Accounting News and Notes

Questions to Ask a CPA When Starting a New Business

If you are a new Gwinnett Entrepreneur you will want to find a Gwinnett CPA who is well versed in small business start-ups. Before you hire a new CPA be sure to do a thorough investigation about who they are, what they do and their reputation in the business community.

What are the average size of your clients? Do you work exclusively with for profit business owners?

What are you business philosophies? Are you more kindred to a caretaker or a Virtual CFO?

Do you have a network of business associates in financing, mortgages, banking, lawyers etc. who are readily available and are tops in their field?

Did you graduate with honors? Have you won awards in your industry? Are you well known in the business community? Are you published? Are you active in the community?

Do you see your clients or as partners working toward a common goal of “business success? Do you return calls within just a few hours? Do your complete returns/tax work within just a few days?

What type of services do your offer? How are you different from your competition? Are you there when I need you? Are you readily assessable? Are your fees competitive?

Do you accept the status quo? Are you always seeking to better your performance? Are you always seeking to better your services? Do you consistently seek out ways to keep my tax bill as low as legally possible?

Finding a CPA is essential. Be sure you take the time to find who practices excellence at each and every level of their business.

Duluth Income Tax Preparation

Duluth Corporate & Personal Income Taxes

Duluth Financial Statements

Duluth IRS Representation, Back Taxes & Offer in Compromise

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Alpharetta, Suwanee, Lawrenceville, Norcross, Atlanta, Gwinnett, North Fulton, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Snellville, Lilburn & Grayson as an Award Winning CPA

www.HisCPA.com  Incorporating in Georgia, Setting up an LLC in Georgia, Setting up an S Corporation in Georgia, Georgia Entity Selection, Converting Your GA LLC to an S Corporation, Converting Your GA C Corporation to an S Corporation, GA LLC, GA S Corporation and Converting Your Georgia Business to an S Corporation

Are You a Guard or a Steward?  Are You Using Your God Given Talent For His Best?

A Guard is typically a defender, protector, or keeper.

Habakkuk 2:1 I will stand at my watch and station myself on the ramparts; I will look to see what he will say to me, and what answer I am to give to this complaint.

A guard though one assigned of great trust and great responsibility is not the king and is not the one that is making decisions.

A Steward is one who manages another’s property, finances, or other affairs.

In Matthew 25:14-30 in the “Parable of the Talents” each of the servants was given rights of stewardship to use what they had to the best of their ability. In the Parable two of the servants  were able to “prove themselves to be good stewards” and were rewarded for their efforts. However the third servant was not a steward but a guard and he “hid his talent in the ground.” This angered the master who then “cast the worthless servant into the outer darkness.”

Think about What God has given you. For whether it be your monies, your time or your service, he has anointed you to take what you have been given and to multiply it.

Are You Multiplying Your Faith by Telling Others the Good News of Jesus Christ?

Are You Multiplying Your God Given Talents in Ways that Honor Him?

Are You Using Your Money to Help Others?

Are You Using Your Church as a Vehicle to Bring Others to Faith?

Are You Seeking to Serve in a Way that Paves the Ways for Others to Come?

Are you a Guard or are you a Steward? Both are Critical but a Steward Has More Responsibility as Their Goal is To Multiply.

Pray Today that You Might Become a Steward in All that You do!

As we ready ourselves for Our Mission Trip; God help us all grow deeply in you.

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Alpharetta, Suwanee, Lawrenceville, Norcross, Atlanta, Gwinnett, North Fulton, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Snellville, Lilburn & Grayson as an Award Winning CPA

S Corporations Duluth/Gwinnett CPA: General Instructions for Filing as an S Corporation

Purpose of Form

Form 1120S for all S Corporations should be used to report the following things: income, gains, losses, deductions, credits, etc. for a domestic corporation as well as any other kind of entity in a tax year that calls itself an S Corporation.  An S Corporation can be either a C Corporation that elects to be taxed as an S Corporation or an LLC (Limited Liability Company) that elects to be treated as an S Corporation.

