Tax Update Information
IDENTITY THEFT --- a few things to look for:
If you receive a letter from the IRS that indicated more than one tax return was filed for you, this may be a sign that your Social Security Number was used fraudulently.
If you receive an IRS letter indicating you received wages from an employer unknown to you.
The IRS NEVER initiates communication with taxpayers about their tax account through e-mails. If you receive an e-mail or find a Web site you think is pretending to be the IRS, forward the e-mail or Website URL to the IRS at Phishing@irs.gov.
If you receive a surprise phone call saying that you owe taxes, usually a very threatening phone call, it is a scam. All government agencies will first send a letter. Scammers will try to bully people into paying.
Places to turn for Identity Theft:
IRS.gov -- type IDENTITY THEFT RESOURCE PAGE in the search box
Federal Trade Commission 877-438-4338
1099’s are needed for CONTRACT LABOR or SERVICES paid for in the amount of $600 or more in a calender year. Money’s paid for rent, interest, or attorney services, in some instances, require a 1099 also. Call our office if you would like us to prepare your 1099’s. These reports are due January 31, 2014.
Use Tax On Out-of State Purchases: The Board of Equalization is auditing businesses for unreported use tax on purchases made by mail order or internet purchases. If you file a sales tax report be sure to include. If you business does file sales tax reports, these purchases will go on your income tax return.
Minimum Wage: Beginning January 1, 2016, minimum wage increases to $10.00 an hour.
Unclaimed Wages: Remember that you must hold an unclaimed paycheck for one year. After that time you must turn the check over to the State.
I-9 Forms: This is important! For employers who fail to properly complete, retain, or make I-9 Forms available for inspection, fines will range from $100 to $1,100 per individual I-9!
W-4 Forms: We suggest that you have all employees fill out a new W-4 form each January for your files. Let us know if you need blank forms.