Thursday, December 30, 2010
Wednesday, December 29, 2010
Tuesday, December 28, 2010
Sunday, December 26, 2010
New Emergency Homeowner Loan Program - January 2011
January 2011 – New Emergency Homeowner Loan Program. A federally-funded loan program will be available to assist the unemployed, and those who have exhausted unemployment benefits, who are facing foreclosure. Eligible homeowners may qualify for 0% interest bridge loans up to $50,000 to assist with mortgage arrearage, delinquent taxes and insurance, plus up to 24 months of payments for mortgage, taxes, and insurance. When the program is implemented, information will be posted on Massachusetts DUA website www.mass.gov/dua to help claimants apply.
Friday, December 24, 2010
Recession and Global Unemployment
The US unemployment rate is 9.8% as of December, 2010.
Countries with rates 20% and above:
Afghanistan - 35%
American Samoa - 29.8%
Bosnia - 43.4%
Canary Islands - 27.68%
Cape Verde - 21%
Dominica - 23%
Kosovo - 73%
Latvia - 20%
South Africa - 25.3%
Spain - 20.02%
Ireland, booming just a couple of years ago, has a rate of 13.9%.
Countries with rates 20% and above:
Afghanistan - 35%
American Samoa - 29.8%
Bosnia - 43.4%
Canary Islands - 27.68%
Cape Verde - 21%
Dominica - 23%
Kosovo - 73%
Latvia - 20%
South Africa - 25.3%
Spain - 20.02%
Ireland, booming just a couple of years ago, has a rate of 13.9%.
7 States to Increase Minimum Wage, January 1, 2011!
7 states will raise minimum wage on January 1, 2011 - Arizona ($7.36), Colorado ($7.35), Montana ($7.35), Ohio ($7.40), Oregon ($8.50), Vermont ($8.15) and Washington ($8.67).
Massachusetts minimum wage remains at $8.00. Both Washington and Oregon have a lower cost of living than Massachusetts but a higher minimum wage! Lest you would assume otherwise - Vermont's cost of living was higher than Massachusetts in the 3rd quarter of 2010!
Massachusetts minimum wage remains at $8.00. Both Washington and Oregon have a lower cost of living than Massachusetts but a higher minimum wage! Lest you would assume otherwise - Vermont's cost of living was higher than Massachusetts in the 3rd quarter of 2010!
Thursday, December 23, 2010
Delayed tax filing for some in 2011!
The IRS wants you to know that taxpayers claiming state and local sales tax deductions, higher education tuition and fees deductions, educator expenses deductions, and those who itemize deductions on Form 1040 Schedule A, will have to wait to file tax returns until tax processing systems are ready. The IRS estimates that will be in mid- to late February.
Tuesday, December 21, 2010
Saturday, December 18, 2010
Friday, December 17, 2010
Wednesday, November 24, 2010
Tuesday, November 23, 2010
Saturday, November 20, 2010
Thursday, November 18, 2010
Massachusetts Unemployment Rate Drops to 8.1% in October
BOSTON - Thursday November 18, 2010 --- The Executive Office of Labor and Workforce Development reported today that the total unemployment rate dropped from 8.4 percent in September to 8.1 percent in October, the lowest unemployment rate since April 2009 and the steepest two-month consecutive drop since 1976. Since August the rate has dropped seven tenths of a percentage point and remains below the 9.6 percent national rate.
The preliminary October job estimates show 3,185,500 jobs in Massachusetts, an increase of 10,000 jobs, with most of the gains in Education and Health Services and Leisure and Hospitality. Professional, Scientific and Business Services, Construction and Trade, Transportation, and Utilities lost jobs. Over-the-year, jobs are up 37,300 with private sector jobs up 35,100. The October job gain follows a revised 21,300 jobs loss in September, previously reported as a 20,900 job loss. Year-to-date (December 2009 - October 2010) 47,900 total jobs have been added. Private sector job growth for the same time period is 48,300.
