Tag Archives: tax

IRS Tax – Solutions for Tax Professionals

IRS Tax – Solutions for Tax Professionals

Tax consulting firms are very helpful for those people or companies who need save and avoiding taxation. No one can like to pay more tax. Most people hat to doing their own taxes and they consult to tax firms. There are thousand’s of tax consultant forms all over the nation.
Tax I.C. is IRS Tax Resolution firm. TaxIC provide many services for you related IRS tax. Tax IC provide business solution to Tax Attorneys, agents, CPA’s and Tax Preparation professional and also provide individual or business tax relief and IRS debt Resolution. We are providing services all over the nation in our all 50 states.
TaxI.C.is also Provide Tax Audit, Tax debt, Tax Preparation and other IRS issue services to virtually any individual or business in any case of their location and their Tax problem. Tax IC started for Tax Resolution firm that dealt specifically with Federal Compliance Evaluation. In the process, we listened to our clients and found that they trusted us to find a partner to help them.

We are also associate with affiliates such as EA’s, CPA’s and Tax Attorneys allover the country to build the biggest network of local tax resolution professionals for our customers to select from. iIRS CRM software also provided by taxic for this industry related IRS tax solutions . This software makes very easy to clients track their case from beginning to end of tips and suggestion to save, send and fax documents, contract’s more. Our clients, both Tax Relief Service companies, individuals with Tax/IRS issues, and businesses with Tax/IRS trouble vary in every possible way, but share one common goal. We believe we are known by the company we keep, and we will only work with the best, most ethical legal and financial professionals. And those are the only kinds of professionals whose services we will recommend to our clients.
If you are interested to know more about Tax IC related IRS tax and the services that we provide, pleas contact on e-mail id:- info@taxic.org and taxhelp@taxic.org, phone number (888) 414. Office (800) 439-9930 ext. 104, Direct (336) 506-6276, Fax (704) 625-0562, Mobile (336) 509-7466

For more information you can visit our website. www.TaxIC.org


Amazon & You Internet Sales and the Long Arm of the Tax Man

Amazon & You Internet Sales and the Long Arm of the Tax Man

We all have heard or read about the plights of the states in the recent economy. Revenues from all sources are down and states are desperate to increase them. Virtually all states are becoming more aggressive in their collection efforts and many are looking at creative new statutes or ways to reinterpret those already on the books. One prime example of these efforts is the Internet. Most of the news about the Internet currently revolves around Amazon, with some statutes actually being dubbed the “Amazon Laws”. However make no mistake about it; it’s not just Amazon the states are thinking about. If you are selling or buying on the Internet the states have their eyes on you also.

The reasons so many states are looking at Internet sales are because of their explosive growth and the fact that sales or use taxes often go uncollected on these transactions. Experts estimate that the uncollected taxes for these transactions will total $18 billion dollars this year and predict that by 2012 the number will grow to $23 billion. The cumulative amounts for the period of 2009-2012 could reach $55 billion dollars. It’s no wonder the states have their eyes on the Internet; capturing these uncollected taxes would go a long way to closing their budget gaps.

In their pursuit of this Internet treasure the states are taking a number of different approaches. The states easiest to follow are those that have passed new statutes. There are currently 3 of these states that have passed “Amazon Laws”; NY, NC and RI. One of the major components of all three of these statues is what is called “Click-Through Nexus”. This nexus occurs when the seller enters into an agreement with an instate resident, where the resident is compensated for referring customers directly or indirectly to the seller. One form of this is an affiliate program where a potential customer clicks on a resident’s link and is redirected to the seller’s website. The laws are currently being challenged in court and many tax professionals have taken a wait-and-see approach.

While the professionals may be waiting, the states are not. According to BNA’s 2010 Survey of State Tax Departments, 14 additional states believe that their existing statutes allow them to pursue taxes through this “click-through nexus”. The approach of these states is much more stealthy and without the information contained in the BNA survey, many would be hearing about this the first time through an audit. The states referenced in the BNA survey are: Arizona, the District of Columbia, Florida, Iowa, Maryland, Missouri, Nevada, New Mexico, North Dakota, Pennsylvania, South Dakota, Tennessee, Texas, and Washington.

