| Deductions for Daycare Providers |
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| Normally, a taxpayer seeking to take deductions for the business use of his or her home must meet the following qualifications: the business use of part of the home must be exclusive, regular, and for a trade or business AND the business part of the home must be either the principal place of business, the place where the taxpayer meets with clients, patients, or customers, or a separate structure not attached to the home. More... |
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| Identity Theft Scheme Against Non-Resident Aliens |
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| Identity theft is big news these days, and we all know not to give our social security or credit card numbers over the telephone to strangers. But just as we are beginning to think that we are safe from the identity scammers, the Internal Revenue Service has discovered a new scheme, which is aimed at non-resident aliens who have income from a United States source. This scheme uses fake IRS correspondence and an altered IRS form to trick the foreign person into releasing personal and financial data, and the thieves use this information to steal the individual's identity and financial assets. More... |
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| Enrolled Agents |
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| Most people know that both certified public accountants and attorneys prepare taxes and are entitled to represent them in front of the Internal Revenue Service. But fewer taxpayers are familiar with the role of the enrolled agent in income tax preparation. More... |
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| Below-Market Interest Loans |
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| The Internal Revenue Service looks very suspiciously at loans that carry little or no interest. These loans, called below-market interest loans, can either be demand loans with interest payable at less than the statutorily prescribed applicable federal rate, or term loans where the amount of the loan exceeds the present value of all payments due under the loans. More... |
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| What is an S Corporation |
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| An S corporation is a hybrid entity. It is a type of a corporation, but it is taxed like a partnership. Usually, an S corporation does not pay federal income tax. Similar to a partnership, income or loss is passed through to the shareholders in proportion to their ownership interests, and the shareholders report the income or loss on their federal income tax returns. In addition, the S corporation is a conduit to the shareholders for gains and losses, charitable contributions, dividends, and tax-exempt interest. More... |
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