Latest News on Denver Accounting & Taxes

1. Your Denver tax preparer doesn’t have a PTIN (Preparer Tax Identification Number) – It’s required that anyone who prepares tax returns for compensation must have a valid PTIN. One way to be sure that they have one is to search for them in the IRS’s online PTIN directory. If your tax preparer can’t provide you with one, then you are working with someone who is unlicensed.

 

2. They don’t return calls or emails – When it comes to taxes, regular communication is crucial. Although it’s assumed that an accountant has other clients and a life outside of the office, they should still answer your questions within a reasonable time frame. If you find yourself waiting for days to hear back from your tax preparer, it may be a sign that you need to find a new one.

 

3. Your fee depends on your refund amount – Reputable tax specialists charge a flat rate depending on the forms that need to be filled out instead of the size of your refund. If the case is more pay for a larger refund, your preparer may have incentive to falsify information on your return that can lead to an audit. It’s always better to go with a reputable company that charges a flat rate and provides accurate filings.

Your Denver experts at Bloch, Rothman, and Associates, have decades of experience in preparing taxes. It is of upmost importance that your taxes are prepared with accuracy. Contact us for a free initial consultation – you can be assured of the best service and precision when it comes to preparing your taxes. 

No matter what size business you have, you will have to prepare reports on financial performance. When a financial statement audit is not necessary, these reports help with financial decisions, loans, and making operating decisions. What are compilations? A compilation refers to financial statements that were prepared or compiled by an organization’s outside accountant. The goal of this process is to gather unaudited financial information into financial statements, schedules, or reports based on the information a client provides.  However, in the end it’s up to the organization to determine the financial health of their business.

When obtaining a compilation, your Denver accountant must go through measures to understand your business, accounting principles, and present financial information in the accepted form of proper financial statements. The accounting experts at Bloch, Rothman and Associates consult with clients to determine the real financial condition of their company. Please contact us at any time to schedule a free consultation.

Measuring the financial health of your business is integral to your success. An accountant can oversee and advise the immensely important procedures to keep your business on track and on budget. Take the time to evaluate your options and get in touch with a tax professional today.

Learn more about the financial state of your business and how you can take advantage of other options like outsourcing payroll services.

In previous years, taxpayers have had to wait until the end of the year for a tax extenders bill. However, this year, there has been some talk about a tax extender package – mid-year. Extenders are comprehensive group of tax deductions that have been extended from their expiration in the previous year.

Sen. Hatch and Sen. Ron Wyden announced that the Senate Finance Committee will begin markup on a tax extenders bill tomorrow. They are hoping that the timely opportunity to act on extending expired provisions in the tax code will provide a greater certainty and predictability for the middle class and businesses.

Some of the individual tax provisions in the tax extender bill are:

• Mortgage debt relief
• Deduction for state and local general sales taxes
• Tax-free distributions from individual retirement plan for charitable purposes
• Special rules for qualified small business stock
• Incentives for biodiesel and renewable diesel
• Credit for construction of new energy efficient homes
• Credit for alternative fuel vehicle refueling property

There will be more information later in the year for additional tax deductions in the bill. Contact Bloch Rothman, the Denver Tax Specialists for personally customized information and advice about your 2015 taxes and deductions. 

Buying a home is a huge expense but what most people don’t take into consideration is the second biggest expense when buying a home. Did you know that 30-60% taxable property is being over-assessed? That means there’s a good chance that you’re paying more than your share.

How do you lower this?

Fewer than 5% of home owners appeal their assessment. Do you think that your home is over assessed? Do you think that they have the correct data? Sometimes, square footage, size of garage, or number of bathrooms is reported incorrectly. This means that there may be worth appealing your home may be a money saving opportunity for you.

The burden of proof is on you, the homeowner, to provide the reasons why your property is worth more or less. However, you should be wary that your tax may go up with a property tax appeal if your house is actually worth more than you previously thought. Bloch, Rothman and Associates have been very successful in appealing Denver property values and have saved our clients thousands of dollars.

Call your Denver tax experts today for a free consultation regarding your property tax payments. 

When it comes to tax audits, it can be very stressful time for a tax payer. Almost always, it ends up with them owing more money or getting penalized. Did you know that an audit can last an average of 2 to 18 months? During this time, you will be waiting to hear back from the IRS and having to get records together in a panic. 

There are three types of audits:

1. Correspondence audit – This is the most common and least obtrusive audit. The IRS will send you a letter saying that there may be a mistake in your tax return and that you may need to pay more, or that you’re entitled to a larger refund. You might need to send additional documentation, but it’s fairly simple if you maintain records.
2. Field Audit – This audit is for business and is fairly uncommon for individuals. The IRS will send a group of auditors to look through your business’s financial records and documentations.
3. In-Office Audit – This audit is an in-office visit and will require individuals or businesses to take documentation to an IRS auto to authenticate their reported tax return information. These audits are difficult and stressful since the burden of proof lies on you.

There are many reasons to hire a Denver tax service to handle these situations. IRS agents are trained to find extra income and try their best to disallow deductions. When you hire Bloch Rothman, you won’t have to deal with the IRS and they won’t have a chance to interrogate you. In most cases, they will deal directly with us to give you peace of mind and to take extra stress off your hands.

With 20 years of experience representing clients, we can provide the best advice. Make sure to contact us to schedule a free consultation about an IRS audit.