Does an irrevocable trust owe California taxes? This is actually a quite complex question. Generally speaking, California taxes trusts based on "California income." If the trustees and/or beneficiaries reside in California, then California will tax the proportionate income within the trust based upon the allocated income portion of the trust...
Many Penalties Accrue When You Fail to File Taxes
Did you know that many penalties accrue when you fail to file taxes? Imagine that you are filing your taxes, and during the course of filing these taxes you discover that you will actually owe the Internal Revenue Service some money. No refund for you -- instead, you have yourself...
Has the IRS Stopped Collecting Taxes From High Income Earners?
Has the IRS stopped collecting taxes from high income earners? Is past performance an indicator of future risk associated with an IRS audit? A recent Newsweek article flatly stated “The government just admitted it doesn’t really try to collect rich people’s taxes.” A recent study by Syracuse University researchers showed...
Preparing a Business for Sale in San Diego
Are you considering selling your company or positioning it to be an attractive option for the right buyer? Preparing a business for sale in San Diego takes several months and usually more than a year. In today's rapidly changing business climate you must be prepared to act quickly and efficiently...
Consider the Tax Ramifications of Your San Diego Divorce
While many people are obviously concerned about core issues such as child custody and parenting time and support payments, you should consider the tax ramifications of your San Diego divorce before signing a settlement agreement. Allen Barron's seasoned tax attorneys and accounting professionals work with your family law or divorce attorney...
Federal and State Tax Returns are Due Tomorrow
Well, tax day is finally here and for last minute filers there is one more day as Federal and State tax returns are due tomorrow April 18. Allen Barron provides on-going tax preparation and filing services for businesses and business owners, the self-employed and high income earners, as well as...
If You Owe the IRS More than $50k You’re About to Lose Your Passport
If you owe the IRS more than $50k you are about to lose your passport. The US Congress passed legislation in December requiring the IRS to provide a list to the US State Department of all US taxpayers who owe the IRS $50,000 or more. If you owe the IRS...
IRS Targeting Billions from Non-Filers
The IRS announced it has a new automated way to raise a substantial amount of taxes from US taxpayers who fail to file US tax returns. The new announcement from the Treasury Inspector General for Tax Administration says enforcement is aggressively increasing and has new focus at the IRS targeting...
Review and Update your Trust in San Diego
You should review and update your trust in San Diego every two to three years. If you have created an estate plan that includes a revocable trust or multiple layers of trusts it is important to review changes in federal and state law, as well as the health of associated...