Trends for the labor force, unemployed residents, employed residents, the unemployment rate and jobs continue to indicate improvement for Massachusetts' economy.
The preliminary October job estimates show 3,185,500 jobs in Massachusetts, an increase of 10,000 jobs, with most of the gains in Education and Health Services and Leisure and Hospitality. Professional, Scientific and Business Services, Construction and Trade, Transportation, and Utilities lost jobs. Over-the-year, jobs are up 37,300 with private sector jobs up 35,100. The October job gain follows a revised 21,300 jobs loss in September, previously reported as a 20,900 job loss. Year-to-date (December 2009 - October 2010) 47,900 total jobs have been added. Private sector job growth for the same time period is 48,300.
Trends for the labor force, unemployed residents, employed residents, the unemployment rate and jobs continue to indicate improvement for Massachusetts' economy.
Monday, November 15, 2010
Saturday, November 13, 2010
Thursday, November 11, 2010
Wednesday, November 10, 2010
Monday, November 8, 2010
Saturday, November 6, 2010
Monday, November 1, 2010
Thursday, October 21, 2010
Wednesday, October 20, 2010
Tuesday, October 19, 2010
Monday, October 18, 2010
Wednesday, October 6, 2010
Average credit card balance in US
Consumer Reports - as of July 2010, the median credit card balance in the US was $3,793, down $1100 from 2009. Good news - people have decreased credit card debt significantly in one year.
Tuesday, October 5, 2010
Monday, October 4, 2010
Saturday, October 2, 2010
Wednesday, September 29, 2010
Tuesday, September 28, 2010
Sunday, September 26, 2010
Friday, September 24, 2010
Thursday, September 23, 2010
Monday, September 20, 2010
Friday, September 17, 2010
Wednesday, September 15, 2010
Friday, September 10, 2010
Thursday, September 9, 2010
Friday, September 3, 2010
Monday, August 30, 2010
Homeowners in Crisis
The Mortgage Bankers Association reported last week that 1 of every 7 American homeowners is at least one mortgage payment past due, or in foreclosure! Renters are probably late on rent payments as well!
Saturday, August 28, 2010
Friday, August 27, 2010
Tuesday, August 24, 2010
Massachusetts Single Family Homes
The median sale price for single family homes in Massachusetts is $330,000, according to MRA. Sales are down 28% compared to figures for July 2009!
Sunday, August 22, 2010
Friday, August 20, 2010
Thursday, August 19, 2010
Friday, August 13, 2010
Thursday, August 5, 2010
IRS Moving Slowly Into The Future
The IRS plans to explore providing an effective mechanism to use a portion of a taxpayer's refund to pay for the services of a tax professional. The IRS plans to engage with the public, consumer advocates, and the tax industry, to determine if this option will be a cost-effective way for taxpayers to pay for services.
Thursday, July 22, 2010
Thursday, July 8, 2010
Day Camp Expenses
The IRS wants you to know that:
The cost of day camp may count as an expense towards your child and dependent care expenses.
Overnight camp costs do not qualify.
You will need the name, address and Federal ID number of the camp when you prepare your tax return.
The cost of day camp may count as an expense towards your child and dependent care expenses.
Overnight camp costs do not qualify.
You will need the name, address and Federal ID number of the camp when you prepare your tax return.
Tuesday, July 6, 2010
Massachusetts Home Sales in June 2010
The average price for a Massachusetts home dropped 7% last month alone!
Thursday, July 1, 2010
Wednesday, June 23, 2010
Thursday, June 17, 2010
Swiss Bank Accounts
The Swiss Bank, UBS AG, has agreed to give the names of 4,450 American customers, suspected of tax evasion, to U.S. taxing authorities.
Monday, June 14, 2010
Government Checks No Longer In The Mail
Social Security, unemployment, veterans benefit, tax refund, railroad retirement, and government benefit checks must now be directly deposited into the recipient's bank account. Currently, 85% of Social Security checks are direct deposits. The alternative is Direct Express Debit MasterCard when there is no bank account.