In addition to “Click-Through Nexus” many of the states are looking at (or have already passed in the case of Colorado & Oklahoma) “Sales & Use Tax Notice and Reporting Requirements” for transactions where sales taxes are not collected. Quite simply states are requiring sellers without nexus to inform purchasers that tax is due on individual transactions as well as provide year end summaries with instructions on how the taxes should be paid. There are also requirements for reporting these sales to the state and provisions for penalties for noncompliant sellers.

If the new statutes were not enough, states are aggressively searching for companies that have “old-fashioned nexus”. This nexus is caused by the usual myriad of ever-evolving activities whose importance in creating nexus can vary from state to state. Most of these activities are not directly related to the Internet and are conducted by other parts of your company, but could impact the sales tax aspect of your Internet business anyway. These activities are too many to list entirely but here is a quick list of 10 potential nexus-creating activities:

1. Owning or leasing property in a state.
2. Owning or leasing equipment in a state.
3. Travel into a state to perform sales.
4. Travel into a state to perform services such as installations, training, repair, etc, etc.
5. Travel to trade shows in a state.
6. Having payroll in a state.
7. Having agents or contractors in a state.
8. Licensing intangibles to others in a state.
9. Delivery into a state in a company owned truck.
10. Doing business with a bank in a state.

Let’s not forget those issues that are not nexus related. Issues like changing taxability (software especially), delivery methods (downloads vs hard copy) and of course drop-shipping issues. Are you responsible for the taxes on a sale someone else makes? You could be. If your purchaser is not registered in a state and you have nexus in that state you may be liable.
If you are beginning to wonder if you need to take another look at how you are approaching these issues pat yourself on the back. All too often I speak to very smart people at companies of all sizes and types, who work at all levels of the organization that I believe are much too complacent. They assume that if their system has worked up to this point why change it? Some of them are right. They stay on top of the ever-changing environment and update their policies continuously. Others find out the hard way (usually in a Sales/Use Tax Audit), that just because it worked in the past doesn’t mean it’s going to work now.

Andy Johnson, a founding partner at Peisner Johnson & Company, believes that, “The greatest tragedy when it comes to sales tax is neglecting to collect sales tax on a taxable item at the point of sale, only to have it come out of your pocket later. ” Because unlike an income tax which comes out of your pocket no matter when you realize it, sales tax that would have been paid willingly (if not grudgingly) by your customer at the time of the sale, ends up coming out of your pocket 3 to 5 years later. And, don’t forget to add the penalty and interest insult to the injury. Can you afford not to be compliant?

Ok you’ve started to wonder, now what do you do. Here are some suggested actions:

1. Educate yourself – Start with charts and matrices, attend webinars, contact the states.
2. Ask questions – Of your staff, your accountants, everyone. You can never ask enough questions.
3. Evaluate – Don’t assume your accountants or staff are up-to-date. They usually are multi-tasking.
4. Consult an expert – There are some excellent service providers that focus on issues like these.
5. Train your people – Knowledge is power. Empowered employees can help prevent problems.

There are a few good firms that can help you educate yourself or provide additional support as needed. I am partial to my employer Peisner Johnson & Company. We offer many free services designed to make your life easier. One of those free services is that we will provide you with a chart or matrix on just about any topic you would like. We also offer a free service called quick questions. If you have questions that we can answer without the need for research we will do so free of charge.

There are currently so many issues effecting Internet sales it is hard to cover them all or in great detail in a single article like this. It was my intention to alert you to as many of these issues as I could. If you have any questions or would like additional information please let me know. I can be reached at 800-940-9433 ext. 720 or by email at mfleming@peisnerjohnson.com.


