Latest News on Denver Accounting & Taxes

When To Expect Your Denver Tax Return Refund

March 14, 2018

As tax season continues individuals across Colorado and the United States are filing returns every day. While some people dread tax time for fear they will owe either the state or government some amount of tax based on their earnings or other financial implications, some get excited about the potential to file - especially when they are expecting a sizeable refund.

Once a return is filed with the Internal Revenue Service (IRS) or Colorado Department of Revenue, a number of steps remain to ensure the return is properly accepted, transmitted, and an appropriate refund or expectancy of funds for payment is decided. For these reasons, it takes a varying amount of time to receive a refund but typically there is a timeframe for when most individuals will receive their money.

How fast can I expect my refund? One question that preparers all over America hear almost immediately after notifying a client they can expect to receive money back from either the state or federal government. The IRS website even has a section for refund frequently asked questions which highlights some topics to consider when attempting to figure out the timing of a refund as detailed below.

Filing Method

There are two main factors which contribute to the timing of both acceptance and refund disbursement when filing your tax return. The first is which filing method is chosen in order to send your return to either the IRS or Colorado Department of Revenue.

Electronic filing is the preferred method and while some instances require a paper filing method, such as an amendment to a prior year return, electronic is the fastest and easiest form of submission. Almost within minutes, depending on the traffic and time of day, a preparer can assure a client that their return has been filed and accepted by the appropriate party. This not only makes the individual or couple feel confident in knowing they have filed a return but also starts the clock on receiving the refund.

Refund Method

The other factor associated with timing of a refund is whether or not you opt to receive a refund via direct deposit or paper check. Just as with the filing method, choosing an electronic option is faster than the original paper method used for dispersing refunds across America.

By choosing to have your refund return direct deposited into a bank account the timing is usually much faster than having to wait on an actual paper check to be written, then mailed through the postal service, and finally received at your home.

According to the timeframe set by the IRS most returns are distributed within 21 days of receiving a filed tax return. In most cases, the return will be received in less time, typically two weeks if both electronically filed and returned via direct deposit.

If you have not received any notification or correspondence within 21 days of a successful electronic filing or six weeks following a paper return then you may want to consider attempting to locate the reason behind a potential delay. The IRS offers a “Where’s My Refund” options which can be administered 24 hours after electronic filing and four weeks from a mailed return.

The experts at Bloch, Rothman, and Associates can help you file the appropriate return and track any expected refund. In addition to providing expert tax advice, we can also assist with a variety of bookkeeping and other payroll options. Whether you need an explanation for a random tax form, are in need of appropriate representation, or would like help in a variety of other services our tax experts are ready and willing to assist. Call 303-321-7160 or contact us for your initial free no obligation consultation.

Denver Tax Preparation Deadlines Differ Depending on Corporation Type

February 28, 2018

Most tax paying individuals are familiar with the typical April 15 deadline for filing tax returns. Even with the recent extensions due to Emancipation Day and Tax Day falling on a weekend over the past few years, mid-April is the time when everyone most associates their returns and correlating financial responsibilities being due to the Internal Revenue Service (IRS), should they be required.

A less common factor, is the due date of corporate returns which has fluctuated in recent years. Those responsible for filing a corporate tax return have had to deal with an earlier filing date recently, but depending on your specific designation, the dates now differ.

According to the IRS, two different types of corporations and filing dates have been formed. While all corporations begin as a C-Corp, the more preferred status, especially when dealing with taxation methods, is to be an S-Corp which has specific characteristics from which small businesses can especially benefit.

The difference between a S-Corp and C-Corp revolves mainly around their taxation methods. C-Corp stockholders can be double-taxed based on year-end revenues whereas S-Corp individuals have their proceeds run through tax free and are then only required to pay taxes on their initial draw from the corporation.

Another specific difference lies in the business tax deadline filing due date for each. Instead of being due with individual returns in mid-April, one is faced with an earlier deadline. The original deadline for S-Corporations is March 15, 2018 for the 2017 tax year. If in need of an extension, one can be filed for which then pushes the due date back six months to a September 17, 2018 final deadline for S-Corporation filings.