It is safer, faster, and will save money – about $303 million over the first 5 years, then about $120 million a year.
It is safer, faster, and will save money – about $303 million over the first 5 years, then about $120 million a year.
Sunday, June 13, 2010
Snowe Files Amendment to S Corporation Profits Tax Proposal
On Thursday, Sen. Olympia Snowe, (R-Maine) and Sen. Mike Enzi, (R-Wyoming) filed an amendment to HR 4213 to strike the tax provisions regarding professional service S-Corporations. The senators called S-Corporations "the major entrepreneurial form of business ownership that has been the single biggest job generator."
Friday, June 11, 2010
EA's Exempted from New York Registration Process
EA's will no longer have to register as NY Tax Preparers under NY Senate Bill 5710A, passed 58-0 by the Senate on June 7, 2010. The Assembly also passed the bill. It is on its way to the Governor for signature. Good job, NY EA Association for advocating for all EA's across the country.
Wednesday, June 9, 2010
Massachusetts DOR Bills Mailed in Error
Massachusetts Department of Revenue erroneously mailed bills last week to about 850 taxpayers. The bills charged a late filing penalty for tax returns properly filed by the extended May 11 deadline. Apparently, the due date on the DOR system was not changed! The assessments charged are incorrect. DOR will mail letters to taxpayers instructing them to disregard the notice. Questions can be raised with DOR at (800) 392-6089. DOR apologizes for the error!
Monday, June 7, 2010
City of Philadelphia Tax Amnesty
The City of Philadelphia is now offering its first tax amnesty program since 1986. Residents, workers, property owners, and business owners may pay back taxes, without penalty, and only half the accrued interest. The city realizes many of its residents and workers face difficult challenges in these harsh economic times. Call 1-(877) 323-4124 for details. The amnesty program ends June 25th, 2010.
Medicare Seniors
About 4 million Medicare seniors who fall into the "donut hole" of prescription coverage will receive a $250 check this month from SSA. The first checks will be sent June 10.
Wednesday, May 26, 2010
New Home Sales in April
Homeowners' Tax Credits pushed up April home sales except in the Northeast where sales were flat. The median price of new homes sold in April was $198,400, down 23% from March, and 10% from a year earlier. (Summarized from CNN Money).
Monday, May 24, 2010
Thursday, May 20, 2010
14% of US homeowners are in financial trouble!
One out of seven US mortgages are now in delinquency or foreclosure!
Saturday, April 17, 2010
US Banks in 2010
Butler Bank of Lowell, Massachusetts was seized by the FDIC on Friday. 50 US banks have failed in the first 4 months of 2010. To put that in perspective, 29 banks failed in the first 4 months of 2009, and only 25 banks failed in the entire year of 2008. That curve is alarming!
Thursday, April 8, 2010
This Year's Income Tax Refunds
The IRS wants you to know the average income tax refund is up nearly 10% this year because of new tax benefits made possible by the Recovery Act.
Monday, April 5, 2010
Massachusetts Unemployment Assistance for Federal Disaster Area
Massachusetts has announced special unemployment assistance handling for areas affected by the flooding. Application must be made between March 14th, 2010 and May 3, 2010. This applies to self-employed individuals also.
Examples of reasons for unemployment that may make a person eligible to receive Disaster Unemployment Assistance:
* You were injured in the disaster and are unable to work, whether you are an employee or self-employed.
* Your workplace was damaged, destroyed, or you can't work because of the disaster.
* Your transportation to work is not available because of the disaster.
* You can't get to your job because you must travel through the affected area, and you cannot do that because of the disaster.
* You were about to begin working, but could not because of the disaster.
* You are now the breadwinner or major support for a household because the former head of household died in the disaster.
* You are out of work because the Federal government took over or closed the facility where you worked.
