Higher Taxes Ahead in 2012

Feb 16, 2012

An update from our CPA.

“Hot off the presses, the IRS has decided businesses will not be required to reconcile their gross receipts with merchant card transactions reported on Form 1099-K on their 2012 or future returns.

Steven T. Miller, IRS deputy commissioner for services and enforcement, said in writing to the National Federation of Independent Business that no reconciliation will be required on 2012 or future business tax returns.

We have been telling our clients whose businesses accept credit cards or other forms of electronic payments to separately track cash receipts from merchant card payments beginning this year, but now that requirement has been dropped by the IRS!

Our 2011 tax organizer still has the note on it saying that you need to begin to separately keep track of the revenue from credit cards but per this statement by Steve Miller; you do not need to do so.

Go ahead and do a little dance – it is OK to celebrate even small victories when it comes to the IRS!

Oh yes please don’t forget about our webinar on February 22nd on how you may be able to deduct your medical expenses. If you have a Medical Expense Reimbursement Plan, you especially can’t miss it!”… Feb 16, 2012

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7 thoughts on “Higher Taxes Ahead in 2012”

  1. If i’m reading this correct these changes will be for 2011 or starting after and begin Jan 1,2012 ? Whats a poor person to do ?? I was counting on claiming most of these things ,for sure the college exspense !

  2. Hello Jesse,

    This review was provided by Warren Taryle – a CPA that we know quite well. Congress has the power to change taxes however they don’t seem to be able to do anything these days. Write to your congressman and senator and help them make the right decision.

    Gary

  3. I like the “Tax the rich” part, which is obviously a blatant Tongue-in-cheek slogan from the IRS.

  4. Words cannot convey how much I appreciate ALL that Wendy & Gary do for us! If my membership is ever close to ending, PLEASE! notify me by e-mail so I don’t lose this most precious site!

  5. I just spoke to my accountant and discovered that I am just out all the money I spent last year. My business died before it ever got off the ground so I am just out every dime I spent and when you are on Social Security those credit cards will never get paid off. I have been advised to talk to an attorney about bankruptcy. Needless to say I just wish I could go back and undo last year but that is impossible so I think I will go drown my sorrows in chocolate and a cigarette and then try to warn other seniors to stick to the rocking chair and crocheting.

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