Do you have questions about when to file an amended tax return? Did you know that certain filing errors will be corrected automatically by the IRS? If you need more information about when amended returns are required, visit this page. More informational topics are available at the bottom to help guide you through the process. Topic no. 308, Amended returns
Category: Financial Accounting
Small Things Add Up
Are you aware of the offers your bank gives for certain types of accounts? Do you know how much interest your regular or high-yield accounts pay? Have you ever felt confused by the information you bank sent about interest or ways to save?
These questions and more are currently at the forefront of the banking industry and have brought to light certain practices that institutions may be using to mislead their clients. Capital One was sued by the consumer bureau over advertising meant to deceive customers.
The article advises consumers to be diligent and pay close attention to “deals” when they come from their banks. These could help your money earn more. Read Here: Why Banks May Be Hoping You’re Not Paying Attention
Where did money come from?
Metal coins, paper, crypto-coins, and banking, where did our current money systems originate? Listen to this fascinating podcast from Think, KERA to learn more. “The first writing was just accounting.” Sounds like CPAs invented writing.
The Invention Of Money
Jacob Goldstein, co-host of NPR’s “Planet Money,” joins host Krys Boyd to talk about how our world goes ‘round in large part because we’ve all swallowed hard and agreed to not ask too much about the real value of currency. His new book is called “Money: The True Story of a Made-Up Thing.”
Business Tax Season During COVID
Thank you to the CPA Journal and Howard B. Levy, CPA for this detailed and helpful article about financial reporting, taxes, auditing and more for businesses as we approach our first tax season amidst COVID. The topics addressed include:
Use of estimates
Risk assessment.
Subsequent Events
Internal Control
Accessibility to Audit Evidence and Client Personnel
Disclosure of Risks and Uncertainties
Accounting Estimates
Valuation of receivables, inventories, investment securities, and deferred tax assets.
Impairment of goodwill, other intangibles, or long-lived assets.
Loss contingency accruals and disclosures.
Business interruption insurance recoveries.
Future operating losses.
CARES Act
Tax effects.
Government loans and other benefits.
Relief for financial institutions from certain GAAP provisions.
Revenue Recognition
Leases and Other Contract Modifications
Debt Covenant Compliance
Inventory Observations
EOM, Explanatory, and CAM/KAM Paragraphs
MD&A and Other Disclosures for Public Companies and Governments
Financial Reporting and Auditing Implications of the COVID-19 Pandemic
Some Practical Guidance
Go Paperless!
Ready to lose the piles, folders, and filing cabinets in your home office? Now’s the time! Wirecutter recommends the Scanbot Pro Ap for Android and IOS to begin saving your paper files onto your phone and home computer. One exciting feature is text recognition that will allow you to search for any word within each document. Wirecutter also offers a list of shredders for when you no longer need the paper files, How to Go Paperless With Your Home Office. Organizing these files into a specific folder and backing them up onto a thumb drive or other external hard drive is the final, important step. They assure that you will be amazed during tax season when all of your documents are accessible at the touch of a button.
Avoiding Money Decisions?
Many of us, even if trained in the field, often struggle with decisions about our finances and retirement. Thinking about money opens the door to discomfort for most,m as Tim Herrarra for the New York Times states in his article, A Smarter Way to Think About Financial Decisions.
These feelings span all levels of financial training, “I have a Ph.D. in business and an M.B.A. in finance, on top of a degree in architecture, so I think I can understand financial products pretty well,” Professor Sela said. “But still, every time I get a letter from my bank, my instinct is to shove it in some drawer.”
How do we reframe our thinking and make these decisions easier? Try picturing the questions from a lifestyle vs. solely financial product view, such as, I would love to visit Paris or take a cruise around the world, as opposed to just choosing which annuity would suit you best.
Short-Term Rentals
Ever thought about renting your home for holiday travelers or summer vacationers? Or maybe during a music festival or race? There are tax implications that come with this type of real estate. Before you take the plunge, read this informative article by Mike D’Avolio, CPA, J.D. for the Journal of Accountancy.
Grandparents Help With College
As college expenses continue to increase, grandparents are beginning to step-in and offer assistance to their grandchildren. John F. Wasik, for the New York Times offers sound advice for those wishing to help with their grandchildren’s college expenses. The Best Way to Help a Grandchild With College. There are many aspects to be considered in order to maximize your monetary support of a student, such as when the money is applied or whose name appears on the account. Read the full article to learn more about the amazing gift of higher-education that you can share with your grandchildren.
Just Who Are You Paying?
How many recurring charges are on your credit card at the moment? You may be surprised. A new service, Trim, will scan your bills, produce a list of these payments and cancel ones you wish to no longer utilize. This is a free service from Trim as they attempt to build a client base for their personal finance assistance business. Even if you choose not to employee Trim, taking a look at their ranked, most common charges list can be helpful and may inspire you to take the initiative to keep more money in your own pocket.
Cutting Off Those Recurring Charges You Forgot About
Do You Need An Accountant For Your Small Business?
Anyone starting their own business knows that keeping costs down is of vital importance. Alyssa Gregory encourages new business owners to consider twenty-one areas where accountants will make their lives easier. In her article, Do I Need An Accountant, she provides a useful checklist and summary of items required for new start-ups, such as opening business bank accounts, governmental forms and classification of contractors vs. employees. In her assessment, knowing when to enlist the help of a professional is key to creating and maintaing fiscal health.