Opposite, the C-Corporations maintain the same filing date with individual tax returns and are initially due on April 17, 2018 for the prior tax year. While each of these dates can vary, if the corporate fiscal calendar coincides with the regular yearly calendar then these guidelines apply.

An extension is also available for C-Corporations which can be filed to prior the initial deadline, lengthening the time to file until October 15, 2018 - both six month increases in filing times. These can be extremely beneficial for larger companies that have numerous reports to collect and analyze as they prepare returns and make year-end adjustments to facilitate their return.

Both varying corporation types have their distinct advantages but ensuring the required taxes are filed for each in a timely manner is of vital importance. Neither organization wishes to incur any potential penalties from the IRS should their taxes not be filed in a timely manner.

The experts at Bloch, Rothman, and Associates can help you determine which corporation would most benefit you during an initial set-up and assist with any filing procedures. In addition to providing expert tax advice and filing the required returns, we can also assist with a variety of payroll or any other bookkeeping options. These associates at Bloch-Rothman are happy to help you look at corporate specific data as each and every tax situation is unique, along with finding resolutions for your issues. Further, estate complications can also be tricky and our experts will ensure you receive the most profitable deductions on your return and that all required paperwork is handled appropriately. All services can and will also be completed in a timely manner. Whether you need an explanation for an acquired tax form, are in need of representation, or would like help with a variety of other services then our tax experts are ready and willing to assist. Call 303-321-7160 or contact us for your initial free no obligation consultation.

Denver Business Tax Preparation Meal Expenditure Requirements

February 21, 2018

Depending on your status and the impending circumstances some meals are deductible when compiling your tax return. While the details vary significantly and can be difficult to cycle through, there are essentially three main categories for deduction purposes.

First, employees cannot deduct their expenditures if they are being reimbursed for them through their employer. Only non-reimbursed expenses may be accounted for and even then only a limited amount is deductible.

The three main areas for potential deductions involve each of the following concepts: meals while traveling, meals for business purposes, and special events.

Meals While Traveling

When you are required to spend the night away from your home area or office then meals can be deducted but only at a 50-percent rate. The specifics involved are detailed and described by the Internal Revenue Service (IRS) through Publication 463 but essentially if an overnight or multiple nights stay is required then half of all meals are deductible. This includes food, drink, and any gratuity added to the final bill.

Meals For Business Purposes

Sometimes employees, owners, and corporations will use meals as a method of conducting business with potential clients or for specific business propositions. When these occur, then the same rate of 50-percent from the total bill may also be deducted. While still qualifying as a potential business meal while traveling, if applicable, these type deductions require more than one individual and some type of business related activity occurring either just prior, during, or following the conclusion of the meal in question.

Special Events

Meals conducted for the purposes of training or special events like holiday parties are 100-percent deductible. These are corporate functions and can either be open to the general public for purposes of conjuring up more business or even limited to employees with their spouses. At times, even the occasional break room coffee and donuts will apply.

The most important aspect of any deduction is keeping a good track record of the anticipated meal expenses. There are a few general rules to consider as the IRS will not allow “extravagant” deductions and could also view an extremely high bar tab as an environment not conducive to business related activities. For these reasons, keeping the drinks to a minimum and always documenting who was present, the business discussed, and any results, if applicable, is vitally important.

The experts at Bloch, Rothman, and Associates can help you examine records and determine which meals are applicable and what records will be necessary in order to claim them. In addition to providing expert tax advice, we can also assist with a variety of bookkeeping and other payroll options. These associates at Bloch-Rothman are happy to help view specific data as every tax situation is unique, along with finding resolutions for your issues and estate complications making certain you receive the most profitable deductions on your return. All services can and will be completed in a timely manner. Whether you need an explanation for an acquired tax form, are in need of representation, or would like help with a variety of other services then our tax experts are ready and willing to assist. Call 303-321-7160 or contact us for your initial free no obligation consultation.

Should You Take the Standard Deduction or the Itemized Deduction when Filing Your Denver Taxes

February 14, 2018

If you are getting ready to file your taxes, it is good to be aware of the different ways an individual or organization can choose to prepare their taxes. There are two primary ways you can file your Denver taxes, as you can opt for either the standard deduction or choose to go with an itemized deduction. In deciding which way to file, there are a few factors to consider when making your decision, as you can only choose one way to file your taxes.

