Our only speaker today was Kay Cruson our accountant and tax member, she took her half hour today to discuss important dates and go over some of the different forms, dates and numbers for the tax season. The filing season kicks off on Monday January 23 and 1099’s and W-2’s are due by January 31, 2017.
Important Due Dates:
Partnership Form 1065 – March 15th
C-Corporation Form 1120 – March 15th
S Corporation Form 1120-S – March 15th
Estates and Trusts Form 1041 – April 18th generally with exception and can depend on the date it was set up
Individual Form 1040 – April 18th – Emancipation Day is observed in DC on April
17th  again this year.

20162017 Rates:

Mileage                                                           2016                2107

Business                                                    .54                   .53.5

Medical/Moving                                        .19                   .17

Charity                                                      .14                   .14 (last changed in 1997)

Medical

After 1/2/1952                                           10%

Before 1/2/1952                                        7.5%

Adjustments to Income:
Educator Expenses                                         250.00
HSA Contribution Limits (better than an IRA, can be a supplement to a retirement
plan)
Self                                                  3,350.00          3,400.00
Family                                            6,750.00          6,750.00
Catchup (55+)                              1,000.00          1,000.00
IRA (Traditional & ROTH combined)       5,500.00          5,500.00
Catchup (50+)                                                6,500.00          6,500.00
Student Loan Interest Form 1098-T         2,500.00          phase out
Tuition and fees                                            4,000.00
Standard Deduction                                     6,300.00          6,350.00
Exemption (subject to phase out)             4,050.00          4,050.00

Form 1040 Highlights:
Page 1 – Line 22 total income VS Line 37 adjusted gross income (AGI)
Page 2 – Standard Deduction VS Itemized Deduction
Schedule A – Itemized Deduction Worksheet
Schedule B – Interest & Ordinary Dividends
Schedule C – for sole proprietorships, but line items are similar for all businesses
Form 8829 – Home Office Expense (historically a “red flag” for audit. IRS now
allows the simplified method.
Form 8867 – Paid Preparer’s Due Diligence Checklist – existed for many years – this
year’s new design has more questions:
EIC – Earned Income Credit
CTC – Child Tax Credit
ACTC – Additional Child Tax Credit
AOTC – American Opportunity Tax Credit
Why would you care? EIC & ACTC claimed will not have refunds issued until
February 15th, and funds may not arrive until February 27th.

Payment of Tax Liabilities:
Form 9325 – Installment Agreements $120.00 set-up fee (does not get applied to
the tax liability)
Be current on all tax return filings and file future returns in a timely manner
Pay full amount within three years
or
call to pay in full with in 120 days without the set-up fee
or
File an Offer in Compromise

Private Debt Collection:
The IRS will use private companies to collect certain types of debts, and will probably
make you an “offer you can’t refuse”.
If you owe the IRS more than $50,000.00 – your passport can be revoked.
IRS now goes after preparers that cost the IRS money, not just taxpayer

Tax Organizers:
Topic Index – life events that could affect your taxes
Your basic tax information
General tax questions

Lastly Kay wanted to cover a few items about identity theft. Here are a couple items to keep in mind:
1. Run a deep scan for viruses and malware
2. Strengthen passwords to at least 8 characters – containing numbers, letters and characters
3. Log Out
4. Be alert for phishing scams
5. Educate any staff regarding phishing scams, email, texts and calls
6. Review all your settings for those working remotely
If you are looking for a tax preparer that knows all the in’s and out’s of the IRS and tax returns – give Kay Cruson a call!

Kay Cruson * Accounting and Taxes * 303-937-3468 * k.cruson@att.net