12 do’s in IRS audits
HERE are 10 tips to pull you through an audit: 1. Bring the right attitude with you. It could spell the difference between winning and losing. 2. Be on time….
Category: Business
Covering the week’s most noteworthy business news impacting the Filipino-American and Global Filipino community.
Read More
Are you stuck in credit card debt?
WARNING: Excessive credit card debt can lead to financial disaster and can affect your financial well-being. The reason they call it “credit card debt trap” is because once you’re in,…
New California laws
Customer Service Dashboard: The goal is provide tools and resources in resolving tax matters. The “Customer Service Dashboard” was launched in March 1, 2017 with estimated time frames for your…
Clients with wage garnishment, huge sales tax, freak accident seek BK relief
“Chapter 7 will just wipe out all of his potential liability for the damage caused.” Freak accident liability I THINK I want to discuss the client with the freak accident…
Should I tell my boss about my medical condition?
Q: I WAS diagnosed with herniated disc and severe anxiety. I want to request leave but want to keep my privacy at work. Do I need to tell my employer…
Should you submit messy records to an IRS auditor?
THERE are two approaches to prepare for an audit: organized and shoebox. Organized means arranging your records. Shoebox means simply being you—your naturally disorganized you. Let’s discuss each method so…
If you continue to borrow just to pay debts, here’s what will happen
IF you are in debt and don’t have enough to pay your debts each month after taking care of living expenses, you may be tempted to borrow money from credit…
Should you pay wages in cash?
It is not a good business practice to pay cash for wages. Issues when paying employees cash 1. You are exposed to income tax audits of both agencies federal and…
Should commission employees be paid separately for rest breaks?
RICARDO Vaquero and Robert Schaefer worked as Sales Associates for Stoneledge Furniture, a retail furniture company. Stoneledge paid sales associates on a commission basis, based on the company’s Commission Compensation…
Life cycle of an audit
(Part 3 of 3) 11. Your case is referred to an Automated Collection System (ACS). The ACS is a nameless, faceless computerized collection system that utilizes telephones. IRS personnel at…
Are you in denial about your credit card debt?
MOST people don’t talk about their credit card debt because they find it embarrassing. They can talk to their friends and family about everything else but when it comes to…
Bonuses, commissions and shift differentials entitle employees to more overtime pay
Q: I WORK in the service industry and I often receive performance bonuses on top of my hourly rate. I also work a lot of hours (50 to 60 hours!)…
Life cycle of an audit
(Part 2 of 3) 6. YOU first receive a contact letter advising you that your return has been selected for examination. It spells out the preliminary areas for audit. You…
Warning to parents who cosign their child’s student loans
YOU want to help your children go to college and if you’re like most parents, you would do anything to help them get a good education. At some point, you…
Death of a taxpayer part 2
WE discussed previously the requirement for consistent basis reporting between the person receiving the property and the decedent’s estate. Applicability of filing requirements for US Citizens for transfer certificate. 1….
Eligible debtors should seek BK relief
SOMETIMES debtors cannot decide whether they should seek debt relief through Chapter 7 wipe out of all dischargeable debts or a consolidation and reorganization through a Chapter 13. They usually…
Should you sign that independent contractor agreement?
Q: TWO years ago, I signed up with an agency to work as a nursing assistant assigned to patients in private homes. Recently, the agency asked me to sign a…
Life cycle of an audit
(Part 1 of 3) WHILE audit penetration has, decreased, the quality of audits has improved. Auditors undergo specialization training. They conduct economic reality audits that involve looking at issues beyond…
Fil-Am co-founder of Snapchat worth $4 billion
Robert “Bobby” Murphy named one of the youngest billionaires in the world The introduction of the smartphone in the mid-2000s and the genesis of the start-up business culture ushered in…
The Philippine Housing Plan Is an Epic Failure
In a CNN report written by Paolo Taruc on September 21, 2015, the Philippines emerged as one of Southeast Asia’s fastest growing economies with an average gross domestic product (GDP) growth rate…
Senior scammed out of $100K by Internet boyfriend, needs Chapter 7 relief
Client filed for Chapter 7 without lawyer in 2008 did not get discharge CLIENT is 65 and a widow. Wanting some male attention, I guess, she posted her picture on the…
Barter for labor: Can employees be paid ‘in-kind’?
COREPOWER Yoga (CPY) owns a chain of yoga studios throughout the country, including at least thirty-one studio locations in California, and offering yoga classes throughout the day. CPY operated…
Bankruptcy: When bad things happen to good people
IF you’ve accumulated a lot of debt and something has happened in your life that’s made it difficult to pay your bills, you are not alone. After almost 18 years…
Death of a taxpayer (part 1)
Two major requirements under the Surface Transportation and Veterans Health Care Choice Improvement Act of 2015: 1. The estate executor or others required to file an estate tax return Form…
Using Chapter 13 to stop foreclosure
Senior needs Chapter 13 to stop sale of $1.0M house by judgment lien of $30K “ Don’t wait until the last minute. Credit card debt must be wiped out now…
How your personal injuries affect your rights at work
Q: I WAS severely injured in a recent car accident while returning to work on an errand. I had to undergo multiple surgeries. I missed several weeks of work and…
How the IRS stores your income tax returns for future audits
THIS is the second of three articles on how the IRS selects tax returns for audit. Our first article discussed how tax returns are received, verified, and reviewed. This article…
Feeling lost: Do you need direction with your financial life?
MAYBE you’ve experienced this before: You’re driving down the road one cold, chilly day and before you know it, you find yourself surrounded by a thick white wall of dense…
Divorce issues & tax tips
1. Non-recognition rules of property settlement between spouses. There is no gain or loss recognized on a transfer of property incident to a divorce under IRC section 1041. Sample 1…
Seniors facing end of interest only mortgage payments need Chapter 13 to stop foreclosure
Senior needs Chapter 13 to stop sale of $1.0M house by judgment lien of $30K CLIENT is 61. Her husband is 60. In my book, they are young seniors. They…