by Federal law to maintain their expertise through continuing professional education. Tax attorneys and CPA’s used to, but lobbied and no longer are required. It was too hard for them to pass the EA examination and to maintain their certification through continuing professional education. A CPA is worthless to the taxpayer unless that CPA is an Enrolled Agent. Note all the scandals.

  40. QUESTION:
    how much can i make preparing tax returns for each client? I’m starting on my own, with no staff. thank you.?

    • ANSWER:
      Depends on your qualifications and the going rate in your area.

      Find out what other people are charging and what their backgrounds are.

      If you are a CPA/Tax attorney you would certainly command a higher rate than someone less qualified.

      Also take into consideration whether you are offering audit assistance as part of the preparation fee or not.

      Good Luck.

  41. QUESTION:
    my question concerns what i should do about this local tax office . that advertised bring in your last pay st?
    bring in your last pay stub and in 24-48 hours you will receive a first advance loan ral. so ,I wait two days . I call several times to this company and all they can tell me is the bank is closed until jan 2,2007. they do not have any checks. that chase bank was closed today … What in the hell am i suppose to .. I think they are arip off….

    • ANSWER:
      Yes, they are a rip-off and you found out the hard way.

      I know it is hard to accept when we are being bombarded with adverisements for “easy money” but the best way is to wait until you have your W-2′s and other tax information. Then go to a CPA or tax preparer and have the refund sent to them. You can then have your preparation fees deducted from the refund and get a check for the balance. Please note that not all CPAs will offer that service and there is often an additional charge for it.

      Are you confident enough to do your taxes yourself? If so, and if you can back out of this arrangement with the tax prep office, go to irs.gov on January 12th and click on the FreeFile icon. Depending on your circumstances, you may qualify to file your return electronically for free. Otherwise it will be a small cost, usually less than . If you elect on your tax return to have your money deposited to your bank account, you will receive the refund in 8-15 days. Returns accepted by Thursday of one week will be deposited on Friday of the following week. Some states will do it even quicker.

  42. QUESTION:
    Difference between EIN and Texas Tax registration application?
    I am a programmer by trade, but I am looking forward to starting a small business and operating online completely using a web-store. And I want to keep everything legal. So I have a few questions:

    1. What is the difference between EIN (aka federal tax identification number) that is issued by IRS vs Sales tax permit that is sold by the state of Texas? Which one do I need and what is the purpose for each? Do I have to use both of these to pay different taxes?

    2. Do I have to charge tax to customers who are not in my state (Texas)? Or do I only charge it for customers in Texas? If I sell to someone in California, who pays the tax to the state of California?

    3. Where do I go to register the name of my business?

    4. Is it necessary to form a corporation? Or can I operate without forming one?

    my major concern is #1. I see the two forms and don’t know the difference between the two and what purpose each of them serve. Do I pay both federal and state taxes???

    • ANSWER:
      1. You’ve partially answered your own question here. One is Federal and one is State. Two different jurisdictions

      The Federal EIN is a Federal Employer Identification Number. You need an FEIN if you have employees or if your business is organized as anything other than a Sole Proprietorship or Single-Member LLC. Partnerships (and Multi-Member LLCs) and all Corporations or LLCs that elect to be taxed as Corps require an FEIN. That said, you may wish to get an FEIN anyway as you can use it in lieu of your SSN in your business operations. Scattering your SSN to the winds is risky. It’s much less risky with an FEIN.

      The TX State Sales Tax Permit authorizes you to collect and render State Sales Tax in TX. TX levies Sales Tax on all tangible personal property delivered in the State of TX and on most labor services performed for customers in TX.

      2. You charge Sales Tax on all tangible personal property delivered in TX and labor for services delivered in TX or TX customers. Most data processing services are taxable so if that’s what you’re providing then you must collect and render TX Sales Tax. Here’s a link to a FAQ on TX Sales Tax: http://window.state.tx.us/taxinfo/sales/faq_permit.html#permit1

      3. You generally need a business license. Those are normally issued at the City or County level. If you will trade under an assumed name, you’ll also need to file a DBA cert with the County Clerk’s office.

      4. Forming a corp (or an LLC) is a waste of time and money for most small businesses. Both can provide some limited protection from claims against your personal property but this shield is NOT absolute. They also complicate tax return preparation costs and depending upon the type of Corp or LLC may result in higher total tax costs. Although TX does not have an income tax, TX does levy franchise fees on TX LLCs and foreign (i.e. formed in any other State) LLCs with a business presence in TX.

      Most small businesses do fine as a Sole Proprietorship. You add 2 or 3 Schedules to your individual income tax return and you’re done in most cases; no separate tax returns are required. A good general liability insurance policy will protect both the business assets AND your personal assets and may cost you less in the long run. A Corp or LLC might provide some protection for your personal assets but provides NO protection for the business’ assets.

      If you operate as a Sole Proprietorship in TX you only pay Federal income taxes. There are no income taxes in TX, however if you form an LLC or Corp there may be franchise fees that will need to be paid.

      Consult with a local attorney who specializes in small business issues for guidance on the best way to organize your business and consult with a local CPA or EA who specializes in small businesses for information on the tax implications of the various legal entitities that you might organize your business as. Then you can make an informed decision as to what is best for your situation.

  43. QUESTION:
    I’m a CPA, should I get my CFP?
    I graduated in 2009 with my MBA and completed my CPA exam in 2010. I am currently a tax preparer at a public accounting firm. I really enjoy taxes as far as learning how it can help me personally and sharing that knowledge with friends and family. I have 2 tax seasons under my belt but I’m not sure if tax season is something I want to do for the next 30-40 years.

    Ideally I want a job where I will continue to deal with tax and tax planning, but not have to work a tax season of 65-80 hours a week. Is obtaining a CFP the answer for me? If it is then what kind of jobs could I get? I would prefer to deal with tax planning, retirement, estate planning rather than be a stock portfolio guru.

    Please give me ideas of jobs that would suit my interests as a CPA, CFP. Thanks!

    • ANSWER:
      Nate,

      Let’s start with you being a CPA and an MBA. Ironically, you spent years of hard study obtaining these two highly respected designations, and you’re doing a job that requires neither of them! When you’re a tax preparer, the only legal difference your CPA credentials make is that you have a right to represent your clients beyond the examination division of the IRS. More importantly, you have the advantage of being commonly perceived by the public as a tax expert, just because you have CPA on your business card.

      However, only small part of your CPA training was devoted to taxation. Every other facet of accounting that you learned and passed a test in – is not being used. On top of that, there’re many accounting tasks, such as financial audits, that are legally reserved for CPAs exclusively, depending on your state law. Basically, you’re doing a job where your credentials are not required and not doing jobs that are for CPAs only. See my point?

      MBA is even more so. It really has almost nothing to do with tax preparation. If you run your own practice, your training in business management is supposed to help you. But since you work in a company, even that is doubtful.

      CFP continues the trend. Most of the tasks that CFPs are doing do not require CFP credentials. It only requires state licensing in insurance and Federal licensing in securities. Most CFPs use their credentials for one thing only: impress their prospective clients. And it works, by the way, just like CPA, or PhD or any other hard-to-get designation. Also, CFP is not the only designation in financial planning. You also have ChFC, CFA, CLU and a long list of other credentials. Which ones of them are worth the huge investment of time and money is your personal call. Just be very honest with yourself: will you be using them for marketing only, or will you obtain other benefits?

      As far as financial planning… It’s a carefully protected secret, but the real meaning of “financial planning” is selling products based on permanent life insurance and/or managing investment portfolios. Everything else is merely setting an environment for the only thing that makes money in financial planning industry: commissions from sales. I myself spent a few years working for 4 different financial planning companies, including so-called “fee-based” firms. Like you, I aspired to provide insightful advice and do advanced tax planning for my clients. As I learned the hard way, this does not pay. At the end of the day, it’s all about commissions.

      Many CPAs are also providing financial planning services, but it does not really require CFP. They simply get their licenses, sign up with a BD (broker-dealer) – and they are in business. Some of my CPA friends make more money from insurance/investments than from tax preparation and bookkeeping.

      Finally, if your career path is climbing the corporate ladder, then some of these designations can be crucial in obtaining your desired position and increasing your compensation. But that totally depends on the industry you choose and even on corporate culture in your particular target firms. You better do some research inside these companies to get the “right” credentials for the position you’re after.

      Michael Plaks, Houston TX
      www.MichaelPlaks.com

  44. QUESTION:
    H&R Block fee’s in NY state?
    I know that the fee’s vary but my other half went to H&R Block and when he first called it was told no more then 0. he only had a 1040A , 2 w-2′s and a Pa state tax. (lived in Pa last year moved to NY) He only grossed a little over 00 was 2 part time jobs. he brought home all the paperwork and no where was the fee’s for H&R Block broken down it was just a flat 3. Does anyone know what the fee’s are broken down? I thought this was a little much. I would have done the taxes if it was just the 1040A since I have done them in the past. but i have never done any kind of state taxes. Does this sound like alot? or is it just me?
    yes he got the RAL but that was an additional fee not the HRB fee. oh well next year I will learn how to do state taxes.

    • ANSWER:
      Most (not all) of the big tax prep companies charge you add’l fees for add’l forms (incl a state returns) AND for add’l W2s etc. Some also may charge a different rate depending on when you get the return prepared during tax season – sometimes this may be based on what the franchise owner wants to charge etc. If you go to an accountant or CPA to file your tax return, you may see a greater range in the fees you may be charged (both low & high), as many independent preparers can charge whatever they want to to prepare & file your tax return.

      It’s difficult to get details or breakdown and itemize from your situation, as the office where you went to will likely not disclose the info your are seeking.

      You should be able to get an accurate quote after you sit down w/ the preparer & they work on your return, giving you the option to file w/ them if you choose. If in doubt about the fees you’re being charged, you should ask BEFORE they file your return, NOT AFTER (as it’s probably too late to do anything about it).

      You can also just ask the tax preparer to put your return “on hold ” & take your info to someone else to compare the total fees.

      Also keep in mind if you get a RAL or other type of loan against your refund (vs. electing direct deposit or a check from the IRS) you will pay add’l fees over & above the tax preparation fees.

  45. QUESTION:
    What is the best way to do taxes?
    I have my information and I wish to file to get my tax return. What is the best website or program out there? I know a lot are free. My concern is the security of my personal information. Have you heard anything negative about www.freetaxusa.com? Your help is greatly appreciated!

    Thanks in advance :o )

    • ANSWER:
      Kara -

      Your security is a big concern, especially with all the websites that are popping up offering to do “free” taxes. Remember, you’ve giving them your SSN, birthdate and (maybe) bank account info. However, you can probably use a CPA firm and they can do your taxes for you for a very nominal fee. Plus, since they are CPA’s, they are ethical bound to keep your information private.

      For tax preparation help, you could try the site below…I found it very helpful and they are extremely fast and friendly. They are CPA’s but I think they moonlight and prepare taxes so they have “day jobs”…it’s not like they are doing it for the money. They’re just trying to help people out. Also, their rate can’t be beat…last year, I paid something like and they prepared my return for me and got me the refund fast. I didn’t even have to do too much work…just sent them the forms I received in the mail (W-2, etc.) and I was done!

  46. QUESTION:
    What kind of costs should I expect for these CPA services?
    For my small business. I already know the hourly rate the CPA I am going to “interview” charges, so if you don’t charge flat fees for some things, maybe tell me how many hours would it take you? I’d appreciate it.

    Filing of business and personal tax returns (including quarterly)?
    Entity selection?
    Payroll?
    Bookkeeping?
    Help with the business plan?
    Tax strategies/Setting up investments and retirement accounts?
    Business consulting?

    Again, just looking for some good estimates. I won’t get to speak with the CPA for a few days. Hours involved, or flat fees, would give me an idea of what to expect.

    • ANSWER:
      you might notice that IRS has times set for the preparation of almost everything that is submitted
      the instructions will show what IRS has determined to be the amount of time it takes to prepare

  47. QUESTION:
    Had expenses for business before it was registered. Can I show them as expenses for tax purposes?
    I started a web site last year by hiring an offshore company to do the work. I registered that company (LLC) in the middle of the year but had already paid about half the expenses by then.

    Can I expense all of it as company expenses for tax this year? Thanks in advance for your help.
    I started a web site last year by hiring an offshore company to do the software development work. I registered that company (LLC) in the middle of the year but had already paid about half the expenses by then.

    Can I deduct all of the expenses? The nature of work done was more like proof-of-concept software work.

    Thanks in advance.

    • ANSWER:
      You’re a little vague about what sort of work this company is doing for you…or what you’re paying for, so I’m reluctant to say it’s all deductible.

      Your first tax return after the start of your business (that sounds like ’08 to me) can include the following startup deductions:

      Startup Operating Expenses
      You can deduct expenses to start your business, including phone service, security deposits on your office or retail space, rental of moving equipment, and repairs to your new office.

      Startup Advertising
      Any advertising you do to notify the public and potential customers of your new business can be deducted.

      Investigation Costs
      You can deduct expenses for finding a location and an office, costs of traveling to investigate potential locations, and market research.

      Fees to Professionals
      Fees you have paid to an attorney, CPA, insurance agent, or real estate agent to assist you during startup are deductible.

      Business Plan Preparation
      Costs of purchasing business plan preparation software, books to help you prepare your business plan, and printing, binding, and mailing costs to send your business plan to potential lenders and investors are deductible.

      The IRS has special rules for pre-opening inventory, for research and development costs, and for purchase of long-term assets at startup.

      Hope this helps.

  48. QUESTION:
    What is the amount I will be penalized if I did my 2004 taxes now?
    I made ,600 in 2004. I failed to do my taxes because I was out of the country for an extended period. When I did come back to the US, taxes were the last on my mind. Now I need to get them done because the NVC requires my tax return info for the years 2004, 2005, 2006 and 2007 in order for me to sponsor my husband on a K-3 visa.

    How much damage will this be for me? I mean, in terms of penalties, fees, and interest? I live in NC. Can anyone give me an idea of how much I will need to pay? Any advice will be appreciated. Thank you.

    • ANSWER:
      This is pretty complicated. Did you have income while you were out of the US? Did you pay taxes on any income earned to the country in which you were living? Did you keep a US address or intend to return to the US? These are things the IRS tends to look at and a tax return preparation person has to consider – the fact that tax returns were the last thing on your mind is not going to be a good excuse.

      The maximum penalty is 25%, but that is if you owed taxes. If you were due a refund, you might not get it because generally there is a three-year limit on that.

      In 2004, at your income level, the tax rate was 15% – so 40 would have been the rate, BUT that is before the personal exemptions and and deductions were calculated on the return and subtracted. That is to say the standard deduction was 50, so you probably would have had a refund of 10 or thereabout.

      Personally, while it will cost you more, I would go see a CPA or a tax prepation specialist – not H&R Block or Jackson-Hewitt or those folks[and nothing against them] – for advice and assistance. It is simply that the CPA tends to deal with issues like this more so than the Block team. And they are likely going to be more willing to dig for the answers than the “big tax return firms.”

      As far as North Carolina – don’t even want to guess. That is why you need to see someone who does this sort of stuff professionally.

      Best of luck – and hope you actually get some refunded to you!

  49. QUESTION:
    Does H&R Block really give you money on the spot?
    My employer has yet to give me my W-2, and I was thinking of going to H&R block and doing that money on the spot thing they have going on. But do they really give you money on the spot or is that just something they say to get you in, and then they tell everyone… well the bank didnt approve you so your gonna have to wait. Because I could REALLY use the money now.
    P.S. I used H&R block last year to do my taxes and i still use their emerald card. I have my checks direct deposited to it.

    • ANSWER:
      Rhett -

      Yes, they do give you money on the spot…it’s really just a loan against the IRS refund that you’re expected to receive. And some people say the fees are a little high (you could get a cash advance from your credit card and then pay it off in a few weeks for less).

      For tax preparation help, you could try the site below…I found it very helpful and they are extremely fast and friendly. They are CPA’s but I think they moonlight and prepare taxes so they have “day jobs”…it’s not like they are doing it for the money. They’re just trying to help people out. Also, their rate can’t be beat…last year, I paid something like and they prepared my return for me and got me the refund fast. I didn’t even have to do too much work…just sent them the forms I received in the mail (W-2, etc.) and I was done!

  50. QUESTION:
    Legal and Accounting Expenses.?
    Sam is a sole proprietor who owns, leases, and manages
    several apartment complexes and office buildings. During the current year, Sam incurs the
    following expenses. Which of these expenditures are deductible? Are they for or from
    AGI deductions?
    a. 0 in attorney’s fees for title searches on a new property Sam has acquired.
    b. 0 in legal fees in an action brought to collect back rents.
    c. 0 to his CPA for the preparation of his federal income tax return. 0 is for the
    preparation of Schedule C (Profit or Loss from Business).
    d. 0 in attorney’s fees for drafting a will.
    e. 0 in attorney’s fees in an unsuccessful attempt to prevent the city from rezoning the
    area of the city where several of his office buildings are located.

    • ANSWER:
      A must be capitalize and adding back to the property’ s basis

      B and E are reported as expenses on schedule E

      C with 0 is deducted from 2% of AGI; 0 is reported as expense on schedule C

      D is not deductible


cpa fees for tax preparation

Cpa Fee Structure

Frequently Asked Questions

  1. QUESTION:
    Is there anyone who is preparing for CPA exam, i need some advice for the preparation?
    Can some one advice me what is the best way to prepare for CPA exam, which material or classes are the best?

    • ANSWER:
      Most people find that the easiest way to pass the exam is with the help of a review course. Considering the exam is 14 hours, quite costly, and the AICPA recommends 300-400 study hours… it makes sense that a person would want to make sure they pass each exam the first time around. The initial investment in a review course often saves money on extra exam fees and additional materials.

      That being said, I might be biased, but I fully recommend Roger CPA Review. Roger’s course is known for their 86% pass rates (compared to the national average of 48%), being highly motivational and energetic (helping you stay awake during class and studying), and coming with the best materials around (Roger writes his own books so they are supplemental; and he never ever reads from them like other courses have been known to do). Worth checking into – http://www.rogercpareview.com/cpa-exam-review-course-overview.cfm

      They offer three flexible formats too – so you can tailor your review to your personal schedule and go to a live class if you need structure, or take it online if your schedule is busy and you want to do it on your own time. It really is the best value in CPA Review – a great price for a superior product.

      Overall, in any study regiment, you want to make sure to stay on track, pay attention, and do as many multiple choice questions and practice simulations as humanly possible. It’s also important to not only understand the correct answer, but to understand why the other answers are wrong.

      Another helpful hint – look for free resources online that can help you. Roger CPA Review’s blog (http://www.rogercpareview.com/blog) offers helpful tips and tricks to make sure you are fully prepared come exam day, but information on the exams, how to get a job, and industry news.

      Good luck!!! Let me know if you have any additional questions at all :) You can also find me @morganives.

  2. QUESTION:
    What is the best way to reduce overhead in business?
    I’m in the construction field. I have 30 employees and lots of equipment.

    • ANSWER:
      Y ou could check into leasing your employees through a leasing company. They actually hire your workers and then they work for you. You pay the leasing company a bit more, however the idea is that these employees actually then work for the leasing company and they get a better rate at the state for workmans comp. They also run payroll for you. You maybe able to then reduce the payroll persons job and either cut her out, or give her tasks (or him) that you are doing that they could do.
      You could also consider using more sub contractors instead of employees, saving on taxes and insurance for them.
      You must also check to see if your business entity is structured right so you get the greatest tax breaks. If you have a cpa who has set it up, great. Now, take it to a very expensive CPA. Tell him you want to pay him to audit your taxes from last year and to audit your structure to ensure you are getting the most for your money. IT will cost you and arm and a leg, but my friends in the real estate investor field have saved a ton of money by looking at entity structuring. The idea being, using entities legally to reduce the amount of net profit that gets to them.
      Also, check your fees for credit card purchases or home depot …possible you are using the wrong credit line to finance the building supplies.
      Do you have a builders line with a bank? You could ask for a better deal, interest only on what is drawn potentially.
      Do you own things you should have leased or rented?
      Maybe selling a piece of equipment that is seldom used, and only renting it whe it is needed. It wont save you money monthly, but the money could be used to defray expenses.
      Hope th is gives you a few ideas.
      Bobbie

  3. QUESTION:
    What equipment do i need to start a digital photography studio?

    • ANSWER:
      A business can be summed up as follows:
      Market (who are you selling to or in other words, who wants to buy what you want to sell – irrespective of this being a product or a service – where and for how much?)
      +
      Product / Service
      +
      Revenue Model (financials i.e. how much does it cost you to run the business (your neighborhood bar in this case) and deliver the value you intend to and how much can you charge, to how many people you can serve ==> throw this is in a simple equation on a spreadsheet). This would also give you an idea as to how much start capital you need till you start seeing breakeven…that’s where you credit score kicks in and you may want to take a loan…if you have family and friends or investors, go to them…they know you better than what your credit score reflects…see if they can be convinced that their investment in your efforts are not risky and that you can guarantee a certain rate of interest payable in future.

      Based on the above understanding, you can now can make a serious decision on whether:
      1) you want to be IN THIS “digital photography studio” business or not;
      2) it makes financial sense to be in the “digital photography studio” business;
      3) it can “breakeven” and make money within a short/relevant period of time before you grow frustrated
      4) if this is a full time business opportunity or a sideshow that generates decent “extra” money.
      5) Why you are doing this – i.e. starting a digital “photography studio” business – makes sense or does that answer to the question “why?” need a relook? is this because you have expertise in this area, or you have money to invest etc…

      That was the first stage of decision making and the most important part. Once you seriously know “Why?” you are in this, rest all is administrative and easy.

      Get a relationship with a CPA to help you get a good handle on your costs then you can go and mark up the service fees for your margin.

      Starting a business without any prior business or domain knowledge is not a bad thing by itself, just that the chances of failure are many.

      What is your financial health and budget for renting or buying an office? Is this going to be a -strategically speaking – real estate play or service business play? What term are you looking to sign up the lease (if renting) with the landlord? Be extra careful on the lease front, business people from Sam Walton (kicked out of his first succesful variety store by landlord who did not renew the contract) to regular johnnys who have had bad locations with long leases slammed on them…This is the key expense where you would need a long term investor partner to be on your team after payroll & inventory.

      Buy or lease equipment of such stuff for your business would be based on your specific financial modeling and short/long term plans.

      Lease if:
      Low on cash 2: write the lease of as expense each month 3: you have a short term lease with your landlord

      Buy if:
      You have cash on hand 2: you want to use depreciation on capital investment method for accounting and if this is a large amount 3; long term lease on hand through the break even time required and also if you are confident that your location is the perfect one.

      The following points are useful for you to note:

      Next, go to the website of your local state government, if you are in the USA, else to a legal counsel or account (CPA) to help with the basic decision making and advise on:
      1. Formation of the company: name, capital structure, accounting formats/software, financial year etc.
      2. Deciding on sole proprietor, partnership, S Corp, LLC or C Corp
      3. Financial health required i.e. cash flow analysis, financial projections, financing needs and loans etc.

      Then comes the execution part:
      1. Marketing ==> advertising ==> budget and reaching out to your market/audience constantly. This is where you get a website. I know a company www.bizdevsystems.com click on eBusiness that provides great deals for new businesses / start ups with package deals including custom websites onwards, business phone and DSL Internet , credit/debit card and check processing services.
      2. Sales ==> Getting big projects ==>cold calling, meetings, deal closures
      3. Business Development ==> partnerships, networking, swapping warm leads with other non-competing allies outside of your business / market area for a referral fee / affiliate commission.
      4. eCommerce and eBusiness: an online angle to your business, to generate revenues online as well as take your offline business online in some way or the other. This is another level of utilising the web through marketing.

      Last comes in HR / Production / Operations: Looks like you are experts in this area already. Just keep these in mind:
      1. to grow your company, you HAVE to hire new people, trust them (even if you are burnt multiple times…keep hiring), train them and try to get out of “you” out of the business and let it run on a systematic daily reports oriented effort…i.e most companies that are run by entrepreneurs / founders die when the founder leaves because the founder(s) was/were the company…therefore, on the operations front, put in an IT system in tandem with a Culture in place that can run the show on its own without your interference in the business decision making, revenue generation, order fulfilment and customer support. Also it is absolutely must that you get a T1 or higher internet with VoIP service for communications.

