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Every business, whether brand-new or well-established, is required to keep a thorough record of all of the company’s financial undertakings. Many business owners find it a challenge to decide where to make best use of their money, time, and physical contributions. Add to those important decisions the fact that many business owners also have no experience with bookkeeping and you can see how this could make for a very stressful situation. One option for dealing with bookkeeping requirements is to simply outsource it to somebody experienced in the field. Letting someone else take care of the books leaves the business owner free to pursue other important focal points such as advertising, human resources, client contacts and so-on. Knowing that there is a professional and competent entity in constant and direct communication with the business owner is a source of great comfort and satisfaction.

Of course, it is also beneficial for a business owner to learn and carry out his or her own bookkeeping activities. Doing so will give the business owner a chance to expand their knowledge and awareness of their company from a financial standpoint. This is due to the hands-on and visual executions of all bookkeeping responsibilities, which ultimately helps the business owner make well-educated decisions regarding commerce. The best way to have a deep understanding of your company finances is to understand the bookkeeping process and how it relates to accounting yourself. Having a clear idea of where the numbers originate can be beneficial to your perspective of the business as a whole. There is also the fact that having accountants tell you about your finances will never compare to having a deeper understanding of them yourself, no matter how good they are.

The choice is ultimately yours, but it will depend on how much money you have to spend and your own limitations. The benefits to either method speak for themselves. Even if you do decide to take on your own bookkeeping you should seek professional help when you are initially learning the ropes. This will allow you to effectively learn how to take care of your financial reports and once you are competent enough you can do the bookkeeping with confidence. However even once you achieve this stage of competency you should hire professionals from time to time to keep you updated with any changes to the process, because financial regulations are liable to change over time, meaning you may be able to pay less in taxes or will be able to avoid penalties for doing something outside of the new guidelines.

Find Out More : Penrith Local Bookkeepers

Tags: accountancy, bookkeeping, Business, taxes
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A tax accountant is meant to guide you through the tax filing process, as well as show you whatever you can do to reduce your tax liabilities. With the help of a tax accountant, you will not only save money in the long term, but also avoid breaking any of the various rules and regulations that are put in place by the IRS.

If you have a business, you can get help with your cash flow, IRS tax structures, and getting all of the data that you require in order to help determine your taxes with a tax accountant. Business and individuals can benefit from any of a number of IRS tax breaks, which your tax accountant can help you find, giving you an incredible amount of savings for your business and keeping you in good standing with the IRS.

A tax accountant works for both the IRS and you; they will keep the IRS happy by helping you pay, but they will give you the most cost efficient way to do so, helping both parties in the long run. If you have a tax accountant who is not up to snuff, however, they will try to get you to break laws and go through all kinds of ethical hoops. That might save you a bit more money, the IRS will eventually audit you for that missing amount.

There are a few variables to look at when you choose to employ a tax accountant.

Knowing How Your Business Should Be Taxed - You can’t find jack of all trades tax accountants that are any good, but there are those who have experience in either individual tax law or business tax law. Those looking to get their business’ taxes done should look for accountants with experience in similarly sized firms.

Remaining Reputable - You can find out a lot about a tax accountant through those he has worked for in the past. It would be a smart choice to ask for credentials and their previous employers. If the people you contact express contentment with him, you can be sure that he is reputable.

Keeping Up With New Laws - With a tax accountant, you want one who knows the laws as they pertain to you right now, instead of when they last checked up on it. Make sure they are staying current with all the new rules and regulations, and you should be fine.

Next : Tax Accountants Five Dock

Tags: accountancy, finance, tax accountants, taxes
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Reporting on Those Who Are Engaging In Illegal Tax Activity  

Until recently, whistleblowers have never been thrust as far forward into the public eye. The case of Brad Birkenfeld, who has been sentenced to 40 months in prison after reporting on Swiss bank UBS to the IRS, has thrust the whistleblower act of the IRS and all that surrounds it directly into the public spotlight. This case potentially exposed thousands of US taxpayers that may have been disguising assets by using the Swiss bank.  Essentially, the IRS has a program which rewards people who report on those that are engaging in illegal tax activity. The reward is based on a percentage (up to 30% in some extreme cases) of the owed money which is collected by the IRS.

Some people think that the laws about whistleblowers are simply an internal matter for events that take place within the United States and that only involve the IRS. However, whistleblower lawyers are now being forced to examine the international tax implications, and possibilities, that have become implicit after the events in the UBS and Birkenfeld case.

