Archive for the ‘Taxable Talk’ Category

Martin Veneroso, E.A.

Tuesday, August 24th, 2021

Clayton Financial and Tax isn’t the largest tax firm, but one thing I’ve insisted on is that all preparers be credentialed (either Enrolled Agents or CPAs).  The reason is that it shows a dedication to the profession, and a willingness to continue learning.  While it would be nice if Congress were to enact a nice, simple Tax Code, what we have today is something out of Tom Lehrer (“It’s so simple, so simple, that only a child can do it!”).

Something I mention from time to time is that if you are young and are looking for a career with (unfortunately) plenty of growth opportunities, becoming an Enrolled Agent is something to consider.  I strongly suspect that income tax returns will be around in the time of my great, great grandchildren, and as long as we have a Congress I expect tax returns to continue to get more and more complex.

Martin Veneroso is our newest employee.  He was notified in early August that he had passed the final part of the Special Enrollment Examination (the three-part test that one must pass to become an Enrolled Agent).  This past weekend he received his enrollment card in the mail (so at least one part of the IRS is able to process paperwork timely!), so Martin becomes the third E.A. on our staff.  Congratulations, Martin, and welcome to being a licensed tax professional.


Gambling With an Edge Podcast

Monday, November 30th, 2020

I was this week’s guest on the Gambling With an Edge podcast where we talk about taxes (with an emphasis on gambling). You can download the podcast here; it’s also available on iTunes and all the other usual podcast locations.

We spoke about changes in the tax law, self-employment tax for professional gamblers, self-dealing vis-a-vis IRAs, 529 plans, and offshore (foreign) corporations among other issues. I also gave a non-tax recommendation on my favorite Thai restaurant here in Las Vegas.

Bozo Takes a Year Off

Wednesday, March 18th, 2020

Every year I’ve posted my Bozo Tax Tips. I will not be posting them for the 2020 Tax Season. There are too many serious issues going on, and I think it’s best to focus on the serious issues tax filers face.

You can still search for the past Bozo Tax Tips if you need some levity. And enjoy this picture (among other topics):

Rashia Wilson (Image Credit: Tampa Police Department)

For those wondering Ms. Wilson said the cops wouldn’t get her. She’s enjoying 20 years at ClubFed.

No Face to Face Appointments

Thursday, March 12th, 2020

Taxes are a personal business, and providing service to our clients is what we’re about. That means face-to-face interactions. But I’m also an employer, and I must look at the health of my employees. Thus, beginning tomorrow we are no longer having any face-to-face meetings. We are happy to use Skype, phone, or any other interaction for any scheduled appointments. We encourage all clients to use our Web Portal (we will email any of you who need that information), fax, or mail.

Will the April 15th Deadline be Extended?

Wednesday, March 11th, 2020

The Wall Street Journal has a story (pay link) this morning speculating that the Department of the Treasury will push back the April 15th deadline.  There are no specifics given in the story, but given that politicians on both sides of the aisle are talking about this, there’s a reasonable chance this will happen.

The reason, of course, is the current coronavirus (Covid-19) outbreak.  As the outbreak worsens (which, it appears, it will), there will be disruptions.  Consider tax professionals in Seattle, where a large number of individuals have fallen ill.  Do you want to meet with someone right now, especially given asymptomatic individuals can spread the disease?  And for those who are ill (or are treating family members, or who have to deal witch their children who are now home on an extended ‘break’) they have more important things to deal with.

It’s something I, as a business owner, have to deal with.  We wash our hands after seeing someone, but let’s face reality: we operate in close quarters.  If one of us gets this, it’s likely that all of us in the office would get this.  As for working at home, that’s near impossible for our office given the technology infrastructure we use.

I had initially thought we would see a larger number of extensions (and it’s something I think still could happen).  I now suspect we will see this extension–probably something similar to the automatic two-month extension given to individuals outside the United States on April 15th.  Whether it will include a waiving of interest is to be determined.

