A corporation in California, owned by two people, has not filed taxes for several years and the state is now pursuing one owner. The corporation is no longer operating, and the other owner is unavailable. The state is asking for $117,000 for 5 years of business. Should the available owner attempt to create tax returns from bank records, and would this person be liable for the entire amount?

October 2nd, 2024

Should the fee charged by a revenue cycle management company, which processes claims and bills health plans for a percentage of total revenue, be categorized as part of Cost of Sales or as a General and Administrative (G&A) expense? This distinction is crucial as it affects the gross margin calculation.

July 1st, 2023

I received a CP-2100A notice from the IRS because the TIN and name provided by an LLC on a Form W-9 did not match IRS records. I am sending a First B Notice to the LLC to get the correct TIN. If the LLC does not provide a valid TIN, am I responsible for paying the IRS the 24% withholding from my own money, especially since there are no future payments to this LLC?

January 4th, 2024

How should a taxpayer handle the repayment of third-party sick pay that was overpaid due to social security retroactively granting disability benefits, when the repayment amount is less than the total sick pay received over two years (2017 and 2018), and there is no breakout of the repayment between the years?

December 9th, 2023

I am trying to determine if a farmer can use income averaging on a KY Schedule J. If line 22 (the average) is more than line 17, can he average? I am also getting a negative number on line 22, with line 21 being greater than line 17. What should I do?

December 20th, 2023