One thing that whistleblower lawyers need to learn about is how foreign governments can use tax treaties to obtain information that they would not otherwise be able to obtain due to lack of foreign jurisdiction.  Although the UBS problem has been the largest example of how the whistleblower act can apply to international situations, there are smaller examples which may become more and more common closer to home as more people attempt to claim their rewards as part of the whistleblower act. For instance, much business is done between the US and Canada, and the CRA and IRS can request information from each other to enforce their own tax laws. This is one possible site of expansion for those looking to profit from the whistleblower laws.

Part of the reason the program has also been getting such increased attention is because of the changes that the IRS implemented to it several years ago.  This resulted in larger rewards being paid on reporting of larger amounts owing. This potential for huge rewards has certainly brought out more people that are interested in finding ways to profit from the revised laws. As more becomes established as to how these laws apply to matters of international tax evasion, it is a sure thing that we will see more reports coming from international sources, although most probably won’t be on the scale of the Birkenfeld and UBS case.

Tags: Brad Birkenfeld, irs, tax, tax fraud, taxes, UBS, whistleblowers
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Many people have by now become aware of the newly improved whistleblowers program that the IRS has put into place. They have a reward system which has been created to profit individuals that may provide them within information that results in the prosecution of someone for income tax fraud, or collection of fees owed through tax evasion. By encouraging people to report tax fraud, the IRS hope to increase overall levels of honesty within the tax system, as well as to install a system that is going to enable them much more thoroughly to root out those who are trying to avoid paying what they owe.

However, there are some details about this program that CPA’s really need to find out about. There are actually a couple of reasons that a CPA should know the details of this system used to report tax fraud. The increases that came as a result of the revamp to the system has also increased the number of people coming forward within information. While many go straight to attorneys in order to help them process the tip and submit it to the IRS, there are cases where they may be benefitted more by visiting with a CPA first, who could easily by taking the time to research the program let them know what the appropriate action should be.

CPA’s should become familiar with the laws around this program because informants may come to them looking for information. A good example is that the program will attempt to protect the identity of someone providing information in one of these cases. If the program goes to any kind of judicial proceeding though, there is no protection against being called as a witness, at which point their identity will become exposed. It is also important to let prospective informants know that any misinformation they provide could leave them open to prosecutions for perjury in particular situations.

Whistle blowers have another reason to contact CPA’s as well, and this is one that doesn’t relate as directly to income tax fraud. If an informant should be paid out a benefit under the new program for reporting whistleblowers, the reward that they receive could be considerable. As such, they may need to contact their CPA regarding the tax considerations of their windfall, and accountants need to be familiar with these. Full reporting and withholding applies to rewards paid out under the IRS Whistle Blower Program

Tags: CPA's, irs, report tax fraud, tax, tax fraud, taxes, whistle blowers program
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If you haven’t already heard of Brad Birkenfeld, then you should take some time to do some reading and brush up on the events surrounding one of the most interesting and large reaching cases of reporting tax fraud in American history.

A whistleblower is someone that registers voluntarily with the IRS for the purposes of reporting IRS tax fraud. Brad Birkenfeld was working for UBS (The largest bank in Switzerland) when he contacted the IRS in order to report perceived violations on the part of UBS in regards to the tax agreements the bank had entered into with the IRS.

The lesson to be learned from Birkenfeld has to do with the definition of a whistleblower. In order to report IRS tax fraud under that program, you have to register with the IRS. However, despite Birkenfeld’s attempt to do so, he was later found to have not met the criteria of that classification. As such, he ended up becoming sentenced to a 40 month prison sentence for his part in the irregularities that had transpired.

The Justice Department tax prosecution in this case stated that they do not participate in the program, and a senior attorney later clarified the definition of someone that can receive protection in cases of reporting tax fraud. The primary basis for denying this protection to Birkenfeld seems to stem from the fact that people must come forward early, and give complete and truthful disclosures in order to be granted any protection. It was judged that Birkenfeld did not qualify.

Despite the outcome in this case, it is clear from the events that transpired that people who are brave enough to step forward and report on tax fraud are very important. They help to ensure the preservation of the laws which have all been put in place for a very specific reason. Evidence of how important Birkenfeld’s actions were thought to be is clear in that he was named “Person of the Year” by “Tax Anaylsts” and when Dean Zerbe called him the most important tax whistleblower of all time.

There are perhaps then two lessons that we can take away from the Brad Birkenfeld case. Obviously in order to get legal protection when reporting tax irregularities, you must step forward early and offer complete truth. The second lesson is that this is a responsibility of all discerning citizens, and Birkenfeld can be held up as an example of someone who did the right thing when he realized the situation that he was witnessing.

Tags: Brad Birkenfeld, irs, IRS tax fraud, tax fraud, tax prosecution, taxes, whistleblower
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In a recent email news item I made the distinction that the Haiti disaster is now a qualified disaster according to the IRS (http://www.irs.gov/newsroom/article/0,,id=218615,00.html).

