|
December 16, 2011
Dear Clients and Friends,
Merry Christmas and Happy Holidays to all of you and your families. As I have been talking to many clients throughout the year, there have been changes from all perspectives. There does not appear to be very many changes for 2011 and going into 2012 from a tax point of view. With the Extender Bill that was done in December of 2010, we are pretty well set for the next two years. 2013 is certainly going to be a year of change.
There have been some changes in our office this year, and my new assistants are Matt Vuncannon and Ann Watkins. Both of these new assistants will be trained in all aspects of the office and they will be able to set up appointments, answer questions, and return any phone calls that are necessary for me. Let me answer the question that I usually get asked, “How are the boyz?” Cesar turned 11 this year, and is doing quite well. Riley turned 5 in December and is as cute as ever.
With the changes that the Internal Revenue has placed upon practitioners and the requirements of us electronically filing all tax returns for 2011, we are having to make some changes in our office. I will outline them as we go through our important things to remember. Our after-holiday open house will be January 12th. This will be a time where you can ask for free tax advice, and we will discuss all the changes and preparation with three sessions at 10AM-12PM, 2PM-4PM, and 6PM-8PM, respectively. Please call the office as soon as possible to reserve your seat, because seating is limited. We will provide refreshments.
Now with all the housekeeping done we move on to my favorite topic, tax preparation You may call the office at 704-549-9401 to set-up your appointment or go to our web page at www.burchettfinancial.com and click on online appointments. Send us an email requesting a day and time and we will email you a confirmation. Giving us more than one choice will help expedite this process.
Again, it is extremely important for you to bring all the following to your appointment:
- All W-2’s, 1099’s and all other income items such as 1099 INT, 1099 DIV or 1099B (broker statements from investment companies)
- Bring a prepared a list of questions to ask during your appointment time.
- If you have refinanced, purchased or sold a home or any other properties during the year please bring closing statements and refinance paperwork.
- Don’t forget your itemized deductions including all medical expenses: doctors, dentists, eyeglasses, insurance premiums and all related medical expenses as well as your mileage.
- All state and local taxes paid including real estate taxes on your house and property, personal property taxes on all vehicles, boats, motor homes and motorcycles.
- Don’t forget your church contributions, cash & non-cash. Important reminder, you must have receipts for all contributions and all non-cash items must be itemized and an amount listed. The item must be in good condition or it is not deductible. It is not necessary to bring the receipts, I only need to have the total amounts.
- Any business related expenses including purchase of tools and supplies, mileage that was not reimbursed or actual vehicle expenses. Mileage from January to June 30th will be at one rate; mileage to July to December will be at a second rate. Was there a vehicle allowance given to you? Professional dues, continuing education, uniform cost and cleaning are deductible.
- Remember to add all your receipts before coming in order to expedite the time involved in the tax preparation. It is not necessary to bring the receipts, bank statements or any back-up information to your appointment; I only need to have the totals per category.
- Do not bring your laptop with the expectation that I will fix or review your bookkeeping. If you would like to bring it with you so you can review it if I have a question that is not a problem. If you feel it is absolutely necessary to bring your laptop to your tax appointment, please be aware that there could be an extra time charge @ $120 per hour. If you have a business, I only need your Profit and Loss statements and Balance Sheets printed.
- Appointment times are scheduled every 45 minutes unless there is additional time required for your preparation. If you have unusual or difficult first time situations this year, please call the office and discuss this before making your appointment. Some of these situations are: Can I take Office in Home, I sold a rental house, I sold my second home, I sold stock, I sold my primary residence, I bought a primary residence. If you are not sure of what to bring, please call the office and discuss the situation with Matt or Ann so they can inform you of the needed paperwork. It is a very costly proposition for you if we have to make an additional scheduled appointment or if your appointment runs into the next clients scheduled time. You may be asked to reschedule and/or you will also be charged an additional sitting fee.
- Mailing, faxing, e-mailing or dropping off your tax return information is acceptable. I understand that gas is expensive and traffic is always bad, we want to be accommodating to you as much as possible. Please let us know when you are sending us the information and we will let you know when we receive it.
