ALISIC TAX PREPARATION SERVICE LLC

4 Ways to Make Sure Your Tax Return Doesn't Get Stuck Here are four ways to make sure the preparation of your tax return keeps humming along until it gets filed. 4 Ways to Make Sure Your Tax Return Doesnt Get Stuck imageKeep tax documents in one place. Missing items are one of the biggest reasons filing a tax return gets delayed! Find a place in your home and put all tax documents in this one place as you receive them. Common missing items this year will include the new 1099-...NEC for any taxpayers that are contractors, consultants or part of the gig economy. Organize documents by type. Every tax professional has a story of someone bringing their documents to them in a shoebox or storage container. All this does is increase the amount of time it takes to prepare your return, so it’s best to sort your documents in tax return order. Pull out last year’s tax return and create folders for each section including income, business/rental information, adjustments to income, itemized deductions, tax credit information and a not-sure bucket. Create list of special events. You receive a Form W-2 from your employer every year. You may get a 1099-INT from your bank if you earn interest income on your deposit accounts. But selling a home usually doesn’t happen every year. Retiring from a 40-year job doesn’t happen every year. Sending a child to college also doesn’t happen every year (although it might seem like it does!). If you don’t write down these unusual events as they happen, you might forget them when your tax return is being prepared. And you may not remember until the moment your return is about to be filed. This is sure to cause delays. Don’t forget your signature! You may be surprised to learn that even if you electronically file your tax return, you still must sign Form 8879, which authorizes the e-filing of your return. So whether it's a traditionally-filed paper tax return or one filed electronically, a signature is required. These are four of the more common reasons why the preparation of your tax return may get delayed. Be prepared and file your return without a hitch! See more

Your Identity is NOT Your Own! How companies use your identity and what you can do to protect it. Your Identity is NOT Your Own imageOne of the most valuable things you own is YOU. Your identity includes the basics - where you live, your age, and your gender. But it also includes your interests, who you know, and what you buy. So, do you know who has your identity? Here’s the life cycle of your identity and what to do to protect it.... It gets collected. Think about the organizations that legally collect information about your identity your employer, government entities, insurance companies, banks, credit reporting agencies, and non-profit organizations. And then add those companies you give your identity to freely - like Google, Facebook, LinkedIn, Twitter, and any other website or social media platform you visit. It gets stored. Once your identity gets collected, it then needs to be stored somewhere. Storage is most often on servers or locally on a computer or mobile device. This is one of the core concerns with Tik-Tok, a Chinese-originated short video service. The concern is that a foreign entity will have stored U.S. citizen's interests and behaviors that can help identify potential targets that can be manipulated. It gets sold. Once information related to your identity and interests are collected, most organizations then sell it to other companies. Not only is information about your identity sometimes collected without your knowledge, this information is then monetized. Your viewing behavior can also be actively manipulated by the sites you view. So if you read articles about cats, you are going to get a lot more articles about cats and get ads that relate to cat-lover behavior. This is often so subtle, you do not realize it is happening. It gets accessed. If your information is considered a public record, anybody can see it. Business licenses, property tax records and real estate ownership are just a few examples of personal information that anyone can access. It gets stolen. Identity thieves are always looking for ways to access your information. Thieves either hack one of the organizations that collects your confidential information or find a way to trick you into giving them your information, with techniques such as phishing emails.

Be Prepared For These Pandemic-Related Tax Surprises Don’t get shocked by a high tax bill! Be prepared for these pandemic-related tax surprises when you file your 2020 tax return. Be Prepared For These PandemicRelated Tax Surprises imageTaxes on unemployment income. If you received unemployment benefits in 2020, you need to report these benefits on your tax return as taxable income. Check to see if either federal or state taxes were withheld from unemployment payments you rec...eived. If taxes were not withheld, you may need to write a check to the IRS when you file your tax return. Taxes from side jobs. Did you pick up a part-time gig to make ends meet? Payments received for performing these jobs may not have had your taxes withheld. If this is the case, you’ll need to pay your taxes directly to the IRS on April 15. Unusual profit-and-loss. If you run a business that was hit by the pandemic, you may find your estimated tax payments were either overpaid or underpaid compared to normal. Now that 2020 is in the books, run a quick projection to ensure you are not surprised with an unexpected tax bill when you file your tax return. Underpayment penalty. If you did not have proper tax withholdings from your paycheck or your estimated tax payments weren’t enough, you could be subject to an underpayment penalty. While it’s too late to avoid a penalty on your 2020 tax return, the solution in the future is to make high enough estimated tax payments each quarter in 2021 or have the appropriate amount withheld from your 2021 paychecks. A chance to claim missing stimulus payments. (A good surprise!) If any of your stimulus payments were for less than what you should have received, you can get money for the difference as a tax credit when you file your 2020 tax return. See more

"GOETHE’S WARNING? In The Sorrows of Young Werther, von Goethe tells the 1787 tale of a young artist placing his love and blind faith in a woman who otherwise lacks the depth of his generous soul. In the end, Werther wastes his life chasing the equivalent of an empty cup.... Speaking of empty cups, the U.S. bond market comes immediately to mind, and those who place their trust in it are doomed to become a large group of market young Werthers. As Bob Prince, co-chief investment officer at Ray Dalio’s Bridgewater fund warned over the summer, investors have fallen foolishly in love with bonds and negative yielding returns despite obvious signs of deception and toxic love. COVID conditions and market risk have sent more investors into the safe arms of bonds as a traditional place to store wealth." Original source: Goldswitzerland But with the Fed buying bonds as well as repressing rates, the net result is that investors are literally paying to lose rather than store their wealth.

Solving the problem Here are three options for solving your problem of being a W-2 employee and qualifying to deduct your home office expenses on your tax return. Become an independent contractor. The easiest way to deduct your home office expenses is by switching from being an employee to an independent contractor. With a number of firms cutting pay and hours due to the pandemic, it may be worth exploring. There’s a big warning label if you go this route, however. You will n...eed to account for lost benefits such as health insurance, and the additional cost of self-employment taxes. If you can meet the IRS requirements for becoming an independent contractor, it may be worth doing the math and considering all the deductions your home office may make available to you. Start a side business. If becoming an independent contractor for your current employer isn’t an option, consider starting a side business. You can deduct all business-related expenses on your tax return, including your home office expenses. If you go this route, ensure your home office is in a different location in your home than your other work space. Consider your entire household. Even if you don't qualify for the home office deduction, maybe someone else living in your home does qualify. So look into your options to see if a family member can take advantage of the home office deduction. See more

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don't love you all, but how about some end to everyone's terms...Your states need you too! Be more unplugged. With all the entertainment and creativity in the news today, it is hard not to be bombarded all the time. I resolve to stay unplugged more often and just talk to others. It may be difficult, but I will start with one day, then try for two. Maybe even try an entire week. Think for myself. And, considering the news stuff I read and see every day, I resolve to think for myself instead of getting caught up in being told what to think about an event. I know, how can I do this when EVERYONE is so focused on telling me what to think instead of presenting the facts and letting me figure it out for myself.

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