Social Security

08 Jan Deliberate Tax Free Compounding is the Secret of the Golden Flower

Posted at 00:00h in Employee Business Expense, IRA, Retirement, Small Business, Social Security, Tax planning

I am getting to be an old man now and so profoundly thankful that the lessons of tax-free compounding were impressed upon me at an early age. It has made a huge difference in my financial well being and subsequent happiness. You too can use...

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15 Oct Disability portion of SSA benefits (SSDI) will be removed from the FPLP 15% Levy for Past Due Tax Assessments

Posted at 00:00h in Disability, IRS Enforcement, IRS Levy, Social Security, SSI

This is really confusing folks! On the one hand those of us who follow closely generally tend to believe that there is a LOT of rampant fraud in SSI Disability benefits practices these days but this news is going to really hurt a LOT of...

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08 Jun Why to Revoke An S Election and How to Do It – Internal Revenue Code Section 1362(d); Reg § 1.1362­6(a)

Posted at 00:00h in Employment Tax, Entity Classification, Paying Taxes, Payroll Tax Problems, Penalty, Small Business, Social Security, Social Security Tax, Sole Proprietor, Start up costs, Sub-chapter S, Tax Abuse, Tax Guidance & Preparation, Tax Problems & Requests

Many entrepreneurs get caught up in selecting the "most appropriate business structure" - particularly people planning to conquer the moon right out of the gate. If this is you beware as business structure is a determination that is best driven out of operational efficacy. Why? Most all new...

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01 Dec USA Expatriation, Experience Matters -Treasury Reg. 1.409A, Internal Revenue Code 877A, 2801 & IRS Forms 8854, W-8CE

Posted at 00:00h in Expatriation, FBAR, Foreign Income, Generation Skipping Transfer Tax, Gift Tax, Medicare, Offshore account, Social Security, Social Security Tax, Tax Guidance & Preparation

Call me naive but the immigration "problem" in the USA is rooted in the fact that the country offers the absolute best Social Security and Medicare systems on the planet. It is remarkable that millions of people, mostly good people in all other regards, are...

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13 May Taxation of Social Security Benefits

Posted at 00:00h in Pension Plan, Retirement, Social Security, Social Security Tax

A good friend of mine, Bruce Larsen of Presidential Brokerage recently published an outstanding report on the Taxation of Social Security Benefits. One of the many things I like about Bruce is that he is passionate about all aspects of Social Security. He is my go...

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04 Dec IRS Can Levy More Than 15% of Social Security Benefits According to Bowers V. US

Posted at 00:00h in Back Taxes Owed, Income, Intent To Levy, Intent To Lien, IRS Centralized Insolvency, IRS Collections, IRS Enforcement, IRS Levy, IRS Lien, Social Security, Social Security Tax, Tax Court, Uncertain Tax Position

The distinction of how this is possible distills down to understanding the nuanced difference between a 'Continuous' and a 'One Time' IRS tax levy. Under Code Sec. 6331(h) once a tax levy is approved, the effect of the levy on specified payments received by a taxpayer is...

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21 Nov IRS Treatment of Social Security Benefits – SSA Form 1099

Posted at 00:00h in Social Security

If you receive Social Security benefits (checks) you should also receive a Form 1099-SSA from the Social Security Administration. Use the data on this form to help determine if your benefits are taxable. Basically the tax depends on total income and marital status. If Social Security benefits...

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08 Feb IRS Form 1040 Schedule C: Profit or Loss from Business

Posted at 00:00h in Accounting Method, Business Expense, Business Income, Car expense, Depreciation, Disallowed Expenses, Employee Business Expense, Entity Classification, FICA, Health Insurance, Hobby, Home Office, Husband/Wife, IRS Form 1040 Schedule C, Medicare, Net Operating Loss, NOL, Passive Activity, Self Employ, Small Business, Social Security, Social Security Tax, Sole Proprietor, Start up costs, Sub-chapter S, Tax Guidance & Preparation, Tax Problems & Requests

IRS Form 1040 Schedule C: Profit or Loss from Business can be a tough form to work through.  Tread lightly and seek guidance. The sole proprietorship or single member Limited Liability Corporation (LLC) is in my opinion the easiest type of business entity to set up...

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12 Dec Severance Payments and FICA Tax

Posted at 00:00h in FICA, Social Security, Social Security Tax, Tax Court

Generally severance payments made to terminated employees have been held by the US Tax Court to be FICA wages because the definition of "wages" for FICA purposes found in the Internal Revenue Code is so broad. "Wages" include all remuneration or money paid for employment...

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01 Nov Social Security and Medicare Changes 2012

Posted at 00:00h in Medicare, Social Security, Social Security Tax

The Social Security Administration has announced the new benefits and thresholds for 2012 as follows: Gross Social Security benefits increase for 2012 by 3.6%.  The amount of earnings subject to Social Security taxes increases to $110,100.  The amount of earnings required to be subjected to Social Security taxes...

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