I’ll close with something that’s obvious.  This week long-time clients called me and said they had colds, and wished to postpone their appointment.  We fit them in in two weeks.  If you’re sick, use some common sense (be it a cold, the flu, or anything else): Don’t take actions that will infect others!  We have a rule in our office that if you have a fever, you go home, and you cannot come into work until 24 hours after the fever has broke.  If all of us use some common sense and good hygiene, we will likely whether this storm with minimal damage.

The Best Tax Blog Is Back

Friday, February 14th, 2020

As a published author I’m biased about my writing ability. But as my mother told me (and, yes, my mother is a published author, too), know your abilities! The best tax blog up until May 2017 was Joe Kristan’s Roth Tax Updates. But in 2017 the firm Joe worked for merged into Eide Bailly; at the time I wrote: “…[P]erhaps there’s an Eide Bailly Tax Updates in the future. (I can always hope.)”

Well, nearly three years later I’m pleased to report there is now an Eide Bailley Tax News & Views Blog. It will be listed momentarily in the blogroll on the right, and it appears to be must-read every morning for those of us in the world of tax.

Nominations for the 2019 Tax Offender of the Year Are Due

Tuesday, December 10th, 2019

In a little less than a month it will be time to reveal this year’s winner of the prestigious “Tax Offender of the Year” award. Remember, To be considered for the Tax Offender of the Year award, the individual (or organization) must do more than cheat on his or her taxes. It has to be special; it really needs to be a Bozo-like action or actions. Here are the past lucky recipients:

2018: California’s Train to Nowhere
2017: State and Local Pension Crisis
2016: Judge Diane Kroupa
2015: Kenneth Harycki
2014: Mauricio Warner
2013: U.S. Department of Justice
2012: Steven Martinez
2011: United States Congress
2010: Tony and Micaela Dutson
2009: Mark Anderson
2008: Robert Beale
2007: Gene Haas
2005: Sharon Lee Caulder

It’s Time to Panic!

Monday, September 23rd, 2019

If you use a tax professional and have not yet provided your paperwork to him or her, it’s time to panic and work on this. In past years, I’ve made this post in early October. But this tax year is different than others, and if you turn your paperwork in after the end of September, it’s quite possible your return will end up being filed after the October 15th extension deadline.

Tax returns are taking longer to prepare this year than last. We’re seeing the average return taking 10% longer than last year. Let’s assume that an average tax professional could prepare ten returns in a day; this year, he or she might only get nine done. That doesn’t sound like much, but most tax returns on extension are difficult ones, with complications.

If you file late, realize it’s as if your extension never happened. Of course, if you’re getting a refund filing late is not the end of the world: The penalties for late filing are based on the tax you owe, so if you don’t owe any tax there are no penalties.

Our official deadline for receiving paperwork was September 17th. Most tax professionals I know had similar deadlines. That means if you haven’t turned in your paperwork you’re on borrowed time. It’s time for the procrastinators out there to stop procrastinating if you don’t want to pay an extra 25% of your tax for late filing.

Gambling With an Edge Podcast

Sunday, September 1st, 2019

I appeared on last week’s “Gambling With an Edge” podcast. We discussed the IRS letters sent to cryptocurrency users, does having a large number of W-2Gs increase audit risk, and sending tax returns by regular mail — and many other topics. You can download the podcast at the link (above), or subscribe to “Gambling With an Edge” on iTunes and other podcast services.

We’ve Moving, and We’re on Vacation

Sunday, July 28th, 2019

Our offices are moving (conveniently while we’re on vacation). Our new address is:

Clayton Financial and Tax
222 S Rainbow Blvd, Ste 205
Las Vegas, NV 89145-5356

And we’re going to enjoy a vacation. If something earth-shattering in the tax world happens while I’m relaxing, I’ll take time out to post on it. Otherwise, enjoy the fine bloggers listed in the blogroll on the right.

I’ll be back on Tuesday, August 6th.