* You derived most of your income from areas affected by the disaster, whether working for yourself or for an employer.
Examples of reasons for unemployment that may make a person eligible to receive Disaster Unemployment Assistance:
* You were injured in the disaster and are unable to work, whether you are an employee or self-employed.
* Your workplace was damaged, destroyed, or you can't work because of the disaster.
* Your transportation to work is not available because of the disaster.
* You can't get to your job because you must travel through the affected area, and you cannot do that because of the disaster.
* You were about to begin working, but could not because of the disaster.
* You are now the breadwinner or major support for a household because the former head of household died in the disaster.
* You are out of work because the Federal government took over or closed the facility where you worked.
* You derived most of your income from areas affected by the disaster, whether working for yourself or for an employer.
Rhode Island Unemployment
Rhode Island is waiving some unemployment rules. RI residents will not have a "waiting" week. Self-employed residents will be eligible for unemployment. RI employers will not be charged for those laid off as a result of the flooding.
Now it's up to Congress to make unemployment funds available to those affected by this disaster, and for those still unemployed as a result of last year's economic disaster!
Wonder if Congressional members are eligible for unemployment when the electorate lays them off!
Now it's up to Congress to make unemployment funds available to those affected by this disaster, and for those still unemployed as a result of last year's economic disaster!
Wonder if Congressional members are eligible for unemployment when the electorate lays them off!
Saturday, April 3, 2010
Flexible Health Spending Accounts
Starting in 2011, over the counter medications must be prescribed by your doctor in order to use them in flexible health, health savings accounts.
Health Care and W-2's
Employers must begin reporting the value of health care benefits on W-2 statements in 2011.
Indoor Tanning Tax
A 10% excise tax will be assessed on indoor tanning services starting July 1, 2010!
Thursday, April 1, 2010
Masschusetts Deadline extended
Governor Deval Patrick directed Massachusetts Department of Revenue to allow residents in Bristol, Essex, Middlesex, Norfolk, Plymouth, Suffolk, and Worcester counties to extend the 2009 state tax filing deadline to May 11th, 2010. This extends the time for payment of balance due amounts and first estimates also.
Wednesday, March 31, 2010
Rhode Island Deadline extended
The Rhode Island Division of Taxation just announced it is extending its filing deadline to May 11th, following the IRS lead. This covers ALL RI residents. It also extends the deadline for payments of balance due, IRA contributions, and estimate payments.
Massachusetts Filing Deadline extended
The IRS has extended the filing deadline to May 11th, 2010 for residents of Bristol, Plymouth, Suffolk, Norfolk, Essex, Middlesex and Worcester counties!
Friday, March 26, 2010
IRS Licensing of Paid Tax Return Preparers
The IRS estimates there are 1.2 million paid tax return preparers in the United States. Wonder how many there will be once licensing becomes law next year!
Thursday, March 18, 2010
Saturday, March 13, 2010
Having A Hard Time Listing Your Charitable Contributions?
Link to CharityDeductions.com and get a discount through Ameritax Professionals!
Friday, March 12, 2010
Charitable Deductions on Your Tax Return
Claim Donation Values with Confidence: Ameritax Massachusetts has a solution. CharityDeductions.com is a charitable donation website featuring researched values for 100,000+ items from eBay used-item transaction data. Items are researched and backed by thousands of similar item transactions. Go to CharityDeductions.com and use our exclusive promotional code "ameritax" to receive your discounted membership. Track charitable cash and checks also, and print reports for the year.
Tuesday, March 9, 2010
Dow State of Affairs
The Dow fell to $6547 on March 9, 2009. It will open today, just one year later, at $10552!
Friday, February 19, 2010
Gambling winnings and the IRS
The full amount of gambling winnings for the year must be reported to the IRS, regardless of the amount, and regardless of whether OR NOT you receive a Form W-2G or other reporting form.