Who Has To File

There are a few reasons why a corporation or entity would have to file with Form 1120S, they are revealed below:

-If the corporation claimed to be an S Corporation through Form 2553

- The IRS accepted that election

- The claim and election remain in effect for the current tax year and you have not either revoked the election or failed during the current tax year to continue to meet S Corporation requirements.

Once you have filed Form 2553 the IRS should send you a note of confirmation that your election was received and that it is acknowledged and accepted. If you never received such a letter or note within sixty days you should contact the IRS and ask about your election letter by calling 1-800-829-4933.  Form 1120S should not be filed for tax years before the election was made and accepted.  I suggest that all companies keep a permanent copy of the S Corporation election and acceptance in their corporate book along with where their incorporation papers are maintained.

There is a possibility that if you failed to file Form 2553 on time, that the IRS may give you time for a late election. Instructions for late elections can be found on the instructions for Form 2553.

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Alpharetta, Suwanee, Lawrenceville, Norcross, Atlanta, Gwinnett, North Fulton, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Snellville, Lilburn & Grayson as an Award Winning CPA

Duluth/Gwinnett CPA: Do You Need To Amend A Past Tax Return?

The below is a sample letter we might receive off of our web site. At His CPA we offer a free consultation whose only requirement is that you show up. Is it time to upgrade your CPA firms tax services today?

I need to amend my tax return 2010 and 2011. I want to change my filing status from single to married filing jointly. I was married last February. I know about Form 1040X but I don’t know for sure if I can change from single to married filing jointly or separate. Let me know how much it costs and how long it takes you to do that. Thank you!

Below is my response:

Your filing status is determined as of the last day of the year.

So if on December 31st of a year you were married, have to file either Married Filing Jointly which is the lowest tax rate or Married Filing Separately which is the highest. So if you were single you cannot file married. Typically an amended return average might an hour of billable time and would take usually a day or two

Please use the checklist on the contact page of my web site to pull your information together and I will be happy to get returns done ASAP.

Duluth Income Tax Preparation

Duluth Corporate & Personal Income Taxes

Duluth Financial Statements

Duluth IRS Representation, Back Taxes & Offer in Compromise

John Dillard, CPA of His CPA, PC, 1940 Woods River Lane, Duluth, GA 30097 Phone 770-814-9304 www.HisCPA.com A Christian CPA Firm Dare to Attempt Something so Great for the Kingdom of God that it is doomed to failure, lest Christ be in it!

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Alpharetta, Suwanee, Lawrenceville, Norcross, Atlanta, Gwinnett, North Fulton, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Snellville, Lilburn & Grayson as an Award Winning CPA

Duluth/Gwinnett CPA…What Our Web Site Readers Have to Say

I really hope you rarely end! This can be among the many finest blogs I’ve ever before. You’ve obtained some mad ability right here, guy. I just hope which you don’t lose your design considering that you’re definitely among the many coolest bloggers to choose from.

Is it time to upgrade your CPA firms tax services today?

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Alpharetta, Suwanee, Lawrenceville, Norcross, Atlanta, Gwinnett, North Fulton, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Snellville, Lilburn & Grayson as an Award Winning CPA

Christian CPA: The Business Valuation Series

How to Prepare and Understand a Business Valuation

This is the third of a three part series to help you understand and begin to address several of the basic issues facing a the proposed purchase of a business. This recap will be that you want to refer to often to ensure that before you buy a business that you are both well informed and well-armed.

Intellectual Property and Non-Compete Agreements

Having all the best equipment, the latest technology, a well-trained and efficient staff, and in a good economy are all indicators that positively impact the overall value of a business. However, just as a business is able to place locks on its doors and incentives to its employees, a business also needs to do what it can to protect its business interests. A business invests thousands of dollars and often years in the specialized techniques and skill set critical to a business operation and its success. Accordingly it is wise to consider having key staff sign a non-compete agreement restricting their ability to steal your clients and employees.