      All in all, always remember that the seed you are planting already knows how large it can get, the one who plants may not be so aware of which seed he/she is planting…you have to design this business model /seed before you launch.

      Good luck with your venture…nothing ventured, nothing gained…go for it…the learning would be fun after its been learnt…hindsight is 20/20…I can keep advising till the cows come home…having been there done that…for you, just do it :)

      Sanjay Saggere
      404-425-3021
      sanjay@bizdevsystems.com
      www.bizdevsystems.com click on eBusiness

      Source(s):

      1. For eBusiness eSsentials go to www.bizdevsystems.com click on eBusiness or email sales@bizdevsytems.com
      2. For eCommerce / offline retail merchant accounts go to www.wynpay.com or email sales@wynpay.com
      3. For phone & Internet VoIP services www.ebolo.com

  4. QUESTION:
    Can I give a loan to my LLC for a tax deduction?
    I purchased income property and put it in a LLC. Instead of getting a mortgage for the income property, I refinanced my house, took out cash, and paid for the income property in cash. I sold the house I refinanced 2 months later. Can I show a personal loan to the LLC for the mortgage I had on my house, so I can deduct the interest on my tax return for the LLC since I used my personal funds to buy the LLC?

    • ANSWER:
      Talk to an accountant before acting on any advice you read here.

      To recap what I believe you said, for clarification purposes:

      1) You refinanced your house, and took cash out of your equity.
      2) You used this cash to form an LLC, and invested it as your initial capital
      3) Your LLC purchased a piece of income property for cash
      4) You later sold your house, and paid off all outstanding liens against it

      Basics:
      1) Your LLC is a separate legal entity from your person
      2) You own 100% of the LLC

      You want to charge interest to the LLC for tax purposes.

      You could do this, but it won’t help you. Since you are 100% owner of the LLC, it would work like this:

      1) LLC pays you ,000 (example) in interest and takes a tax deduction
      2) LLC gives you a 1099-INT reporting the interest it paid to you
      3) You pay tax at regular income tax rates on the interest that you received from the LLC
      4) End of year, LLC reports your share of income less the ,000 in interest expense to you.

      If you run the LLC as a corporation, and it is subject to corporate income taxes, you have accomplished the following:

      1) Reduced the corporate income tax liability by ,000
      2) Increased your personal income tax liability by ,000
      3) Reduced your dividend by ,000
      4) Made a lot of extra work for yourself for a negligible tax savings.

      Corporate taxes are higher than personal taxes, but I think that you would be hard-pressed to structure this in any way the benefits you. In fact, the mere accounting work of keeping up with the transaction and reporting it everywhere would likely generate fees far in excess of any tax savings.

      I would not recommend that you run the LLC as a corporation anyway, because there is no real benefit to doing things this way. If you wanted to do all the extra paperwork and pay taxes, you should have set it up as a corporation.

      If you don’t run the LLC as a corporation, which I assume you really do not, all income and expenses flow through to your personal Schedule C anyway, so there is no benefit to charging your LLC interest.

      In short, if you move your wallet from your right pocket to your left pocket, have you made any money? If a CPA charges you to track the movement of your wallet, have you benefitted?

      That’s the crux of what you are asking.

  5. QUESTION:
    Moving distribution to California from Boston, do I have to pay there tax rates?
    I run a company out of Massachusetts and I’m looking to move operations to Los Angeles to reduce shipping charges from China to the U.S…

    My only concern is the high taxes; 10.3% personal income, and a corporate tax (around 6.5% I think)…

    If I’m just moving my distribution center and have corporate in Massachusetts, will I have to pay the 10.3% income and corporate tax in California? What other disadvantages might I have?

    • ANSWER:
      Assuming that you won’t personally work in CA, you won’t pay CA personal income taxes.

      The corporate end gets a bit messier though. A better idea might be a corporate subsidiary in CA with closely controlled income and costs such that no taxable corporate income is generated in CA. You’ll still be stuck with the CA Franchise Fee (minimum of 0 per year) but if you structure it properly that should be the limit of your tax burden.

      I’d strongly suggest a consult with a CA corp attorney and a CA tax pro such as a CPA or EA who specializes in corporate taxation in CA before you move on anything. Going in with advance knowledge and your eyes wide open will avoid any nasty surprises.

      Another option that you might want to consider is to partner with a logistics firm in CA to manage your distribution for you. The cost of a partner may be much less than setting up your own distribution warehouse, dealing with cross-country payroll, and all of the other hassles.

      One firm that I know of personally that has operations in CA (and a good track record with global experience to boot) is Menlo Logistics. This is not some fly-by-night operation but is part of one of the largest logistics management firms in the country — and one that is doing well during the economic downturn as well. Google them for more information or contact me through my profile for some contact information.

  6. QUESTION:
    What business can we start, while not spending a bundle?
    I want to start a small business, but need information, on who i can talk to. What i need to know. Where i can start, and what i can base it on.

    • ANSWER:
      A business can be summed up as follows:
      Market (who are you selling to or in other words, who wants to buy what you want to sell – irrespective of this being a product or a service – where and for how much?)
      +
      Product / Service (what is your personal expertise. who do you have on your team that can do what you cannot or do not want to do?)
      +
      Revenue Model (financials i.e. how much does it cost you to run the business (your neighborhood bar in this case) and deliver the value you intend to and how much can you charge, to how many people you can serve ==> throw this is in a simple equation on a spreadsheet). This would also give you an idea as to how much start capital you need till you start seeing breakeven…that’s where you credit score kicks in and you may want to take a loan…if you have family and friends or investors, go to them…they know you better than what your credit score reflects…see if they can be convinced that their investment in your efforts are not risky and that you can guarantee a certain rate of interest payable in future.

      Based on the above understanding, you can now can make a serious decision on whether:
      1) you want to be IN THIS “new” business or not;
      2) it makes financial sense to be in the “new” business;
      3) it can “breakeven” and make money within a short/relevant period of time before you grow frustrated
      4) if this is a full time business opportunity or a sideshow that generates decent “extra” money.
      5) Why you are doing this – i.e. starting a “new” business – makes sense or does that answer to the question “why?” need a relook? is this because you have expertise in this area, or you have money to invest etc…

      That was the first stage of decision making and the most important part. Once you seriously know “Why?” you are in this, rest all is administrative and easy.

      Get a relationship with a CPA to help you get a good handle on your costs then you can go and mark up the service fees for your margin.

      Starting a business without any prior business or domain knowledge is not a bad thing by itself, just that the chances of failure are many.

      What is your financial health and budget for renting or buying an office? Is this going to be a -strategically speaking – real estate play or service business play? What term are you looking to sign up the lease (if renting) with the landlord? Be extra careful on the lease front, business people from Sam Walton (kicked out of his first succesful variety store by landlord who did not renew the contract) to regular johnnys who have had bad locations with long leases slammed on them…This is the key expense where you would need a long term investor partner to be on your team after payroll & inventory.

      Buy or lease equipment of such stuff for your business would be based on your specific financial modeling and short/long term plans.

      Lease if:
      Low on cash 2: write the lease of as expense each month 3: you have a short term lease with your landlord

      Buy if:
      You have cash on hand 2: you want to use depreciation on capital investment method for accounting and if this is a large amount 3; long term lease on hand through the break even time required and also if you are confident that your location is the perfect one.

      The following points are useful for you to note:

      Next, go to the website of your local state government, if you are in the USA, else to a legal counsel or account (CPA) to help with the basic decision making and advise on:
      1. Formation of the company: name, capital structure, accounting formats/software, financial year etc.
      2. Deciding on sole proprietor, partnership, S Corp, LLC or C Corp
      3. Financial health required i.e. cash flow analysis, financial projections, financing needs and loans etc.

      Then comes the execution part:
      1. Marketing ==> advertising ==> budget and reaching out to your market/audience constantly. This is where you get a website. I know a company www.bizdevsystems.com click on eBusiness that provides great deals for new businesses / start ups with package deals including custom websites onwards, business phone and DSL Internet , credit/debit card and check processing services.
      2. Sales ==> Getting big projects ==>cold calling, meetings, deal closures
      3. Business Development ==> partnerships, networking, swapping warm leads with other non-competing allies outside of your business / market area for a referral fee / affiliate commission.
      4. eCommerce and eBusiness: an online angle to your business, to generate revenues online as well as take your offline business online in some way or the other. This is another level of utilising the web through marketing.

      Last comes in HR / Production / Operations: Looks like you are experts in this area already. Just keep these in mind:
      1. to grow your company, you HAVE to hire new people, trust them (even if you are burnt multiple times…keep hiring), train them and try to get out of “you” out of the business and let it run on a systematic daily reports oriented effort…i.e most companies that are run by entrepreneurs / founders die when the founder leaves because the founder(s) was/were the company…therefore, on the operations front, put in an IT system in tandem with a Culture in place that can run the show on its own without your interference in the business decision making, revenue generation, order fulfilment and customer support. Also it is absolutely must that you get a T1 or higher internet with VoIP service for communications.

      All in all, always remember that the seed you are planting already knows how large it can get, the one who plants may not be so aware of which seed he/she is planting…you have to design this business model /seed before you launch.

      Good luck with your venture…nothing ventured, nothing gained…go for it…the learning would be fun after its been learnt…hindsight is 20/20…I can keep advising till the cows come home…having been there done that…for you, just do it :)

      Sanjay Saggere
      404-425-3021
      sanjay@bizdevsystems.com
      www.bizdevsystems.com click on eBusiness

      Source(s):

      1. For eBusiness eSsentials go to www.bizdevsystems.com click on eBusiness or email sales@bizdevsytems.com
      2. For eCommerce / offline retail merchant accounts go to www.wynpay.com or email sales@wynpay.com
      3. For phone & Internet VoIP services www.ebolo.com

  7. QUESTION:
    does anyone know where to find a list of requirements to sit for the cpa exam in pa?
    i am currently a part time accounting student and I am starting to think about sitting for the CPA, I was wondering what were the requirements and also if my credits had an expiration date, (i’ve been in school for a while with a couple of breaks)

    • ANSWER:
      CPA Exam Requirements
      The Pennsylvania State Board of Accountancy has reviewed the education and work experience requirements to sit for the CPA Exam and to become certified. Below, you will find the current regulations and the changes which took effect with the April 2004 Computerized Exam. The Board has adopted national standards regarding new completion requirements for the Uniform CPA Examination.

      Education Requirements | Work Experience | Requirements to Pass the Exam | Exam Costs and Fee Structure | Applications | Prometric Testing | Completion Requirements | Grade Reporting

      Click on the link to learn about the above requirements.

  8. QUESTION:
    I want to start a call center business. What would I consider?

    • ANSWER:
      A business can be summed up as follows:
      Market (who are you selling to or in other words, who wants to buy what you want to sell – irrespective of this being a product or a service – where and for how much?)
      +
      Product / Service
      +
      Revenue Model (financials i.e. how much does it cost you to run the business (your neighborhood bar in this case) and deliver the value you intend to and how much can you charge, to how many people you can serve ==> throw this is in a simple equation on a spreadsheet). This would also give you an idea as to how much start capital you need till you start seeing breakeven…that’s where you credit score kicks in and you may want to take a loan…if you have family and friends or investors, go to them…they know you better than what your credit score reflects…see if they can be convinced that their investment in your efforts are not risky and that you can guarantee a certain rate of interest payable in future.

      Based on the above understanding, you can now can make a serious decision on whether:
      1) you want to be IN THIS “Call center” business or not;
      2) it makes financial sense to be in the “Call center” business;
      3) it can “breakeven” and make money within a short/relevant period of time before you grow frustrated
      4) if this is a full time business opportunity or a sideshow that generates decent “extra” money.
      5) Why you are doing this – i.e. starting a “Call center” business – makes sense or does that answer to the question “why?” need a relook? is this because you have expertise in this area, or you have money to invest etc…

      That was the first stage of decision making and the most important part. Once you seriously know “Why?” you are in this, rest all is administrative and easy.

      Get a relationship with a CPA to help you get a good handle on your costs then you can go and mark up the service fees for your margin.

      Starting a business without any prior business or domain knowledge is not a bad thing by itself, just that the chances of failure are many.

      What is your financial health and budget for renting or buying an office? Is this going to be a -strategically speaking – real estate play or service business play? What term are you looking to sign up the lease (if renting) with the landlord? Be extra careful on the lease front, business people from Sam Walton (kicked out of his first succesful variety store by landlord who did not renew the contract) to regular johnnys who have had bad locations with long leases slammed on them…This is the key expense where you would need a long term investor partner to be on your team after payroll & inventory.

      Buy or lease equipment of such stuff for your business would be based on your specific financial modeling and short/long term plans.

      Lease if:
      Low on cash 2: write the lease of as expense each month 3: you have a short term lease with your landlord

      Buy if:
      You have cash on hand 2: you want to use depreciation on capital investment method for accounting and if this is a large amount 3; long term lease on hand through the break even time required and also if you are confident that your location is the perfect one.

      The following points are useful for you to note:

      Next, go to the website of your local state government, if you are in the USA, else to a legal counsel or account (CPA) to help with the basic decision making and advise on:
      1. Formation of the company: name, capital structure, accounting formats/software, financial year etc.
      2. Deciding on sole proprietor, partnership, S Corp, LLC or C Corp
      3. Financial health required i.e. cash flow analysis, financial projections, financing needs and loans etc.

      Then comes the execution part:
      1. Marketing ==> advertising ==> budget and reaching out to your market/audience constantly. This is where you get a website. I know a company www.bizdevsystems.com click on eBusiness that provides great deals for new businesses / start ups with package deals including custom websites onwards, business phone and DSL Internet , credit/debit card and check processing services.
      2. Sales ==> Getting big projects ==>cold calling, meetings, deal closures
      3. Business Development ==> partnerships, networking, swapping warm leads with other non-competing allies outside of your business / market area for a referral fee / affiliate commission.
      4. eCommerce and eBusiness: an online angle to your business, to generate revenues online as well as take your offline business online in some way or the other. This is another level of utilising the web through marketing.

      Last comes in HR / Production / Operations: Looks like you are experts in this area already. Just keep these in mind:
      1. to grow your company, you HAVE to hire new people, trust them (even if you are burnt multiple times…keep hiring), train them and try to get out of “you” out of the business and let it run on a systematic daily reports oriented effort…i.e most companies that are run by entrepreneurs / founders die when the founder leaves because the founder(s) was/were the company…therefore, on the operations front, put in an IT system in tandem with a Culture in place that can run the show on its own without your interference in the business decision making, revenue generation, order fulfilment and customer support. Also it is absolutely must that you get a T1 or higher internet with VoIP service for communications.

      All in all, always remember that the seed you are planting already knows how large it can get, the one who plants may not be so aware of which seed he/she is planting…you have to design this business model /seed before you launch.

      Good luck with your venture…nothing ventured, nothing gained…go for it…the learning would be fun after its been learnt…hindsight is 20/20…I can keep advising till the cows come home…having been there done that…for you, just do it :)

      Sanjay Saggere
      404-425-3021
      sanjay@bizdevsystems.com
      www.bizdevsystems.com click on eBusiness

      Source(s):

      1. For eBusiness eSsentials go to www.bizdevsystems.com click on eBusiness or email sales@bizdevsytems.com
      2. For eCommerce / offline retail merchant accounts go to www.wynpay.com or email sales@wynpay.com
      3. For phone & Internet VoIP services www.ebolo.com

  9. QUESTION:
    Does anyone know what needs to be done to move a business to another state?
    I am moving my business from OR to CA. I have a FIN and a BIN in OR. What needs to be done to officially move to CA? Thanks!

    • ANSWER:
      It depends what legal structure the business is.

      If it is a corporation or a LLC you need to either register as a foreign corp/llc in CA or file as CA corp/llc. If you are a sole proprietor filing a Schedule C, I believe you wouldn’t need to do anything.

      CA has very expensive LLC & corp fees. You may want to talk to a EA or CPA who is fluent in CA taxes to help you decide the best choice of entity for your business.

  10. QUESTION:
    What is going to happen to the left over millions given to Hillary when she loses ?

    • ANSWER:
      MAYBE SOME OF THE MONEY COULD BE USED TO INVESTIGATE THIS:

      http://democrats.senate.gov/dpc/dpc-new2.cfm?doc_name=inv2

      1) Halliburton billed taxpayers .4 billion in questionable and undocumented charges under its contract to supply troops in Iraq, as documented by the Pentagon’s own auditors.

      2) Parsons billed taxpayers over 0 million under a contract to build 142 health clinics, yet completed fewer than 20. According to Iraqi officials, the rest were “imaginary clinics.”

      3) Custer Battles stole forklifts from Iraq’s national airline, repainted them, then leased the forklifts back to the Coalition Provisional Authority (CPA) through a Cayman Islands shell company — charging an extra fee along the way.

      4) Halliburton allowed our troops in Iraq to shower, bathe, and sometimes brush their teeth with water that tested positive for e. coli and coliform bacteria. One expert has said that the troops would have been better off using the highly polluted Euphrates River. Halliburton has admitted that it lacked “an organizational structure to ensure that water was being treated in accordance with Army standards and its contractual requirements.”

      5) Halliburton served the troops food that had spoiled or passed its expiration date. Halliburton managers ordered employees to remove bullets from food in trucks that had come under attack, then saved the bullets as souvenirs while giving the food to unwitting soldiers and Marines.

      6) Halliburton charged taxpayers for services that it never provided and tens of thousands of meals that it never served.

      7) Halliburton double-charged taxpayers for 7,000 worth of soda.

      8) Halliburton tripled the cost of hand towels, at taxpayer expense, by insisting on having its own embroidered logo on each towel.

      9) Halliburton employees burned new trucks on the side of the road because they didn’t have the right wrench to change a tire — and knew that the trucks could be replaced on a profitable “cost-plus” basis, at taxpayer expense.

      10) Halliburton employees dumped 50,000 pounds of nails in the desert because they ordered the wrong size, all at taxpayer expense.

      11) Halliburton employees threw themselves a lavish Super Bowl Party, but passed the cost on to taxpayers by claiming they had purchased supplies for the troops.

      12) Halliburton chose a subcontractor to build an ice factory in the desert even though its bid was 800 percent higher than an equally qualified bidder.

      13) Halliburton actively discouraged cooperation with U.S. government auditors, sent one whistleblower into a combat zone to keep him away from auditors, and put another whistleblower under armed guard before kicking her out of the country.

      14) Halliburton sent unarmed truck drivers into a known combat zone without warning them of the danger, resulting in the deaths of six truck drivers and two soldiers. Halliburton then offered to nominate the surviving truck drivers for a Defense Department medal — provided they sign a medical records release that doubled as a waiver of any right to seek legal recourse against the company.

      15) Halliburton’s no-bid contract to rebuild Iraq’s oil infrastructure was the worst case of contract abuse that the top civilian at the Army Corps of Engineers had ever seen. She was demoted after speaking out.

      16) Under its no-bid contract to rebuild Iraq’s oil infrastructure contract, Halliburton overcharged by over 600 percent for the delivery of fuel from Kuwait.

      17) Halliburton failed to complete required work under its oil infrastructure work, leaving distribution points unusable.

      18) Iraq under the CPA was like the “Wild West,” with few limits and controls over how inexperienced officials spent — and wasted — millions of taxpayer dollars.

      19) Cronies at the CPA’s health office lacked experience, ignored the advice of international health professionals, failed to restore Iraq’s health systems, and wasted millions of taxpayer dollars. The political appointee who ran the office had never worked overseas and had no international public health experience.

      20) Administration officials promoted construction of a “boondoggle” children’s hospital in Basra, which ended up more than a year behind schedule and at least 100 percent over budget.

  11. QUESTION:
    Why do liberals think they know everything on the war in Iraq?
    Daily Kos….Liberal bias news/newspapers.

    Why don’t they admit they know nothing about military intelligence?
    I have a brother that graduated from West Point in 97′ and still serves as a captain in the army. He laughs at everything liberals have to say, proclaiming they don’t know anything.
    It goes both ways, but dems think the war is pointless, when they don’t know the facts.

    • ANSWER:
      BECAUSE THEY PAY ATTENTION TO FACTS, NOT RIGHTWING LIES.

      Here are some examples for you…

      http://democrats.senate.gov/dpc/dpc-new2.cfm?doc_name=inv2

      1) Halliburton billed taxpayers .4 billion in questionable and undocumented charges under its contract to supply troops in Iraq, as documented by the Pentagon’s own auditors.

      2) Parsons billed taxpayers over 0 million under a contract to build 142 health clinics, yet completed fewer than 20. According to Iraqi officials, the rest were “imaginary clinics.”

      3) Custer Battles stole forklifts from Iraq’s national airline, repainted them, then leased the forklifts back to the Coalition Provisional Authority (CPA) through a Cayman Islands shell company — charging an extra fee along the way.

      4) Halliburton allowed our troops in Iraq to shower, bathe, and sometimes brush their teeth with water that tested positive for e. coli and coliform bacteria. One expert has said that the troops would have been better off using the highly polluted Euphrates River. Halliburton has admitted that it lacked “an organizational structure to ensure that water was being treated in accordance with Army standards and its contractual requirements.”

      5) Halliburton served the troops food that had spoiled or passed its expiration date. Halliburton managers ordered employees to remove bullets from food in trucks that had come under attack, then saved the bullets as souvenirs while giving the food to unwitting soldiers and Marines.

      6) Halliburton charged taxpayers for services that it never provided and tens of thousands of meals that it never served.

      7) Halliburton double-charged taxpayers for 7,000 worth of soda.

      8) Halliburton tripled the cost of hand towels, at taxpayer expense, by insisting on having its own embroidered logo on each towel.

      9) Halliburton employees burned new trucks on the side of the road because they didn’t have the right wrench to change a tire — and knew that the trucks could be replaced on a profitable “cost-plus” basis, at taxpayer expense.

      10) Halliburton employees dumped 50,000 pounds of nails in the desert because they ordered the wrong size, all at taxpayer expense.

      11) Halliburton employees threw themselves a lavish Super Bowl Party, but passed the cost on to taxpayers by claiming they had purchased supplies for the troops.

      12) Halliburton chose a subcontractor to build an ice factory in the desert even though its bid was 800 percent higher than an equally qualified bidder.

      13) Halliburton actively discouraged cooperation with U.S. government auditors, sent one whistleblower into a combat zone to keep him away from auditors, and put another whistleblower under armed guard before kicking her out of the country.

      14) Halliburton sent unarmed truck drivers into a known combat zone without warning them of the danger, resulting in the deaths of six truck drivers and two soldiers. Halliburton then offered to nominate the surviving truck drivers for a Defense Department medal — provided they sign a medical records release that doubled as a waiver of any right to seek legal recourse against the company.

      15) Halliburton’s no-bid contract to rebuild Iraq’s oil infrastructure was the worst case of contract abuse that the top civilian at the Army Corps of Engineers had ever seen. She was demoted after speaking out.

      16) Under its no-bid contract to rebuild Iraq’s oil infrastructure contract, Halliburton overcharged by over 600 percent for the delivery of fuel from Kuwait.

      17) Halliburton failed to complete required work under its oil infrastructure work, leaving distribution points unusable.

      18) Iraq under the CPA was like the “Wild West,” with few limits and controls over how inexperienced officials spent — and wasted — millions of taxpayer dollars.

      19) Cronies at the CPA’s health office lacked experience, ignored the advice of international health professionals, failed to restore Iraq’s health systems, and wasted millions of taxpayer dollars. The political appointee who ran the office had never worked overseas and had no international public health experience.

      20) Administration officials promoted construction of a “boondoggle” children’s hospital in Basra, which ended up more than a year behind schedule and at least 100 percent over budget.

  12. QUESTION:
    I want to know something about CPA (Certified Public Accounting)?
    I am interested in doing CPA? Can anyone help me with the fees structure and prerequisites to get admission. Also, I will like to know how long does it take to complete the course and do I need to do internship or attend some college … or is it a distance learning program like those in UK e.g.: ACCA, CIMA, etc.

