Latest News on Denver Accounting & Taxes

Denver Tax Deadline Postponed Due to Coronavirus (COVID-19)


March 26, 2020

As COVID-19 continues to spread across the globe the reach of this pandemic and its implications on not only those who become infected, but economies, and countries around the world remains largely unknown. While scientists, doctors, and all medical professionals are gaining knowledge daily about potential ways to slow down the spread, it will undoubtedly take time for a return to a somewhat normal state as things were before this pandemic hit.

Already, almost everyone has at least had their lives impacted in some way by the virus. Whether by dealing with work stoppages, new social distancing techniques, or in the most unfortunate of circumstances - personally knowing someone infected or worse, deceased - it’s grasp over the population has been difficult for the public and leadership to control. Adding to the list of changes, modifications, and this evolving timeline is the extension of filing times and payment for taxes by the U.S. Treasury and Internal Revenue Service (IRS). 

New Deadline - July 15

As most people are aware, historically the filing deadline for taxes is April 15. By this point either returns must be submitted or an extension applied for in order to receive a six month reprieve on turning in the paperwork associated with a return. While this does provide more time, it is not an extension to pay - any monies owed are still due by April 15 in a typical scenario.

However, due to the impacts of COVID-19 across America, this year the deadline has been extended until July 15 for both federal and Colorado state filings - three additional months. Nothing is required to submit and the government is waiving payments, penalties, and interest until this date. The deferred end date will hopefully allow those who may be quarantined or under a ‘shelter in place’ order to have time to file.

Corporations

The original filing date for partnerships and S-Corp entities passed on March 16. However, those businesses who file C-corp returns also fall into the new delayed tax date for filing. In addition, identical to individual returns, the due date for any money owed is also pushed back until the July 15 date.

Refunds

Currently, the IRS is still continually processing returns and any due refunds should not be delayed at this time.

If you are in need of tax assistance in Denver or need help filing a business or personal return then let the tax and accounting experts at Bloch Rothman and Associates assist you or your business today. In addition, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits from other entities besides the IRS, or any other personal or corporate wealth management issues. Along with providing a quality tax service, our group can also complete tax returns or answer any other factors associated with financial issues or concerns you may have. Serving in Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate or any other filings, don’t hesitate to contact us today. Available for all of your tax needs and filings, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and serving whatever your needs may be soon!
 
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Denver Tax Return Standard Deduction Rates for 2020


March 11, 2020

Tax filing season is upon us and individuals everywhere are in the process of filling out the appropriate paperwork required for their specific returns. Whether an individual, family of six or even anywhere below or beyond, each person who has earned income over the past year is required to report their earnings and amount of taxes paid. Doing so then either results in subjects receiving a refund due to having paid too much in during the course of the preceding year or owing more money to the federal or state governments.

The filing season officially opened on January 27 and returns must be submitted prior to the April 15 deadline, unless submitting an extension. For many, the changes from year to year are minimal but recent revisions to the tax code, as is common practice with new administrations, continue for this year. One of the most significant changes which continues to apply, has been the increase in standard deduction rates across the board.
Single - $12,400

Individuals who have no other tax burdens other than themselves are subject to the standard deduction rate for single filers. This limit ($12,400) applies to the amount which may be utilized to reduce a person’s tax burden.
Married Filing Jointly - $24,800

Those who are married and filing together receive an appropriate amount of double that for individuals. While the option to itemize a return exists, thanks to the raised general assignment allowable, many people can save time by simply electing to utilize the new standard rate.
Married Filing Separately - $12,400

Some reasons exist for married filing separately and persons who fall into these categories can receive the same standard deduction as individuals. While there may be other differences to their filing status and potential deductions, the standard deduction amount applies in similar fashion to individuals.
Head of Household - $18,650

If filing as Head of Household, a person receives a slight boost to their standard deduction rate. Increased to $18,650 for these individuals, there are certain criteria for utilizing the Head of Household status on a tax return.

If you’re ready to file a return or need help determining exactly which standard deduction rate may apply to your given situation, then let the tax professionals at Bloch Rothman and Associates assist you today. In addition to providing answers to your filing status questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing a quality tax service, our group can also complete all types of returns or answer any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
 
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Denver Tax Return Deductions vs. Credits


February 27, 2020

Death and taxes. The two things people commonly refer to as being inevitable parts of life and understanding the reasoning behind each can often be difficult. However, there are a few ways to lessen the burden of the latter and those who are able to take advantage of some potential deductions, credits, or both can lower their current tax imprint. No matter your filing status, ensure you have counted on each of these potential devices in order to pay exactly what may be owed and nothing more.

The standard deduction has been raised significantly in recent years, advocating for even more individuals and couples who are filing to utilize this measure. Doing so not only reduces the amount of paperwork individuals need to keep up with throughout the calendar year but also serves to benefit a majority of Americans. While there are a few instances where itemizing a return can be helpful, given the timely increases, most of those who are filing will be better served by administering these preset amounts. 

Tax Deductions
Tax deductions are a way to lower the overall amount of income for which taxes are due. Common tax deductions include charitable contributions, medical or long-term care expenses, property taxes, and contributions toward a retirement fund.