Standard Deduction

For those filing their taxes for 2018, the standard deduction has gone up to $6,500, up from $6,350 in 2017. For married couples the standard deduction is $13,000, which is up from 2017 when it was $12,700.

If you decide to go with the standard deduction, you will simplify your tax filing process, as you won’t have to add up all expenses that could be tax-deductible, which is what you would do if you were choosing the itemized deduction. Choosing to file with the standard deduction may be the best option for you if you and/or your partner receive a single W2 from your place of employment.

In most cases, the standard deduction will be the best option in this case, as you won’t have enough write offs to make it worth going for the itemized deduction. Obviously, it makes the most sense to go with the filing method that will give you the largest return when filing your Denver taxes.

Itemized Deduction

Choosing to go with an itemized deduction method can be the best option for your if you are self-employed, as you will have plenty of things to write off. If you work for yourself and you know you will be choosing the itemized deduction, it is a good idea to start collecting receipts and documenting your expenses to make tax filing time less of a headache.

You may also benefit from the itemized deduction method if you have large, uninsured medical costs, if you were the victim of a large uninsured theft or casualty, such as a fire or flood. If you made large contributions to charities, had unreimbursed expenses as an employee, or had large miscellaneous expenses, it might make the most sense to choose the itemized filing. As always, it is best to choose the option that will give you more money, so if you think you can write off more things to give you a higher return, choose the itemized option.

If you are need of having your taxes done in the Denver area, there is no better option than going with Bloch, Rothman, and Associates. Specializing in various accounting services such as tax litigation, IRS audits, and tax preparation (to name a few), we are a full service Denver and Aurora accounting firm that offers personal and affordable accounting and tax services for both individuals and businesses. Contact us today and we will be happy to help you receive the highest return possible.

Expecting a Refund? When to File Your Denver Tax Return

January 31, 2018

Odds are 2018 will not be the first year you are filing a tax return for reported income to the Internal Revenue Service (IRS) for earnings made during the 2017 calendar year. However, with the brand new Tax Cuts and Jobs act that was recently passed, your return may or may not look different this year. Even with the changes taking place, if you or your household have received a refund, especially a sizable one on which you rely, then expectations are this year will not be much different without any major changes to your income levels or other factors that may influence your tax levels.

If consistent refunds are the norm and one is anticipated again, then knowing when you can file in an effort to receive the refund as fast as possible is an important piece of information. Last year, the IRS began accepting tax returns on January 23 meaning individuals had essentially three months in order to file a return without asking for an extension. This year, especially with the recent changes, that date is expected to be delayed.

While no official submission date has been released by the IRS, some anticipate it may be mid-February before acceptance and a firm date on when you can begin filing tax returns. If this is the case, then everyone will receive only approximately two months worth of time to file with acceptance.

A key factor to consider is that filing and acceptance are two different issues. Employers must deliver W-2 Forms to their employees by the end of January and typically any 1099 employees will receive their needed paperwork by then as well. Once these and any other information needed for filing is collected, then an individual can technically file their taxes for the prior year although they may not officially be accepted and reviewed until the date set forth by the IRS.

Regardless, the end date has been set for returns filed without any extension. This year, everyone must file or request an extension by Tuesday, April 17. The April deadline received a small bump forward due to a holiday celebrated in Washington D.C. giving taxpayers a little cushion for submission.

The experts at Bloch, Rothman, and Associates will be happy to help you determine individual tax implications and filing status, assist you in determining which deduction would be right in your situation and answer any questions regarding individual or business income taxes. We can also assist with a variety of bookkeeping and other payroll options. It is recommended for those who are selected for an audit, that they enlist the services of a professional tax service before they begin engaging with the IRS auditor, especially before they submit any information.

Included in the services offered at Bloch, Rothman is a fully detailed review of your individual or business tax situation, which will be completed with the unique and planned resolution to your issues and estate compilations. All services will be completed in a timely manner, depending on your restrictions and possible tax deadlines. Covered are simple and complex tax and financial situations; from random tax forms to more robust representation, our tax experts are ready and willing to assist. Call 303-321-7160 or contact us for your initial free no obligation consultation.