News

16.06.2015 News

Filing an Amended Tax Return

What should you do if you already filed your federal tax return and then discover a mistake? First of all, don’t worry. In most cases, all you have to do is file an amended tax return. But before you do that, here is what you should be aware of when filing an amended tax return.

Taxpayers should use Form 1040X, Amended U.S. Individual Income Tax Return, to file an amended (corrected) tax return. You must file the corrected tax return on paper. An amended return cannot be e-filed. Please call if you need assistance or have any questions about Form 1040X.

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01.06.2015 News

Foreign Bank Accounts – Don’t Forget June 30th Deadline for 2014 Filing

If you have an interest in, or signature authority over a foreign bank account, you may be subject to report that account to the US Government.  The minimum value of the account at any point in time during 2014 is $10,000.  So if your bank account had a value of $10,000 or more at any time during the year, you have a filing requirement.

The filing is a informative filing only and does not add to the tax you owe.  It is filed with the Financial Crimes Enforcement Network which is a bureau of the Treasury Department.

If you have a foreign bank account that falls within these requirements, let us know.  LMGW will be able to walk you through the steps to be sure you are compliant and meet the deadline at the end of this month.

01.06.2015 News

New CA Sick Pay Law means 3 Mandatory Sick Days Per Employee Starting July 1

California has a new law that all employers need to be aware of.  Starting July 1st, any employee that works 30 or more days within a year is now entitled to mandatory sick leave.  The rate of accrual is 1 hour of sick pay earned for every 30 hours worked.  This includes part-time and temporary employees.  The maximum that can be earned for any one calendar year is 24 hours or 3 days of sick leave.

 

More details can be found on the Franchise Tax Board website using the link below:

http://www.dir.ca.gov/dlse/ab1522.html

Frequently Asked Questions can be found here:

http://www.dir.ca.gov/dlse/Paid_Sick_Leave.htm

 

If you have any specific questions, please contact our office for clarity.

 

01.06.2015 News

Paying Taxes on Household Helpers

If you employ someone to work for you around your house, it is important to consider the tax implications of this arrangement. While many people disregard the need to pay taxes on household employees, they do so at the risk of paying stiff tax penalties down the road.

As you will see, the rules for hiring household help are quite complex, even for a relatively minor employee, and a mistake can bring on a tax headache that most of us would prefer to avoid.

Commonly referred to as the “nanny tax”, these rules apply to you only if (1) you pay someone for household work and (2) that worker is your employee. Read more

21.05.2015 News

Effective 6/30/2015, Certain Businesses Subject to $100/day Penalty for No Group Health Plan

The Affordable Care Act strikes again.  Starting June 30th of this year, certain businesses will be subject to a $100/day penalty if the business does not have a group health plan (even if the business reimburses employees for their individual coverage).  LMGW is being proactive in communicating this to all clients whom may be affected.  Here is the web link to IRS Notice 2015-17 which explains the new law in its entirety:

http://www.irs.gov/pub/irs-drop/n-15-17.pdf

If you feel that this law may affect your business, please do not hesitate to contact our office.