Call me old fashioned, but I love being married. When I met my future wife, we fell in love and we were married. I had a Masters Degree in Tax and helped many clients minimize their taxes. I knew exactly what our marriage would cost me in income. We were married despite the Marriage Tax Penalty. We are still in love and I love being married. We continue to endure the Marriage Tax Penalty. Why does our Tax Code penalize married people? In 1990 55% of US households were married, in 2000 51% and in 2010 it is 49%. The marriage penalty came from the Tax Reform Act of 1969. At the time most families had one income earner and it was designed to help those families. It was even referred to as the marriage bonus tax as a single earner with a family paid less tax than an earner without a family. In 1960 72% of all people were married. Today most households have two income earners but only 52% of US people are married. This is why we use the phrase marriage penalty tax. … [Read more...] about Taxes and Marriage The Marriage Penalty Tax
Bob’s Blog
Tax planning for 2013
Tax deductions for 2013 are expiring at the end of the year. One of my favorite parts of my job is tax planning with my clients. Prior to the end of the year we can make great use of current tax laws and minimize tax liability. I love saving my clients money. If your business needs any equipment or capital improvements, there is no time like the present. 2013 tax laws allow for up to $500,000. deductions. This drops to $25,000 in 2014. Congress can change tax laws at any time. They can even change them retroactively, but as of right now the current allowed deductions are tremendous. What are capital improvements? A new company truck, a new server, computer, tenant improvements (if you are the tenant). This equipment must be in place and working by Dec 30, 2013. It can not just be ordered. In short, call your CPA and get together early enough to actually make a plan and put it into action. I really enjoy preparing taxes, but this is the time of year when I can do my best … [Read more...] about Tax planning for 2013
Your DDS Audit – Benefits To You And Your Business
What are some uses for my DDS Audit or Reviewed Financial Statement. The obvious is I give it to my regional center and I am in compliance and allowed to continue my vendor relationship with the California Department of Developmental Services as well as my Regional Center. That is a given. Here are a few other uses you may not have thought of. Marketing: I can use my audit report to show new clients I am certified in compliance with California State Regulations. Finance: I can use my audit report at my bank. This verifies my income and is useful to obtain loans or refinance. Taxes: My audit report includes a full review of my tax returns. It's common for me to find areas which can save vendor's tax money. Liability: One of the areas I look at is your LLC, Corporation or business set up. We can help you reduce your liability by keeping your business clean and less vulnerable to law suits. A corporation which is set up wrong or improperly maintained makes the … [Read more...] about Your DDS Audit – Benefits To You And Your Business
DDS Audits and Reviews Continue
DDS Vendor audits and reviews continue. Some Vendors still need to complete their 2011 Audit. Our CPA Audit Department can still complete these audits and reviews for you. The fifteen percent rule is critical in DDS Audits. We understand the 15% rule and know which service codes are exempt. As a CPA and a firm it has been our privilege to help DDS Vendors with their companies. We love working with you and we are proud to be a part of your noble service to our community. Bob Rojas … [Read more...] about DDS Audits and Reviews Continue
New Downtown LA Office
We just moved to a new location in downtown Los Angeles. It will make it easier for many of our downtown clients to visit our office. It also makes me more accessable to central Los Angeles clients as I can come to you. Our address is 500 South Grand Ave Ste 2080 Los Angeles, CA 90071 213-283-9500 … [Read more...] about New Downtown LA Office
Rojas and Associates, CPAs Downtown Los Angeles Office
Rojas & Associates, CPAs 500 South Grand Ave Suite 2080 Los Angeles, CA 90071 916-283-9500 … [Read more...] about Rojas and Associates, CPAs Downtown Los Angeles Office
Our new downtown Los Angeles Office
View from our new office … [Read more...] about Our new downtown Los Angeles Office
DDS 2011 Audit and Review Requirements
Many DDS vendors believe they do not need a 2011 Audit or Review. The California State Assembly Bill clearly requires all DDS vendors whose revenues exceed $250,000 need a Reviewed Financial Statement from a Certified Public Accountant. DDS Vendors whose revenues exceed $500,000 in 2011 require a full audit. This is not based on partial year nor your orientation (fiscal or calendar year) This is California State Law and can not be waived by any DDS Regional Center. As a CPA Audit Firm we are very careful to be certain a vendor actually needs an audit. We look at vendor's service codes and revenues and rates. We can not complete a 2012 audit without first checking for a need for a 2011 audit. If 2011 revenues call for an audit, the 2011 audit must be completed before we can issue a passing 2012 audit. I am happy to discuss this requirement more with any DDS vendor as I know this has been confusing in the past. … [Read more...] about DDS 2011 Audit and Review Requirements
DDS Audits in California
We are a bit farther along in the DDS Audit Process. One of the most frequent questions is about the 15% rule for DDS Audits. The rule is complex, but also it does apply. A little study of the actual California State Senate Bill sheds more light on the subject. There are actually two parts to the bill and the later clarifies which funds are affected and not affected by the 15% overhead. The variable is the vendor's classification and rate codes. It is easier to address each individual case rather than describe each scenario on my blog. Another common hurdle is vendor record keeping. Many smaller entities have kept manual records. These can range from Excel Spread sheets, to a notebook with entries to a box full of receipts and bills. AICPA Audit Standards require records to be in a standardized format. This allows the audit firm to be audited. All California CPA firms who perform audits and reviews are themselves audited. Acceptable record keeping would be software … [Read more...] about DDS Audits in California
Latest DDS Audit Requirements
This is my latest information from California DDS its a bit long to post, but here is the link. I hope this is helpful to you. If you have further questions, please post to this site or call me. I am more than happy to help. DDS Audit Letter We will update you are we have more information. Bob Rojas … [Read more...] about Latest DDS Audit Requirements