Monday, February 11, 2013

Is It Too Late to Deposit This Check Into My IRA?


Q: I retired and asked to do a direct rollover from my former employer's 401(k) plan to my IRA. The check was mailed to my house but made payable to my IRA custodian. I just realized that I didn't deposit that check right away. It's now past the 60 days since I received it. Can I deposit that check now, or is it too late?

Friday, February 8, 2013

IRS Update on Forms Acceptance


Effective 9:00 am Eastern time on Sunday, February 10, 2013, the IRS will start processing 2012 returns that contain Form 4562, Depreciation and Amortization. This will include the Form 1040-family tax returns, Form 1065/1065-B, Form 1120-family tax returns and Form 990-family tax returns.

On Thursday, February 14, 2013, the IRS plans to start processing 2012 returns that contain Form 8863, Education Credits.

If we have already prepared a return for you with these forms, we can file them as of the above dates. Please let us know if you have any questions.

Thursday, February 7, 2013

Six Important Facts about Dependents and Exemptions


While each individual tax return is unique, there are some tax rules that affect every person who files a federal income tax return. These rules involve dependents and exemptions. The IRS has six important facts about dependents and exemptions that will help you file your 2012 tax return.


  1. Exemptions reduce taxable income.  There are two types of exemptions: personal exemptions and exemptions for dependents. You can deduct $3,800 for each exemption you claim on your 2012 tax return.

Wednesday, February 6, 2013

U.S. Income Tax Turns 100


Most living Americans think that an income tax has always been there... but no. In 1913, the U.S. Congress passed the first permanent income tax.

Most living Americans think that an income tax has always been there... but no. In 1913, the U.S. Congress passed the first permanent income tax. Before 1913, federal taxes were enacted, when necessary, for wars or other national needs.

The first known taxes date back to ancient Egypt when grain, livestock or oils were used instead of money to pay what was owed to the government.  Even then, the surviving hieroglyphic tablets record how people complained about high taxes. Some things never change.

Friday, February 1, 2013

Dow Jones hits 14,000 for first time since 2007


NEW YORK -- The Dow Jones industrial average briefly topped 14,000 on Friday morning, a milestone not seen since before the financial crisis rocked the markets and the world economy.

After rising steadily in early trading thanks to the U.S. jobs report, the Dow briefly crossed 14,000 around 10:07 a.m. EST. The milestone was by a hair -- the highest the Dow reached was 14,000.97 -- and it lasted only a moment. The index was trading around 13,980 shortly afterward. The other major stock indexes were also up.

The Dow has crossed 14,000 only 15 times in its history. The last time was Oct. 17, 2007.