Happy New Year! January marks the beginning of the new year and it also marks the beginning of tax season. If you’re like us, you’ll begin optimistically in January saying that you’re going to get an early start, but on April 15th you’ll be scrambling to get the last forms mailed!
We’ve made a New Year’s resolution to have a hassle-free tax season. Here are four preparation steps that can help ensure a less stressful tax-filing process:
Step 1: Plan your filing strategy. If you do your own taxes, now is the time to upgrade your software. If you use an accountant, call him or her now to start the process. We have some great contacts if you are ready to try someone new.
Step 2: Consolidate your financial information. Set up a file to keep all your financial information in a central location. Include W-4 forms, various 1099 forms showing income such as interest, dividends and business profits, and any other key reporting statements. When it’s time to prepare your taxes, you’ll have everything in one secure location.
Step 3: Gather deduction documentation. Gather all documentation regarding expenses and deductions. If you don’t have a good system for tracking deductions, this is a good time to create one! Not only will you benefit this tax season, but you’ll be organized throughout the year and even better prepared for future tax years.
Step 4: Review your tax-advantaged investments. Many tax-deferred investment vehicles allow you to make contributions until April 15th for the 2011 tax year. Reviewing your portfolio now will enable you to take full advantage of various tax-advantaged instruments such as IRAs. Contact your broker or investment company professional to ensure you are maximizing tax-advantaged investments.
Paying taxes is never pleasant, but this year we’re determined to get an early start. We hope these strategies will help you have a hassle-free tax season this year!
Showing posts with label tax. Show all posts
Showing posts with label tax. Show all posts
Monday, January 9, 2012
Wednesday, May 5, 2010
Governor Signs Home Tax Credit Bill
Governor Schwarzenegger has signed AB 183, the Home Buyers Tax Credit legislation, into law. The legislation will provide $200 million in tax credits, allocated as follows: $100 million for qualified first-time home buyers who purchase existing homes; and $100 million for purchasers of new, or previously unoccupied, homes.
Eligible taxpayers who close escrow on qualified principal residences between May 1, 2010 and December, 31, 2010, or who close escrow on a qualified principal residence on and after December 31, 2010 and before August 1, 2011, pursuant to an enforceable contract executed on or before December 31, 2010, will be able to take the allowed tax credit.
This credit is equal to the lesser of 5 percent of the purchase price or $10,000, taken in equal installments over three consecutive years. Under the bill, purchasers will be required to live in the home as their principal residence for at least two years or forfeit the credit (i.e. repay it to the state). Buyers also must be at least 18 years old and be unrelated to the seller. First-time buyers are defined as those who have not owned a home in the past three years.
Eligible taxpayers who close escrow on qualified principal residences between May 1, 2010 and December, 31, 2010, or who close escrow on a qualified principal residence on and after December 31, 2010 and before August 1, 2011, pursuant to an enforceable contract executed on or before December 31, 2010, will be able to take the allowed tax credit.
This credit is equal to the lesser of 5 percent of the purchase price or $10,000, taken in equal installments over three consecutive years. Under the bill, purchasers will be required to live in the home as their principal residence for at least two years or forfeit the credit (i.e. repay it to the state). Buyers also must be at least 18 years old and be unrelated to the seller. First-time buyers are defined as those who have not owned a home in the past three years.
Tuesday, May 19, 2009
Breaking News - May 14, 2009 - First Time Homebuyers may get credit for down payment!
First-time homebuyers will soon be able to access their $8,000 federal tax credit when closing on a home through a short-term bridge loan that will cover their down payment on FHA-backed loans.
The Federal Housing Administration will soon publish a policy that will allow FHA-approved lenders, HUD-approved non-profits, and state and local housing finance agencies to "monetize" the tax credit through short-term bridge loans, Secretary of Housing said Tuesday.
This is a great time to be buying a home!!
The Federal Housing Administration will soon publish a policy that will allow FHA-approved lenders, HUD-approved non-profits, and state and local housing finance agencies to "monetize" the tax credit through short-term bridge loans, Secretary of Housing said Tuesday.
This is a great time to be buying a home!!
Tuesday, April 7, 2009
Support our Schools & Property Values - Measure B
The San Carlos School District proposes, beginning July 1, 2009 for a period of six years ending on June 30, 2015, to impose and additional, new parcel tax of $78 per year per parcel. In 2003, voters approved a parcel tax which will expire in 2011. The tax is approximately $110 per parcel, as adjusted for inflation. From July 1, 2009, the two taxes would result in a $188 yearly rate for two years, until the first voter approved tax measure expires. After that, the rate would drop to $78 per year.