    • ANSWER:
      I think it differs depending on what state you live in. However, I think this is how it is in GA.

      To become a CPA you need 150 hours of college credit.

      Of the 150, 30 hours has to be accounting classes above principles courses.

      Then you need to take the CPA exam, which has four parts. They are business environments and concepts, regulation, financial accounting, and auditing.

  13. QUESTION:
    What jobs are useful with a pilot license?
    what jobs other than a pilot are there that it would be useful to have a private pilot’s license? Like for EXAMPLE: a reporter. It could be useful to fly place to place on your own. What other jobs are there?

    • ANSWER:
      Sales people and consultants find personal aviation a very powerful tool if they are in a market in which their fee structure covers the cost. Of course you have to be covering a territory large enough to justify the cost. I know a sales person who handles specialized steel castings and makes several hundred thousand dollars a year in commissions. He covers the East Coast from Georgia to New York State, and uses his Cessna Skymaster at least once a week and usually more often.

      I know a consultant who installs special equipment at veterinary clinics and animal hospitals all over the Mid-Atlantic states. She spends a lot of time doing workshops and training seminars for veterinarians, and sometimes has to be in places like Atlanta one day and Louisville the next. She flies a Beechcraft Travel Air and could not work without it.

      Of course you have to keep in mind that it is against the law for a Private Pilot to be compensated for piloting services, so you have to set up the books so that it is clear that your job/company pays for the aircraft costs but does not pay you anything. Consult a CPA about exactly how to do this. It is complicated, and people have gotten into trouble with the FAA for not keeping good records.

      Finally, neither of these people or the hundreds like them who use an airplane as a working tool could manage without an instrument rating and lots of safety seminars and constant reading about safety. You have to be very grown up to succeed and survive.

      Maybe those stories will give you some ideas. Good luck!

  14. QUESTION:
    Calif. Law-what’s an LLC and how easy is it to set up for holding a couple of houses by my family & myself?
    We have inherited small trust and would like to protect them (the houses in
    the trust). Do we need cpa or lawyer or something? Cost? Time frame?

    • ANSWER:
      California LLC – Inexpensive Way to Form Your LLC
      Compare Limited Liability Company (LLC) formation services. Find out how to form your California LLC for just 5 plus state fees.http://www.california-llc.net – Cached

      California LLC | California Limited Liability Company
      The formation of a California LLC can be a great business structure for your new … In California your LLC only requires one person, who can hold all positions in …http://www.incorporatefast.com/california-llc.html – Cached

  15. QUESTION:
    Are there any free online tax courses?

    • ANSWER:
      Dear Tax Info For Free,

      Believe it or not, if you call the IRS directly, they can tell you what tax programs and classes are available. Even some of your local Unemployment Offices in your state will have classes for business owners and individuals that are looking for tax solutions and courses. I highly doubt that there will be any free online courses, but I do know that a lot of statement agencies have free full-day courses and classes that they offer to people like yourself.

      Also the IRS or better known as the Department of the Treasury has many PDF files online that you can down load that will give you tax information. Try going to the IRS FAQ section that I provided in the sources below… And most importantly, try calling your local Unemployment Office or the IRS directly to find out what courses are available for people interested in learning more about tax structure and tax preparation.

      By the way, one reason why tax advice isn’t given freely online is that virtually all tax advice has to be interpreted and presented by a CPA – just calling your local CPA is well enough and for the consultation fee (which is what most CPAs charge) you should be able to get a lot of information out of them on the subjects that you’re interested in (i.e. small business, mortgages, etc.).

      Good luck!

      ~ A.R. Pouretezadi

  16. QUESTION:
    What can you tell me about Halliburton?
    ….And what have they done in Iraq?

    • ANSWER:

      http://democrats.senate.gov/dpc/dpc-new2.cfm?doc_name=inv2

      1) Halliburton billed taxpayers .4 billion in questionable and undocumented charges under its contract to supply troops in Iraq, as documented by the Pentagon’s own auditors.

      2) Parsons billed taxpayers over 0 million under a contract to build 142 health clinics, yet completed fewer than 20. According to Iraqi officials, the rest were “imaginary clinics.”

      3) Custer Battles stole forklifts from Iraq’s national airline, repainted them, then leased the forklifts back to the Coalition Provisional Authority (CPA) through a Cayman Islands shell company — charging an extra fee along the way.

      4) Halliburton allowed our troops in Iraq to shower, bathe, and sometimes brush their teeth with water that tested positive for e. coli and coliform bacteria. One expert has said that the troops would have been better off using the highly polluted Euphrates River. Halliburton has admitted that it lacked “an organizational structure to ensure that water was being treated in accordance with Army standards and its contractual requirements.”

      5) Halliburton served the troops food that had spoiled or passed its expiration date. Halliburton managers ordered employees to remove bullets from food in trucks that had come under attack, then saved the bullets as souvenirs while giving the food to unwitting soldiers and Marines.

      6) Halliburton charged taxpayers for services that it never provided and tens of thousands of meals that it never served.

      7) Halliburton double-charged taxpayers for 7,000 worth of soda.

      8) Halliburton tripled the cost of hand towels, at taxpayer expense, by insisting on having its own embroidered logo on each towel.

      9) Halliburton employees burned new trucks on the side of the road because they didn’t have the right wrench to change a tire — and knew that the trucks could be replaced on a profitable “cost-plus” basis, at taxpayer expense.

      10) Halliburton employees dumped 50,000 pounds of nails in the desert because they ordered the wrong size, all at taxpayer expense.

      11) Halliburton employees threw themselves a lavish Super Bowl Party, but passed the cost on to taxpayers by claiming they had purchased supplies for the troops.

      12) Halliburton chose a subcontractor to build an ice factory in the desert even though its bid was 800 percent higher than an equally qualified bidder.

      13) Halliburton actively discouraged cooperation with U.S. government auditors, sent one whistleblower into a combat zone to keep him away from auditors, and put another whistleblower under armed guard before kicking her out of the country.

      14) Halliburton sent unarmed truck drivers into a known combat zone without warning them of the danger, resulting in the deaths of six truck drivers and two soldiers. Halliburton then offered to nominate the surviving truck drivers for a Defense Department medal — provided they sign a medical records release that doubled as a waiver of any right to seek legal recourse against the company.

      15) Halliburton’s no-bid contract to rebuild Iraq’s oil infrastructure was the worst case of contract abuse that the top civilian at the Army Corps of Engineers had ever seen. She was demoted after speaking out.

      16) Under its no-bid contract to rebuild Iraq’s oil infrastructure contract, Halliburton overcharged by over 600 percent for the delivery of fuel from Kuwait.

      17) Halliburton failed to complete required work under its oil infrastructure work, leaving distribution points unusable.

      18) Iraq under the CPA was like the “Wild West,” with few limits and controls over how inexperienced officials spent — and wasted — millions of taxpayer dollars.

      19) Cronies at the CPA’s health office lacked experience, ignored the advice of international health professionals, failed to restore Iraq’s health systems, and wasted millions of taxpayer dollars. The political appointee who ran the office had never worked overseas and had no international public health experience.

      20) Administration officials promoted construction of a “boondoggle” children’s hospital in Basra, which ended up more than a year behind schedule and at least 100 percent over budget.

  17. QUESTION:
    Looking for a CPA in Delaware area to help me with taxes.
    Looking for a CPA in Delaware area to help me with taxes. How to find them? I am not in US but registered business in DE.

    thanks.

    • ANSWER:
      Check with the Delaware Society of CPAs. http://www.dscpa.org/

      They have a method for you to ask for a referral.

      Try to get at least three, and then interview them over the phone. Be prepared to discuss the type of business you have, how much hand-holding you will need (e.g., do you keep very good records, or do you throw everything into a shoebox), what is their fee structure, do they have experience with your type of business, what your gross revenues are and in what cities and states you do business in (this will give them an idea of how much work they will have to do and therefore you give you a more realistic estimate of fees).

      Also, if you already have legal representation for your business, ask your lawyer who they recommend. Do the same with any local banks you deal with – they may know which accountants they like doing business with.

      If you’re not satisfied with the answers your prospective firms provide, expand your search to nearby state societies (Pennsylvania, New Jersey, Maryland) and repeat the process. Accountants are becoming more and more specializied and it is likely with a little legwork on your part you will find just the right firm.

  18. QUESTION:
    is it against the law for a non profit organization to hold fundraising events or collect donations?

    • ANSWER:
      Dear Not For Profit,

      This is a great question! I’m actually on the Board of Directors for a local Non-Profit here in Laguna Beach, California. I wanted to point out that non-profit organizations are a wonderful resource for people to get together and raise money for a cause or lack of money for certain resources.

      Your non-profit (if recognized by the State that the non-profit was created in), can accept donations, collect dues, collect membership fees, can hold events (like auctions, bake sales or donated sales) and receive monies from any legitimate activities.

      The key thing is, that the monies you are collecting go towards the expense of the organization and the company breaks-even. One example of expenses could be salaries, grant monies (i.e. 00 scholarship to a college student) and general operating expenses (office rent, printing supplies, etc).

      The only thing you really need to do is to make sure that the non-profit doesn’t actually make a profit. This shouldn’t be too hard if you’re donating funds to charities or special needs circumstances. I provided a few resources below on a way that you can collect donations (found it off the web for you – seems like a free service too) and to get more information.

      Ultimately, I would talk with a CPA and go over the structure of your organization and how to run general expenses and activities through the company… Good luck to you on your event ideas!!!

      Regards,

      ~ A.R. Pouretezadi

      P.S. The people that also responded after me say you CAN NOT have an interest baring bank account? That is completely false. I work at a bank and the only two entities that can have FDIC insured / interest baring checking accounts are Sole Proprietorships and Non-Profits. So go ahead and make some interest!!! Just keep in mind what I noted above about profits / breakeven.

  19. QUESTION:
    which one is the best for the long run?
    i’m 25 yrs old, and trying to figure out where to invsetment my money on the long run. I have not opened any 401k or IRA and roth IRA. Im just bothered by differences… i know they are all retirement account, and have differences on the taxes, etc. what about mutual funds? would it be the same as the retirement account that i mentioned? is there any minimum acoount to open? please helllp!!

    • ANSWER:
      401K and IRA and Roth IRA are all about taxes. The investment is the same, no matter what.

      They’ve proven pretty conclusively that professionals can’t pick stocks very well. A “market basket” of average stocks will outperform every stock picker out there.

      For the long run, small cap companies tend to outperform large cap companies. Some of them do horribly, and a few of them do *really* well, so a market basket of small cap companies is the way to go.

      For the long run, “value” companies tend to outperform income or growth companies. “Value” companies are companies that have been beaten up in the stock market because they’re doing poorly, and maybe even are in bankruptcy. Many of them do horribly, but a few of them do *really* well, so a market basket of value companies is the way to go.

      Consequently, for a period of time 10 years or longer, a small cap value “index fund” is probably the best bet. Index funds are a market basket, with no clever manager trying to get in and get out of stocks at exactly the right moment, and with really low management fees. The Vanguard funds are the biggest, but there are other small cap value stock index funds out there.

      Without knowing what your tax situation is, I can’t recommend whether you want 401K, IRA or Roth IRA. You need a tax expert. Don’t go to a CPA – they are usually generalists. Instead, find someone who is an “enrolled agent’. That means he’s a whiz about taxes. He can advise you on how to structure your investment.

  20. QUESTION:
    what’s a typical finders fee for someone who brings another customer in for a condo purchase?

    • ANSWER:
      Depends upon the situation. If they are a licensed agent. Then 25-30% of the sales price of the condo.

      If they bought one and now their friend wants to buy one, I think you have to consider that you must pay tax on that income and then pay it out tax free. I’d give them a token. 0-500 If it’s a million dollar condo, then you need to talk to your CPA about how to structure the fee so that you can deduct it from your income taxes.

      best of luck

  21. QUESTION:
    why dont the democrats have any morals ?

    • ANSWER:
      Right question.
      Wrong party.

      ——————-

      http://democrats.senate.gov/dpc/dpc-new2.cfm?doc_name=inv2

      1) Halliburton billed taxpayers .4 billion in questionable and undocumented charges under its contract to supply troops in Iraq, as documented by the Pentagon’s own auditors.

      2) Parsons billed taxpayers over 0 million under a contract to build 142 health clinics, yet completed fewer than 20. According to Iraqi officials, the rest were “imaginary clinics.”

      3) Custer Battles stole forklifts from Iraq’s national airline, repainted them, then leased the forklifts back to the Coalition Provisional Authority (CPA) through a Cayman Islands shell company — charging an extra fee along the way.

      4) Halliburton allowed our troops in Iraq to shower, bathe, and sometimes brush their teeth with water that tested positive for e. coli and coliform bacteria. One expert has said that the troops would have been better off using the highly polluted Euphrates River. Halliburton has admitted that it lacked “an organizational structure to ensure that water was being treated in accordance with Army standards and its contractual requirements.”

      5) Halliburton served the troops food that had spoiled or passed its expiration date. Halliburton managers ordered employees to remove bullets from food in trucks that had come under attack, then saved the bullets as souvenirs while giving the food to unwitting soldiers and Marines.

      6) Halliburton charged taxpayers for services that it never provided and tens of thousands of meals that it never served.

      7) Halliburton double-charged taxpayers for 7,000 worth of soda.

      8) Halliburton tripled the cost of hand towels, at taxpayer expense, by insisting on having its own embroidered logo on each towel.

      9) Halliburton employees burned new trucks on the side of the road because they didn’t have the right wrench to change a tire — and knew that the trucks could be replaced on a profitable “cost-plus” basis, at taxpayer expense.

      10) Halliburton employees dumped 50,000 pounds of nails in the desert because they ordered the wrong size, all at taxpayer expense.

      11) Halliburton employees threw themselves a lavish Super Bowl Party, but passed the cost on to taxpayers by claiming they had purchased supplies for the troops.

      12) Halliburton chose a subcontractor to build an ice factory in the desert even though its bid was 800 percent higher than an equally qualified bidder.

      13) Halliburton actively discouraged cooperation with U.S. government auditors, sent one whistleblower into a combat zone to keep him away from auditors, and put another whistleblower under armed guard before kicking her out of the country.

      14) Halliburton sent unarmed truck drivers into a known combat zone without warning them of the danger, resulting in the deaths of six truck drivers and two soldiers. Halliburton then offered to nominate the surviving truck drivers for a Defense Department medal — provided they sign a medical records release that doubled as a waiver of any right to seek legal recourse against the company.

      15) Halliburton’s no-bid contract to rebuild Iraq’s oil infrastructure was the worst case of contract abuse that the top civilian at the Army Corps of Engineers had ever seen. She was demoted after speaking out.

      16) Under its no-bid contract to rebuild Iraq’s oil infrastructure contract, Halliburton overcharged by over 600 percent for the delivery of fuel from Kuwait.

      17) Halliburton failed to complete required work under its oil infrastructure work, leaving distribution points unusable.

      18) Iraq under the CPA was like the “Wild West,” with few limits and controls over how inexperienced officials spent — and wasted — millions of taxpayer dollars.

      19) Cronies at the CPA’s health office lacked experience, ignored the advice of international health professionals, failed to restore Iraq’s health systems, and wasted millions of taxpayer dollars. The political appointee who ran the office had never worked overseas and had no international public health experience.

      20) Administration officials promoted construction of a “boondoggle” children’s hospital in Basra, which ended up more than a year behind schedule and at least 100 percent over budget.

  22. QUESTION:
    difference between c-corp,s-corp,llc and ltd. in non business language?

    • ANSWER:
      The two main reasons why someone would form a business entity like a corporation are 1) for limited liability protection and 2) tax advantages.

      With limited liability protection, your personal assets are shielded from liability. In a corporation, shareholders are generally not responsible for company debts and obligations. A shareholder’ s risk is limited to his/her investment in the company. LLCs (limited liability companies) also provide limited liabilty protection for their owners. Without an entity, if you are operating as a one-man show, you are a sole proprietor–and sole proprietors have absolutely no liability protection. If the business owes money, you owe money. If a plaintiff or a creditor goes after the business, they actually go after you.

      The tax issue is a bit more complex. At the most basic level, a tax benefit can first be achieved by reducing one’ s net taxable income. Theoretically, the lower the amount of net taxable income you have, the less taxes you pay. So, obviously, one way of reducing the net taxable income is by running legitimate business expenses through your corporation so that they are deducted from your gross income. Anything from office supplies and paper towels to office rent (or a deduction for the business use of your home) and gas and/or mileage on your car. But, the same goes for other tax types, including LLCs and corporations taxed as S corps.

      Whether or not a corporation, S corp or LLC will provide you with the most tax benefits will depend on a variety of factors such as revenue, salaries/employee benefits (and whether or not you even have employees), corporate income tax rates, your individual income tax rate (as income from S corps and LLCs pass through to their owners and are taxed at their individual income tax rates), state taxes and fees, how you plan to generate capital for the company, and other things.

      And even then, you’ ll want to look at other implications of forming a corporation vs. LLC (or S corp)–e.g. operational flexibility, ownership structure, recordkeeping–when deciding on the type of entity to go with. So, I would say keep reading and learning and, if you have to, talk to a CPA to get a handle on the tax side of things before you make a decision one way or the other.

  23. QUESTION:
    typical contractor and accountant relationship.?
    I’m in process of opening a contractor business, I will incorporate and I need to know what are key questions that I should ask an accountant?, can I use any software to track sales records?, what’s the best way to submit any records to an accountant?, what are typical accounting rates?. Too many questions I know but any answers will help, thank you.

    • ANSWER:
      All he or she is going to care about is the completeness of your records and his or her ability to turn those records into financial statements and tax returns. They will need at least your cash disbursement journal / check register, your sales journal, your cash receipts journal, and if pertinent, your purchasing journal and general journal. They will want a record of your various assets; e.g., cars, trucks, equipment, etc. including dates purchased, how much you paid for them etc. How you turn them over to the accountant will mainly determine how much they are going to charge. Software based records will generally be fine, but they may prefer you to switch to something they feel is better (probably something they’ll sell you.)
      The fee structure could be all over the map depending on the complexity of your information and its volume and how it’s maintained. There are various levels of service in the industry ranging from bookkeepers to accountants to CPA’s (although some states also have Public Accountants as well.) Some might charge to for a pretty limited ability, medium levels of service will probably go for to , and some wil run 0 and up; all are hourly rates of course.
      I think what I would want to know is who is going to do the work, what work is going to be performed, what are the qualifications of the firm and the person working on the account, how much it’s going to cost, and who owns the records generated.

  24. QUESTION:
    Company: LLC, C-Corp, Sorp – Taxes on Just Profits!?
    I am currently working with a few CPA Networks. [NeverBueAds, Azoogle, Copeac]

    I am doing around 1/k month now, and I don’t know what I should do about Taxes. All that 1K of revenue is not pure profit, I also have expenses that are used to make that money, about 1K/month. I need to fill out a W-9 form before I could get my earnings. However, I just do it under my own name, as there is really nothing to worry about.

    However, would I need to set up something, like a LLC or something, I feel I should only pay taxes in my profits and not on all revenue. So I would be writing off computers, internet, % of my home for office space, and then other things related to my Search Marketing process.

    Thank you for any information you may have.

    • ANSWER:
      You can very well continue as you are doing right now — sole proprietor. You don’t have to complicate your life and create an LLC, C corp or S Corp in order to deduct your business expenses.

      Use Schedule C to list your income and expenses. You can deduct from your taxes your business expenses such as webhosting fees, advertising fees, purchase of computers, office supplies, even do home business deductions if you operate your business from home.

      Read the following IRS publications

      Small Business and Self-Employed One-Stop Resource http://www.irs.gov/businesses/small/index.html — this is the main page with links to what qualifies as business deductions.
      Schedule C instructions http://www.irs.gov/pub/irs-pdf/i1040sc.pdf
      Business Use of Your Home (for home based businesses) http://www.irs.gov/pub/irs-pdf/p587.pdf

      If your business grows and you get partners for your business, or if you expand your business to another field, then you can consider changing your legal structure to S corp, C corp or LLC.

      I highly recommend buying the latest version of the book JK Lasser guide to taxes for small business owners, as they itemize all possible deductions you can get as a business owner.

      J.K. Lasser’s Small Business Taxes 2008: Your Complete Guide to a Better Bottom Line http://www.amazon.com/J-K-Lassers-Small-Business-Taxes/dp/0470152656/ref=pd_bbs_3?ie=UTF8&s=books&qid=1202607112&sr=8-3

  25. QUESTION:
    Company: LLC, C-Corp, Sorp – Taxes on Just Profits!?
    I am currently working with a few CPA Networks. [NeverBueAds, Azoogle, Copeac]

    I am doing around 1/k month now, and I don’t know what I should do about Taxes. All that 1K of revenue is not pure profit, I also have expenses that are used to make that money, about 1K/month. I need to fill out a W-9 form before I could get my earnings. However, I just do it under my own name, as there is really nothing to worry about.

    However, would I need to set up something, like a LLC or something, I feel I should only pay taxes in my profits and not on all revenue. So I would be writing off computers, internet, % of my home for office space, and then other things related to my Search Marketing process.

    Thank you for any information you may have.

    • ANSWER:
      You can very well continue as you are doing right now — sole proprietor. You don’t have to complicate your life and create an LLC, C corp or S Corp in order to deduct your business expenses.

      Use Schedule C to list your income and expenses. You can deduct from your taxes your business expenses such as webhosting fees, advertising fees, purchase of computers, office supplies, even do home business deductions if you operate your business from home.

      Read the following IRS publications

      Small Business and Self-Employed One-Stop Resource http://www.irs.gov/businesses/small/index.html — this is the main page with links to what qualifies as business deductions.
      Schedule C instructions http://www.irs.gov/pub/irs-pdf/i1040sc.pdf
      Business Use of Your Home (for home based businesses) http://www.irs.gov/pub/irs-pdf/p587.pdf

      If your business grows and you get partners for your business, or if you expand your business to another field, then you can consider changing your legal structure to S corp, C corp or LLC.

      I highly recommend buying the latest version of the book JK Lasser guide to taxes for small business owners, as they itemize all possible deductions you can get as a business owner.

  26. QUESTION:
    Need help forming LLC in Florida?
    I know I have to fill out an Articles of Organization and pay the 5 filing fee but what happens after that? What else do I need to fill out and when do I know it’s approved? How long does it take? I’m going to be the only person in the LLC and don’t have any employees so are there any other forms I need to fill out?

    I want to start my own company but don’t have very much capital to put into it at the moment which is why I’m doing all the forms myself. It’s a web based business re-selling products if that makes a difference.
    Please correct me if I’m wrong but I thought that one advantage of an LLC was that the business operates as a separate entity from the individual running it; meaning that if my business gets sued it can’t hurt my personal credit.

    I’m trying to limit the damage that I can personally incur if there happens to be some major catastrophe with the business.

    • ANSWER:
      As far as the IRS is concerned, there is no such thing as an LLC.

      Tax entities are an individual (Sch C on your 1040), a partnership (Form 1065), or a Corporation (1120/1120s). By default the IRS will treat your LLC as a partnership, and so does the state.

      This means all income generated by the company is taxed as self-employment, an additional 16% over your regular taxes. If you are going to be running an active business (not real estate rentals or investments), it may be a better idea to look into an S-Corporation for both liability and tax reasons.

      There are many websites that will file your organizational papers with the state of your choice and get you an EIN – you can even do this yourself for a minimal charge – but these services usually do not register you with your local entities (County, City, sales tax, and/or school district) – failing to report to them for even a year or two can lead to thousands of dollars in fines.

      I would suggest talking with a local CPA before you get going – not only can they advise you on the best organizational structure to reduce your tax liability, but they will be experienced in reporting for your area and know what entities you need to be registered with.