Due care and consideration is of the utmost at this time to ensure that you have a well drafted agreement which will be legally enforceable as many states, Georgia included, will not enforce any of a non-compete if it is deemed to be too broad or restrictive in scope. As such you will want to be sure to retain the services of an attorney who is familiar with these statutes and particularly those of the states in which you business operates/the agreement would be enforced.

Also a business with intellectual property such as patents, copyrights, and other specialized procedures will want to be sure to both formally and legally protect their interests. Often this process might also result in an individual/company being asked to sign a non-disclosure agreement to protect the ideas and processes of a company.

By skill and wisdom to business techniques, processes, and overall business strategy we are well placed to help you make what may well be the largest financial decision you will ever reach. Be sure you contact us today for a free initial CPA consultation. Also working with a good business broker as your buyers representative and a good attorney will do much to make efficient use of your time and to ensure a smoother buying experience.

How His CPA Became a Christian CPA Firm

http://www.youtube.com/watch?v=mdh7DaSwnX0

Atlanta CPA on IRS Installment Plans

http://www.youtube.com/watch?v=nvz4y1Ld4vE

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Alpharetta, Suwanee, Lawrenceville, Norcross, Atlanta, Gwinnett, North Fulton, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Snellville, Lilburn & Grayson as an Award Winning CPA.

IRS Form W-4 and State of Georgia Form W-4

IRS Form W-4 and State of Georgia W-4 comes with worksheets to help you figure out how many allowances you can claim. These worksheets are for you and you alone, you do not have to give these to your boss.

You should only complete one of these W-4 and G-4 . If you are claiming to be married then you should only complete one worksheet between the both of you. The only reason in which you should file separate worksheets if you are filing two separate forms.

If you classify to be exempt from your withholding  then you should file the Personal Allowances Worksheet as listed on the form. This same worksheet can be utilized to account for your withholding allowances in itemized deductions and adjustments to income. This should also be used for multiple-job situations and changes to those positions. The Deductions and Adjustments Worksheet on page 2 can be used to adjust withholding allowances.

You should complete all of the given worksheets that relate to you. This will help you correctly report and file your return and how much income tax you will owe.

As an Atlanta CPA for decades I have learned working with your CPA on tax planning is the best way to prevent year-end suspensions.

Married Individuals

If you are planning on filing a joint return with your spouse, combine all your income and withholding allowances to correctly calculate how much allowance you can claim. You should only use one of the sets of worksheets to calculate these allowances. An allowance can only be claimed once, but they can be split up in any way.

Although, if you and your wife are going to file with two separate returns then make sure to complete worksheets for both of those separate returns.

Alternatively you could work with your CPA regarding tax planning issues if you do not have or do not wish to complete the worksheets.

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Alpharetta, Suwanee, Lawrenceville, Norcross, Atlanta, Gwinnett, North Fulton, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Snellville, Lilburn & Grayson as an Award Winning CPA

Duluth, Johns Creek, Lawrenceville CPA: Completing IRS Form W-4 and Worksheets and Georgia Form W-4

Determining Marital Status

People who qualify under the claim of married generally have a lower withholding rate. If you are not married then you must take your withholding at the increased single rate.

You should mark single in the box if any of the following apply to you:

 If you are single, divorced, or separated from your partner by order of court and law

 If you are married but your spouse is not an American citizen

 If you are married and you chose for your spouse not to be considered a legal U.S. Citizen but instead a resident alien for tax reasons.

You should mark married in the W-4 if any of the following apply to you:

 If you and your spouse are both legal U.S. Citizens. If your spouse dies during the current tax year you are still considered married for that year.

 Either you or your spouse is considered a resident alien. You can find the details on resident aliens with Publication 519.