Measure B money would go to our local schools, be controlled locally and could not be taken away by the state. It would be used to support art, music, science and literacy programs.
Measure B money would go to our local schools, be controlled locally and could not be taken away by the state. It would be used to support art, music, science and literacy programs.
Schools rankings influence property values, so even if you do not have a child in school, your yes vote will help keep our San Carlos home values strong.
Wednesday, March 4, 2009
$10,000 Tax Credit for New Home Buyers in California
A tax credit has been approved for people who buy brand new homes until March 1, 2010 or when the $100 million dollars allocated has been exhausted, whichever comes first. It’s estimated that only about 10,000 home buyers will receive the credit.
The California tax credit is $10,000 or 5% of the home’s purchase price if the buyer certifies that they will live in the home for at least two years and that the home will be their principal residence. Buyers will receive the credit over three years or $3,333 per year.
Home buyers could qualify for both the federal and California credit programs if they meet all the requirements.
The Franchise Tax Board’s website will track how much of the $100 million is still available starting soon.
The California tax credit is $10,000 or 5% of the home’s purchase price if the buyer certifies that they will live in the home for at least two years and that the home will be their principal residence. Buyers will receive the credit over three years or $3,333 per year.
Home buyers could qualify for both the federal and California credit programs if they meet all the requirements.
The Franchise Tax Board’s website will track how much of the $100 million is still available starting soon.
Wednesday, February 11, 2009
Decline on Property Value Tax Reduction Alert:
The San Mateo County Assessor's Office asked the San Mateo County Sheriff's
Office to send out the following cautionary note regarding unsolicited
property tax reduction offers.
In the past week, San Mateo County property owners have been blanketed with solicitations from private companies that are luring people to spend money to reduce their property taxes. These companies cannot guarantee reduction in property taxes to anyone. The law establishes which properties are eligible for this property tax relief program known as a "Decline in Value."
A "Decline in Value" request is FREE to any homeowner. We need your help to get the word out--tell your constituents, employees, friends, neighbors and family NOT to get ripped off--do NOT pay for these services. If anyone should ask, this is how the Decline in Value program works:
First, a property owner requests a Decline in Value review by filling out a simple form and sending to the Assessor's office (online, by fax, mail or in person). It only takes a couple of minutes to complete.
Second, our offices review the request. If a property's assessed value is more than its market value as of Jan. 1, the property owner will be eligible for a temporary reduction in assessed value. We will start the process that will lower their property tax bill or earn them a property tax credit.
Third, if the property is ineligible for relief, we will advise the owner as to why their property did not qualify for a reduction.
Where can someone get a form? Decline in Value request forms are available online and in downloadable paper formats from our web site at www.smcare.org. We will also mail them to a property owner and forms are available in our office if a person stops by.
And lastly, properties that are reduced are reviewed by the office on an annual basis. If the property continues to qualify, it will remain on the program in future years until the property's value is regained.
Please help us spread the word. I've attached the press release that we sent to the media and samples of the solicitations. You will note that is very professional looking and that is why it may snare unsuspecting property owners into this scam.
Thank you,
Warren Slocum
In the past week, San Mateo County property owners have been blanketed with solicitations from private companies that are luring people to spend money to reduce their property taxes. These companies cannot guarantee reduction in property taxes to anyone. The law establishes which properties are eligible for this property tax relief program known as a "Decline in Value."
A "Decline in Value" request is FREE to any homeowner. We need your help to get the word out--tell your constituents, employees, friends, neighbors and family NOT to get ripped off--do NOT pay for these services. If anyone should ask, this is how the Decline in Value program works:
First, a property owner requests a Decline in Value review by filling out a simple form and sending to the Assessor's office (online, by fax, mail or in person). It only takes a couple of minutes to complete.
Second, our offices review the request. If a property's assessed value is more than its market value as of Jan. 1, the property owner will be eligible for a temporary reduction in assessed value. We will start the process that will lower their property tax bill or earn them a property tax credit.
Third, if the property is ineligible for relief, we will advise the owner as to why their property did not qualify for a reduction.
Where can someone get a form? Decline in Value request forms are available online and in downloadable paper formats from our web site at www.smcare.org. We will also mail them to a property owner and forms are available in our office if a person stops by.
And lastly, properties that are reduced are reviewed by the office on an annual basis. If the property continues to qualify, it will remain on the program in future years until the property's value is regained.
Please help us spread the word. I've attached the press release that we sent to the media and samples of the solicitations. You will note that is very professional looking and that is why it may snare unsuspecting property owners into this scam.
Thank you,
Warren Slocum
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