      Once you are registered, you will receive your articles of organization or incorporation back from the state with your secretary of state number stamped on it – be sure to keep this document in a save place as you may need a copy of it to open bank accounts and other legal instances. The IRS will send you a ‘SS-4′ form with your EIN and showing what type of entity you are registered as along with the type of form and frequency to file. Again, keep this document for legal reasons. You will receive similar registration documents for other entities you have to deal with (Certificate of Resale from your sales tax authority, Business License from your city, property statement from the county, etc)

      To protect yourself and prevent a legal challenge to your entity, you will also need to have a separate checking account and maintain annual minutes – watch out for invoices from legal sounding names like ‘Department of Corporate minutes’ stating they need a list of officers and a check for 0 – no state requires their minutes to be registered, these are paralegal firms that are scaming small businesses all the time and have really picked up in the current recession.

  27. QUESTION:
    Taxes on lawsuit settlement?
    After hurricane Katrina, we received no money from our insurance company for our claim. Because of this, we entered into litigation. Eventually we reached a settlement. Our CPA did our taxes and we paid taxes on the settlement (including the portion the attorneys got). Since then, many people (including another CPA) have told us that this should not be taxable. Any comments? We settled out of court with the company – it was not a lawsuit victory.
    Is this taxable? The CPA firm is local and handled lots of similar claims and settlements, so we figured they knew the right way to proceed. Is it cut and dried? Is there room for interpretation in this area by different CPAs?
    Let me know.

    Thanks

    • ANSWER:
      To the extent that it made you whole again it’s not taxable. If your reimbursement was for more than your losses, the excess is taxable, as are any punitive damages and accrued interest.

      Maybe time to slap the attorney as well. He should have structured it so that his fees were paid directly by the defendant though you can take an itemized deduction for the portion of the fee that represents any taxable reimbursement.

  28. QUESTION:
    Question about having large sum of money in CDs?
    So at the moment I have two bank accounts; Bank of America (Had this account for about 3 years) and Wells Fargo (Opened the account today). So today my parents gifted me money by moving from their accounts exactly 0,000 to my Bank of America account in a 12 month CD and in my Wells Fargo account exactly 0,000 in a 26 month CD (The reason for the exact amount of 0,000 in two different bank accounts is so not to exceed the the FDIC insurance limit). So from the information from my parents and bank associate, I would not have to file a income tax for 2012 next year because the income was not earned, was a gift from my parents, and it could be seen as just moving money around (My father’s name is on both CDs with mine). Is this true? Should I worry about the IRS? I’m going to contact my parent’s CPA sometime today or tomorrow.

    • ANSWER:
      The gift giver will pay all gift taxes, not the one who receives. However, once you take ownership, all income derived from the CDs will pass on to you, as the owner.

      If your father’s name is on the CDs as a ‘joint owner’, the institution holding the accounts will either tax one Social Security number, or both as you requst. That will depend upon how the account is titled. If it’s a Joint Tenancy account – you will both be taxed. If it’s a Joint Tenants With Rights of Suvivorship – there will be a primary SSN – and once your Dad dies, it will become yours.

      From the basic information that you have given – this doesn’t sound like it’s a full gift yet , it sounds like your father just added your name to a joint account. For him and your Mother to give you this much in one gift – may have been a foolish tax move, since it will go against their lifetime gift exclusion – and/or they will need to pay gift taxes on it once you take possession.

      To protect yourself, and your parents from some potential tax problems – I would suggest strongly that you keep that appointment with the CPA. If the account is titled incorrectly – you or your parents may face taxes and penalties if you ignore tax requirements.

      One more thing – if each account has joint owners, you may actually have FDIC coverage for 500k because accounts are insured for 250k “per co-owner”. (http://www.fdic.gov/deposit/deposits/dis/index.html) This means that you don’t need two separate accounts with separate fee structures and all of the garbage that comes in the mail with them. With that said – you may be better off keeping multiple accounts, because the deposit amounts will reach the FDIC coverage limits, and when you start adding in the income from the CDs – the accounts will exceed coverage.

  29. QUESTION:
    Insurance case study question!?
    Jay, age 27, and Mary, age 25, were recently married. Jay has just become a CPA and is working for TaxFast as a tax preparer and staff accountant. His annual salary and bonus is ,000. Mary is a high school teacher, earning ,000 per year. They have recently made an offer, which was accepted, on a home costing 0,000. The couple has obtained a commitment from a lender for a loan of 0,000 on a first mortgage with a fixed rate for 30 years and a second mortgage for the remaining ,000 which will be repaid in 5 years. The home is new, but the basement is unfinished. Jay and Mary plan to finish the basement over the next 2 or 3 years as time and money allow. Both are very capable of doing the finishing work without hiring outside help. It is anticipated the materials cost will be ,000, and the value of the home will increase ,000 when the finishing is completed. The couple plan on having two or three children over the next 10 years. They assume the children will go on to 4 years of college.

    Mary owns a 2007 Chevy HHR with a loan of ,000 and Jay owns a 2006 Saturn with a loan of ,000. Both have excellent driving records.

    Mary’s employer provides a Cafeteria Plan with choices of benefits including life insurance, single health insurance, dental insurance, long term care insurance, long term disability insurance, daycare, and 401K. The employer will pay the cost of any two of the benefits, and if she desires more benefits, can purchase them.

    Jay’s employer provides family health insurance, family dental insurance, and 401K. Long term disability insurance and long term care insurance can be purchased.

    Other facts to consider:
    Student Loans: Jay ,000, Mary ,000
    Home is not in 100 year flood plain, but area was flooded in severe flood of 1997
    Lender does not require flood insurance, but premium would be 0/yr
    Rate for H03 homeowner policy ,260 per year. If replacement cost coverage
    on contents is purchased rate is 0 higher, replacement cost coverage
    on house would be an additional 0
    Rate for liability insurance on autos 0 per year each, 0 deductible
    comprehensive and 0 deductible collision 0 per year each; 0
    deductible comprehensive and 0 deductible collision 0 per year
    each.
    Life insurance rates per year(rate same for Jay or Mary) (must add policy discount fee to each policy)
    30 year decreasing term $.75 per thousand
    20 year level term .25 per thousand
    Annual renewable term $.60 per thousand
    Whole Life .10 per thousand
    First to die coverage 20 year level term .75 per thousand

    Jay and Mary are your friends and ask your advice concerning a possible insurance program to protect them. They are dealing with an experienced insurance agent, but would like your input. Consider and discuss the following based on the above facts and your knowledge of insurance and risk management:

    1.How should Jay and Mary structure their benefits from their employers?

    2.What coverage’s would you recommend for auto insurance?

    3.What coverage’s would you recommend for homeowner and flood insurance?

    4.Would you recommend life insurance, and if so, explain the type(s) of policies
    and amounts you would suggest.

    • ANSWER:
      You are asking far too big a question for yahoo answers, nobody is going to do your homework for you.

      Some of your information doesn’t make sense:

      Your life insurance rates are listed per thousand, but life insurance rates operate in bands with the rate decreasing as the benefit increases. For instance, due to the banding, a 9,000 policy might actually be more expensive than a 0,000 policy.

      A 0 auto policy?!? Where do these people live? Oh, nobody should have a 0 deductible either.

      Recommendations:
      1. Banks will require replacement cost on their home, especially with a second mortgage. I always push replacement cost on contents.
      2. At their age and debt level, they should not be investing in Whole Life policies, term is just fine. Decreasing term policies are only good for covering a bank loan, they should purchase level terms of 20-30 years. They should probably buy 30 year terms, to make sure that the kids they intent to have in the next 10 years would be covered into college.
      3. A flood 4 years ago would convince me to purchase flood insurance, especially for 0 annually.
      4. In Mary’s cafeteria plan, I would take LTD definitely, then maybe the 401K. LTC doesn’t make sense since it probably won’t be portable. Health and dental are already provided by Jay’s business.

  30. QUESTION:
    What Does H&R Block pay new preparers in Ga?
    I was offered a gratis class at my local H&R Block on tax preparation. My initial plan was to take it and do my own taxes next year for free. (Saving 0 on prep fees! OUCH!) They have since offered me a job following the class.
    They have no offered any details on the pay structure. My spouse is in the Army, so I have to work around the availability of childcare. Do you make your own hours? Can anyone offer me any insight? Have you worked there before? Will you go back? Is the commission worth it or can I make more working a regular hourly job elsewhere?

    • ANSWER:
      Their pay is 100% commission, but it has a minimum of about .50 per hour. So you could probably make more per hour doing other things than you could in your first year. Your commission increases with time on the job for several reasons – you get a bonus %age per year that you work there and another based on how many hours of off-season training you get – plus you tend to build up a client base that will keep you getting busier and busier every year.

      My first year I only got a little over the minimum but I have increased my annual pay by over 10% per year every year that I worked there.

      So in time you can do pretty well unless … unless your only interest is how much money you can make per hour. The most successful preparers I know are those that have no idea how much money they make per hour. You can hurry through a return quickly so you can take on another one and thereby maximize your hourly rate for the current year. Or you can spend whatever time is necessary to get every last nickel back for your clients – do a little research, etc which takes time. That cuts into this year’s hourly rate – but it builds a client base that would never consider having anybody else do their taxes. I am proud to say that I am that second type and if I moved 100 miles away, I would not lose one out of ten of my clients – the other 9 would drive that 100 miles for me to work on their taxes.

      So if your only interest is how much you make on your first year, please do your potential clients a favor and go fry fries at McD or something else where the quality of your work doesn’t really matter. But if you like to take pride in your work and love to see somebody who is counting light up when you find a deduction that never knew about or get a refund twice as large as they ever had before, try the class and try the job for a couple of seasons. The hours are very flexible and the job can be very much what you make it. Since I have worked for them, I have done taxes, taught that class you are considering taking and many others, and become an Enrolled Agent (which is to tax accounting what a CPA is to GAAP accounting in the eyes of the IRS).

  31. QUESTION:
    Barbara Cubin’s no vote on “Accountability in Contracting Act?
    I havn’t been able to find out why she didn’ support it. It passed the house by a big majority. She represents Wyoming if that has anything to do with it.

    http://www.house.gov/cubin/press.shtml

    • ANSWER:
      PROBABLY BECAUSE IT WILL EXPOSE THE FRAUD COMMITTED BY THE GOP AND CHENEY’S HALLIBURTON:

      http://democrats.senate.gov/dpc/dpc-new2.cfm?doc_name=inv2

      1) Halliburton billed taxpayers .4 billion in questionable and undocumented charges under its contract to supply troops in Iraq, as documented by the Pentagon’s own auditors.

      2) Parsons billed taxpayers over 0 million under a contract to build 142 health clinics, yet completed fewer than 20. According to Iraqi officials, the rest were “imaginary clinics.”

      3) Custer Battles stole forklifts from Iraq’s national airline, repainted them, then leased the forklifts back to the Coalition Provisional Authority (CPA) through a Cayman Islands shell company — charging an extra fee along the way.

      4) Halliburton allowed our troops in Iraq to shower, bathe, and sometimes brush their teeth with water that tested positive for e. coli and coliform bacteria. One expert has said that the troops would have been better off using the highly polluted Euphrates River. Halliburton has admitted that it lacked “an organizational structure to ensure that water was being treated in accordance with Army standards and its contractual requirements.”

      5) Halliburton served the troops food that had spoiled or passed its expiration date. Halliburton managers ordered employees to remove bullets from food in trucks that had come under attack, then saved the bullets as souvenirs while giving the food to unwitting soldiers and Marines.

      6) Halliburton charged taxpayers for services that it never provided and tens of thousands of meals that it never served.

      7) Halliburton double-charged taxpayers for 7,000 worth of soda.

      8) Halliburton tripled the cost of hand towels, at taxpayer expense, by insisting on having its own embroidered logo on each towel.

      9) Halliburton employees burned new trucks on the side of the road because they didn’t have the right wrench to change a tire — and knew that the trucks could be replaced on a profitable “cost-plus” basis, at taxpayer expense.

      10) Halliburton employees dumped 50,000 pounds of nails in the desert because they ordered the wrong size, all at taxpayer expense.

      11) Halliburton employees threw themselves a lavish Super Bowl Party, but passed the cost on to taxpayers by claiming they had purchased supplies for the troops.

      12) Halliburton chose a subcontractor to build an ice factory in the desert even though its bid was 800 percent higher than an equally qualified bidder.

      13) Halliburton actively discouraged cooperation with U.S. government auditors, sent one whistleblower into a combat zone to keep him away from auditors, and put another whistleblower under armed guard before kicking her out of the country.

      14) Halliburton sent unarmed truck drivers into a known combat zone without warning them of the danger, resulting in the deaths of six truck drivers and two soldiers. Halliburton then offered to nominate the surviving truck drivers for a Defense Department medal — provided they sign a medical records release that doubled as a waiver of any right to seek legal recourse against the company.

      15) Halliburton’s no-bid contract to rebuild Iraq’s oil infrastructure was the worst case of contract abuse that the top civilian at the Army Corps of Engineers had ever seen. She was demoted after speaking out.

      16) Under its no-bid contract to rebuild Iraq’s oil infrastructure contract, Halliburton overcharged by over 600 percent for the delivery of fuel from Kuwait.

      17) Halliburton failed to complete required work under its oil infrastructure work, leaving distribution points unusable.

      18) Iraq under the CPA was like the “Wild West,” with few limits and controls over how inexperienced officials spent — and wasted — millions of taxpayer dollars.

      19) Cronies at the CPA’s health office lacked experience, ignored the advice of international health professionals, failed to restore Iraq’s health systems, and wasted millions of taxpayer dollars. The political appointee who ran the office had never worked overseas and had no international public health experience.

      20) Administration officials promoted construction of a “boondoggle” children’s hospital in Basra, which ended up more than a year behind schedule and at least 100 percent over budget.

  32. QUESTION:
    can I pay off points on an existing loan?
    I have a rental property (my first and not an intentional one) and I love my tenants, but with the economy the way it is it is getting harder for them to pay me (they have still never missed a payment or been late). Is it possible for me to pay down points on a existing loan (still tax deductable) and lower my monthly payment so I can lower my tenants? I would hate to kick them out or make it hard for them, and I would also hate having to find a new tenant this early (second year) Knowing how good my tenants are now!! Keep in mind if I refinace it will probably be at a higher rate than 6.7 because it is now a investment property instead of my residence.
    Still no one has told me if it is possible, they have just tried to sell me something execpt for you guy from texas or where ever your from

    • ANSWER:
      That is a very difficult question that would probably require a more in-depth look into the financial details.

      The mortgage broker may be helpful, but keep in mind that most brokers simply make a profit from orginating a loan, and have NO vested interest in whether or not it makes sense for you personally. He makes money no matter how bad the loan is for you.

      The ultimate answer to your question depends on a LOT of factors that you haven’t given in your question:

      You would need to know how long the loan was, how much the loan would end up being, how much you are paying now, what your estimated expenses and so forth were, etc, etc, etc,

      That said, it seems you probably need some more professional help.

      It would probably be worthwhile to talk to an accountant in your area and get some professional advice. This will NOT be cheap, but would be cheaper than making a mistake at this point. (I would estimate this to cost somewhere in the neighborhood of 0, but my confidence in that guess is not very high, it would depend greatly on how much the CPA might charge)

      You would also need to talk to a local banker to look at financing options.

      Also, keep digging around for some other free good advice.

      Clark Howard has a decent website, and radio show that offers some awesome advice.

      Sorry I can’t give you a more specific answer, but there are a lot of specifics that would be needed to do a decent analysis that weren’t given in the question body.

      BEGIN EDIT:

      NEVER NEVER NEVER NEVER give any personal financial information to a free email address from yahoo.com, hotmail, etc.

      I am here because I have a yahoo mail address, but scams are rife in places like this. Be VERY wary of giving specific information, like social security numbers to anybody you don’t know.

      I googled “clarke loan firm” and got exactly ZERO indication that it was a legitimate offer. Answers like this tend to attract automatic “spam” responses from shady people.

      My scam-dar is going off BIG time for that “offer”.

      ———–Second edit:

      It is possible.

      Whether or not refinancing the loan can end up actually saving you cash flow depends on a LOT of variables though.

      Your question seems to be asking if it is possible to re-finance the loan and lower your cash outflow so that you can lower your tenant’s rent and keep them.

      The answer is: Yes, it is possible, if the loan is structured correctly.

      My gut feeling is that it would be rather expensive to do so, however. Estimate a few thousand for refinancing fees for the loan, and an increased interest rate would tend to make the payments larger.

      If you have paid on a 30 year note for 15 to 20 years, and you refinance the loan back to a 20 or 30 year note, it WILL lower your payments.

      Respectfully:
      You would need to provide a lot more specific information to get a more solid answer. I’m not saying give out social security numbers or anything, but you would need to give the following data:
      Approximate credit rating (good/bad)
      Amount of current payment
      amount of principal left on mortgage
      proposed loan length (20 or 30 year)

      Given this data, it is possible to get a rough estimate as to how much cash flow to the mortgage would change.

  33. QUESTION:
    Avon…without the annoying show up to your door..?
    By the end of next week I should have my Avon website up and running. I am just a little lady trying to get funds to go to college (i have another job too as I know this won’t cut all the way) and other expenses. If you are interested in being a customer of mine than send me a message at DaniDavis28@gmail.com letting me know you are interested and we can work it out from there. You get free shipping and you don’t have to worry about someone putting something unwanted on your front doorstep or trying to run you over with their car lol.

    • ANSWER:
      Avon, similar to the many MLM schemes made sense in the ‘old days’ before the internet when were were not barraged with advertising, and there was a need for neighborhood representatives who was in turn managed by a regional representative

      The whole MLM structure of some companies is hard to justify as more than a pyramid scheme these days.

      Back to your case, there are tons of other Avon reps trying to get sales through a web site, the worst being the page many such companies provide their reps. You would probably have to do some very creative marketing to make online sales, being active on fashion oriented forums might be helpful, you could setup a free Facebook Fan Page as well, (you should not do business on your personal Facebook page, just mention your resume there)

      Actually, professional internet marketers would not bother with Avon, they could find better paying results for a similar effort without the throng of competing Avon reps., the hot area for marketers are CPA offers in which you are paid a finders fee for delivering a lead, in some cases someone signing up for free trials, (you have to pass a phone interview regarding your legitimacy a marketing skills to get into these programs)

      (Wanted to mention the alternative, more modern internet specific sales affiliate systems worth investigating.)

      Just a couple of current top paying CPA offers in this area:

      Lauren Hutton Face Disc $ 45.00 Sale
      Luminess Air – Airbrush Cosmetics – 30 Day Trial Offer $ 33.00 Lead
      Purity Mineral Makeup $ 29.00 Lead
      Sheer Cover $ 17.00 Lead
      Magic Minerals – Self Correcting Makeup Powder AsSeenOnTV 2011 $ 6.00 Sale
      CosmeticsCentre – Free Makeup & Cosmetics Kit – United Kingdom $ 1.05 Lead

  34. QUESTION:
    LLC for a EZINE (WEBZINE, Online Magazine, Production Company)?
    I’m in the process of launching an EZINE (or WEBZINE, or Online Magazine) through a domain I just purchased. In addition to being a writer, I am also a screenwriter. So, in actuality I wish to start a production company. Every thing I produce through my online magazine (articles, images, videos, et cetera), I wish to be copyrighted through my production company. “All Rights Reserved.”

    I work alone. I believe this makes this a sole proprietorship. I will make money through ads. How much? I don’t know yet. My question is how do I cover myself legally? I want to own all of my material and my company name. How do I register my company name so no one else can use it? Is this where an LLC or Inc. comes in? And, should I register for a TAX ID number? Thank you in advance. I’m new to this.

    • ANSWER:
      I would register as an LLC. Since you will be the sole member you can file a Schedule C on your 1040, which means you won’t have all the filing requirements of a corporation. Another good thing about an LLC is that when your business grows you can change the tax structure (i.e. corporation, partnership). You can go to the Department of State in your state an download the forms you need to file. It’s very easy. Don’t be intimidated, and you don’t need a lawyer. The annual fee will run about 0.

      In addition to being a writer I’m a CPA.


cpa fee structure

Cpa Fee Increase Letter

Frequently Asked Questions

  1. QUESTION:
    10 year statute of limitation with IRS debt question?
    in aug 1999, i filed about 7 years of IRS income tax returns. i had an accountant prepare the returns but he was not a CPA and i do not remember if he signed the returns or not.

    i was a non-filer for many years of income tax.

    i sent the IRS my package in august 1999 for all of these years.
    i owed a LOT – over 000. i knew that.

    i intended to do an offer in compromise but i never got around to it. i live in bklyn now. in around 2002, the irs started with the letters and i got very upset because i didn’t have the money to pay and i was not employed on a regular basis.

    somehow, in the past 5 years, i have not heard a word from the IRS.

    at this point, i believe through conversations with the agent or whomever the woman was at the irs, that she was convinced i was a financial basket case and i could not deal with this debt. i also had terrible problems with the irs in the 80s and they hounded me for debt that i didn’t owe but i didn’t properly handle it and i got a liar of a revenue collector and i paid through the nose, about k although in reality, i never owed one penny (the irs assessed additional taxes in 1982 – 84 on mileage deductions i took as a part of my sales job at the time and it was totally legit). but i didn’t answer their letters in the right amount of time allowed because i moved to another state and i got all kind of fees added and it became a total nightmare, and i paid back a LOT of money.

    i told the agent in 2002 all of this and i think she believed me. i told her to look it up so she could see that every word i said was true. (it was).

    so i thought that maybe the irs would leave me alone for the taxes owed that i sent in august 1999.

    my question is that there is a federal tax lien on my credit file for over ,000 now and it was placed there on december 2000. so the federal tax lien was placed on my file one year and 4 months AFTER i filed my taxes.

    in august 2009 (which is 10 months from now), 10 years would have passed and if the IRS has not collected from me (i still don’t have the $$ to pay NOR steady employment), do i owe the money still.

    FIRST QUESTION: will they likely renew the lien?? i have heard that they seldom do this.

    SECOND QUESTION: i have not heard from the irs in over 5 years concerning my debts. what does this mean?? it is a positive sign???

    THIRD QUESTION: does the 10 years SOL start and end the day and month and year of the date of taxes that i filed (meaning my date and signature which was my name – MH HALLSTIN and the date was Aug 1999 OR

    FOURTH QUESTION: is the SOL from the date of the lien that is listed on my credit report, which is actually december 2000 (which is one year and 4 months AFTER the date i filed).

    FIFTH QUESTION: i have decided to file bankruptcy at any time that the irs has decided to renew this lien for another 10 years because i cannot take the stress of it. so my question is, is this old irs debt dischargable in a chapter 7 bankruptcy (what about a chapter 11???)

    also, since 1999, i am again a non-filer however i probably don’t owe much money and probably the irs owes ME money (which of course i will never see and i am OK with that).

    ANOTHER QUESTION: i would like to file those years since 1999 and catch it all up. will filing these years trigger anything with the IRS to look at my situation again and make them renew the lien i referred to again.

    or should i wait to file the back tax years AFTER the 10 year lien expires??

    ANOTHER QUESTION: when does the irs renew an old lien and are there any rules about it (such as does the irs have to file another tax lien before the 10 years expires) and most importantly, as i asked above, the crux of this very long post is when does the 10 years start and end on a tax lien, when i file my taxes or when they put a lien on my credit file (or is there another factor that i am unaware of that is used as the 10 years that the irs is allowed to use).

    ANOTHER QUESTION: if i ask the irs all these questions, is it going to trigger/renew their interest in me???

    • ANSWER:
      1. IRS does not make a decision to renew the lien. Something has to be done to extend the statute of limitations. This can include filing bankruptcy, submitting an offer in compromise or signing a waiver to extend it.

      2. Your account was probably classified currently not collectible because of hardship and your income has not increased to the point where collection efforts would be productive or as unable to locate because they couldn’t find you. You should get a letter once a year stating your current balance due unless IRS does not have your current address.

      3. The 10 years clock starts running on the date on the first bill you received for each year.

      4. The date shown on the credit report is the date the Notice of Lien was filed. It is irrelevant to statute of limitations questions.

      5. If you file bankruptcy the taxes will be discharged except as to assets that are exempt under your state law that exceed IRS levy exemptions.

      6. If you file returns and have refunds, they will be applied to your outstanding debt. If your current income indicates you can make payments, IRS will have a look at you.

