Asset Planning, Inc Blog

The latest from the team.

New Tax Deadlines

In an effort to help you understand the ever-changing tax deadlines, we went to the source (IRS, CA FTB) to get the details. The following is a summary of the new deadlines that we thought you should know about:

The IRS extended the tax filing deadlines for your 2019 taxes from April 15 to July 15, 2020. The IRS also clarified other details that we thought were important:

  1. You also have until July 15 to contribute to an IRA account and have it posted to the 2019 tax year.
  2. For those of you that pay estimated taxes, the IRS stated that the first-quarter 2020 estimated tax payment that would have been due on April 15 is now delayed to July 15. BUT the second 2020 estimated tax installment is still due June 15, 2020 This makes the second payment due before the first payment! Hopefully America is back up and running so this does not become an issue but, if not, we expect the IRS to issue another statement regarding the due dates.
  3. The IRS also clarified that taxpayers “do not have to be sick, or quarantined, or have any other impact from COVID-19” to qualify for the new deadlines.
  4. California is following the IRS filing guidelines.
  5. Note, if you think you will receive a refund, go ahead and file as soon as possible.

California Property tax is still due on April 10, 2020. This is paid to the county that you live in. The state of California is encouraging the counties to waive penalties for late payments. The county tax collectors have the authority to waive penalties resulting from a late payment due to “reasonable cause and circumstances beyond the taxpayer’s control. Relief under this rule is discretionary and will be evaluated on a case-by-case basis. Taxpayers unable to pay by April 10 will need to request relief and demonstrate to the tax collector that the inability to make a timely payment was due to the COVID-19 pandemic. For example, the Los Angeles County Tax Collector has set up a special team to process penalty relief requests, and has advised impacted taxpayers to submit a request for penalty relief online, beginning on April 11.

In Orange County, Shari Freidenrich, the county treasurer-tax collector released the following statement “For taxpayers that do not make payment of property taxes due to COVID-19 by April 10, we expect them to submit a Penalty Cancellation Request Form and documentation to support the cancellation of penalties as allowed in limited circumstances under current state law.”

As soon as the stimulus bill is finally approved, we will post a summary of the final package. This will include the payroll tax, unemployment, small business loans and stimulus check guidelines.

Stay safe, sane and healthy!

Continue reading
  1127 Hits

IRA Contributions

While we are deep in the midst of tax season, we thought it was a good idea to remind our clients to get in their 2018 IRA contributions. If you are planning on dropping off a check to us the deadline to get them in is Wednesday, April 10th. This will ensure that your contribution is made before the April 15th tax deadline.

2018 contribution limits are $5,500 or $6,500 if you are over the age of 50

Also, now is as good a time as any to get in your 2019 contributions especially because the limits have been increased. The sooner you get these in the longer they have to grow in your IRA which means more retirement funds for you!

2019 contribution limits are $6,000 or $7,000 if you are 50 years of age or older

When it comes to non-deductible IRA contributions please be sure that you are keeping a record of these contributions by completing tax form 8606 for each year you make a non-deductible contribution. We have run into a few cases where no record is kept, and our clients are left scrambling to find that information when it is time to take distributions from their IRAs. This information will be needed to figure out what amount of your distributions will be counted as taxable income to you, so it is very important.

If you have any questions, please don't hesitate to call us.

Continue reading
  1165 Hits

Search Blogs Module

Wait a minute, while we are rendering the calendar
cell phone provider tax filing deadlines birth certificates Social Security portal family members July 6 Economic Security Orange County credit card fraud identity thieves Asset Planning Shred paperwork pet supplies interest Joey Gonzales jury duty Expired medications February 14 Fox News story home mortgages banking offering insurance credit cards Medicare Part B premiums COVID -19 virus relief efforts Kiplinger Letter scams self-help topics health care costs privacy settings president Trump executive order VOIP landline phones estate planning direction investment statements Roth IRA clients show support people medications toilet paper padlock team members phone companies bottom line company rescue organizations tax deadlines Brexit vote Independence Day borrowing money CA FTB chip-enabled EMV cards January 10 October 1 2020. TD Ameritrade Wells Fargo customers ice cream event policy Affordable Care Act breach September 30 2020. paperwork clutter credit freeze media accounts identity theft Medicare Advantage spring cleaning life saver CFP ® Amazon phishing scams health care services Wells Fargo employees cell phone service provider 900 number IRS 401K donation counts illiegal robocallers official certification prescription eyeglasses home emergency kit water … asset Planning Kraig Mathias email notifications Medicare question Facebook profile credit card company clients spread records CERTIFIED FINANCIAL PLANNER exam DNA test kits FEMA website fun facts cell phones Puerto Rico pet industry drive /usb July 3 rd wells Fargo driver license emergency folder 23 andme information tax deadline stock pile insurance policy Two-Step Verification non-prescripstion sunglasses Mobile Banking Security Tips card reader Social Security Administration paper records Part B Open House “ skimmer ”. trustee Retirement Contribution Limits integral member Coronavirus Aid Erin Nelsen Medicare plan market turmoil operations manager Flexible Spending Account April 18 2017. car loans April 15 https ://seekingalpha memorial Day weekend increase 70 1/2. interest rates news coverage estate planning settlement options assets retirement plans FSA ice cream tax returns fun atmosphere pet donation drive items money estate Victor Dergunov text messages June 29 home break-ins emergency kit gap insurance client portal Auto insurance fees pets 20 year anniversary EEChecklist-Kits.pdf stockpilingchecklist.pdf clone counterfeits cell phone carriers offer 2017 TD Ameritrade National LINC Conference coronavirus app information Facebook cell phone carriers Medicare Part B credit monitoring service emergency kits home security Supplemental Security Income tax records years Charles Schwab earthquake app 2018 IRA contributions IRA accounts Federal Trade Commission website home checklists payments flash drive donation items Part D premiums . retirement Financial Planning Magazine Medicare Orange County Superior Court notary services vision screening September 8 retirement planning retirement accounts Notary Public trust California Lions Friends parking spots earnings fallout ID card spam phone 2017 IRA contributions summer Labor Day markets July weekend documents disaster areas partner /owner credit score 2017 Equifax breach house sitter home emergency preparedness kits insurance policies pet cell phone SIM swap scam National Ice Cream month D premiums Treasury Department https :// CARES Act web address holidays approach tax season September 9 hurricane Dorian Healthcare business hours phone consumer spending stimulus package debt check lists blog post IRS deadline contribution limit opt-out Legal robocalls vacation account numbers Open Enrollment July 4 student loans Ice Cream Social April 11 phishing sites privacy notices 4 pm -8pm