- EXTREMLY IMPORTANT: All tax returns and work prepared by my company and myself must be paid for when completed and picked-up. There are Wachovia, Bank of America, BB&T and Fifth Third banks close to the office if you need to use the ATM, we can hold your return for you until you return with payment. We are able to take the preparation fees out of your refund if you electronically file, but with that, there would be an additional $15 fee. Also, with the mandated electronic filing, I will not be able to file those returns until payment is received.
- When your tax return is finished, you are given a copy for your files, or we can send the tax return to you in a PDF file for your records and printing as you deem necessary. If additional copies or faxes are necessary there is an additional $10 fee or $25 for larger or business returns. Before you call the office asking us to fax a copy of your return to someone or make you another copy, please look for your copy. I will need that request in writing along with the additional fee before I can make any copies or fax any returns. We only accept Cash or Checks. No credit or debit cards are accepted in our office.
- If you have received letters from the IRS or NC throughout the year and you have not previously notified us please let us know. We ask that in the future you let us know as soon as they are received because most of these are time sensitive.
- Organizers are available as a PDF file and will be sent to you in January. Please send an email requesting one or call the office. You can even send them back to us prior to your appointment to expedite your tax preparations.
- Please come 10-15 minutes early for your appointments. The reason for this is that we need you to fill out our information update sheet, which will include bank account information if they want to direct deposit; birthdates for all tax payers and dependants;
- Please provide us with your phone numbers (home/work/cell) and email addresses. In fact, you can go ahead and send us an email at general.bfs@birch.net, and we will update your files. Additionally, if you provide us with an email address, we can send you the information update sheet, and you won’t necessarily have to come in 10-15 minutes early.
Lastly, to highlight some of the changes for 2011 & 2012, I cannot emphasize enough that tax planning is of the utmost importance.
- Mileage rate from January-June 30th 2011is 51 cents/mile; from July-December is 55 cents/mile. On 1/1/2012, it goes back to 55 cents/mile.
- Individual tax rates will the stay the same through 12/31/2012. The 2% payroll tax cut is still up for debate and has not been passed at the time of writing.
- Qualified capital gains and dividends are taxed at a maximum of 15% through 12/31/2012.
- The limitation on itemized deductions will remain the same through 2012. Itemized deductions limitation, personal exemption, phase-out, and the marriage penalty relief are extended through 12/31/2012. Child tax credits, earned income credit, adoption credit, dependent care credit, American Opportunity tax credit, education assistance exclusion, student loan interest deduction have all been extended for two years. Mortgage insurance premiums are extended for one year.
- The AMT alternative minimum tax patch has been extended through 2012.
- There are numerous other incentives and extensions that we will not go through here.
More info and further explanations can be obtained at www.irs.gov. Look for 1040 central or use a keyword for any topic. You can also go to our webpage (www.burchettfinancial.com) and link to the IRS and NCDOR for more information.
For the last 23 years, I have emphasized that tax planning was a must for your financial health. During the last few years, we have experienced unusual financial circumstances with the failure of well-established companies, the financial institution bailouts, record unemployment rates, and just the total uncertainty of our economy. I anticipate after the 2012 election will bring higher tax rates and more uncertainty of our financial futures. It is extremely important that all taxpayers stay abreast of the changes and continue to plan for their golden years.
Again, Matt, Ann and I would like to extend Warm Holiday Wishes to you and yours and we look forward to another year of our professional association and friendship. We look forward to seeing you in at our open house on Thursday, January 12th.
Best Wishes,
Joyce
FREE TAX SEMINAR/OPEN HOUSE THURSDAY JANUARY 12th 10AM-12PM, 2PM-4PM, and 6PM-8PM. DON’T FORGET TO CALL AND RSVP- SPACE IS LIMITED.
Extended Tax Season Hours begin January 16, 2011
Monday- Friday 9:00 AM- 8:00 PM
Saturday 8:00 AM- 5:00 PM
The office will be closed from April 17th- April 21th for a little R&R.
Corporate Tax Returns are due March 15th Individual Tax returns are due April 16th
ALL TAX INFO MUST BE IN THE OFFICE BY APRIL 2st TO GUARANTEE COMPLETION OR EXTENSION BY APRIL 16TH.
PLEASE BRING ALL W-2’s, 1099’S AND OTHER INCOME AND DEDUCTION INFO TO YOUR APPOINTMENT TO REDUCE PREPARATION TIME AND COST.
Burchett Financial Services
8426 Medical Plaza Drive Suite 300
Charlotte, NC 28262
|
