Filed under: Tax Tips
Posted by Rick LaFave
Principal, Centennial & Parker Offices
It’s hard to believe that it’s already the second half of 2009. If you are like many of my clients, it probably feels like you just mailed your 2008 tax return
But while it may be summer, we’re already on the backside of 2009. That means you’re running out of time to make changes to your (or your company’s) financial situation to see a benefit on this year’s return. If you haven’t gotten your act together yet, this is a great time to start. Just like seeing the dentist, consider this your mid-year checkup.
Here’s how to get your taxes in order:
Get organized!
I was speaking with a client recently and I realized that, while this seems like the easiest step (after all, it doesn’t take lots of specialized knowledge to organize your records and your tax approach), this is actually the hardest part for so many people.
Many folks don’t know where to start. A great place is with your deductions. Are you keeping receipts and a running list of all of your charitable deductions? Are you self-employed, and do you use your car for business purposes? Then you need to keep a detailed mileage log. (You should also be keeping receipts and records of deductible business expenses, so you’re not left scratching your head next year — not to mention paying more in taxes.) (more…)
Filed under: Tax Tools
H&R Block Tax & Business Services has available a number of calculators that allow you to easily determine such things as what your 2009 tax withholdings should be or how much you should be paying in self-employment taxes. Click here for the calculators.
Filed under: Tax Tips
There are many new and expanded tax benefits on money spent to reduce energy use or create new energy sources. For example, homeowners can get bigger tax credits for making energy efficiency improvements or installing alternative energy equipment.
The American Recovery and Reinvestment Act (ARRA) of 2009 provides a uniform credit of 30% of the costs of qualifying improvements up to $1,500. Examples include adding insulation, energy-efficient exterior windows, and energy-efficient heating and air conditioning systems. It also raises the limit on the amount that can be claimed on improvements placed in service during 2009 and 2010 to $1,500.
The IRS provides a list of energy-related tax benefits in the ARRA in its Fact Sheet 2009-10.
2009 has seen a record number of people receiving unemployment benefits. Those benefits are taxable. However, for those drawing unemployment in 2009, the American Recovery and Reinvestment Act makes the first $2,400 of unemployment benefits exempt from tax.
For married couples, the tax exemption applies separately to each spouse. This means that if both you and your spouse claim unemployment benefits this year, you can exclude the first $2,400 of your unemployment benefits and your spouse can exclude the first $2,400 of his or her unemployment benefits received in 2009.
For unemployment benefits received beyond the first $2,400, which are subject to tax, unemployed workers can opt to have income tax withheld from those benefit payments. For further details about filling out a Form W-4V – Voluntary Withholding Request, read our article on unemployment.
Filed under: Auto Credit
Individuals and businesses buying a brand new hybrid car or truck on or after Jan. 1, 2006, can take advantage of the Alternative Motor Vehicle Credit. You may also claim the credit for advanced burn lean technology vehicles and other energy-saving alternative motor vehicles. The credit is only available to the original purchaser of a new, qualifying vehicle, and the full credit is only available for a limited time. Click here for more details about the amount of the tax credit listed by vehicle.
Time is running out for you to qualify for your $8,000 tax credit. To receive the credit, you must occupy your new home before Dec. 1, 2009. So, if you haven’t started your first-home hunt yet, it’s time to get serious. Click here for more information.
If you own – or are thinking about acquiring – a second home, here are some tax tips you should be aware of, especially if you intend to rent it out.
Mid-year has traditionally been a good time to give your W-4 a checkup. And, this year, with the ‘Making Work Pay’ credit and revised withholding tables, it’s more important than ever that you review your withholding so you don’t have an unpleasant surprise (smaller refund or a bigger balance due) when you complete your return in January 2010. Learn more from H&R Block here.
Want to make filing your taxes a lot easier? One easy step you can take is to keep good records throughout the year of any tax-relevant events. If you want to know more, here is a quick primer from H&R Block titled, “The Basics of Tax Record Keeping: What Should You Keep and For How Long?” It is a quick read and has a lot of helpful advice.
If you did, you may be able to deduct some of the cost of moving when you file your taxes next year. Here’s a link to what you need to know.
A reverse mortgage can help seniors meet financial needs in retirement, but there are costs and catches. Here are some of the pros and cons you should know before you act.
Saving money on interest, shortening the length of the loan, consolidating debt — there are lots of good reasons for Coloradans to refinance. Here’s what you need to know to get started.
Filed under: Tax Tips
What do our good friends in Boston know that we in Denver should also? That RIGHT NOW is a great time for a mid-year tax check-up. Give us a call or send an email if you would like a quick and painless review of your tax situation.