      7. You are required to file returns on time. You won’t get advice in this forum telling you not to file your returns.

  2. QUESTION:
    What Can I do to Save Time and Money during My Divorce?

    • ANSWER:
      1. Develop a clear, written Mission with your attorney. Always know what you are ultimately trying to achieve and make sure every step you take is headed in that direction.
      2. Request your attorney to estimate costs of actions before they occur and to give you a month estimate of what the fees might be for the coming month.
      3. Suggest that your attorney handle issues in a “collaborative fashion.” For example, instead of fight over issues, agree with the other side to jointly hire experts, such as appraisers, CPA’s, and custody and visitation experts.
      4. Let the past go.The more you treat the divorce as a business negotiation, the fewer emotional issues will cause cost increases.
      5. Tell your attorney you do not want a copy of everything that comes in or goes out of his office. Ask for only the most important documents.
      6. If documents need to be copied, copy them yourself.
      7. Don’t call you attorney unless it is absolutely necessary and keep the calls short.
      8. Don’t call your attorney about matters that should be discussed with your therapist.
      9. Suggest that your attorney tape record or video non critical depositions in order to save reporter fees.
      10. Don’t ask you attorney to subpoena unnecessary witnesses or documents.
      11. Communicate by email.
      12. Do record searches, such as corporate searches or deed searches yourself.
      13. Ask your attorney not to engage in letter writing battles with opposing counsel.
      14. Ask you attorney about mediation and when and how it can be used to bring your case to conclusion.

  3. QUESTION:
    I am thinking of investing with a financial planner who wants to charge me 1.9% of my assets. Is that fair?
    Just seeing what other people are getting charged out there.

    • ANSWER:
      Not sure where these other clowns are getting their information, but allow me to clarify some information:
      1. Check to see what types of investments you are being placed into. If it is a managed stock and bond portfolio (not mutual funds, annuities or insurance anything), 1.9% is certainly a fair fee so long as it includes market trades, and expert manager (with a track record) another expert looking at the economics, and the ability to have tax flexibility. While 1.9% sounds expensive, mutual funds (yes even vanguard), including transaction costs can run from 1.25%-3% no matter how much money you have invested with them not to mention some even carry added commissions! (see www.personalfund.com). Annuities are mutual funds plus insurance so add another .75-1.5% to the underlying funds on personalfund.com and you will see that most people are paying about 3.5% to have their money managed through annuites. Typically with fee based planners as your assets go up in value so does the dollar amount of their fee, but the actual percentage goes down, which is not the case with mutual funds, not even vanguard.
      Managed stock accounts do allow you to control taxes much better than mutual funds as well. Don’t forget that the financial planner wants to see your fee go up in dollars, if is based on a percentage, then as your account grows, so will his fee. If it continues to grow the percentage will drop, but the fee will continue to grow.
      See if your financial planner is actually a financial planner. If he doesn’t have the letters CFP somewhere after his/her name, he ain’t a planner. But being a CFP doesn’t mean squat if they aren’t adding value (reducing taxes and risk while increasing returns and goals). He should be meeting or willing to meet with your CPA and attorney.
      1.9% is high if you are investing in bonds, money market, savings accounts, or something that is guaranteed to pay a certain amount. 1.9% doesn’t mean squat to someone who has annualized returns net of fees of 15% for the past 10 years with less risk than the S&P500, that is powerful money making. If they aren’t getting the returns and you have time to do it yourself, then you can find cheaper, but not necessarily better.
      Be cautious. I have heard of some “advisors/planners” who charge an annual wealth manager fee and say their products don’t make them any money, but then put clients in “safe-guaranteed” investments that don’t charge commission when in reality they are annuities that pay 10-14% to the broker and the client is told they are free.

  4. QUESTION:
    IRS ~ Letter in Compromise help?
    Okay I am filling out a letter in compromise for what I owe the IRS and I have to make an offer to them for what I owe, does anyone have any idea what percentage I should offer them, half, 75%, 30%. What will they accept?

    • ANSWER:
      I am an enrolled agent who prepares these for clients including two today. There is no easy answer and no set answer. The average, not that that means much, is 17% but I got an offer on quarter million dollar liability accepted at 1 cent on the dollar. Some others have been non-starters. Every one is different. Your actual situation might dictate an entirely different approach including getting the whole account put on ice for a few years.

      The essay question answer is “an amount that represents the reasonable collection potential of the account.” This is a lump sum equal to what you could get from the equity in all your assets if they were sold at a quick sale, generally 80% plus 48 times what you could pay monthly on an installment agreement.

      For example, if you had a car with a private party sale value of ,000 and owed ,000 on it and nothing else and IRS says you could make payments to IRS of 0 per month you would have to offer 80% of ,000 minus the ,000 owed = ,000 PLUS 48 times 0 = ,800 for a total of ,800. You could make up to 24 monthly payments but would have to increase the 48 monthly payments to 60 for a total offer amount of ,000 at 5 per month. How someone who could only pay 0 per month could be expected to pay 5 is a mystery.

      Your own situation may be more complicated, and it probably is if you add a home and a 401(k) plan and a car that will be paid off in just a few years, you would have to go through these gyrations with every asset.

      If you want to hire a professional representative–enrolled agent, CPA or attorney–stay away from the ones that advertise on cable TV. Their fees can be heart stopping.

  5. QUESTION:
    What is the best method for obtaining free assistance with IRS property (home) liens?
    Need to resolve this issue with a method such as OIC (offer in compromise), to pay as small a percentage of the total debt as possible, at this point, over 0,000 including penalties and fees. Single female, 50+, no dependents, have owned my home for almost 10 years. I am employed but unable to handle such a huge debt, want desperately to keep my home. Have a conference call scheduled with IRS in a few days after which they will make a determination and send a letter indicating their decision. Very stressful, anxiety attacks and other negative health effects. Please help.

    • ANSWER:
      I am an enrolled agent, licensed by the US Treasury Department who specializes in representing taxpayers who have large unpaid tax bills and prepare these for clients. You can email me through my profile if you have any questions you would like answered outside this forum.

      An Offer in Compromise is a settlement with IRS where you pay less than 100 cents for every dollar you owe and IRS forgives the rest. It will do this if it determines you are offering as much or more as it could collect from you through monthly payments or by seizing your property.

      The amount you have to pay is, in IRS jargon, is “an amount that represents the reasonable collection potential of the account.” This is a lump sum equal to what you could get from the equity in all your assets if they were sold at a quick sale, generally 80% plus 48 times what you could pay monthly on an installment agreement.

      For example, if you had a car worth ,000 and owed ,000 on it and nothing else and IRS said you could make payments to IRS of 0 per month you would have to offer 80% of ,000 minus the ,000 owed = ,000 PLUS 48 times 0 = ,800 for a total of ,800 on whatever you actually owed. You could make up to 24 monthly payments but would have to increase the 48 monthly payments to 60 for a total offer amount of ,000 at 5 per month. How someone who could only pay 0 per month could be expected to pay 5 is a mystery. In your case the quick sale value of your home minus any mortgage and any other assets would be factored into the equation.

      If you want to hire a professional representative–enrolled agent, CPA or attorney to help you–stay away from the “As Seen on TV” firms that advertise on cable TV. Their fees can be heart stopping and more than double what mine are.

      Depending on your actual situation–something I can not determine from a brief narrative–you may ask for an installment agreement where you pay as much as IRS determines is appropriate based on its national and local expense standards. To pay the liability in full would require a monthly payment of somewhere between ,500 and ,000 per month, something I expect is completely out of the question. You might qualify for relief and discharge of part of the liability from bankruptcy court. With limited information at hand, my ever opaque crystal ball isn’t answering that question.


cpa fee increase letter

Cpa Fee Schedules

Frequently Asked Questions

  1. QUESTION:
    did the irs stimulus checks start earlier than scheduled.?
    If my tax preparer is not a CPA but his fee did come out of my tax refund and I did do direct deposit will I get my refund direct deposit or a paper check.

    • ANSWER:
      Fantasy, that irs rep is incorrect. The statement above the check schedule on the irs website states:
      Paper checks will also go out based on Social Security number. For Social Security numbers ending in 00 through 09, the paper checks will be mailed starting May 9 and will continue through May 16. A similar process will be repeated in the following weeks.
      Some people have already started receiving them. Banks have seen them being cashed and deposited already.

  2. QUESTION:
    Are CPA fees paid to handle an IRS audit tax deductible?
    I paid my CPA ,000 this year to handle my 2006 IRS audit. Is this amount tax deductible? If it is tax deductible, what form do I include this amount on? And if you know could you give me the line number on the form, thank you.

    • ANSWER:
      You have to be able to itemize. And you have to subtract 2% of your income from them. But you can deduct them on Schedule A, Line 23.

      http://www.irs.gov/publications/p529/ar02.html#en_US_publink100026973

  3. QUESTION:
    Is there anyone who is preparing for CPA exam, i need some advice for the preparation?
    Can some one advice me what is the best way to prepare for CPA exam, which material or classes are the best?

    • ANSWER:
      Most people find that the easiest way to pass the exam is with the help of a review course. Considering the exam is 14 hours, quite costly, and the AICPA recommends 300-400 study hours… it makes sense that a person would want to make sure they pass each exam the first time around. The initial investment in a review course often saves money on extra exam fees and additional materials.

      That being said, I might be biased, but I fully recommend Roger CPA Review. Roger’s course is known for their 86% pass rates (compared to the national average of 48%), being highly motivational and energetic (helping you stay awake during class and studying), and coming with the best materials around (Roger writes his own books so they are supplemental; and he never ever reads from them like other courses have been known to do). Worth checking into – http://www.rogercpareview.com/cpa-exam-review-course-overview.cfm

      They offer three flexible formats too – so you can tailor your review to your personal schedule and go to a live class if you need structure, or take it online if your schedule is busy and you want to do it on your own time. It really is the best value in CPA Review – a great price for a superior product.

      Overall, in any study regiment, you want to make sure to stay on track, pay attention, and do as many multiple choice questions and practice simulations as humanly possible. It’s also important to not only understand the correct answer, but to understand why the other answers are wrong.

      Another helpful hint – look for free resources online that can help you. Roger CPA Review’s blog (http://www.rogercpareview.com/blog) offers helpful tips and tricks to make sure you are fully prepared come exam day, but information on the exams, how to get a job, and industry news.

      Good luck!!! Let me know if you have any additional questions at all :) You can also find me @morganives.

  4. QUESTION:
    What are common tax deductions for doctors?
    I’m a new doctor. Can I deduct my state medical license fee (), my state controlled substances license fee (0), my DEA license fee (0), work related books/literature (0), cost of scrub suits (0), cost of medical equipment like stethoscope (0), and other work-related expenses?? I also paid 5 to take the 3rd step of the USMLE, but my understanding is that is NOT deductible.

    • ANSWER:
      Of all the items you mention, the scrubs, your work related books and stethoscope could be possibly be deducted.

      These added up to 0. If you made more than 000, none of this will end up increasing your schedule A. If you weren’t itemizing anyway, it’s a moot point.

      (As a new doctor, the fees for licensing aren’t deductable. My costs in sitting for the CPA exam weren’t either.)

  5. QUESTION:
    What is the most anyone has paid H & R Block to do their taxes?
    The CPA that has done my taxes since 1979 is no longer doing them. I do have rental property so I can’t use the short form.

    • ANSWER:
      According to their annual report for 2010, last year H&R Blocks’ average customer paid 6 for their federal and state income tax preparation. I have seen some folks pay as much as 0 if they have extra schedules and diverse forms of income as I believe the software the firm uses calculates the fee based on the number of keystrokes, number of forms, and amount of time used in the process.

      Do some shopping around and find someone with a good reputation who charges a reasonable fee for the service. The BBB is a good starting point.

      Good luck.

  6. QUESTION:
    A tax preparer did a Schedule C last year for the cost of his work?
    I am doing my friend’s taxes. Last year, the CPA did did his taxes did a Schedule C for him to list the tax prep fee of 6 he charged. Why wouldn’t this have been listed on Schedule A? My friend was not self employed and the ONLY thing listed on the C was -6 for the tax prep rather than having it listed as an itemized deduction. Does that make sense?
    Friend was NOT self employed.

    • ANSWER:
      You are correct. The CPA did it wrong. To correct this, your friend should file a 1040X with correct schedules attached.

  7. QUESTION:
    How much of my earnings are taxable?
    I am starting a small business, I also work full time in another job and managing this from the sidelines. I will be taking out about ,000 in loans and will be paying back 95% of revenue (5% to run the small up keep) to the loans until they are repaid in full. I will not be taking any as income until the business is debt free.

    I plan to filing as a Sole Proprietor at first, then get the LLC as income becomes available.

    How much of he earnings will be taxable for my business? Do I claim earnings on taxes of only the 5% as 95% will be paying loans or do I claim 100% and then add deduction?

    I am planning on getting a CPA, but I don’t have one yet so I wonder if someone has a quick answer.

    • ANSWER:
      “I will be taking out about ,000 in loans and will be paying back 95% of revenue (5% to run the small up keep) to the loans until they are repaid in full.”

      The principal on a loan is NOT an expense.

      “How much of he earnings will be taxable for my business?”
      Gross Profit = Gross Revenues – Direct Expenses

      Net Income = Gross Profit – Operating Expenses

      The INTEREST you pay on the loans is deductible.
      Say you pay 3%, without a set time to repay the loan, the interest would be (only very roughly speaking) 00 for 12 months (1 year).

      Assume no other expenses and your Income is

      Revenues – 00. You owe self employment tax on about 92% of the Net Income if it is over 0 and, of course, Income Tax if applicable.

      “then get the LLC as income becomes available.”

      An LLC is a “disregarded entity” meaning the IRS does not recognize it. It defaults to a Schedule C unless you elect to file as a Corporation. LLCs also carry annual filing fees in the state formed. In MA, the fee is 0 (separate from your income tax return). And in MA, it doesn’t matter how you elect to file the LLC, you still owe the 0. So if you file as a Corporation, (a 6 minimum excise tax) you still owe the 0 for the LLC filing. This may also be true in your state.

      So, unless you need the liability protection of a separate entity, reconsider forming a Corporation and filing the Small Business (Sub-S) election. This makes the Corporation a “pass through” which means the profit is only taxed on your personal return. Normally, if the stockholder takes profit out of the corporation, it’s a “dividend” and taxed again. But the Small Business election does away with the double taxation of corporate profits.
      _________________________________________
      After checking out your answers, I see you are a personl trainer. Make sure you have plenty of liability insurance (business expense) and seriously look into the cost differences of the LLC and Corporation for your state. These are what makes or breaks an LLC choice. It’s not for everyone.

  8. QUESTION:
    Are these expense for a liquor store in doing my taxes?
    I purchased a liquor store last summer & doing my own taxes for first time. Liquor store sells beers, wines, liquors, cookies, candies, bread, etcetera. Do I put these items under expense when filing out schedule C?
    I bought these items whole sale to sell at retail in my store.
    if so, which number do i put these on schedule C?

    • ANSWER:
      Id suggest using a CPA (not Block or someplace like that) to do your taxes the first year, rather than doing it yourself. That would give you a pattern to follow for the following years. A good CPA might be able to save you enough in tax for things you wouldn’t think of or know about, to pay the fees.

  9. QUESTION:
    Has anyone compared tax returns from Turbo Tax with those from a CPA?
    For the last several years, my wife and I have used TurboTax, but every year we wonder if we should throw down 5 and see if an accountant could get us a better tax return.
    About us:
    *3 kids
    *Both employed full time
    *Own our home (well half; the bank owns the other half)
    *No investments, pretty simple financially

    If you know about this, your input is appreciated!

    • ANSWER:
      I myself am a CPA and given your situation, it is best that you stick with turbo tax and save the 5. Your situation is very simple and straight forward and the only thing a CPA could add besides the fees is a face. I’m sure you are already aware of this, but your mortgage interest and real estate taxes paid by you is deductible on your Schedule A if you itemize which are the only significant deductions I see given your situation. The only thing I would look into is the child tax credit and possible additonal child tax credit that you get for your children depending on how old they are and what your adjusted gross income is for the year. I would consult with a CPA if you do in fact make some investments such as in real estate (even in the sub-prime market), securities, or whatever the case may be. I myself specialize with small businesses, and I consult those wanting to start up a business and how that impacts their their personal tax return in the end. I hope this helps. Feel free to contact me with additional questions or comments.

  10. QUESTION:
    How much does it cost to get your taxes done? I filed an extension and need to get them prepared soon.?
    I’m a nanny, and my employer doesn’t take out taxes. They are not complicated or anything.

    • ANSWER:
      Given that you may be an independent contractor, your tax preparation fees will be higher than a simple wage-earner.

      At H&R Block, along with most other chain tax firms, the charges are based on the schedules and forms that are prepared.

      CPA’s and other independents may charge by the hour, or by the form as well.

      I don’t know what area of the country you are in, that will have an effect on the charges as well. Additionally, you may have to file a state tax return, which will cost more.

      Best of luck. I sugest you don’t wait till the last minute. You may be able to have them prepared but not signed/sent, then pay when you pick them up to send them in.

      Good luck.

  11. QUESTION:
    How do I claim a tax return the money that I’ve made on eBay?
    I work a regular full-time job and normally file a W2 form on my taxes every year with zero dependants. This year however, I began selling designer handbags on Ebay in November and have since grossed about ,000 more or less. With this additional income, how do I claim a return on my taxes for this. It is alot of money and I want to report it to the IRS because I dont want them knocking my door down later. Is there another form that I have to file instead or do I keep using the same W2 to file both incomes? I have no idea about this stuff and tax season is coming up so I definetly want to be prepared. Please advise! Thanks!

    • ANSWER:
      Get Publication 17 off of the IRS’ website

      Schedule C is the way to go as others have said. You have some deductions to offset some of that k such as any PayPal fees, EBay fees, cost of the bags themselves, shipping and packaging etc. Think of all those costs you incurred that you would not have if you were not selling on E-Bay. I would read the instructions to that form.

      Consider getting Turbo-Tax. They will walk through the form. Based on K in income, I would do my own return then take it to a CPA for a quick review for missed items.

  12. QUESTION:
    How will having an LLC change what I do this year in my taxes?
    I have always done my own taxes. I have always used a sched C for my wife’s business. However this year her biz is an LLC. How have things changed for me tax-wise?

    • ANSWER:
      That depends upon how the LLC is organized and how she opted to be taxed when she formed it. If it’s a single-member LLC and she did not opt to be taxed as a Corp then there is no change in your Federal return as a single-member LLC is a disregarded entity at the Federal level. File Schedule C and Schedule SE as always in that case.

      Most states treat LLCs differently, however, regardless of your Federal choice. They are treated as corporations and she’ll probably have to file a corporate tax return and pay any minimum State corporate franchise fee regardless of how much income that she earned.

      Even states without income taxes may require the payment of franchise taxes on an LLC. TX has no income tax but does levy a franchise fee based upon the value of the assets held by the LLC if the asset value exceeds a certain amount.

      Consult with a local tax expert to determine how your state taxes an LLC. Also consult with a local tax expert if she opted to have the LLC taxed as a corp or if it is a multi-member LLC. This is a job for a CPA or EA, not a storefront tax prep mill.

  13. QUESTION:
    How should I go about starting a house cleaning business?
    My girlfriend and I are not making enough money for the amount of experience and work ethic we have. We are really getting shafted at our current jobs and would like to look into managing and employing ourselves. We have the means necessary to transport cleaning supplies and have a great bit of experience in simple house keeping and also home maintenance and stuff like that. We thought it would be a good idea to at least look into all of this and try to put our skills to better use. Any thoughts?

    • ANSWER:
      before either of you quit your jobs you need to know that most new businesses fail within their first five years. Next, you need to know that any business you do you’d have to work 80 hours or more per week. And understand that people change their minds often so you need a phone and a secretary of sorts (maybe a recording because you can’t talk with clients while you’re working, and only one person can take care of the schedule so dates don’t get mixed up). Next you need to choose an area and work 15 miles within it so your gas costs don’t get out of hand. And you need to schedule people so that you can do 2 in one day that are within the same block as each other.

      You need to do your five-year business plan which would take 3 months to prepare and it’s everything from what you’d charge to what accounting system you’d have to which attorney you’d hire and which CPA. Your first year you can claim a loss (Schedule C) however anything past that the IRS will look at you with a raised eyebrow so keep good records. You’d need a business license (I think you can work up to 0 without a license if you do it quietly and with an eye toward a business license and work for relatives).

      You’d need a contract, and you’d need to learn to look at the job and say “no” before you schedule it, but then you’d need to know to increase your fees to accommodate these estimates. I don’t know what you mean by transporting cleaning supplies since “house cleaning” (I assume you mean dusting, making beds, vacuuming, etc.) only requires a large bottle of windex and paper towels, a couple of soft rags and a vacuum and you can put that in your car.

      Although I hear you when you say “home maintenance” well that could involve too many things and contracts for each as well as estimates and

      You’d need to be bonded and insured on either business or any business and those are expensive. Know that today everything is televised (some kind of camera at the house). You’d need a clean record (criminal) no bankruptcy (because home owners would check your records and want your SS number). A lot of cleaners start out as sole proprietors which leaves you open to suit personally, and then move into a LLC or S corporation so you’ll have to look up and decide which you want.

      Some maintenance jobs would require a city or county permit so you’d need to make sure you’re not doing those. You need to build up your clientele so first work for friends and neighbors, church contacts, teachers you knew, etc. Doing work for people is not just “trying”, either you’re in business or you’re not. You put your heart and soul into it or you don’t.

      Btw, there is no such thing as “simple” house keeping. Either you get down on your hands and knees and dig out the dust and crud and climb to the ceiling for the fan, and clean under the beds and re-make them…or you don’t do the business. It’s definitely hard work.

  14. QUESTION:
    What do I do about my tax return now that I am renting a house?
    Last year, I rented a house for the first time and I have a few questions about filing my taxes this year.
    1) Do I need receipts for repairs/maintenance/purchases or do I just submit a total?
    2) How do I figure depreciation? Do I need to call the assessors office and subtract the last 2 years assessments?
    3) My mortgage payment is more than the rent I collect. Does this matter or is my mortgage payment irrelevant?
    4) Is there anything else that I need to look out for?

    • ANSWER:
      OK, you are not renting the house, you are renting it OUT. Huge difference. If you were renting it, it would have no tax consequences at all as a tenant. You’re a landlord now, so you’re renting it out.

      You report rental income and expenses on Form 1040, Schedule E. You include the gross rents and any expenses such as mortgage interest, property taxes, insurance, minor repairs, maintenance, rental agent commissions, property management fees, utilities that you paid, depreciation, etc. You need receipts and/or records for all expenses.

      You depreciate the improvements to the property, never the land, so you need to break out land and improvements separately. For residential real estate you depreciate it on a 27.5 year straight line schedule.

      Your basis for depreciation is the lesser of your original adjusted cost basis or the fair market value when you converted it to rental use. If you owned it for a while prior to the conversion, you should get a certified appraisal from a local licensed appraiser. You also depreciate any major repairs, renovations, and improvements on the same 27.5 year schedule. Information from the assessor’s office is largely useless for this. You need your original adjusted cost basis and an appraisal to establish your basis for depreciation.

      I’d strongly suggest a consult with a local CPA or EA to set up your bookkeeping, with particular emphasis on your depreciation schedules. Depreciation is subject to recapture when you sell and errors today can be very expensive even decades down the road when you sell. You also want them to explain the passive activity loss limitation rules and make sure that you actively participate in the management of the property. Errors here again can be very costly.

  15. QUESTION:
    Can I give a loan to my LLC for a tax deduction?
    I purchased income property and put it in a LLC. Instead of getting a mortgage for the income property, I refinanced my house, took out cash, and paid for the income property in cash. I sold the house I refinanced 2 months later. Can I show a personal loan to the LLC for the mortgage I had on my house, so I can deduct the interest on my tax return for the LLC since I used my personal funds to buy the LLC?

    • ANSWER:
      Talk to an accountant before acting on any advice you read here.

      To recap what I believe you said, for clarification purposes:

      1) You refinanced your house, and took cash out of your equity.
      2) You used this cash to form an LLC, and invested it as your initial capital
      3) Your LLC purchased a piece of income property for cash
      4) You later sold your house, and paid off all outstanding liens against it

      Basics:
      1) Your LLC is a separate legal entity from your person
      2) You own 100% of the LLC

      You want to charge interest to the LLC for tax purposes.

