News & Resources

State Launches New Online Tool for Unclaimed Property

The California Controller’s Office is making it easier to claim your missing money through a new online tool. Currently, the state has more than $6.9 billion in unclaimed property belonging to approximately 24.9 million individuals. The online tool (www.calimit.ca.gov) launched in January 2014 is for claims where the property is worth less than $500 and there is only one listed owner. The process is simple and users could get a check for their unclaimed property within 14 days. For items such as unclaimed money orders, cashier’s checks, royalties, and the contents of safe-deposit boxes, the old paper process is still required. Check out the site today and see if you or a relative has any unclaimed property!

Important Tax Filing Deadlines

Some upcoming dates to be aware of for your 2013 tax year filings:

• Tax filing deadline, or extension requests, for calendar year C-corporations and S-Corporations is March 17, 2014
• Tax filing deadline, or extension requests, for calendar year for individuals, partnerships, and trust returns is April 15, 2014
• Tax filing deadline, or extension requests, for a calendar year non-profit organizations is May 15, 2014

• Payment deadline for Q1 estimated taxes for all calendar year taxpayers is April 15, 2014, including California minimum franchise taxes and fees for C and S Corporations and Limited Liability Companies.

Please call us if you have any questions or require further assistance at 408-252-1800.

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2013 Client Organizer

The attached client organizer is designed to help you gather tax information needed to prepare your 2013 personal income tax return.  Click on the link below to access the client organizer.

Blank Organizer

2013 Form 1099

The Internal Revenue Service requires the filing of Form 1099 for every person or business (except certain corporations) you paid $600 or more to in your trade or business for commissions, fees, and other forms of compensation for services rendered during 2013.  The filing deadline for sending these forms to your vendors is January 31, 2014.   Examples of payments for services that should be reported include rent paid, outside labor, management fees, legal fees, accountant fees, medical fees, and repairs or maintenance.  Form 1099 is also required for interest and dividends paid of $10 or more, whether paid individually or in connection with your trade or business.

The importance of filing these forms has increased dramatically as the penalties for not filing have increased. Congress in recent years passed new laws expanding who is required to receive a Form 1099, and on your 2013 tax return you will need to answer under penalty of perjury whether you have made any payments that require a Form 1099 and whether you in fact filed these forms.  Additionally, the Internal Revenue Service and the Franchise Tax Board may disallow deductions if the required Form 1099’s are not filed. 

If you would like LMGW to prepare the required forms for you, please complete the 1099 Request Form by clicking here and return it to us via email, fax, or mail.

In order for LMGW to guarantee your forms are timely filed, we must receive all necessary information no later than January 17, 2014. Please contact our office or email 1099@LMGW.com if you have questions.

Remedies for resolving Taxpayer disputes with the Internal Revenue Service

The Internal Revenue Service was created in 1862 as the federal agency responsible for collection of tax and interpretation and enforcement of the Internal Revenue Code. As with any collection of laws and regulations the Internal Revenue Code is open to varying levels of interpretation. Congress and the IRS have developed, over time, an effective set of tools and remedies for taxpayer disputes with the IRS arising out of the varying interpretations of the complex set of laws and regulations that compromise the Internal Revenue Code.

The remedies provided to taxpayers and the IRS in resolving disputes can be divided into four major categories:

1. Determination Letters and Rulings – These are letters or rulings with varying degrees of binding effect to transactions. The transactions can be proposed or contemplated transactions, or completed transactions that have not been subject to the examination process
2. Examination Process – During the examination process discussions are opened with the IRS and the taxpayer is afforded the opportunity to explain the stance taken under the laws and regulations for specific transactions. The examination process is a period for both finding of fact as well as discussing application of law to specific transactions. Audit determinations, if agreed to, are final and binding.
3. Appeals Process and Tax Court – The Appeals Process and the US Tax Court afford the taxpayer an additional avenue for dispute resolution when the taxpayer disagrees with the finding at the examination level. Appeals are an informal process that focuses on determining rule of law to the transactions that were considered in examination. New issues are generally not raised at Appeals. The US Tax Court is the taxpayer’s last step after appeals (before Appellate Courts or the US Supreme Court) to litigate issues under examination.
4. Taxpayer Advocate Service – The Taxpayer Advocate Service is available to taxpayers as an independent source within the IRS to help resolve taxpayer disputes. This function is mostly related to resolving issues with communication between the taxpayer and IRS personnel.  Read more