Monthly Archives: February 2010

Red flags and white flags

Often we get asked: “If I claim (fill in the blank), is it a red flag?” Our response is usually a long winded explanation ending with, “it depends”. The truth is, the IRS’s formula for selecting returns to audit is a well kept secret. Some returns are selected completely by random, and others are scored [...]

By |2018-02-07T14:19:18-08:00February 17th, 2010|Pauls's Tax Blog|0 Comments

More on charitable deductions

This is the third installment in my blogs about charitable donation deductions. Previously, we discussed the new rules for Haitian Relief deductions (1/27/2010), and donations of autos & boats (12/7/2009).We are now seeing a steady inflow of individuals bringing in their 2009 data for tax return prep. One common question is: What can I deduct [...]

By |2018-02-07T14:19:18-08:00February 11th, 2010|Pauls's Tax Blog|0 Comments

Here we go again

California’s fiscal crisis does not show any signs of resolution. Despite assurances from the Governor and legislators that the state will remain able to pay its bills through June 30, John Chiang, State Controller, has released a warning that that may not be the case.According to Mr Chiang, California could very well run out of [...]

By |2018-02-07T14:19:18-08:00February 8th, 2010|Pauls's Tax Blog|0 Comments

No tax deduction for the good looking!

As I‘ve previously shared with you, we frequently receive questions from clients asking what else they can deduct to lower taxable income. In the “bet you haven’t tried this one” category falls a recent tax court decision that allowed a taxpayer to deduct the costs of a sex change operation as a medical deduction.The taxpayer [...]

By |2018-02-07T14:19:18-08:00February 4th, 2010|Pauls's Tax Blog|0 Comments