Saturday, February 6, 2010
Bartering and the IRS
• Bartering is an exchange of property or services. The fair market value of goods and services exchanged is fully taxable and must be included as income on Form 1040 of both parties.
Friday, January 22, 2010
Charitable Contributions to Haiti Relief
Legislation has been passed allowing itemizing taxpayers to deduct charitable contributions made by March 1st, 2010 to Haiti earthquake relief, on their 2009 returns. The bill also allows use of a taxpayer's phone bill as documentation for text-messaged contributions.
Thursday, January 21, 2010
Charitable Contributions to Haiti Relief
When giving to Haiti Relief, remember that, in order to take your donation as an itemized deduction on your tax return,
- it must be made to a U.S.-based tax-exempt charity providing aid to Haiti.
- Donations to foreign organizations are generally not deductible.
Tuesday, January 12, 2010
Over 60% of taxpayers use a tax professional. Choose a good one!
Preparer licensing starts next year. In the meantime, the IRS wants you to ask the following:
1. Is your preparer taking continuing education courses?
2. Does your preparer subscribe to a Code of Ethics?
3. Does your preparer have a negative history with a state board, or a criminal history?
4. Does your preparer base his fees on a percentage of the refund?
5. Does your preparer claim he can obtain larger refunds than other preparers?
6. Is your preparer in business year round?
A good preparer
A good preparer wants to see records and receipts, and will question you carefully.
Never sign a blank return, or a blank e-file authorization.
Review your return before signing it. You are responsible for its content.
A paid preparer is required by law to sign tax returns. If he doesn’t, ask why. Is he trying to avoid declaring the income on his tax returns? You’re paying taxes, why shouldn’t he? A good preparer is never afraid to sign a properly prepared return. An ethical preparer will declare all his income on his own tax return.
1. Is your preparer taking continuing education courses?
2. Does your preparer subscribe to a Code of Ethics?
3. Does your preparer have a negative history with a state board, or a criminal history?
4. Does your preparer base his fees on a percentage of the refund?
5. Does your preparer claim he can obtain larger refunds than other preparers?
6. Is your preparer in business year round?
A good preparer
- takes continuing education courses
- subscribes to a Code of Ethics
- has no history of complaints with a state board or the BBB, and has no criminal history
- bases fees upon the complexity of the return
- makes no exaggerated claims about getting larger refunds
- is in business year round and available when you get a letter from the IRS or the state.
A good preparer wants to see records and receipts, and will question you carefully.
Never sign a blank return, or a blank e-file authorization.
Review your return before signing it. You are responsible for its content.
A paid preparer is required by law to sign tax returns. If he doesn’t, ask why. Is he trying to avoid declaring the income on his tax returns? You’re paying taxes, why shouldn’t he? A good preparer is never afraid to sign a properly prepared return. An ethical preparer will declare all his income on his own tax return.
Wednesday, January 6, 2010
Misconceptions about filing status
Your marital status on the last day of the year determines your marital status for the entire year.
If you marry on the last day of the year, you are considered married for the entire year. Your filing choices are married filing jointly or married filing separately. If your divorce is final on the last day of the year, you are considered single, or head of household if you pay more than half the cost of maintaining a home for yourself and a qualifying person.
If your spouse died during the year, and you didn’t remarry, you are considered married and can still file jointly with your late spouse for the year of death.
If more than one filing status applies to you, choose the one that gives you the lowest tax obligation.
Tax questions? Call Ameritax at (508) 993-4343, or any of our offices.
If you marry on the last day of the year, you are considered married for the entire year. Your filing choices are married filing jointly or married filing separately. If your divorce is final on the last day of the year, you are considered single, or head of household if you pay more than half the cost of maintaining a home for yourself and a qualifying person.
If your spouse died during the year, and you didn’t remarry, you are considered married and can still file jointly with your late spouse for the year of death.
If more than one filing status applies to you, choose the one that gives you the lowest tax obligation.
Tax questions? Call Ameritax at (508) 993-4343, or any of our offices.
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