      You could do this, but it won’t help you. Since you are 100% owner of the LLC, it would work like this:

      1) LLC pays you ,000 (example) in interest and takes a tax deduction
      2) LLC gives you a 1099-INT reporting the interest it paid to you
      3) You pay tax at regular income tax rates on the interest that you received from the LLC
      4) End of year, LLC reports your share of income less the ,000 in interest expense to you.

      If you run the LLC as a corporation, and it is subject to corporate income taxes, you have accomplished the following:

      1) Reduced the corporate income tax liability by ,000
      2) Increased your personal income tax liability by ,000
      3) Reduced your dividend by ,000
      4) Made a lot of extra work for yourself for a negligible tax savings.

      Corporate taxes are higher than personal taxes, but I think that you would be hard-pressed to structure this in any way the benefits you. In fact, the mere accounting work of keeping up with the transaction and reporting it everywhere would likely generate fees far in excess of any tax savings.

      I would not recommend that you run the LLC as a corporation anyway, because there is no real benefit to doing things this way. If you wanted to do all the extra paperwork and pay taxes, you should have set it up as a corporation.

      If you don’t run the LLC as a corporation, which I assume you really do not, all income and expenses flow through to your personal Schedule C anyway, so there is no benefit to charging your LLC interest.

      In short, if you move your wallet from your right pocket to your left pocket, have you made any money? If a CPA charges you to track the movement of your wallet, have you benefitted?

      That’s the crux of what you are asking.

  16. QUESTION:
    Is there anything I can deduct from my taxes?
    Im going to do my taxes and i was wondering if anyone knew of any common deductions that are missed that would apply to me. My parents claim me as a dependent and I had no charitable contributions, I am a student but my parents pay for all my schooling.

    • ANSWER:
      You do not have enough to itemize on the IRS 1040 Schedule A for 2007. Now, you need to prepare for future years. The absolute BEST thing you can do is start your own business. Even if it’s teaching a second language, or your hobby, if you sincerely attempt to make money, you can start a business. In a few years, you will hear more and more about alternative minimum tax {AMT}. You can make a lot more money in your business and not have to worry about alternative minimum tax if you have a corporation or sole proprietorship. There are also a lot of deductions that are allowed in figuring against alternative minimum tax if you own a business. So for now, I will give you these. You start to do your research. Takes years, but you will get good at it. If your situation becomes complex, while you are learning taxes, look up an enrolled agent, NOT a CPA. CPA’s are useless unless they are enrolled agents.

      What are commonly overlooked deductions? I’ll give you 3 that come to mind:
      I would say that there are deductions for employees that taxpayers cannot take because they do not have expenses to itemize or do not have enough to exceed the limit {2% of AGI must be subtracted}. So if you have to drive your car while at work, buy insurance, hardhat, braces, work
      shoes, work boots, special uniform, safety glasses, physical, certain travel, transporta-tion, meal, or entertainment expenses for your job, educational expenses to keep your present job, necessary cell phone calls, fees because you have to have the internet at your house and HAVE TO do some things for your boss, laundry and dry cleaning directly related to your job, the taxpayer cannot take them. Get clients so that you can deduct as much of your mileage as possible. You cannot deduct any commuting expenses, which means you cannot deduct any mileage going to and coming home from work, unless, you are going to a second job or seeing a client. If you have business related work that you HAVE to do at home, only then can you deduct the miles from your last client or your job to your home. If the taxpayer has a business, he is not subject to the 2% of AGI limitation. It’s largely unknown, but it is “unused” .
      So, secondly, if a taxpayer has a business, he has a vast resource of potential deductions. The most affordable one, so long as he has the means to start a business and keep the business afloat, would be to switch his health insurance to the policyholder being the business name. Then the business owner pays the premiums out of his business. It’s called the Self-Employed Health Insurance Deduction. You cannot use the Form 1040A. You cannot deduct it on the Schedule C. There are a few restrictions. The business owner uses the 1040. It’s Line 29. The self-employed health insurance deduction is not subject to the 7.5% AGI subtraction; 10% when figuring AMT liability. With the high and rising cost of
      health insurance, this is the only feasible way to pay the premiums. In 2004, the premiums became 100% deductible on the Schedule C. Only 10 or 12 years ago, the premiums were only 40% deductible. This is the only way to be able to afford family health insurance in America, but the deduction is unused, because it is being overlooked.
      The third most commonly unused deduction would be tax-free bonds. I say that because more than half of Americans can invest in the stock market, even if it is only through a discount brokerage or a payroll deduction plan like a 401(k) or ESOP to buy stock with the corporation that they work for. However, you could buy tax-free bonds in roughly the same way. One reason why some Americans do not is because not all bonds are tax-free. Matter of fact, there is
      a significant percentage of municipal bonds {often called “munis} and utility bonds that are labeled tax-free and they are not in some situations. One is if they are within certain mutual funds and stock funds. Another is they may be, but the taxpayer unexpectedly got hit by alternative minimum tax {AMT}. There are times when IRS rules make the tax-free bond NOT tax free when figuring AMT liability.

  17. QUESTION:
    How much should I pay my tax guy? I am getting about ,000 in my tax return, but I am not dealing with H&R.

    • ANSWER:
      You can do your taxes yourself unless you are in a complicated situation – a proprietorship, partnership, lot of real estate deals with depreciation, foreign taxes and regulations, own a mutual fund
      - along that line. If you are not comfortable, get on the National Association of Enrolled Agents – naea.org – website. Click on “Find an enrolled agent”. Type in your town, state or zip code. Enrolled Agents do not work cheap, but your taxes will be done right and they will go with you if you are audited by the IRS. Not always are they lawyers but have the Power of Attorney with the IRS. Enrolled agents are professional tax practitioners who have technical expertise in the field of taxation, and are licensed to represent taxpayers before the Internal Revenue Service at all administrative levels. Moreover, enrolled agents are the only tax practitioners required by Federal law to maintain their expertise through continuing professional education. Tax attorneys and CPA’s used to, but lobbied and no longer are required. It was too hard for them to pass the EA examination and to maintain their EA certification through continuing professional education. A CPA is worthless to the taxpayer unless that CPA is an Enrolled Agent. Note all the scandals. “Certified tax preparer”, “senior tax auditor”, “tax pro” is about as useful as a certified shrink.

      Whatever you do, don’t ever go to block and make sure that you tell everyone you come in contact with not to. Further, Jackson-hewitt is no better than block. More: When my ex and I went to H&R dilldocks, we found we “owed” a large tax bill when we did not. They calculated penalty and interest for us! That’s up to the taxpayer and the IRS!! We had claimed a few exemptions. Then the H& dumbbell rep said “drop ‘em”. That’s what she said. All the things you can legally do to save on your taxes; all the deductions and credits;
      all the ways you can save on your income taxes and you can find more ways every year. That’s what she said: “drop ‘em” {!!!!}. No questions; no time consuming, exhaustive, digging earnestly and more and more diligently for deductions; no asking about receipts and diaries of expenses; no list to prepare to save on taxes in future
      years – worse than worthless! In a subse-quent year, the moron told us that we were employers and had to withhold social security from our babysitter. The limit for reporting income then was 5 or 0 per quarter. We didn’t have to file Schedule H!! So we didn’t have to withhold Federal taxes!! H&Ripoff lying thieves are to make restitution for the double charges plus interest and penalty! We only paid around to the babysitter for the entire year, if that much. Yet H&R dumb dumb told us that we were employers and had to withhold tax from this poor lady!! We were NOT employers!!! We did not have to fill out a W-2 nor did we have to fill out a 1099, for that matter. They did not tell us to get a second opinion!!! Those idiots did not know the tax law that they professes to know!! Further, the brain dead and thief told us that their company {H&R ripoff} would graciously amend our income tax return. We didn’t need the return amended!! They didn’t even know the tax law for child care providers!! Then they charged us the equi-valent fee without any advance warning!! They said they would do it. They did not have to; they lied. then they made it appear as if they would do it without a fee, since there was only one entry to “change”. They lied to us!! We did not need to file a Schedule H!!!! Whether we babysat or not was none of their business!! They had no business even asking that question !!! They added interest and penalty on that we were not liable for!!!!!!!! They certainly are not interested in you the client paying the least possible legal tax!
      The fact that they are still in business show how illiterate taxpayers are about their taxes. That’s what started my business. I got tired of overpaying frightfully on my taxes. I went into competition with H & dishonest and exposed them. If they had been right, they would have mentioned the state unemployment tax administration that employers are required to pay in to !!!! They did not mention the state nor FUTA!!!!
      H&R lying, abominable criminal thieves are the most lying, conniving, double crossing lowlife on earth!! They have no business calling themselves “income tax preparers”!!
      Another testimonial. You see how this all ties together. H&R sleazehead is not looking out for you, the taxpayer: “Dont! They work with the government to screw you! Yes I’ve had them done there. I also have a {sic} accountant friend who worked there one day and quit when she saw how they were doing people. She was trying to help save people money and her boss pulled her aside and said ‘we don’t do that here!’ ”

  18. QUESTION:
    Taxable income from sale of home?
    My grandmother recently passed and she deeded her home to the grandchildren. We took possesion of the home, this wasn’t inheritance by the way, and we have sold it. From what I understand I will have to claim this money as Income for 2007. I usually just use the 1040ez form because I don’t own property and I have no deductions or anything that would make me use the long form. My first question is can I still use the EZ form with this type of income? Secondly, will I get something in the mail to document these earning? I don’t think the attorney is making us fill out w9′s, so I’m not sure how to report this. Will this be considered as capital gains? I’ve heard they tax capital gains more significantly than earnings from employment.

    Any advice would be great. Thanks.

    • ANSWER:
      First, the following is from the IRS website:

      You may qualify to use Form 1040EZ, the simplest form, if:

      • Your taxable income is below 0,000
      • Your filing status is Single or Married Filing Jointly
      • You are under age 65
      • You are not claiming any dependents
      • Your interest income is ,500 or less

      You may be able to use Form 1040A if:

      • Your taxable income is below 0,000
      • You have capital gain distributions
      • You claim certain tax credits
      • You claim deductions for IRA contributions or student loan interest

      If you cannot use either a 1040EZ or 1040A, you probably need to use Form 1040. You must file form 1040 if:

      • Your taxable income is 0,000 or more
      • You claim itemized deductions
      • You are reporting self-employment income
      • You are reporting income from sale of property
      • You are claiming the educator expense or higher education tuition and fees

      Choosing the correct tax form could mean money in your pocket. Check your tax instructions carefully. Publication 17, Your Federal Income Tax (For Individuals), is a helpful guide to preparing your federal tax forms. It is available on the IRS Web site at IRS.gov or by calling 1-800-TAX-FORM (1-800-829-3676).

      Looks like Form 1040 for you!

      Secondly, I hope the property was valued as of her date of death (I am sorry for your loss…), because it gets a “step up” in basis – that is VERY important – if you don’t know what I mean, FIND OUT!!!!. (However, I hope there is not a problem with that as it appears she deeded it prior to her death….uh oh…) Since her house was sold fairly quickly there should be very little gain on the sale. You will receive a form in the mail, and the gain will be reportable on Schedule D. Short-term capital gains tax rates are very small these days, thanks to GW.

      Perhaps you might consult a professional to prepare your taxes this time around?! I think you may need a competent CPA to look at the specifics of this. A lot of money could be at stake.

      Good luck!

      tlccpas.com

  19. QUESTION:
    How to find income tax preparer ?
    For the last 20 years I have prepared my own federal and state income tax forms. This year I want to start having a tax preparing company do it. My situation is not complicated, but because of buying and selling stock, etc. etc. I want to find someone to do it.
    How do I find a good income tax preparer, except by just finding one in the yellow pages ?

    • ANSWER:
      You can find a good income tax preparer by word of mouth. I used to have my federal and state income tax prepared by a CPA for 13 years. This past year the firm increased my fee by 0.00 and my current financial status had not changed from the prior year. This firm also did not give certain miscellaneous credits on Schedule A. I found the error after taking a 3 credit federal tax course at college.
      I finally found an accounting practice (NOT CPA firm) to do my taxes at 0.00 less than the CPA firm. They also gave me the miscellaneous credit that was erroneously left off my previous federal taxes for the past 7 years. Good luck in searching because there are places out there!!!

  20. QUESTION:
    How does one have their CPA Exam pushed to like,for example May to December?

    • ANSWER:
      Normally, all you have to do is go on the Prometric website and change the day of your exam to another day that is currently available.

      However, if your NTS (notice to schedule) expires before the day you want to take your exam, you might have to forfeit your exam fees and apply (and pay) for a new NTS. If the latter is the case, you should just take the exam at the latest possible time before your NTS expires – the only thing you have to lose at that point are your exam fees. Also, you might want to contact NASBA to see if they will cut you a break and send you a new NTS without requiring you to pay exam fees all over again.

      Hope this helps.

  21. QUESTION:
    I am getting audited and can’t find my receipts?
    I am in a panic. The IRS is going to audit me in 3 weeks. They have ask for receipts for items I claimed on a Schedule C, however, try as I might, I am unable to find them and dont know what to do. I am scared. I did my own taxes. This is for year 2004, but they want to see 2003 and 2005 tax returns as well. At this point I don’t really know what to do. The schedule C relates to equipment, software and a class I took. I have tried to remember the when and where of it all, but just can’t. If I just tell them I can’t find them, what am I faced with? I don’t have the money to get an attorney, or CPA. I am beginning to think I am really screwed. Any advise from you folks out there?
    Okay with what everyone has said and thank you. What I what to know now, is what is the worst that can happen to me if I can not produce what the IRS wants? I have ordered bank statements. The bottom line here is, I did not take the time to keep good records.
    By the way I am in Texas.
    One more bit of information….The IRS wants to meet at my home instead of their office. Is this right? Can I request the meeting be held at their office? If so, how?

    • ANSWER:
      They want to see 2003 and 2005 to see continuity of operations.

      First tell the auditor that you do not have all your receipts and why you do not have them.

      Try to legally recreate them. For example you purchased a typewriter for your business. Get the instruction manual and warranty card for it, find a office supply cataloge that shows what the purchse price would have been then. Get what ever support you can to justify your deductions. Look at your credit card statements (get copies if you have to or download them). If you went to a seminar in Miami call them and have them fax you a statement saying you were there and what the dates were, same with the hotel where you stayed. Get the software books and boxes to prove you purchased them.

      Once the auditor starts looking at your return he will narrow in on only a couple of areas. You did not say what type of Schedule C you did but the usual places they go are Entertainment Expense and Travel Expense.

      The one thing he will do is ask you for all your bank statements. I mean ALL of them(personal and business accounts). Have them for him. If you do not have them now call the bank to get copies, or download them off the net.

      What he will do with the bank statements is add up all of the deposits that went into every account, subtract from this transfers that came from other accounts. This is the income that you should have reported as Gross Receipts on your schedule C. If not you better be able to account for every difference. If it is higher he will increase your income by that amount.

      If there were deposits to your account for reasons other than business income then you need to show proof where it came from. For example your brother gave you ,000 as a birthday gift.

      Give him every thing in a nice orderly package, tie each amount on the return to the package. DO NOT GIVE HIM A SHOEBOX. If the auditor feels you are not hiding anything then he not ask for more information if you are upfront with a lot of information.
      But do not give him more than he really needs to know.

      If he asks you “Do you know what time it is?” the correct answer is “Yes” the wrong answer is “It is 9:45am”

      If you do not know the answer tell him “I will check and get that information for you” Do not lie, make up information. you will trip over your own toes. Do not have any one else there with you, they will give out useless information that can bite you.

      Before your first meeting you will get an IDR#1 this is called a Information Document Request #1 and will list every item on it that he will need. It will narrow down where he will be looking at.

      At the end of the first meeting he will ask you for more information. Ask him for another IDR. Do not give him more information unless it is listed on the IDR!

      Also keep a list of what information you do give him.

      If you feel you are getting into trouble CALL A CPA from a local cpa firm spend the money because he may save you from thousands if you are really going to get into trouble. Or talk to your friends, one of them may know someone who works at a firm that could advise you for a small fee.

      Be aware that Schedule C returns are the most audited 1040 returns out there.

  22. QUESTION:
    Which is better personal accountant or turbo tax, I own property?

    • ANSWER:
      If by own property you mean rental property, then in this situation I would take it to a preparer, preferably a CPA. V B was right, you get what you pay for. If you go to a CPA, not only can they help you with depreciation, expenses you may have missed, etc, but they can also help you with tax planning which will help you on future returns as well. Oh and the CPA, or preparer’s fee, will be deductible on your 2008 schedule E.

      If by own property you mean you own your personal residence and there’s nothing else crazy on your return, by all means use Turbo Tax.

  23. QUESTION:
    Formed a corporation but never used it or filed an 1120! Help?
    We formed a corporation in 2003 with an attorney. I told my CPA that I had a corporation, and he filed a schedule C for us instead of the Corporate tax return. Now the IRS & the FTB is after us for not paying the 0 yearly AND for not filing a tax return. I was NOT guided properly. Does anyone know if we can dissolve the corporation without having to pay all those back fees, that my CPA should have known how to take care of? Please help me.

    • ANSWER:
      1) you can sue the attorney, CPA under professional liabilities — provided that you have a valid agreement specifying their role and responsibilities – liabilities, etc.,

      2) you cannot escape from the clutches of law –

      3) why to blame others – you should also know how to take careoff yourself.

  24. QUESTION:
    Does anyone know what needs to be done to move a business to another state?
    I am moving my business from OR to CA. I have a FIN and a BIN in OR. What needs to be done to officially move to CA? Thanks!

    • ANSWER:
      It depends what legal structure the business is.

      If it is a corporation or a LLC you need to either register as a foreign corp/llc in CA or file as CA corp/llc. If you are a sole proprietor filing a Schedule C, I believe you wouldn’t need to do anything.

      CA has very expensive LLC & corp fees. You may want to talk to a EA or CPA who is fluent in CA taxes to help you decide the best choice of entity for your business.

  25. QUESTION:
    Form a LLC when buying a property for rent?
    I have read a few article about it on the web, but I don’t think I really grasp the idea of it. Can someone explain it in layman’s term to me about its pros and cons? and I am in Maryland, thank you!

    • ANSWER:
      This is a question for your personal attorney.

      An LLC is a legal entity created at the state level. It can be owned by an individual, a group of individuals, a corporation, a group of corporations, a partnership, a group of partnerships, or a mixture of any or all of the above. The principal benefits are flexibility of ownership and (sometimes) limited liability of the owners.

      The liability protections typically afforded by an LLC or corporation are largely worthless in a small closely-held entity. The liability veil is very easily pierced. It would be one thing if you had 50 partners throwing in together to buy a large multi-million dollar apartment complex but not for a single investor with a small handful of properties. Even if it does shield your personal assets, the real estate holdings are likely to be your largest assets and those within the LLC are fully exposed to any and all claims against the LLC.

      LLCs work nicely where multiple corporations or partnerships will own another partnership. They are also great for bank holding companies since banks cannot be owned by a traditional partnership. For an individual investor however the costs of maintaining the LLC far outweigh any benefits from it in the vast majority of cases. In most cases a good general liability insurance policy will cost you less and provide better protection AND it not only protects your personal assets but those held by the LLC as well.

      At the federal level an LLC is a disregarded entity and is taxed as if it didn’t exist, meaning that you’d file your rental income and expenses on Form 1040, Schedule E, and be subject to all of the limitations there. At the state level some are disregarded entities but most must file state returns as a corporation or a specialized return as an LLC. Many states also have minimum franchise fees that LLCs must pay regardless of profit or loss. Forming an LLC in one state (usually for lower fees or looser reporting rules) but operating in another state may result in higher state income tax rates on a “foreign” entity. You may also be required to make public financial disclosures that you would not need to make if you didn’t form an LLC.

      So, this all rolls back to your personal attorney for his or her recommendation. Be sure that they explain all of the pros and cons fully before you take the plunge. Then consult with a local CPA or EA for the tax matters that you’ll need to deal with.

  26. QUESTION:
    CPA exam: Should I schedule REG or Financial next?
    I have passed AUDIT and have BEC scheduled for July 9th. If I plan to take either FAR or REG at the end of the July-August window, which should I go with. I hear they are planning to change financial, but I purchased REG a few months ago and it expires if I dont take it by December (November since Dec. is dead).

    • ANSWER:
      If you can afford to pay the additional fee to sit for REG later, I would save it for next year and take FAR this year. REG is not scheduled to have any new content introduced so getting FAR out of the way will be to your advantage.

  27. QUESTION:
    what information should I know to be a tax preparer?
    I’m looking into this course that trains people.
    after a while they start paying you to train more and more but also I believe they kick out the ones who do not show potential so that in the end they are hiring those who can do it the best

    I can handle any mathematics
    I also am pretty sure I will learn it well but I want to take a look at what it will be like in advance

    second question
    you think with this type of job I’ll probably just get laid off after tax season?

    • ANSWER:
      1. I would not say taxes are all about math. You have to enter numbers on software but most of the calculations, amortization schedules and so forth are done on the computer, on occasion you need to do calculations with new clients who have depreciable assets or a few other situations but generally it’s a quick calcuatlion.

      2. Taxes in my opinion are more about theory and understanding what the law is. You won’t learn the law right away and every year expect changes, you’ll probably get an area of expertise, maybe it will be 1031 exchanges, home sales, or farms, a certain section of the law that can be complicated.

      3. I’ve done taxes for three years. A good portion of people get laid off after tax season. There are two distinct “busy” seasons, mid-January to the end of April and about mid-August to October 15. If you can get in a place that does estates the likelihood of you getting laid off will probably be less. Estates, and some corporations have different due dates than the usual March 15, April 15 deadlines.

      Conclusion:
      Doing taxes pays well. You’ll make a lot of money during April tax season, it’s not uncommon for people to walk away with 15k-30k pretty good for 3-4 months of work. The longer you do it, the more you’ll get paid. There is some degree of volatility which is part of the reason I’m looking to switch careers (that and taxes are no longer fulfilling for me). Every 4 years when we have a new Presidential election and some politician says “The first thing I’m going to do is put a closed sign on the IRS building” you worry a little. I know Barack Obama’s tax plan for example is supposed to be so simple for most people that he is expecting it will save the taxpayers a billion dollars in tax preparation fees. Great for the people, but not too good for places like H&R who thrive on the lower net value clients. And finally, if you can work with a CPA firm that would probably be best. They’ll pay you a flat rate, and it’s not uncommon for people to get /hr.

      Best of luck!

  28. QUESTION:
    Other tax deductible expenses?
    What qualifies as an other tax deductible expense on line 23 of the schedule A?

    If I paid a family member a fee to do stock market research for me, can I deduct this payment?

    • ANSWER:
      NO!.
      Other will include work related travel expenses, CPA tax preparation, medical expenses, if applicable, etc., which are not reimbursed.

  29. QUESTION:
    How do you become a CPA? (USA, Ohio)?
    What are the steps to becoming a CPA?
    Any recommended schools?

    Thanks!

    • ANSWER:
      Of course you must pass the CPA examination, but there are educational requirements as well. There are plenty of good schools of accounting in Ohio, for example the Universities of Cincinnati, Toledo, Akron, Ohio U., Ohio State, Bowling Green, Cleveland State, Youngstown State and many private colleges.

      Here are the educational requirements from the Board of Accountancy’s website. Check the site for additional information.