And I mentioned in that email, there are rumors that said people would be able to take a deduction for donations to Haiti on the current year’s (2009) tax return - instead of having to wait until you do your 2010 tax return. Obviously this could be a huge incentive for people who desired to give a part of their wealth to the victims of disaster in Haiti to assist them in getting back on their feet! Are you feeling the pressure of today’s taxes? Right now you can get $100 off your tax return for Cary NC Tax Preparation needs!

As it turns out, the rumors I was hearing and that you possibly have heard are TRUE! On January 22nd, the IRS created a special tax relief policy that allows contributions for the Haiti disaster made after January 11, 2010 and before March 1, 2010, will be taken from your 2009 tax return. Or, you can choose to put the deduction to your 2010 tax return instead, on the chance that in case you did not desire to take advantage of the great incentive to assist those in need.

The people of Haiti are hurting quite a bit. These kinds of disasters are totally unavoidable, and are well, devastating. Earthquakes and other types of natural disaster create huge levels of carnage and widespread loss of homes. Entire families are without food or clean water. In most cases these families do not even have any sort of stable living environment without the help of relief organizations (funded by donators like you!). Do your part right now and donate whatever you can to help the people of Haiti. I would certainly appreciate the extended donations, and I’m positive all of the struggling people in Haiti would appreciate it to!

Stay tuned for more articles and information regarding tax season, taxes, and Haiti!

http://www.marccpa.com

Tags: accountant, bookkeeping, cpa, income tax, marc gilfillan, NC, raleigh, tax, tax preparation, tax return, taxes
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Many people have heard of whistleblowing, but it can be hard to find specific information that lets you know how to do this in concrete terms that are understandable by someone who is not a lawyer or a CPA.  Luckily, reporting tax fraud is becoming much more defined as the government and the IRS attempts to find ways to clarify the laws. They also have been trying consistently to come up with ways to protect people that come forward as an IRS whistleblower, and it is important to understand these changes to get an idea of how the program really works.

In some whistleblower cases in the past, it was extremely dangerous to a person to come forward and report their employer of tax evasion. An IRS whistleblower was just as likely to be fired as anyone else for coming forward and reporting tax fraud. However, experience has taught the government much in this regard and there now exist several federal and state laws that attempt to protect the rights of whistleblowers, and which do not allow for termination of an employee based on providing this kind of information in most cases.

There are still some gaps in the laws which provide protection to someone reporting tax fraud. Attention has been drawn to this by whistleblower cases which involve not for profit organizations. The federal law known as SOX (Sarbanes-Oxley Act) protects workers for non-profits against retaliation in such cases. There has not been as much development at the State level in this regard however, and although there is some protection afforded to non-profit employees, it is not yet something that is ironclad. This can and has resulted in lawsuits for wrongful termination when an employee of a non-profit organization feels he or she was let go as a result of reporting on wrongful activities on the part of their employer.

It is also interesting to note that along with increased protection for those who provide information about tax wrongdoings, the IRS has actually gone further to offer actual rewards to those who provide information which can result in the IRS collecting funds owed to them. This program has existed for some time, but has been expanded in the last several years to help compensate informants better, and with bigger rewards in cases of large scale tax evasion. The dynamics of whistleblowing have shifted, putting the emphasis and the reward on reporting tax evasion rather than on burying knowledge of it for fear of employment related consequences.

Tags: cpa, irs, IRS whistleblower, tax, tax fraud, taxes, whistleblower
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Until recently, whistleblowers have never been thrust as far forward into the public eye. The case of Brad Birkenfeld, who has been sentenced to 40 months in prison after reporting on Swiss bank UBS to the IRS, has thrust the whistleblower act of the IRS and all that surrounds it directly into the public spotlight. This case potentially exposed thousands of US taxpayers that may have been disguising assets by using the Swiss bank.  Essentially, the IRS has a program which rewards people who report on those that are engaging in illegal tax activity. The reward is based on a percentage (up to 30% in some extreme cases) of the owed money which is collected by the IRS.

Some people think that the laws about whistleblowers are simply an internal matter for events that take place within the United States and that only involve the IRS. However, whistleblower lawyers are now being forced to examine the international tax implications, and possibilities, that have become implicit after the events in the UBS and Birkenfeld case.

One thing that whistleblower lawyers need to learn about is how foreign governments can use tax treaties to obtain information that they would not otherwise be able to obtain due to lack of foreign jurisdiction.  Although the UBS problem has been the largest example of how the whistleblower act can apply to international situations, there are smaller examples which may become more and more common closer to home as more people attempt to claim their rewards as part of the whistleblower act. For instance, much business is done between the US and Canada, and the CRA and IRS can request information from each other to enforce their own tax laws. This is one possible site of expansion for those looking to profit from the whistleblower laws.

