Accounting Archives - Killingsworth Spencer, LLC

Order More – Pay Less

kwscpa2021-04-13T20:04:01+00:00

Last week, the Treasury Department and the IRS issued notice of a temporary exception to the 50% limit on the amount that businesses may deduct for meals. Beginning on January 1, 2021 through December 31, 2022, businesses can claim 100% of their food and beverage expenses paid to restaurants, provided the business’s owner or one of its employees is present when food or beverages are served, and the expense is not lavish or extravagant under the circumstances. Note that restaurants do not include businesses that primarily sell pre-packaged goods not for immediate consumption, such as grocery stores and convenience stores. Killingsworth [...]

Order More – Pay Lesskwscpa2021-04-13T20:04:01+00:00

May 17, 2021 is the final date to claim your tax refund

kwscpa2021-04-07T14:50:15+00:00

Are you one of the 1.3 million taxpayers who did not file for your tax refund in 2017? Unclaimed income tax refunds worth more than 1.3 BILLION dollars await, however time is swiftly fleeting by to claim these refunds. The IRS allows three years to do so; the window closes on May 17 for tax year 2017. On May 18, the unclaimed money becomes the property of the U.S. Treasury. The Georgia Department of Revenue has $44 MILLION in unclaimed 2017 refunds for 46,300 taxpayers who earned income in Georgia. Taxpayers stand to lose more than just their refund. Many low- [...]

May 17, 2021 is the final date to claim your tax refundkwscpa2021-04-07T14:50:15+00:00

important update to the May 17th tax filing deadline

kwscpa2021-03-23T00:05:14+00:00

As expected, Georgia conformed with the IRS and moved its 2020 individual tax filing deadline to Monday, May 17th. First quarter 2021 tax estimates are still due by April 15, 2021, and this is not likely to change. Form 1040 extensions for additional filing time must be filed by May 17th, which would move the final deadline to file 2020 individual tax returns to Friday, October 15, 2021. Please keep in mind that any outstanding taxes for 2020 must be paid in full by May 17, 2021, otherwise, interest and failure-to-pay penalties will begin to accrue on May 18th. If you [...]

important update to the May 17th tax filing deadlinekwscpa2021-03-23T00:05:14+00:00

Important Tax Reminder

kwscpa2021-03-18T19:20:14+00:00

You have likely heard by now that the IRS has moved the 2020 individual tax filing deadline from April 15th, 2021, to Monday May 17th, 2021. The state of Georgia has yet to announce if it will conform to the new federal tax filing deadline; however, we expect that announcement at any time. If you pay quarterly estimates, the 1st quarterly installment for 2021 is still due on April 15th, 2021. There remains the possibility that the IRS may also extend this filing deadline to May 17th, but for now, plan to pay that 1st estimate by April 15th. Stay [...]

Important Tax Reminderkwscpa2021-03-18T19:20:14+00:00

Important Reminder

kwscpa2021-01-20T00:45:04+00:00

Since many of our readers are business owners, Killingsworth Spencer in Roswell wanted to share this brief reminder. Business owners must file 1099’s for cash and check payments of $600 or more to individuals, attorneys, and unincorporated entities who are NOT TREATED AS W2 EMPLOYEES. Credit card and PayPal payments do not require this filing. 1099-NEC’s include payments for contract labor, commissions, professional services, and other non-employee compensation. 1099-MISC’s are for rents, prizes and awards, royalties, and settlements to attorneys. 1099-NECs and 1099-MISC’s are due February 1st, 2021. There is a $50 penalty per 1099 if not filed within 30 days; [...]

Important Reminderkwscpa2021-01-20T00:45:04+00:00

There are No Magic Bullets!

kwscpa2021-01-10T21:59:02+00:00

If you owe back taxes to the IRS or the state, there is little doubt that you may feel anxious and vulnerable. If you have not filed your taxes for several years, you also know that the day will soon come when “Shylock comes for his pound of flesh.” If you received a Notice of Tax(es) Due from the IRS and it was a complete surprise to you then you are probably saying to yourself, “What?” and you quickly call or text your tax preparer for an explanation. Either way, the IRS and or the state DOR have you in their [...]

There are No Magic Bullets!kwscpa2021-01-10T21:59:02+00:00

Are you planning to purchase a new vehicle soon?

kwscpa2020-12-21T16:59:46+00:00

A frequent mistake made by many business owners is with their auto expenses and tax deductions. The most common deduction method is the Mileage Method, and the deduction for 2020 is 57.5 cents per business-use mile. This deduction INCLUDES the costs for fuel and oil, maintenance, tires, car washes, and insurance. It is still a good idea to keep an eye on these expenses, but your tax preparer will not need them to calculate your tax deduction. You should keep accurate records as to how you use your vehicle in your business. Often times, we see where a taxpayer will “double [...]

Are you planning to purchase a new vehicle soon?kwscpa2020-12-21T16:59:46+00:00

The Tax Man and COVID-19

kwscpa2020-12-15T14:25:58+00:00

We have a few key tips and ideas if you owe back taxes to the IRS and or the state. The COVID-19 pandemic has disrupted nearly everyone and everything around the world in 2020; the IRS and the GA Department of Revenue were not immune to the fallout. If you happened to mail a check to the IRS or the state to pay a tax debt early in the spring, you probably saw it leave your bank account sometime this past summer. The IRS has stated in a recent communication that it estimates it has nearly 2.5 million hard copy tax [...]

The Tax Man and COVID-19kwscpa2020-12-15T14:25:58+00:00

“Helping Clients Understand the Choices that Matter” new trademark

kwscpa2020-10-22T20:47:12+00:00

Hello again, Lynn Spencer here. I am taking this opportunity to announce that Killingsworth Spencer in Roswell has a new registered trademark with the United States Patent & Trademark Office that ties nicely to what we do, “Helping Clients Understand the Choices that Matter.” ™ This is the cornerstone of what we do each and every day at Killingsworth Spencer, and we are proud that we can forever tie this phrase to our firm. Of course, we prepare tax returns while also providing tax planning, bookkeeping, payroll, and business consulting. We also go to bat for our clients with the IRS [...]

“Helping Clients Understand the Choices that Matter” new trademarkkwscpa2020-10-22T20:47:12+00:00

What happens when a W-2 employee needs to deduct work related expenses due to Covid-19?

kwscpa2020-10-11T23:21:57+00:00

Our previous blog discusses the home office deduction and how it is not available to W2 employees working at home due to COVID. In addition, at-home employees cannot deduct equipment, such as computers, printers and supplies, postage, business meals, and miles driven for business, not even telephone and internet expenses, even though they are using them for work. How does an employee get made whole for using their own items for business usage? The only way is through their employer. The employer will get the deduction for such expenses. However, there is a caveat as to how this reimbursement is handled [...]

What happens when a W-2 employee needs to deduct work related expenses due to Covid-19?kwscpa2020-10-11T23:21:57+00:00