USA Today reports that “lawmakers and businesses are calling for expansion of a tax credit for first-time home buyers that has helped spark home sales in an otherwise dismal real estate market.” If you have questions about whether you are eligible for the current credit, or what an expanded credit could mean for you, give us a call or send us an email.
Denver home sales are starting to simmer, and many Denver realtors are crediting the new $8,000 first-time homebuyers tax credit. If you are a prospective first-time homebuyer and have questions about whether you are eligible for the credit, give us a call or send us an email. The contact information for each of our 11 Denver-area offices is located to the left.
Filed under: Fraud
Want to reduce your chances of being an identity theft victim? Remember the acronym S.C.A.M.
- Be Stingy about giving out your personal information to others unless you have a reason to trust them, regardless of where you are.
- Check your financial information regularly, and look for what should be there and what shouldn’t.
- Ask periodically for a copy of your credit report.
- Maintain careful records of your banking and financial accounts.
Source: U.S. Dept of Justice, Criminal Division, Fraud
Posted By Dave Kalmbach
Principal, Castle Rock, Colo., Office
This summer is a great time for you to think about what stage of the business life cycle you’re in, and if your tax strategy is aligned with your current needs.
The recession has pushed many people to consider starting their own businesses in the last several months. For small businesses that predate the recession, it’s forced most of them to tighten their belts and be smarter about their financial strategy. Finally, no doubt many small business owners have taken their lumps during the economic downturn and are considering an exit strategy.
Whatever stage of the business life cycle you’re in, there’s a good chance you could benefit by revisiting your tax strategy. The recession has reminded many of us that there’s no substitute for a reasoned approach to financial planning, and taxes – which are one of the biggest expenses for most small businesses – are a crucial part of that process.
If you’re about to start a business… (more…)
Filed under: Tax Tips
Do you have a financial plan for today, tomorrow and long-term? We have tips for gaining control of your financial destiny, including which documents to track and keep in the lockbox, how to mitigate the risks of identity theft, and why you need a will. Click here to learn more.
Filed under: Professional Review
Posted by Happy Lear
Principal, Littleton Office
Working for H&R Block Tax & Business Services, I talk to a lot of Coloradans about their taxes. Some are clients, but many others are friends and acquintances who prepare their own taxes. One of the most common concerns I hear from people who prepare their own taxes is that they may have missed something – a little-known deduction or credit – that would have saved them money. It’s funny how quickly the relief of finally filing your taxes turns into a nagging concern that you may have paid Uncle Sam too much.
When I get those kind of questions, I always recommend that they meet with one of our tax advisors for a Professional Review. Our experts will make sure your taxes were done correctly – regardless of who prepared them for you. The review is only $39, and our experts find errors on nearly 80 percent of returns we review.
So if you are having filer’s remorse, and want to make sure you claimed all the credits and deductions you are eligible for, give us a call. I’m pretty sure you’ll sleep better if you do.
Posted by Rick LaFave
Principal, Centennial & Parker Offices
Now that President Barack Obama signed the American Recovery and Reinvestment Act (ARRA) into law there is intense speculation on if the stimulus package will lift the economy out of recession. While most of the media attention on the ARRA has centered on infrastructure spending and tax breaks for individuals, you’ve probably seen less information on what the package includes for small businesses.
Small businesses account for 97 percent of all new U.S. jobs, according to the American Small Business League, which pushed for strengthened federal contracting programs for small companies to be part of the bill’s final language. As vital job-creating engines for our economy, small businesses should be aware of several provisions in the ARRA. But it’s crucial to also note that small businesses need to be proactive to benefit from these incentives: The benefits won’t come to you automatically, so it’s a good idea to meet with a knowledgeable tax professional or research the provisions on your own to determine what’s in the stimulus package for your business. (more…)
The economy is brutal right now, and a lot of really good people in Denver are out of work. If you or someone you know has lost their job (or think a layoff is coming), definitely check out the “Surviving the Pink Slip” section of the H&R Block Web site. It has some great tips on what you can do if you find yourself out of work.
Filed under: Uncategorized
Welcome! We’re glad you found us. We are H&R Block Tax & Business Services. You have no doubt heard of H&R Block, but you may not have heard of our Tax & Business Services division. What makes us unique is that we don’t just prepare tax returns – we work with our clients year-round to make sure they are taking advantage of all the tax options available to them.
We evaluate clients’ personal goals and help them clearly understand the tax consequences of a wide range of financial options. We also help clients make informed tax decisions about investing for retirement, handling an inheritance, evaluating the benefits of a living trust, or dealing with other special tax situations. And we are local to Denver, with 11 offices conveniently located across the Mile High city.
You can learn more about us by visiting our Web site. Thanks for stopping by, and come back soon. We’ll be posting a lot of helpful information that could save you thousands of dollars (and more than a few tax-related headaches).
