The Tax Preparation Blog

Posts Tagged ‘federal tax due dates 2009’

Question: Do I have to claim all received wages or is there a minimum amount per employer?

I have two employers that each only paid me a very small amount of money and they did not withhold federal income tax but did withhold SS and Med. The first company paid me only $38. I left the company about 2 weeks before the end of the prior tax year but I suppose they had some vacation pay or something left to pay out and the check was dated 2009. So they sent me a W2 a few days ago.
The next company paid me $102 and they also did not withhold federal income but did withhold SS and Med. It was on-call work and I only performed one job but it was also W2.

Do I need to claim these? I couldn’t find anything on the IRS website related to this. And since they sent me a W2 I would assume that I need to claim them but since they didn’t withhold any federal income tax I thought there might be a minimum dollar amount that has to be exceeded before fed income tax is due.

Please submit links to the IRS website to backup your statements if possible. Of course any input is appreciated.

Answer: You have to include all wages on the W-2s you receive. That is the nature of a W-2….reportable income, meaning reported to you as well as the IRS. Reporting is a legal requirement. If you submit a tax return with incomplete or incorrect income information, that will be a red flag for an audit, something you absolutely want to avoid.

You can call the IRS yourself to verify. 1-800-829-1040

On Tap community calendar

ONGOING EVENTS: MOMS CLUB OF POTTSGROVE/POTTSTOWN Meeting are held every third Wednesday of the month at 9:30 a.m. at St. James Church, off High St. in Pottstown. The MOMS Club of Pottsgrove/Pottstown welcomes all stay-at-home moms and their children from the area. The MOMS Club is a national support group; our chapter offers playgroups, activities, Mom’s Night Out, scrapbook and book clubs and …

Federal tax credit deadline dates for first-time home buyers

A private placement offering memorandum is developed in order to carefully present the full risks and terms of an investment offer in a private company. The federal regulations regarding a private placement are laid out in various laws and acts which are well-documented on the internet. However, it is a mistake to proceed in creating your memorandum on this information alone. Blue sky laws (state laws regulating the sale of securities), must be consulted for the state you are incorporated in as well as states you will be selling the securities in.

State Power

The fact that the federal securities regulator, the SEC (Securities and Exchange Commission), exists does not preclude the states from regulating securities as well. For the most part, states focus their security regulation on the power to investigate and prosecute businesses for securities fraud. To avoid actual fraud and the suspicion of fraud as much as possible, a private placement memorandum must carefully and clearly disclose all of the risks associated with the offering.

Complicating the Process

The offering must be clearly exempted from registration by the blue sky laws, which may be more restrictive than the federal exemptions. About forty states model their securities law on the Uniform Securities Act of 1956, but the interpretation of these laws can vary from state to state. Even if full registration is not required, there are generally state forms (like the federal Form D) which must be filed.

The upside of the type of disclosures which must be made under blue sky laws is that meeting them will make your offering more transparent, better protecting your business from security fraud claims and perhaps even reducing the time involved for investor’s due diligence.

Conclusion

The effect of the complicated combination of federal and state laws affecting private placements is that experienced legal counsel must be obtained by any business hoping to raise equity capital this way.

Looking back at the top LM/Narberth stories of ‘09

Dogs finally have their day in LM parks: Jan. 7 — The new year brought a new breed of park to Lower Merion. Monday, Jan. 5, was the first day dog owners in the township could apply for and get permits to walk their pets off-leash in parts of two parks.

Nicolas Sarkozy Calls For Global Tax On Bankers Bonuses