I've been expediting with my own Sprinter for 4 months now, and need to get going with the IRS thingy. Question: Is there a software product out there for owner-operators similar to Turbo Tax? I've kept all receipts, and record everything on Lotus (can you guess my age??). Or should I just give in and pay for professional service? Seems like I should be able to do this on my own, since I have plenty of time while waiting for loads . . .
File My Own Taxes??
- Thread starter jhamlin
- Start date
I understand where you are coming from, but if this is your first year and don't know what exactly to do, have a professional prepare and file them for you.
But there are specific requirement that will be requested by the professional for proof of your deductions. if the proof is not supplied then the Professional has the right to refuse to complete your return and is not responsible for inaccurate returns. and you will sign a paper holding the professional harmless of your inaccuraties. If you do not supply true and accurate receipts and you are audited, the IRS has the right to come back on the Professional and fine him $5000.00, and no taxpayer is worth that fine and a mark against the preparer, for not giving the preparer the correct information. leaving out 1099's, w-2's 1009-C, 1099 A Stock trade
# 1 will be your mileage records as a deduction. If you use this then there is a number of item that you cannot take as a deduction- insurance, repairs, fuel, taxes, etc, except for fuel tax. etc.
# 2 Repairs, there is a Percentage of the repairs that they use. I don;t know what it is.
#3 Any deduction that the IRS feels are beyond the allowable percentage.
If you are planning to take the standard mileage deduction, Which is now a RED Flag on Sole Propreitors and your chance of being audited are greatly increased. This is due to mileage record accurately, and on a daily basis, you can no longer give the begining and ending information. they will disallow it. by indiuvidual situations.
Franklin Katz, ATP ,PA, PB
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039
Fax: (704) 739-3934
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-related matters addressed herein.
But there are specific requirement that will be requested by the professional for proof of your deductions. if the proof is not supplied then the Professional has the right to refuse to complete your return and is not responsible for inaccurate returns. and you will sign a paper holding the professional harmless of your inaccuraties. If you do not supply true and accurate receipts and you are audited, the IRS has the right to come back on the Professional and fine him $5000.00, and no taxpayer is worth that fine and a mark against the preparer, for not giving the preparer the correct information. leaving out 1099's, w-2's 1009-C, 1099 A Stock trade
# 1 will be your mileage records as a deduction. If you use this then there is a number of item that you cannot take as a deduction- insurance, repairs, fuel, taxes, etc, except for fuel tax. etc.
# 2 Repairs, there is a Percentage of the repairs that they use. I don;t know what it is.
#3 Any deduction that the IRS feels are beyond the allowable percentage.
If you are planning to take the standard mileage deduction, Which is now a RED Flag on Sole Propreitors and your chance of being audited are greatly increased. This is due to mileage record accurately, and on a daily basis, you can no longer give the begining and ending information. they will disallow it. by indiuvidual situations.
Franklin Katz, ATP ,PA, PB
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039
Fax: (704) 739-3934
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-related matters addressed herein.
what I was told by my CPA the first year you show a profit you make yourself a victim of quarterly estimated taxes...I've never shown a profit so I don't do the estimated thing...I've not been targeted..
Ontariovanman,
Things are changing, The Irs is Cracking down on the Standard Mileage Rate. Now you just cant give the beginnig and ending mileage for the full year. it must be broken down daily each day. to-from pick-up-deliver to beginning- ending- to truck stop??
legally you have 5 years to show a profit, and it must be in the last 2 years of that 5 years, otherwise, you will or might be audited.
If you have a cargo van and you have taken the standard mileage rate for 5 years, you cannot take the standard mileage rate in the 6th year and beyond. you must use actual expenses, the IRS knows when the mileage depreciation is over. it is on your depreciation listing which should be attached to the tax return
To request a mileage record form See me at booth 157, Expeditors Expo on July 23, and 24
or e-mail me at frankstaxservice@bellsouth,net and I will send you one.
Franklin Katz, ATP ,PA, PB
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039
Fax: (704) 739-3934
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-related matters addressed herein.
Things are changing, The Irs is Cracking down on the Standard Mileage Rate. Now you just cant give the beginnig and ending mileage for the full year. it must be broken down daily each day. to-from pick-up-deliver to beginning- ending- to truck stop??
legally you have 5 years to show a profit, and it must be in the last 2 years of that 5 years, otherwise, you will or might be audited.
If you have a cargo van and you have taken the standard mileage rate for 5 years, you cannot take the standard mileage rate in the 6th year and beyond. you must use actual expenses, the IRS knows when the mileage depreciation is over. it is on your depreciation listing which should be attached to the tax return
To request a mileage record form See me at booth 157, Expeditors Expo on July 23, and 24
or e-mail me at frankstaxservice@bellsouth,net and I will send you one.
Franklin Katz, ATP ,PA, PB
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039
Fax: (704) 739-3934
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-related matters addressed herein.
Frank..I do believe this 2010 tax year will be my 5th year now, same van...
I did not itemize mileage last year...so this is something NOT submitted but should have, should they want to see it??
I did not itemize mileage last year...so this is something NOT submitted but should have, should they want to see it??
Ontarioman Morning,
This is day 1 of the Expo this year and we hope that it will be a good one,
Frank..I do believe this 2010 tax year will be my 5th year now, same van...
I did not itemize mileage last year...so this is something NOT submitted but should have, should they want to see it??
__________________
It's a little later for the mileage rate, you have taken the actual expense for the last 4, and the mileage rate cannot be use at all,.
iF YOU RENT OR LEASE A NEW TRUCK NEXT YEAR THEN THE MILEAGE RATE CAN BE USE EFFECTIVE JAN 1, 2011
fRANK
This is day 1 of the Expo this year and we hope that it will be a good one,
Frank..I do believe this 2010 tax year will be my 5th year now, same van...
I did not itemize mileage last year...so this is something NOT submitted but should have, should they want to see it??
__________________
It's a little later for the mileage rate, you have taken the actual expense for the last 4, and the mileage rate cannot be use at all,.
iF YOU RENT OR LEASE A NEW TRUCK NEXT YEAR THEN THE MILEAGE RATE CAN BE USE EFFECTIVE JAN 1, 2011
fRANK
I've used mileage deduction for the last 4 tax years...2010 will be my 5th year...same van...