These deductions are used to lower the amount of taxable income which is reported and are seemingly opposite of credits by the manner to which they are applied.

Tax Credits
Tax credits are amounts which may apply directly to your refund depending on type. There are both refundable tax credit applications and those which are regulated as non-refundable. The difference here is refundable credits can actually increase an individual’s refund, whereas those of the non-refundable variety may only serve to decrease a person's tax liabilities.

Common credits include the Earned Income Tax Credit and Child Tax Credit, which both qualify as refundable options. Some non-refundable credits which may apply to certain individual returns include an Adoption, Lifelong Learning, or Mortgage Interest credits - among others which may be applied in conjunction or as a stand alone item. While these particular adjustments may not result in a sizable refund, they still help to reduce the tax liability of those individuals who qualify for their use.

If you’re ready to file a return or need help determining exactly which potential credits and deductions may apply to your given situation, then let the tax professionals at Bloch Rothman and Associates assist you today. In addition to providing answers to your deduction or credit tax questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing a quality tax service, our group can also complete all types of returns or answer any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
 
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Denver Tax Return Auto Mileage Rates Fluctuate


February 12, 2020

Completing a tax return can be a complicated process. Not only are there multiple ways to file but the intricacies of each method can also be extremely confusing. One small misstep and you could end up with an incorrect return, owing the Internal Revenue Service (IRS) money without even meaning to mess up the figures. For this reason, seeking professional assistance is the best option available to many different individuals. Doing so can ensure your return is correct, top to bottom and front to back, while lesser known deductions may be found which would have otherwise gone unnoticed.

One of these details many individuals fail to keep up with appropriately are the miles they travel throughout the year under specific circumstances. Knowing about claiming a mileage tax deduction can often have a positive impact on your return. If you are eligible to deduct car expenses on an individual or joint tax return then the changes in rates from last year are important to understand. These, however slightly altered, have been reduced for this upcoming year.

Business
Business deductions were lowered from an even 58 to 57 and one-half (57.5) cents per mile. In the event your employer doesn’t reimburse for any miles completed at the discretion of your job, then this rate may be applied. While it has been lowered, the significance will likely only be felt by those who complete a tremendous amount of travel within a given year.

Medical Care
Miles driven for medical purposes may also be tax deductible. Depending on your filing status standard deduction, mileage recipients may be better served. However, an analysis of each available option is only appropriate to ensure you receivecorrect advice and submit a flawless return. This amount lowered more than any other - falling three cents overall (20 to 17 per mile).

Moving Expense
Relocating for work or other means could also be deductible, if appropriately warranted. Depending on the current filing status and location, these miles may or may not be applied. If used, the rate fell an equal amount to medical care - three cents.

Charitable Work
Finally, charitable work completed throughout the calendar year may appropriately deducted if applied correctly. If you have completed any such event(s) over the course of 2019, then bring the appropriate paperwork to you for a meeting with a tax professional and enhance your return with the only rate which stayed the same at 14 cents.

If you’re ready to file a return or need help determining exactly which mileage status may apply to your given situation, then let the tax professionals at Bloch Rothman and Associates assist you today. In addition to providing answers to your travel questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing a quality tax service, our group can also complete all types of returns or answer any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs in Denver, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
 
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Denver Tax Preparation: What Is My Filing Status?


February 5, 2020

It’s that time of year again when everyone begins to collect their paperwork, end-of-year forms, and review all financial implications from the prior year in an attempt to prepare for filing taxes. For some, earning income throughout the year and paying taxes or quarterly estimates results in an overpayment and thus, a refund is issued. However, for some, depending on their particular circumstances - money may be owed to the Internal Revenue Service (IRS) once a return is completed.

No matter your situation, each and every tax return begins with what appears to be a simple question but actually should be given considerable thought before proceeding. Everyone knows they are responsible for filing, but what status should they file under in order to receive the best benefit? With over 155 million returns filed last year, this is one question asked of every single person turning in a return with five distinct answers from which to choose.

SINGLE
Unmarried individuals or those legally separated from a spouse at the conclusion of the preceding year may file a return designated as Single. However, if you are currently married or were at any portion of the previous year - even if only for one day, then another selection must be made.

MARRIED FILING JOINTLY
Married filing jointly combines the income of two individuals and may result in an increased standard deduction or other tax incentive. A majority of the time this option is best for couples although there are exceptions.

  
For those particular instances, married filing separately is the next best option. With this method, each individual is responsible for their own tax situation and the two remain separate from one another. Although a number of tax breaks are negated by filing separate, there are varying circumstances where this option may be the best option for you or your spouse.

HEAD OF HOUSEHOLD
Single parents and others may qualify to file as Head of Household. Often, these particular situations involve a former couple and thus there are rules for claiming the Head of Household filing status.

QUALIFYING WIDOW(ER) w/ DEPENDENT CHILD
If your spouse passed in the year prior and there is a dependent child or children involved, this status applies. Although unique to specific scenarios, the option is available to adjust certain factors which would be applied differently under another status type.

If you’re ready to file a return and need help determining exactly which status applies to your given situation then let Denver's tax professionals at Bloch Rothman and Associates assist you today. In addition to providing answers for how you should file, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing a quality tax service, our group can also complete all types of returns or answer any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
 
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