Vital Information about Small Business Inventory Management Software

Vital Information about Small Business Inventory Management Software

When it comes to managing the inventory of an organization, the people involved in the entire process undergo through a nightmarish experience. It is a common knowledge that success of any type of business is determined by the effective management in the department of resources. Under these situations, the small businesses do not refrain from making use of small business inventory management software. Small business inventory management software is appreciated for the benefits it provides to the business model. One survey has found that small businesses who neglect its importance generally fail to manage their inventory effectively. Poor recording practices are the sole reason behind their failure. However, with availability of small business inventory management software, these failures can be curbed to a great extent. Careless invoicing and stock depletion are two such events that often lead of massive loss to the business. Under this situation, adopting the small business inventory software appears to be the only viable solution. This software has been hailed by the financial experts on one count. It is presence of amazing features that gives the much needed helping hand inventory management. For instance, stock level monitoring, item cost tracking, serial number generation, barcode scanning, etc. are some of the features that users find very helpful. It is especially beneficial in displaying vital information such as item location, sales tax and product sales history. People, who are associated with the inventory, appreciate its benefits when it comes to tracking purchase orders, receiving goods and paying taxes on the goods. The software gives them the liberty to programme it in such a manner that automatic preparation of purchase orders becomes possible. Similarly, it is helpful in tracking sales quantities, sales price, good returns, invoices, customer information, sales tax, shipping cost, payment method, etc. Once this information are available, preparing various reports such as sales tax report, outstanding orders report, customer-wise reports, etc. becomes lot easier.Careless invoicing and stock depletion are two such events that often lead of massive loss to the business. Under this situation, adopting the small business inventory software appears to be the only viable solution. This software has been hailed by the financial experts on one count. It is presence of amazing features that gives the much needed helping hand inventory management.


IRS, A Government Leviathan and the Right of Citizens

IRS, A Government Leviathan and the Right of Citizens

The IRS is trying to improve and this is a truth that must be told. They have recently responded to the many cries protesting the damage that filing a tax lien can cause in a taxpayer’s life. We welcome the change and hope more of.

There are many good people within the IRS who want to do good by the citizens of this country. But the IRS is a victim to the natural phenomena of a power that is aware of its power. It has become so big and so powerful that many a times an equal treatment in a normal conversation with the IRS is treated like a charitable giving to the taxpayer.

The IRS has a nefarious edict called “IRS bashing.” If by any chance you are considered an IRS basher you may lose your license and thus it may threaten your livelihood. What this amounts to is self censuring. Case in point is this article. Is it an IRS bashing? I must ask my self. If I decided erroneously that it is not and the IRS said that it is, it can conceivable subject the writer to some sort of retaliation.

I have encountered many abusive occasions that I had to bite my tongue trying to restraint myself either out of fear for my clients’ case or even fear for retaliation against me personally. I have had an IRS employee telling me basically that when she speaks I need to shut up. Another one told me that she will refer me to an ethics tribunal because I asked her for her manager’s name and telephone number.

I know for a fact that the IRS will not condone this behavior because it is against the IRS policy and procedures. And that is precisely the point I am trying to make. When people have too much power they tend to put the law aside and they push the envelope. All you need is a citizen succumbing once or twice. Now it becomes an earned right to be superior and tyrannical. This happens with an IRS employee or the tyrants of the world. Power and human being is a formula for transgression.

What is the solution? I believe the IRS cannot be reformed when it comes to their abuse of power. The paradigm is the wrong one. We must look for another system, call it anything from sales tax to a value added to tax but not a filing system at the end of the year that may result in tax debt, property seizure, wage garnishment, bank levies and even putting a man, a free man behind bars.

Sooner or later the citizen of this country will find a way to replace the Leviathan with a smile at the cash register at the grocery store, “It is one hundred dollars plus your ten dollars national sales tax, sir. Slide your credit card here.” End of the conversation

Tax resolution firm that offers tax relief for those with IRS debt, needing IRS audit representation, or need a wage garnishment or IRS levy release.