Tax preparation alerts and small business news in the Kansas City area by Ritz Public Accounting, LLC

Ph. (816) 765-6114 | Fx. (816) 765-0632

11609 Sunnyslope Drive

Kansas City, Missouri 64134

Tax News Alerts

First of all, take a deep breath, drink some herbal tea and just try to relax. Then read the alerts and if you see something that concerns you, just send us an email and we promise to get back to you within 24 biz hours. Please put in subject line: 'I read it on your website'.

Tax scams du jour:

IRS (rhymes with purse) cheekily refers to them as "The Dirty Dozen." Return Preparer Fraud is one to watch out for. Frivolous Arguments are a perennial favorite. Creative. Humorous. Diabolical. You can and should check out the latest ones right here.

For info on energy tax credits:

• http://www.ase.org/taxcredits
• http://www.energystar.gov/taxcredit

Social Security Planner:

• http://www.analyzenow.com

Note: The 2010 optional standard mileage rates used to calculate the deductible costs of operating an automobile starting Jan. 1 are 50 cents per mile for business miles driven, 16.5 cents per mile driven for medical or moving purposes, and 14 cents per mile driven in service of charitable organizations.

Recommended Record-Retention Schedules

• Copies of tax returns - Forever
• Tax/legal correspondence - Forever
• Audit reports - Forever
• Contracts and leases - Forever
• Real estate records - Forever
• Corporate minutes and stock records - Forever
• Bank statements - 6 years
• General ledger and journals - 6 years
• Sales records and journals - 6 years
• Employee expense records - 3 years
• Personal investment records - 6 years after sales
• IRA records - 6 years after withdrawals
• Canceled checks - 3 years
• Paid vendor invoices - 3 years
• Employee payroll records - 3 years
• Depreciation schedules - Tax life of asset, plus 3 years

Employers

Health Care Reform is in flux and the H.I.R.E. legislation is in it's second phase. The H.I.R.E. second phase involves applying for the $1,000 credit for qualifying workers hired in 2010 and retained for at least one year. Please go to http://www.irs.gov/pub/irs-pdf/f5884b.pdf to find the application form or contact us for more information.

Small Business Consulting Links

IRS Publications
Choose from dozens of helpful tax publications developed by the IRS to help taxpayers have a better understanding of various tax issues.