If you are married but still withholding at a single rate. If you and your spouse, both working, cannot meet the requirements of a married withholding tax then you can file a “married, but withhold at a single rate” to fulfill the necessary payments for married withholding.

Determining Withholding Allowances

Allowances run in relation to your amount withholding. The more allowances you claim the less income tax you have to withhold, or your employer has to withhold. Your allowances depend generally on the following:

 How many exemptions you can take on your tax return

 Whether you have income from more than one job

 What deductions, adjustments to income, itemizations, investments, business ownership, and credits for which you are tax eligible

 Whether you will file as head of the household

If you are married, it depends on whether your spouse is going to work or claim allowances on their own Form W-4 to the IRS and the G-4 to the State of Georgia.

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Alpharetta, Suwanee, Lawrenceville, Norcross, Atlanta, Gwinnett, North Fulton, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Snellville, Lilburn & Grayson as an Award Winning CPA

Alpharetta/Duluth CPA…Advises Gwinnett/North Fulton Business Owners on Financial Statement Preparation/Bookkeeping

Bookkeeping Talent to work for you at an affordable price. We work businesses providing bookkeeping services so you don’t have to carry the additional costs of a full-time employee/Controller/Chief Financial Officer. Allowing you to save the additional overhead burden of payroll taxes, workers compensation and medical insurance and staff training. If you can’t afford a full-time employee to look after your internal bookkeeping, outsourcing your company’s bookkeeping may be the perfect solution for allowing full-time results at a fraction of the cost.

We are in position to also help you set up your internal bookkeeping by offering affordable solutions to outsource the function of your bookkeeper. At His CPA PC, we have clients in most all types of entities and a varied assortment of industry types. We set up and prepare your internal bookkeeping with the end in mind, knowing at the end of the year your data will have to be in a format ready for presentation to outside parties, such as your banker, and to prepare your entities year-end income taxes.

It is that time of year again when we need to take a look at your financials to do some tax planning for the year. I have recapped below a list of the items we will need in order to properly evaluate and plan for your year-end taxes as well as address any year-end tax planning ideas.

As the end of calendar year 2011 approaches, it’s time to think about what can be done to minimize the amount of taxes paid to the IRS by your business. Although tax planning should be a year-round process, there are several year-end strategies you can take, particularly if you are an S Corporation. The first step will be to ensure that your internal financial statements are properly compiled. The below is a sample letter we might sent to a client to help guide and direct then in ensuring that that there are no tax surprises:

In critiquing your internal year to date financial statement I noted.

I need the Year to Date Profit and Loss. Please be sure that your payroll report equals this prior to forwarding.

Please correct the spelling of the Meals & Entertainment account.

Please advise on the timing and scheduling of coding your accounts and having adequate cutoff as this is a critical and essential part of prudent financial statement preparation.

Accounts Receivable billing and client settlement checks so that there are no balances ever in the A/R account as your business A/R is generated when the check is actually earned and received.

Please send to me the detail of your Accounts Payable Account.

Please advise on the timing and scheduling of getting all of the Journal Entries in any given month posted to the last day of that month.

Year End Tax Planning: What Businesses Should Do Now

If you fail to plan, you are preparing to be surprised. Learn how you can get ready now for your year-end liability and survive the year-end tax preparation process. To learn more see http://www.hiscpa.com/year-end-tax-planning.html

Maximize Profit or Work to Pay Fewer Taxes? Tax Planning is an art under-girded by the science of the tax code and proper planning. Learn what you need to know to be a wise and judicious steward of your business. To learn more see http://www.hiscpa.com/profit-maximization.html

John Dillard, CPA of His CPA, PC, 1940 Woods River Lane, Duluth, GA 30097 Phone 770-814-9304 www.HisCPA.com A Christian CPA Firm   Proudly Serving Gwinnett, North Fulton, Suwanee, Lawrenceville as an Award Winning CPA