If taxpayers owe a Shared Responsibility Payment for tax years before 2019, the IRS may offset that liability with any tax refund that may be due to them. The IRS routinely works with taxpayers who owe amounts they cannot afford…
Category: Bookkeeping
LIFO vs FIFO Learn About the Two Inventory Valuation Methods
Therefore, by making purchases at year-end, the cost of any purchase will be included in the cost of goods sold. It is worth remembering that under LIFO, the latest purchases will be included in the cost of goods sold. Although…
What To Do If You Have Unfiled Tax Returns
It was not easy, but Randall kept us on track and alleviated our sense of being overwhelmed. It was akin to be led through a challenging wilderness by a professional guide, whose competence gave us confidence. We used Tax Samaritan…
What is the difference between VAT control and VAT suspense?
In this case you’ll need to record the payment using a Journal Entry. You can enter a Journal Entry using the + New button, but as advised above, your accountant will need to provide you with details on which accouns to Debit and Credit to achieve the desired result.…
How to Calculate Warren Buffett’s Margin of Safety: Formula + Excel
And we all know that it’s only a small step from breaking even to losing money. One potential drawback to using the margin of safety as an investing tool is that it does not take into account other factors, such…
Operating Expense Ratio OER: Definition, Formula, and Example
One-time restructurings, impairments, and other charges are also typically missing from operating income, as are income tax expenses. Interest cash flows and any impacts, positive or negative, from foreign currency exchange are also accounted for farther down the income statement.…
Callable Bond Definition, How It Works, and How to Value
A callable bond exposes an investor to “reinvestment risk,” or the risk of not being able to reinvest the returns generated by an investment. Investors are the lenders, giving money to businesses who promise to make interest payments to the…
Massachusetts Tax Rates
The Household Employment Tax Guide provides household/domestic employers with the information they need to fully understand their obligations when hiring household help. Prior to the enactment in 2017 of the federal Tax Cuts and Jobs Act (TCJA), most withholding allowances were based…
What Is Encumbrance Accounting?
Encumbrance accounting helps companies manage their finances better and save for a rainy day. To ensure a smooth implementation, organizations should establish clear policies and procedures for encumbrance accounting. This includes defining roles and responsibilities, establishing approval processes for purchase…
Am I eligible to apply for an individual taxpayer identification number? Internal Revenue Service
For dependents, they can authenticate the passport and civil birth certificate; however, they must send the original or certified copies of all other documents directly to the IRS. To renew your ITIN, you must complete an IRS Form W-7 and…