      CPA EXAM EDUCATION REQUIREMENTS

      The basic educational requirements for admission to the CPA examination in Ohio are summarized on the course evaluation worksheet. The details of the requirements are as follows:

      * A baccalaureate degree including 150 semester hours (225 quarter hours) of college credit. In lieu of 150 semester hours, a baccalaureate or associates degree and a score of 1200 on the verbal and quantitative sections of the Graduate Record Examination General Test.
      * 30 semester hours (45 quarter hours) in accounting (or 24 semester hours in accounting, excluding principles) with coverage in these 5 subject areas: auditing, financial accounting, management accounting, professional ethics, and taxation.
      * 24 semester hours (36 quarter hours) in business courses other than accounting courses. Economics and information systems count as business subjects.
      * Note concerning accounting course requirement: One course in computer information systems, if begun prior to May 7, 2003, counts as an accounting course. However, courses in accounting information systems still count as accounting courses.
      * Note concerning business course requirement: One course in each of the following subject areas, if begun prior to May 7, 2003, will count as a business course: (1) English or speech, (2) Statistics, (3) Sociology or psychology, and (4) Ethics (taken in the philosophy department). Courses in the above subject areas specifically tailored for business (Business communications, Business statistics, Business ethics) still count as business courses.

      Applicants for the CPA exam should contact CPA Examination Services for details concerning examination application requirements. NOTE: If you submit a complete application, you can expect an approval (notice to schedule) in about 2 weeks. Incomplete applications (incorrect fees, missing transcripts, unsigned applications, etc.) are taking 6-8 weeks to process.

  30. QUESTION:
    I would like to start my own business, but…?
    I don’t want to borrow money or rely on purely free hand outs from others and currently am in college with no job (that’s great isn’t it? <<<

    I live in the southeast and would like to do a business in not-overpriced crafts/art/baking.

    • ANSWER:
      1. Get the proper permits.
      -You are going to need a business license. Visit your city’s web site or go to your city office and obtain the criteria package and application for a business license. A basic business license is generally very inexpensive. Each year, at the anniversary of your business license renewal time, your city may require a report from you that will determine the renewal fee.
      -Depending on the types of products you make, your city may require a fire permit. This may lead to an inspection of your home and the area of your home in which you work.
      -Resale license or Use permit. If you live in a state that collects sales tax, and you intend to sell your products to the general public, you will need a Seller’s Permit or Resale License. Visit your state’s web site or call your State Board of Equalization for an application. There is usually no fee for a resale license; however, (depending on your state’s guidelines) you will be required to submit quarterly and annual reports that will determine the payment you will make to the state.
      2. Set up your purchasing. Establish a business relationship with manufacturers and/or wholesale dealers and distributors of the raw materials you use (fabrics, yarns, paints, floral products, canvas, hand tools or power tools, baskets, new or used widgets, paper, etc.). Buying direct from manufacturers and wholesale dealers requires a business license and a sales permit. (Where do you find these businesses? Google will become your best business partner. Simply type in what you’re looking for: such as – Wholesale Crafting materials, or Silk Flower distributors, or Textile Manufacturers, etc. There are thousands of them out there.)
      3. Start proper bookkeeping.
      -Are you going to do this yourself? If so, good for you! If you are familiar with keeping books (even at a minimal level) invest in basic bookkeeping software that you can rely upon to provide the information you want and need. Select a product that will monitor not only your sales and the bank balance, but your costs and inventory status, too. (Consult with your tax preparer for a product that is best suited for your needs.)
      -If you’re not so good at bookkeeping or you just don’t want to do this, the best investment you can make for your business is a good bookkeeper. Set up an “Informational Interview” with your personal tax preparer or CPA for guidance on finding a good bookkeeper (he/she might offer this service himself/herself).
      -Take a basic bookkeeping class. Even if you opt to have your CPA or tax preparer handle the books for you, you will want and need to have some understanding of your financial position. Check with your local community college or adult education center for a class schedule. (And, yes, there is a book distributed by Wiley Publishing “Bookkeeping for Dummies” by Lita Epstein. Look for it online or at an office supply store.)
      4. Don’t quit your day job. If you are already in the work force, stay there. Until you have solid income that you can depend on from your crafting, don’t bite the hand that feeds you. If you are fortunate to have a financial reserve or a source of funds that will sustain your living expenses and allow you to lay out money for materials and craft-related expenses until you have an inventory base, congratulations! You are among a very small group.
      5. Give yourself some room. Do you have work space in your home or garage where you can work uninterrupted and your crafting work will not take over your entire home? Segregate your work area from your living space. If you are truly going to make crafting your “business,” maintain your personal life, then “go to work” as you would if you were going outside your home. Take lunch. Take breaks.
      6. Build your inventory. Whether you plan to sell your crafted creations out of your home, online, at craft fairs, community farmer’s markets or at a yard sale, you need enough inventory stock to attract customers. Do you plan to consign your items? Meet with a retailer that accepts consignment items. Present samples of your craft item(s). The retailer might accept one piece or a dozen. Be prepared to fill the order.

  31. QUESTION:
    what form do i need or do i need one?
    i am starting a small bussiness and i am going to file 1099. my question is what form does the employers have to file or do they when they are hired?
    I am a contractor that has employees that work for me. I get paid then i have to pay them i dont want to have to pay the whole $ if i am not recieving the whole $.

    • ANSWER:
      If you’re starting a small business, YOU are your own employer. The people or firms you provide goods and services to are your customers, not your employers. Anyone who pays you more than 0 for services rendered in any year should provide you with Form 1099. Even if they don’t, you still must claim the income that you received. You will need to provide them with your taxpayer ID number — either your SSN or an EIN, Employer ID Number — so they can properly complete the Forms 1099. They will use Form W-9 to request that. You’ll complete the W-9 and return it to them.

      When you file your tax return, you’ll attach Schedule C or C-EZ to Form 1040 to claim your business income and expenses and calculate your net income. You’ll then attach Schedule SE to calculate the self-employment tax at 15.3% of your net income. Then you’ll complete the Form 1040 to figure your total tax liability.

      If you expect to owe more than ,000 in total taxes you must make quarterly estimated payments using Form 1040-ES. The 1040-ES package has worksheets to help you estimate your income for the year and calculate the required payments.

      At the end of the year when you file your return you’ll take credit for the estimated payments against the tax liability on your Form 1040 and either pay the balance due or (usually) mark the excess to be applied against next year’s tax liability. You could opt for a refund check but most self-employed folks just let it ride to reduce the size of the required estimated payments throughout the next year.

      If your state has an income tax, you’ll also have to make estimated payments to your state in most cases.

      Edit: OK, since you will have employees of your own, you’ll need to set up a payroll system to pay them. You cannot give employees 1099s, you have to withhold taxes from their pay and pay payroll taxes yourself.

      I’d urge you to consult with a local CPA to get the ball rolling. Payroll taxes are complex and you can get in deep do-do with the IRS if you mess it up. Alternatively you can hire out payroll preparation to any number of firms for a fee. It will allow you to focus on your business instead of worrying about payroll.

      BTW, you MUST pay your employees whether you get paid or not so it would be a good idea to work out a line of credit for payroll purposes with your bank if there are any cash-flow issues. Not paying your employees will get you in even more trouble than not paying the IRS!

  32. QUESTION:
    Please tell me if these things are deductible?
    Credit card interest
    Auto loan interest (auto was paid for by a home equity loan on residence)
    Auto insurance
    CPA for preperation of last year’s taxes
    Safety deposit box for storage of stocks and tax data

    • ANSWER:
      Credit card interest – No and yes. No if it’s a personal credit card, yes if it’s a credit card for your business (Schedule C).
      Auto loan interest, yes because of the interest being home equity loan interest. But it would also be deductible interest if you used an auto for a business (Schedule C) you had.
      Auto insurance – No and yes. No if it’s your personal vehicle, yes if it’s an auto you use for a business (Schedule C), and you take actual expenses (gas, repairs, auto loan interest, insurance, excise taxes, registration, cost of the vehicle itself), no if it’s an auto you use for a business and you take mileage.
      CPA – yes, but it would have to be reported on Schedule A – Itemized Deductions under Miscellaneous Itemized Deductions and your total miscellaneous itemized deductions would have to exceed 2% of your AGI for the excess to be deductible. If you have a business (Schedule C), a farm (Schedule F), or rental property (Schedule E) then you can take some of the CPA fee and expense it in those schedules.
      Safety Deposit Box fee – Yes, but it also has to be reported on Schedule A – Itemized Deductions under Miscellaneous Itemized Deductions, and your total miscellaneous itemized deductions have to exceed 2% of your AGI for the excess to be deductible

  33. QUESTION:
    Tax laws for Truck Drivers – how to claim income with a 1099?
    Okay, this might be a little confusing.

    My husband is a Truck Driver (Owner-Operator). He has been told that since he gets 1099-misc forms for taxes at the end of the year that he doesn’t have to pay taxes on the full amount of his income – only on the part left over each month after household (rent, utilities, etc…) are paid.

    Is this true? We live in the state of VA. If this is true, how do I claim this on our federal/state taxes… what forms do I use?

    • ANSWER:
      No. Household expenses are NOT deductible. However a LOT of his expenses are, such as:

      1. Fuel for the rig
      2. Interest on the loan for the rig.
      3. Maintenance & repairs.
      4. Tolls
      5. Taxes and permits
      6. Lumper’s fees for loading and unloading.
      7. Hotels & meals
      8. Depreciation on the rig.

      File Schedule C to accont for the income and business expenses. File Schedule SE to calculate the Self Employment tax. State rules follow Federal on business income. Get the forms from the VA DOR website.

      If he’s not making quarterly estimated tax payments on Form 1040ES, there will be penalties and interest for underpayment of taxes. VA requires estimated payments as well.

      It may be worth engaging a CPA to get the ball rolling on the first year and setting up a bookkeeping system. One you’re rolling (no pun intended) you can probalby handle it yourself.

  34. QUESTION:
    Which CPA review course should I go with Becker or Roger? Please try to be unbiased.?
    My accounting grades during college were 2 A’s, 3 B’s, and 5 C’s (I’m a pretty bright student but was having a lot of family issues when I made all those c’s.) What I mean is, which program would better aid someone who might have to re-learn some of the concepts?
    P.S. Because of my schedule I’ve decided to choose the self study method. Thanks if you can help!

    • ANSWER:
      The best CPA Review Course is the one which will:

      1. Help you to pass so that you do not have to pay additional access fees for your course AND to retake the exams.
      2. Supports the way you learn best.
      3. Gives you the best cost in relation to accomplishing 1 and 2.

      Let’s take these one at a time.

      1. Helps you pass so that you don’t have to pay extra fees. Since 2004, 87% of CPAexcel’s alumni have passed the CPA Exam. This is nearly twice the national rate! CPAexcel goes a step further: your course does NOT expire until after you pass the exam. Other courses expire in as little as 12 months and you have to pay as much as 0 per section to continue access to your course. CPAexcel realizes that life (children, parents, work, hurricanes, etc.) can intervene along your CPA Journey and you shouldn’t be penalized for that. You get unlimited electronic updates to your content and software until you pass. With CPAexcel, you have a high pass rate and a promise to be your “Partner until You Pass.”

      2. Supports the way you learn best: each of us learns differently–either we are visual, auditory, tactile or kinesthetic learners or a unique combination of these. CPAexcel offers more study tools than any other course so you can select the ones which support the way you learn best. By allowing students to pick their study tools, our students learn 25% more per study hour!

      With CPAexcel, you have an entire faculty of subject-expert professors in accounting, law and IT who are ready to mentor you every step of the way. Have a question? Post it! The professors will answer you within 24 hours. Interested in previous discussions on this topic? Search the archives. Your textbooks are authored by classroom-experienced professors who know how to teach the topics you need to know to pass the exam.

      3. Best relation to cost: If a course is cheap but gives you tools which don’t support the way you learn, then it’s a waste of money. Pure and simple. Conversely, just because something is more expensive does not necessarily mean it’s better–after all, Toyota recalled 138,000 top of the line Lexus cars. Be careful.

      Instead, look at CPAexcel, the course which gives you the best study tools to support the way you learn, a high pass rate, and an unconditional guarantee that CPAexcel will never charge you for any electronic updates to content or software until you pass the exam.

      You can pass the CPA Exam and CPAexcel can help you!

  35. QUESTION:
    Taxes on investment real estate?
    I’m thinking of buying a 2-unit building, using one unit as my primary residence. My question has a few parts.

    1) I’m planning on moving out of my townhouse and renting it out full-time. I can easily get 00/month for that. How will that income be taxed? And how will that affect my taxes at the end of the year? Will I still get the tax break for the mortgage interest that the renter pays?

    2) I’ll be moving into the 2-unit building, using one of the units as my primary residence. I can get 00/month for the other unit. How will that income be taxed? And will I still get the tax break for the mortgage interest that the renter and I pay towards this second mortgage?

    I’m still maxing out my 401k each year, to take advantage of that tax break and help plan for my future. So that’ll help out each year.

    Any help you can offer will be greatly appreciated.

    Thanks!

    • ANSWER:
      Answer to Question #1:
      Talk to a CPA for sure. However, your income will be taxed based on all adjustments to income and deductions from income that yield your taxable income. For rental property, you file a Schedule E with your 1040, where you summarize rental income and deduct expenses. Your mortgage interest can be deducted on EITHER the Schedule E or the Schedule A. Up to a certain threshold of income, it will be easier to deduct on Schedule A, but a CPA can help with that. IT’s worth paying the CPA and you can deduct their fees on your Schedule A OR the Schedule E. So, yes, you do get the tax break on the mortgage interest paid by the renter on ALL properties that you own.

      Answer to Question #2:
      Same as Question #1. You just need to track the income and expenses for each unit separately. Make sure to not commingle expenses for the unit you live in with the unit you will rent. Get help from a CPA on how to properly separate and account for the expenses, as some may not split easily (HOA fees, property taxes, roof maintenance, etc.)

      Finally, good for you for making these investments. The knowledge you gain will be as valuable as the profits you receive.

      Good luck!

  36. QUESTION:
    Entrepreneurs, can i ask you some questions about your business?
    1. what is your name?
    2. what is your company called?
    3. why did you decide to start your business?
    4. was there a particular incident that led to your decision to start a business?
    5. what persons influenced you as you developed your business?
    6. how did you decide to start this particular type of business? where and how did you develop the expertise or the idea for this particular business?
    7. what is your educational background?
    8. what educational experiences helped you need to be more successful?
    9. where and how did you learn the skills you needed to become successful?
    10. where and how did you earn the skills you needed to become successful?
    11. what personal characteristics do you possess that contribute most to your success?
    12. what personal characteristics that you do not now possess would enable you to be more successful, productive, and/or efficient?
    13. what are the personal advantages to you of owning your own business?
    14. what is the most exciting aspect of owning your own business?
    15. what barriers did you overcome in starting your business?
    16. do the advantages of owning your own business outweigh the disadvantages? please explain.
    17. what non-financial goals did you want to get out of being an entrepreneur?
    18. what suggestion or advice do you have for beginning entrepreneurs?

    • ANSWER:
      1. My name is Victoria
      2. I am an accountant and my company name (dba) is Checks & Balances.
      3. I started my business as a way to continue working after I had my daughter.
      4. Besides the birth of my daughter, I was working for a private company and for an accounting firm. My principles and values did not coincide with the private company and the work I was doing for small businesses within the accounting firm was being overcharged to the small business owner in retainer fees. I felt I could provide some of those services for a better price and more personalized service.
      5. The head CPA that worked with me for the private company highly valued my work and encouraged me to step out on my own.
      6. I went on maternity leave and worked as an outside contractor for 6 months for the private company I had been employed by prior to my maternity leave. I also worked with a couple of small businesses that required a limited amount of accountant time to do specific tasks.
      My expertise was on the job experience from both the private company and the accounting firm.
      7. Upon entering college, I majored in secondary education. In my 3rd year (2nd semester) I changed my major to accounting and business management and completed my schooling.
      8. Frankly, my educational experiences were more book learning than true practice. I was chomping at the bit to “do it for real” rather than use sample company data.
      9. The skills that I have learned to become ‘successful’ (a relative term, by the way) were observation, asking questions, taking constructive criticism and generally becoming technically accurate and knowledgeable.
      10. I earned additional skills by being willing to give of my time to a new client, to learn a new industry and then once very knowledgeable, charge fair but reasonable rates. This led to many referrals and I have rarely had to advertise to have a full client load.
      11. The most commented personal characteristic I have heard as both compliments and complaints is that I am honest, straight-forward and truthful. I am friendly and open and have considered many of the clients I have worked with in the past 30 years to be extended family. I have given them 110% of my efforts and consideration for their business.
      12. I think what drove me in the beginning was the “fire” to have a successful business and the “drive” to learn as much as I could. My original idea evolved as I began working more and obtained more clients. I tried new ideas and new directions to see if it would make my business more successful. I shelved ideas that didn’t work and provided the services that my clients wanted most.
      13. My greatest personal advantage was making my own schedule to be available for events in my daughter’s life as well as making my business a success.
      14. The most exciting aspect of my business was to watch the success of my clients’ own growing business continue to grow and flourish. A client’s success was my success.
      15. My barriers were the balancing act of family and career. Credibility as a female in a typically (at the time) male career field. And in 1995, relocation from New York to New Mexico had me starting my business over again a second time.
      16. Yes, the advantages have outweighed the disadvantages as I look back over a 30 year career. I believe I have been a successful individual as a mother and at having a career.
      17. My non-financial goals were to be involved with the community issues that interested me. PTA was a large part of my life while my daughter was in school and my skills as an accountant and business manager assisted me in my endeavors. I was also a member of a professional women in business group that allowed me to share, learn and mentor others.
      18. My advice: Be confident in yourself, know your skill and industry, always look ahead and shrug off the bad or disappointing days, think positive but practical. Smile and enjoy what you choose to do. Do your homework and know your market. Keep lists to follow up. Stay current with your knowledge. GOOD LUCK!

  37. QUESTION:
    Opening up a Cafe: LLC or Corporation?
    I am planning on opening up a cafe in the next few months and i wanted to find out if LLC (limited liability) or corporation is best fit for cafe type of business?

    • ANSWER:
      Either will give you protection; but an attorney would be able to tell you the differences, if any.

      As for the comment about corporations are for big companies and big start up costs, BS. Both require set-up and filing fees with your state and both require yearly renewals (also with your state). Here in MA, there is a minimum income tax of 6 and an annual report of 5 for a sub-S corporation. The LLC pays a renewal fee of 0.

      One of the biggest differences is an LLC is not recognized as an entity by the IRS, so you elect how you are going to file the taxes. If it’s a single member LLC, you can report the income on your personal return as a schedule C. If there are multiple members, you can file as a partnership or as a corporation. But once you elect the reporting method, you have to stick with it. In other words you can’t file as a partnership one year and a corporation the next.

      Another difference is the way ownership percentages are allocated. In an LLC, you have more flexibility than a corporation. Say you have a partner but he’s “silent” (doesn’t work the business), you can allocate the income on the tax return.

      You should contact a good CPA and talk it over as to what would benefit you the most for taxes.

  38. QUESTION:
    Income Taxes – Graduate School?
    I am an underwriter and I am paying for graduate accounting classes out of pocket to better my skills. Can I get a deduction or credit on my tax return?

    Would the situation change if I wanted to sit for my CPA exam but still be an underwriter (not change jobs)?

    Thanks,

    Jim

    • ANSWER:
      Yes, there are three ways to handle this.

      1. Tuition and Fees deduction: Subject to income limitations, you may be able to deduct ,000 of tuition and fees as an adjustment to income.

      2. Lifetime Learning Credit. Subject to income limitations, you may be able to receive a credit of up to ,000 against taxes you owe for qualified education expenses of up to ,000.

      You cannot do both 1 and 2, you have to pick only one. The rest of your expenses, or all of your expenses if you cannot or do not want to do 1 or 2 is

      3. Unreimbursed employee expenses. You can take all of your education expenses, including books, supplies, transportation, on Schedule A Miscellaneous Deductions subject to 2% of your AGI. Use Form 2106 to figure this.

      Usually 1 or 2 with the rest of the expenses done as 3 works best, but you need to figure all the cases.

      The change from underwriter to CPA will not change any of the above. Your graduate courses enhance your current job. The fact that they also may qualify you for a different job does not mean your expenses are not eligible for any of the tax benefits described here.

  39. QUESTION:
    I donated a car last year and when I filed my taxes they didn’t count it! help!?
    When I did my taxes (at HR block last February) they didn’t count the car I donated. It was worth ,060 at the time of donation and in good working condition. I kept the receipt and am now wondering if they made a mistake? If not, could someone (like a CPA) explain to me why they didn’t count this large donation?

    Thanks!

    • ANSWER:
      Often I don’t include donated cars on people’s tax returns. Why? It doesn’t help. If you normally don’t do a Schedule A, it means your Schedule A components don’t add up to more than your Standard Deduction. For example, if you were married in 2005, your standard deduction was ,000. For the car donation to change your tax return, it, along with everything else on Schedule A, would have to exceed ,000. If they all added up to only ,700, then no dice. Of course, you could insist that your use your Schedule A instead of your standard deduction, but you’d end up owing more taxes.

      One more thing, if your tax preparer truly had your best interests in mind, then even if your Schedule A exceeded your standard deduction, but only by a small amount, it is possible the additional refund you would have gotten would NOT have made up for the costs of filing out all of the extra forms. H&R charges so much for the Schedule A. If your refund would not have made up for the charges, you are better off not including them. That is what I do. I don’t include additional forms when my charges exceed your benefits (unless the forms are necessary).

      Starting in 2005, you could not simply tell the IRS what you thought the car was worth when it was donated. You need to wait until the charitable organization sells the car. You enter whatever the organization got for the sale. To make matters worse, if they had to put money into the car before it was sold, you have to subtact that off of the sales price (they will do this for you). The final amount is usually much less than what you thought the car was worth. This is a nasty new trick congress played on us…but it does prevent people claiming ,800 for a 1983 Aries K.

      After saying all of this, it is possible your tax preparer made a mistake. We are all human. Take your entire tax return (they should have stapled everything together and put it in a nice folder) back to the tax office where you had it prepared (or any H&R office for that matter) along with your car donation information and ask to speak with a senior tax preparer. Show them them your info. If a mistake was made, they will fix it totally for free and submit an amended return. The IRS will send you the difference PLUS INTEREST! H&R may even refund your 2005 tax prep fees or give you a discount on your 2006 return. If a mistake was not made, ask them fully explain why the car was not included. Ask questions until you are totally satisfied….after all, you paid for their service.

      I hate those commercials that say “Donate your car and SAVE TAXES!” They always have small print that says “See your tax preparer”. The unfortunate truth is, most non-wealthy people who don’t normally do a Schedule A rarely save a red cent donating their car. Usually, only people who normally do a Schedule A (usually people who own their own house or make a lot of money) save by donating. And when you do save, you only save a percentage of your donation. It is just like giving money to a church…if you are in the 25% tax bracket, you only save 25% of your donation. Give 00, save 0 in taxes.

      If you are giving the car away because you really want to help the charity, then by all means, make the donation. If you are doing the donation because you want to make some money on the car, then by all means, sell it yourself. You are bound to make more on the sale than you will save in taxes…even if you sell it for 1/2 of its fair value. That is something you won’t see on those damn commercials.

  40. QUESTION:
    what are the steps to become a CPA (certified Public Accountant)?
    thanks!!

    • ANSWER:
      Getting your CPA can be a rather complicated process. I tried to simplify the steps below – but let me know if you have any questions.

      1. Ensure that you meet the educational and other requirements for the state in which you wish you sit for the exam.
      2. Apply to take the CPA Exam through your state board of accountancy and pay any necessary fees.
      3. Begin studying – as the test covers such a vast array of materials, I would recommend taking a review course. (Obviously, I recommend www.rogercpareview.com) :)
      4. Once approved, you will receive an “ATT” or Authorization to Test. This must be submitted to NASBA with any associated fees of the sections of the exam for which you want to sit.
      5. Next, you will receive your notice to schedule; this lets you officially register for your exams.
      6. Sign up for the exam sections you wish you take – through www.prometric.com
      7. STUDY!! :)
      8. Take your tests – pass with a score of 75 or higher
      9. Meet any additional licensure requirements like fees, additional education units, and/or experience.

  41. QUESTION:
    Is anyone a recruiter, head hunter? Do you like it?
    How is recruiting as a career?

    • ANSWER:
      Hi there,

      Am a recruiter! I started of as a recruiter and it is very challenging! I work in the IT field and it is very tough to close positions. It gets tougher when you have deadlines and have to close Senior level posts. If you are good at communications, persuasion/ convincing, lot of patiences… then it is a good choice!
      according to me, 2 yrs is a good period to spend in recruiting after which it gets monotonous!!!