Part of the reason the program has also been getting such increased attention is because of the changes that the IRS implemented to it several years ago.  This resulted in larger rewards being paid on reporting of larger amounts owing. This potential for huge rewards has certainly brought out more people that are interested in finding ways to profit from the revised laws. As more becomes established as to how these laws apply to matters of international tax evasion, it is a sure thing that we will see more reports coming from international sources, although most probably won’t be on the scale of the Birkenfeld and UBS case.

Tags: Brad Birkenfeld, irs, tax, tax fraud, taxes, UBS, whistleblowers
Posted in Uncategorized | | No Comments »

Many people have heard of whistleblowing, but it can be hard to find specific information that lets you know how to do this in concrete terms that are understandable by someone who is not a lawyer or a CPA.  Luckily, reporting tax fraud is becoming much more defined as the government and the IRS attempts to find ways to clarify the laws. They also have been trying consistently to come up with ways to protect people that come forward as an IRS whistleblower, and it is important to understand these changes to get an idea of how the program really works.

In some whistleblower cases in the past, it was extremely dangerous to a person to come forward and report their employer of tax evasion. An IRS whistleblower was just as likely to be fired as anyone else for coming forward and reporting tax fraud. However, experience has taught the government much in this regard and there now exist several federal and state laws that attempt to protect the rights of whistleblowers, and which do not allow for termination of an employee based on providing this kind of information in most cases.

There are still some gaps in the laws which provide protection to someone reporting tax fraud. Attention has been drawn to this by whistleblower cases which involve not for profit organizations. The federal law known as SOX (Sarbanes-Oxley Act) protects workers for non-profits against retaliation in such cases. There has not been as much development at the State level in this regard however, and although there is some protection afforded to non-profit employees, it is not yet something that is ironclad. This can and has resulted in lawsuits for wrongful termination when an employee of a non-profit organization feels he or she was let go as a result of reporting on wrongful activities on the part of their employer.

It is also interesting to note that along with increased protection for those who provide information about tax wrongdoings, the IRS has actually gone further to offer actual rewards to those who provide information which can result in the IRS collecting funds owed to them. This program has existed for some time, but has been expanded in the last several years to help compensate informants better, and with bigger rewards in cases of large scale tax evasion. The dynamics of whistleblowing have shifted, putting the emphasis and the reward on reporting tax evasion rather than on burying knowledge of it for fear of employment related consequences.

Tags: cpa, irs, IRS whistleblower, tax, tax fraud, taxes, whistleblower
Posted in Uncategorized | | No Comments »

If you haven’t already heard of Brad Birkenfeld, then you should take some time to do some reading and brush up on the events surrounding one of the most interesting and large reaching cases of reporting tax fraud in American history.

A whistleblower is someone that registers voluntarily with the IRS for the purposes of reporting IRS tax fraud. Brad Birkenfeld was working for UBS (The largest bank in Switzerland) when he contacted the IRS in order to report perceived violations on the part of UBS in regards to the tax agreements the bank had entered into with the IRS.

The lesson to be learned from Birkenfeld has to do with the definition of a whistleblower. In order to report IRS tax fraud under that program, you have to register with the IRS. However, despite Birkenfeld’s attempt to do so, he was later found to have not met the criteria of that classification. As such, he ended up becoming sentenced to a 40 month prison sentence for his part in the irregularities that had transpired.

The Justice Department tax prosecution in this case stated that they do not participate in the program, and a senior attorney later clarified the definition of someone that can receive protection in cases of reporting tax fraud. The primary basis for denying this protection to Birkenfeld seems to stem from the fact that people must come forward early, and give complete and truthful disclosures in order to be granted any protection. It was judged that Birkenfeld did not qualify.

Despite the outcome in this case, it is clear from the events that transpired that people who are brave enough to step forward and report on tax fraud are very important. They help to ensure the preservation of the laws which have all been put in place for a very specific reason. Evidence of how important Birkenfeld’s actions were thought to be is clear in that he was named “Person of the Year” by “Tax Anaylsts” and when Dean Zerbe called him the most important tax whistleblower of all time.

There are perhaps then two lessons that we can take away from the Brad Birkenfeld case. Obviously in order to get legal protection when reporting tax irregularities, you must step forward early and offer complete truth. The second lesson is that this is a responsibility of all discerning citizens, and Birkenfeld can be held up as an example of someone who did the right thing when he realized the situation that he was witnessing.

Tags: Brad Birkenfeld, irs, IRS tax fraud, tax fraud, tax prosecution, taxes, whistleblower
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