D.S. YADAV, CPA
  A professional Accounting & Consulting Firm
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NEWS & TIPS

DUE DATES:

February 15, 2012
Due date for furnishing 1099 Forms to the recipients.

March 15, 2012
Due date for filing 2011 Corporation tax returns.

April 17, 2012
Due date for filing 2011 Federal  Individuals, Partnerships & calendar year Estates & Trust tax returns.
Due date for paying first installment of 2012 estimated taxes by Individuals & Corporations.

June 15, 2012
Due date for paying second installment of estimated taxes by Individuals & Corporations.

September 17, 2012
Due date for filing Partnership, Corporations, Estate & Trust tax returns with 5 months extensions.
Due date for paying third installment of 2012 estimated taxes by Individuals & Corporations.

October 15, 2012
Due date for filing Individual tax returns with six month extensions.

December 17, 2012
Due date for paying fourth installment of estimated taxes by Corporations.



MILEAGE RATES FOR 2010 & 2011

Business mileage rate                       55.5 cents per mile for 2012
                                                             51 cents per mile from 01/01/11 to 06/30/ 2011
                                                             55.5 cents per mile from 07/01/11 to 12/21/11.
                                                                                
Medical or Moving mileage rate   23 cents per mile for 2012
                                                           19.0 cents per mile from 01/01/11 to 06/30/ 2011
                                                           23.5 cents per mile from 07/01/11 to 12/31/2011.
                                            
Charitable mileage rate                    14 cents per mile for 2012 & 2011

 

CONTRIBUTION LIMITS FOR  2011, 2012 :
                                         Regular                             50 Years or Older
                                      2011        2012                 2011            2012                  
 IRA's                         $  5,000   $ 5,000              $ 6,000       $ 6,000   
 401(k) Plans              16,500    17,000               22,000        22,500     
 Simple Plans              11,500   11,500               14,000        14,000
 HSA Contributions:
     Self Only                 3,050      3,100
     Family Coverage    6,150      6,250
HSA Catch-up contributions for Individuals 55 or older  $1,000.    

MINIMUM WAGE RATES:
                                                     2011              2012
       Oregon State                     $ 8.50            $ 8.80 
       Washington State                8.67               9.04

NEWS:

NEW REPORTING REQUIREMENTS FOR FOREIGN ASSETS:
Section 6038D of the HIRE Act has added a new reporting requirement for foreign assets worth $50,000 or more.
It will be reported on Form 8938 and will be attached to the regular income tax return.
This new reporting requirement is in addition to the existing law that requires the filing of Form TD F 90-22.1
Failure to report is subject to a penalty of $10,000.

IRS has reopened the  Voluntary Disclosure Initiative designed to bring U.S.  persons offshore money back into the U.S. tax system and help taxpayers with undisclosed income from hidden offshore accounts get current with their taxes. This new initiative does not have a set deadline to apply, however, the terms of the program could change anytime. The participants must file all original and amended tax returns and include payment for back taxes and interest for upto eight years as well as paying accuracy-related and deliquency penalties. Details are available on IRS website: www.irs.gov.
       

GIFT TAX RETURNS:
Taxpayers who transfer real estate to family members, without any or inadequate  consideration, need to file Gift Tax Returns. Recently IRS has starting checking transfer records in some States to determine the non-compliance.

PHISING SCAMS:
IRS is warning the taxpayers about e-mail scams and is reminding them that it does not send out unsolicited e-mails, or ask for personal of financial information, especially PIN numbers and passwords for credit card and bank account numbers.
IRS reminds that it never sends inquiries by e-mail. If you receive an unsolicited e-mail communication claiming to be from IRS, you can forward the original message to: phising@irs.gov.

HIGHER PENALTIES:
IRS has increased the penalty for failure to file Partnership and S. Corporation tax returns from $89 to $195 per partner/stockholder per month for a maximum of 12 months.