      Check out this article!

      Career Salaries: Recruiting for a Living
      Name: Tricia Trimble
      Job Title: Recruiter
      Where: Los Angeles, CA
      Employer: Various Firms
      Years of Experience: 9
      Education: BS Accounting from Santa Clara University, CPA Certification
      Salary: Commission based recruiter – typically 0K and up

      Career Salaries: Recruiting for a Living
      Recruiting, or “head hunting” as it’s sometimes called, is a special niche in human resources. Instead of the candidate searching for the company, the company searches for the candidate. They do this by hiring a recruiting firm or an independent recruiter. If you enjoy articles about starting a new career, salary negotiation, recruitment and selection, recruiter career salaries or online employment recruiters, keep reading!

      In this salary story, we meet Tricia Trimble, an independent recruiter who gives us the inside scoop on headhunters, changing careers, salaries, interview and resume tips, starting a recruiter career and recruiter career salaries. Tricia is one of the many executive recruiters California will keep busy in 2007, according to costa-mesa-california.org. Before you leap into this profession and Google “head hunter Beverly Hills,” read what this down-to-earth gal has to say about recruiter career salaries and how to become an executive recruiter.

      Recruiter Job Description:
      As a recruiter, I develop business with a wide range of clients including Fortune 500 and start-up companies through cold calling and developing relationships with hiring managers. I also negotiate fees with clients and prepare appropriate fee agreements for client signature. I cold call, network with, and recruit candidates for job openings. Part of my job as a recruiter is to match candidates to current and new job openings and schedule interviews when appropriate.

      Why did you choose a recruiter career and what were your career steps?
      I graduated with a degree in accounting from Santa Clara University and then worked for KPMG Peat Marwick (San Jose office) for 2 years until I completed my CPA. I was then recruited to work for the internal audit department at Sony Corporation of America in Los Angeles. After working as an auditor for nearly 3 years, I knew it wasn’t what I wanted to do long term.

      I went to see a recruiter about finding a new position that utilized my accounting knowledge, but was more “in-line” with my personality. The recruiter who interviewed me proceeded to recruit me to be a recruiter for accounting and finance roles. I thought the job sounded exciting and much more in line with my personality, so I took a chance and tried it out. It was the best career move I ever made!

      What do you like about working as a recruiter?
      The thing I like most about being a recruiter is the interaction with people. Recruiting is a “people-business.” It is quite fun meeting new people, learning what they do and helping them find new positions. The other thing I like about being a recruiter is that you are paid on commission so the more effort you put in, the more money you can make. The sky is the limit.

      What is the most challenging part of a recruiter career?
      When people want you to help find them a new job that is in an area that they don’t already have experience (i.e. a person with accounting experience wants you to find them a finance job), that is challenging. Most companies hire recruiters to find them qualified candidates who have actual “hands-on” experience doing the job. The other challenging part of the job is managing salary expectations – candidates usually want to be paid more and companies usually want to pay less.

      Can you recall any memorable or funny moments from your recruiter career?
      I’ll never forget the time when I went to interview a candidate and he sat in the interviewer chair. It’s pretty obvious which chair is for the interviewee and which chair is for the interviewer, so it was pretty clear that it was a “power” thing. I simply said, “You’re in my seat.” and got him to move. Let’s just say, I was pretty careful when I sent him out on interviews with our clients.

      What are some little known resume and/or interview tips that people should know?
      If there is a time gap in your employment history, you should write your chronological resume in years as opposed to months & years, so you don’t bring attention to the time gaps. Another important point is to always be able to answer the question, “Why did you leave your previous position?” with a positive spin and try not to say anything negative about any previous employer.

      What is the range of recruiter career salaries?
      Recruiters are paid on commission, so recruiter career salaries are wide open. Usually, people have a draw which is about k a month and then you get paid more if you exceed your quota. If you are good at what you do, you can easily make in the six digit salary range.

      Here’s an example: If you negotiate a 20% fee with a company and you place an accountant with them for K, then the recruiting firm receives K for the deal. Commission applies to recruiting firms. If you are an independent, then you get paid whatever you negotiate.

      As an independent recruiter, do you have time to pursue other interests?
      I’m a beauty product junky and love researching new skin care and beauty products. After taking several advanced skincare classes and getting my esthetician license, I decided to start my own beauty website (www.BeautyIntuition.com) with the goal of promoting inner and outer beauty. My website offers a diverse selection of organic products, herbal supplements, and homeopathic remedies.

  42. QUESTION:
    Schedule C – Pre Business Loss – Supporting Documentation?
    Hi,

    Our tax advisor is out of country. We are seeking your help and advise.

    IRS is examining our 2007 personal return. They asked us to send supporting documentation for Schedule C expenses we claimed:

    1) Other Expenses
    2) Vehicle Expenses

    To give you background, we were in Cleveland, Ohio and exploring for business opportunities in 2007. Initially, from Jan through May, we traveled to Pittsburgh, Cincinnati, Columbus during weekends through some leads. Also we were looking for business through online websites and newspapers.

    In May, we had found a gas station for sale in about 20 miles from our place. We talked to the seller. Based on what he said, the business seemed promising so we wanted to purchase. He asked us to put a 10k deposit and so he can start training as we had no idea on gas station business. Also he indicated that it may take about 4 – 6 months to transfer ownership as its a name brand gas franchise. We believed his words and put a K deposit with a bill of sale agreement and started training and paperwork with the franchise to transfer ownership. We had gone to the franchise corporate office for interview and exams as well. The seller promised that we can get our deposit back if we back out or transfer process doesn’t go through. From May through September we had training almost everyday. It seemed like business wasn’t doing very well due to competition on the other corner. Before proceeding further (its already too late :-) , we decided to go to a CPA and get his previous tax returns verified. We went to a local CPA, showed his tax papers, paid towards consultation fee, she suggested not to buy the gas station as it had liabilities.

    Next day, we went to the seller and told him that we wanted to backout. He agreed to give our money back after few days. So went to him a few times. He said he can give in multiple payments, so he gave a check for ,500. We deposited the check in a local bank but it was bounced. We tried sending emails, calling, and went in person. But he said he cannot give our money. We wanted to give him some time and try again. But he never gave our money back.

    When we were doing taxes for 2007, we explained all this to our tax advisor, he suggested to claim all this a pre business expenditure (loss) on a schedule C as follows:

    Other expenses:
    K (deposit lost) + (CPA consultation fee)

    Vehicle expenses:
    all miles travelled

    However we do have check images to support other expenses. Also we do have vehicle service records avaialble to support the vehicle miles log (Dec 2006, Apr 2007, Dec 2007).

    IRS asked us to send completed business questionnaire plus vehicle information as well. We’ve all the information but not sure how to put all this together. Kindly suggest the approach.

    Sincerely,
    Ram & Yash

    • ANSWER:

  43. QUESTION:
    CPA exam fee for each section.?
    Sorry, an extremely stupid question. This morning, I paid to take three sections of the CPA exam in California. 4.35 for FAR, 190.50 for Regulation, and 8.58 for Business Concepts.

    My question is: do I need to pay this fee each time I take the test? Or can I take the exam a maximum three times if I don’t pass over the next nine months?

    Thanks.

    • ANSWER:
      I’m not sure the requirements to take the CPA exam in California since I am a CPA candidate in Virginia. However, I had to pay the fee to take each exam part. My recommendation is to pay each of the four sections as you take them because there are expiration dates ( 6 months) on the payment coupon that you will be receiving from NASBA that you will need to pay first before you are able to schedule to sit for the CPA exam section(s). Once you pay the Payment Coupon, then you will receive an email within 5-7 days of NTS (Notice To Schedule) valid for 1 year from date of notice from AICPA to confirm of your exam section(s) with the state. You have 18 months from the first CPA exam you passed to take all four sections and pass before you have to retake everything including the passed sections if not completed after 18 months. You can retake a failed section within the next testing window, but not in the same testing window (i.e. 1st window (Jan, Feb) 2nd window (April, May) ). I hope this helps. I’ve included a web link to California’s CPA exam req’mts. I have an exam coming up soon, so I wish you the best of luck. =)

  44. QUESTION:
    LCC taxation & filing schedule?
    I run a very small cafe in LCC form in CA and want to do the accounting and taxation by myself. It’s very straight forward and simple my business. Only me and my wife run this cafe and monthly sales is about 00 only.
    But I don’t want to miss anything. Can any people give a taxation and filing schedule so I can do it accordingly? For example, every quarter filing sales report (what form I need?) and pay tax at what time.
    A clear schedule and to-do list will be highly appreciated. Thanks!

    • ANSWER:
      An LLC is a disregarded entity, so you file your return the same way that you would if you had not created the LLC.

      Since it’s you and your spouse that run it, your have a choice. You can either file a Form 1065 partnership return or as a Qualified Joint Venture using Form 1040 and Schedule C. See this link for more information on those choices: http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Election-for-Husband-and-Wife-Unincorporated-Businesses

      As far as record keeping and running a small business in general are concerned, see IRS Pub 535 http://www.irs.gov/pub/irs-pdf/p535.pdf and IRS Pub 334 http://www.irs.gov/pub/irs-pdf/p334.pdf to get started.

      If you have no bookkeeping experience I’d highly recommend a consultation with a local CPA or EA who specializes in small business matters. You need to get your record keeping up to speed. That’s especially critical if you have employees, since the penalties for screwing up payroll can bankrupt you in short order.

      I would also suggest that you seriously reconsider the LLC. Consult with your personal attorney on that matter. Most small businesses get no benefit from forming an LLC, and forming one can significantly increase your taxes and your tax prep costs. CA has a minimum franchise fee of 0 regardless of profit or loss that informal partnerships or Sole Proprietorships don’t have to pay.

      A good general liability insurance policy will usually provide better liability protection than a closely held LLC ever would. It would also protect the business’ assets, something that an LLC can not do.

  45. QUESTION:
    Photography questions about taxes?
    I’m starting up a photography business and i am wondering what all i need to do. Come tax time what will i need to do? What will I need to do about things I buy? What will i need to do about receipts?

    Thanks to anyone who helps out. I just need the help gettin started

    • ANSWER:
      In addition to the regular 1040 you must file a Schedule C – Income from Self-Employment. This can work to your benefit so don’t freak out yet. As a self-employed person, you only actually have to post a profit 2 out of 5 years, and the loss is deductible against wages and other income and can lower your tax bill while providing you with extra cash. This is the miracle of accounting.

      As to registering the business, it is in your best interest to do so. It will help convince the IRS that you are a legitimate business, not a hobbyist (IRS loves to ream photogs on that). So go to city hall, get the paperwork and register. The costs are a legitimate deduction.

      You may want to buy QuickBooks to help you keep track of your expenses, but you can use excel as well. Everything you spend on the business is deductible: Business cards, a portion of your cell phone, internet connection, any scrapbooks you use to show proofs, letterhead, liability insurance (except auto – discussed below), travel (airplanes, hotels, and 50% of meals when out of town), any fees you pay to assistants, advertising and promotion and office supplies. Everything.

      Your equipment is also deductible. Any equipment you bring into the business that was purchased last year will have to be depriciated, but current purchases like a new flash, remote switch, tripod, filters ect. can be written off under section 179, assuming 100% business use. Also a portion of your rent or mortgage can be deduction for a home office expense if you meet certain qualifications.

      As to your car, get a small notebook and write down the mileage on the odometer. Keep track of every trip you make for business – getting office supplies, seeing the client, going to the wedding, whatever. If it has to do with business, its deductible. On Dec. 31, write down the mileage off of the odometer. (Also if you use the car to commute to work keep track of that. I just write the odometer reading down each and every time I get in the car with the purpose of the trip. Saves headaches filling out the form later.) All costs of the auto is computed in the IRS’s rate-you can choose actual costs, but this way is much less trouble and you’re less likely to be auditied on it. Figure out which gives you the higher deduction and use that if you have written back up.

      It is in your best interest to meet with a CPA to set up your business. CPA stands for Certified Public Accountant – their job is to help you get organized so your books are correct and auditable. She/he will also advise you as to state and local laws. It will cost a bit of $, but what you will save in the long run more than makes up for it. You should not need more than 1 or 2 hours of their time, so it shouldn’t cost more than 0 to 0, which yes sounds like a lot, but in the long run can save you thousands. Its a good investment. Also if you aren’t good with numbers or reading tax forms having the CPA (or a tax preparer) do the taxes can be very beneficial. They know things you don’t. If you are willing to do some homework and learn a bit about accounting (which I’d highly recommend) you could self-prepare your returns using Turbo Tax or any other of the packaged software.

      Please note that only Calif. and Oregon require tax preparers to have any training at all – unless you’re dealing with a CPA its buyer beware (avoid H&R Block, Liberty and the like.)

      You also need liability insurance, and if you employ (even as a contractor) workers comp insurance. Shop around for quotes and get at least 1 million in coverage. A friend of mine did studio work, had a great eye and was pulling in big clients. He neglected to buy insurance. One day the client brought in a guest who put his finger in the socket of the strobe power pack. The pack blew up, the guy lost his finger, and my friend suddenly owed him three million $. My friend did not have three million dollars. He’s out of business now.

      Before I went full time as a photographer I was an accountant. It was boring, but really prepared me to take full advantage of the laws. I pay much less tax on higher revenues than other photogs I know because of this experience (the only reason I learned it was to pay less tax.). Photo is better. LOL!

  46. QUESTION:
    what all can you claim that is tax deductible?

    • ANSWER:
      Medical and Dental expenses above 7.5% of your Adjusted Gross Income (1040 line 38).

      [FAQ-ANSWER].19 per mile for all miles driven for medical purposes. That rate went up to 27 cents per mile for all medical miles driven after June 30th 2008.

      If you provided charitable assistance to a midwest disaster area in 2008 tou can take 36 (41 after June 30th) cents per mile for miles driven related to that assistance.

      Qualified mortgage insurance premiums. The contracts have to be made after December 31 2006.

      General State and Local sales taxes.

      Property destroyed in a disaster (not caused by you), or theft (not arranged by you). You will need to talk to a professional if you are going to take this one, because the code and calculations are complex here.

      Personal Property taxes. You only get this if the tax is assessed yearly and is value based.

      Real Estate taxes. Take only if the tax is value based and the assessment is uniform across the community. There are some nuances here so you’ll probably want to talk to a tax pro for this.

      You can deduct taxes from foreign countries and from US possessions. This is usually investment related, and most people don’t get this.

      Home Mortgage interest and points. They are deducted in the year paid.

      Investment interest can also be deducted only if the interest paid is on a loan for property held for investment purposes. You’ll have to attach form 4952 to your 1040.

      Gifts to charities or churches. Be sure to keep records of what was gven, what it is worth on the market, and who it was given to in case the IRS decideds to audit you. No sense getting hit with back taxes and penalties because you forgot to keep a record. The gifts can be personal property or money. Keep you recipt either way. Oh, and you can deduct last years charitable contributions that were not used.

      Unreembersed employee expenses. You can check your W2 and see if it has any reembersments from your employer.

      Gambling losses to the extent of winning.

      Partnership losses. These will be listed on schedule K-1 Box 2

      Federal estate tax on income recived from the deceased. This is because tax was already paid by the deceased’s executor. Despite the Government’s greed, they rarely tax income twice (at least in such an obvious fashion).

      You can take an exemption for your spouse, kids, or other dependants (00 a pop).

      Alimony paid. HSA contibutions. Moving Expenses. Child care.

      There are a few others that can be had. Just check out my source and look over a 1040. The 1040 is available at your local IRS office, college, library, or on the IRS website (www.irs.gov). And they are all free, so please glance over them.

      Finally you will want to check with a CPA or other tax pro if you are at all unsure abou a deduction you want to take. It is better to pay 0 than to have to pay 0 in professional fees and have your life ruined by an IRS audit because somthing was not documented to their liking. Guess what?? The fee for tax preperation is also deductable!

      Best of Luck to Ya!

  47. QUESTION:
    Legal Environment of Business Help?
    Ray Moon is a CPA, certified public accountant and is properly licensed in Ohio. For the past 15 years he has been self-employed as a tax preparer doing business as Ray Moon, C.PA. a sole proprietorship. Ray had an office in the Corryville neighborhood of Cincinnati and another office in the Hyde Park neighborhood of Cincinnati. Clients paid Ray to prepare their income tax returns. Ray offered clients instant tax refunds by way of Refund Anticipation Loans (RAL). The RAL process which allows a taxpayer to receive an anticipated refund more quickly than if the refund was issued directly to the taxpayer by the IRS. The RAL transactions entered into by Ray and his customers were facilitated by Hour PayDay Loans of Cincinnati (HPDL).

    The RAL process works as follows: (1) the client signed an RAL form which Ray submitted to HPDL for approval; (2) if approved, HPDL pays the customer an amount equal to the anticipated refund, less the amount of HPDL’s fees and Ray’s fees; (3) after the IRS processes the return, the refund amount is paid to HPDL; (4) HPDL retains the fund as repayment for the loan; and (5) Ray then receives his fees from HPDL.

    Ray has prepared about 1500 returns. Almost all of the clients were to receive refunds. An examination of about 100 of the returns show that 90 had discrepancies on their Schedule-A, Itemized Deductions, and/or Schedule-C, Profit or Loss From Business, of their returns and had false entries. Those clients ended up owing a substantial amount to the IRS, after admitting that the entries were different than the actual deductions, etc. The clients showed the information that they had submitted to Ray for preparation of their tax returns. Ray had told them that there were IRS regulations that allowed the differing amounts to be reported on their tax returns.

    Ray received $ 124,833 in tax preparation payments from his clients in 2012, that were not listed on a Schedule C, Profit or Loss for Business for Ray – Ray did not file a Schedule C when he filed his own tax returns in February 2013. Ray did not have separate bank accounts for his tax preparation business from his personal bank activities. Fees of 1, 833 were paid out to Ray from RAL transactions, according to HPDL’s records. An audit of HPDL’s activities disclosed the deposits which had not been accounted for by Ray.

    QUESTIONS: Number your answers to correspond with the question you are answering. Use the appropriate legal terminology and give complete answers.
    1.Explain in detail any legal claims anyone has and against whom and why.
    2.Explain who should win and why. Also explain what remedy should be awarded.

    • ANSWER:
      A good process and good management is the main condition of business success. If you start a business without a proper business process you can not success. We help you for you a good business process with expert businessman.

  48. QUESTION:
    If my CPA made mistakes on my return do I have to pay her?
    My CPA is charging me 0 for filing this year’s return, which I don’t feel is too expensive, however she made several mistakes. I don’t feel I should have to pay her the full amount she’s charging considering the mistakes made, along with her office’s poor customer service.

    It took her office 5 weeks to complete my return when she said it would take 6 days. My taxes aren’t overly complicated. In addition to that I had over 00 in tuition I paid last year that was not included in the return. She also failed to include my mortgage insurance premiums I paid. These are just a couple of the mistakes.

    So do I have to pay her in full? Frankly I feel like telling her I don’t want to do business with here and not pay at all. I’d rather file on my own at this point or take my taxes to H&R block to file. Are these options? Can I refuse to pay? I’m fearful that she may take legal action if I don’t pay.

    • ANSWER:
      You’ve learned not to go to Jackson-hewitt. And don’t go to block, either. They are every bit as bad, and in some aspects, even worse. Some preparers, like some HR block franchises, do not tell you that you have the option not to pay. You can tell her you’re unhappy and pick up your papers. Instruct them to take your social security number out of the software.

      However, your circumstance could be that your adjusted gross income was too high and the software calculated it that your tuition and fees deduction {or the credit} was phased out. If your Schedule A was subject to itemized deduction phaseout, the hazard insurance should still be on the Schedule A, though.

      You can do your taxes yourself unless you are in a complicated situation – a proprietorship, partnership, lot of real estate deals with depreciation, foreign taxes and regulations, own a mutual fund
      – along that line. If you are not comfortable, get on the National Association of Enrolled Agents – naea.org – website. Click on “Find an enrolled agent”. Type in your town, state or zip code. Enrolled
      agents do not work cheap, but your taxes will be done right and they will go with you if you are audited by the IRS. Not always are they lawyers but have the
      power of attorney with the IRS.
      Enrolled agents are professional tax practitioners who have technical expertise in the field of taxation, and are licensed to represent taxpayers before the
      Internal Revenue Service at all administrative levels. Moreover, enrolled agents are the only tax practitioners required by Federal law to maintain their expertise
      through continuing professional education. Tax attorneys and CPA’s used to, but lobbied and no longer are required. It was too hard for them to pass the EA examination and to maintain their
      EA certification through continuing professional education. A CPA is worth less to the taxpayer unless that CPA is an Enrolled Agent. Note all the scandals. There have been ZERO scandals in the vast majority of enrolled agent chapters since the founding of the NAEA in 1982.

      http://www.naea.org

  49. QUESTION:
    Owner of two homes–tax question?
    The first one was bought 2 years ago and is owner occupied. The second one, I purchased 4 months ago as an investment property. I’m renting it out for 00 and the mortgage,taxes and HOA fees are ,500 a month.

    Will I be penalized tax-wise when I file my taxes this year because I purchased a second property? I got a lot back last year so I’m curious how it will be this year.

    • ANSWER:
      You claim the rental income and expenses on Schedule E. You can deduct all of the expenses incurred in renting the property, such as property management fees, rental agent’s commissions, repairs & maintenance, utilities, interest, insurance, taxes, depreciation, etc. With your numbers, you will probably have a tax loss once the depreciation is figured in.

      Don’t forget the depreciation! It is subject to recapture when you sell, whether you take it or not so don’t forget it. You only depreciate the improvements (buildings) not land so you need to apportion the purchase price between land and buildings. You depreciate on a 27.5 year schedule using a straight line method with no residual value.

      You may wish to consult with a local CPA or EA the first year to get up to speed. It’s a bit complicated getting things set up right but once you have that whipped you should be able to handle it yourself in the future.

  50. QUESTION:
    No Schedule C on personal return if SMLLC — disregarded entity — was dormant (no transactions)?
    I realize that a number of people who have knowledge on this subject enjoy showing their nostrils and make it clear that I have no business asking such questions, but this is surefire way to learn even if they’re right… if I fail, I’ll come back stronger next time.

    That being said, I just need to make it through this tax year. I have a meeting with a CPA lined up but need to make sure I ask the right questions.

    Today, I’m just hoping to clear up something simple. Many so-called Yahoo! Answers “tax advisors,” say different things with such conviction you have to wonder-am I so wrong to experience some confusion?

    For example, some say with no income or loss there’s nothing to report. Does that mean no Schedule C at all? Others say, regardless of income or loss you must file.

    Lastly, at the state level… there are no franchise fees and that the disregarded entity is treated as a sole proprietorship. Income/loss should be reflected on Schedule C of the Form 1040 on my personal tax return.

    So, if I did not report on a Schedule C (even zeroes), doesn’t that mean that I report nothing about the business?

    Again, I speak with a CPA this week but I just want to clarify it in my own mind before the meeting.

    Thanks
    Thanks the tax lady, but here again (and I know it’s all my lack) the answer is vague in regard to my question.

    “Unless you incorporated, your single-member LLC income/expenses go on the schedule C. (Tro tends to say it’s a choice, when it’s not.)”

    Ok, so it sounds like I need to include Schedule C either way.

    Unlike a corporate return, the presence or absence of the schedule C is enough to show whether or not the LLC is active.

    Oh wait, maybe not. So the absence of the Schedule C shows that the LLC was dormant?

    See, so I’m back to square one.

    “Fortunately, you are talking to a CPA, who presumably has a bent to doing taxes.”

    I agree, I know.

    • ANSWER:
      Tax Lady’s answer wasn’t exactly vague but I can see how you might not fully understand what she said without certain tax knowledge. To simplify it more for you the IRS will know the LLC was inactive for the year by no Schedule C being included. They prefer you do not send in one with zeroes even though some CPAs will still do this. No activity – no Schedule C.

      The times that “regardless of income or loss you must file” you reference are cases in which corporate entities are required (C Corps, S Corps, certain LLCs taxed as a corporation, etc – unlike your disregarded entity)


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