September 2020 Tax & Accounting Insight

Newsletter

Dear Clients, Colleagues and Friends,

We would like to welcome you to our brand new website, www.ShiltsCPA.com!

The progressive new site allows us to meet each of our clients specific needs. Whether you are looking for a completely virtual experience or the security of two brick-and-mortar locations, Shilts CPA, PLLC is prepared to focus on your whole financial picture, 24-7, allowing us to provide you the most robust services possible. More features of our new website will be announced soon so stay tuned!

Josh Shilts, CPA/ABV/CFF/CGMA, CFE

Some of the articles and content we want to make you aware of are

  1. Small Business Update: Payroll Tax Deferral – Starting September 1st, employers can defer withholding and payment of the employee portion of the social security tax for workers earning less than $4,000 in a bi-weekly pay period.
  2. It’s Never Too Early to Check Tax Withholding – It’s never too early to do a “Paycheck Checkup” to make sure the right amount of tax is withheld from earnings – and avoid a tax surprise next year when filing your 2020 tax return.
  3. Preparing for a Successful Retirement – As you approach retirement, it’s vital to pay attention to several important financial matters to ensure a smooth transition.
  4. Tax Considerations When Hiring Household Help – Tax rules for hiring household help are complex. One mistake can lead to a tax headache that most of us would prefer to avoid.
  5. Tax Tips for Workers in the Gig Economy – If you’re part of the gig economy, here’s what you need to keep in mind regarding taxes.

Tax Tips

Quickbooks Tips

Upcoming Events

The following are events Mr. Shilts will be speaking at. If you have questions or are interested in attending refer to the links below or contact us by clicking here.

  1. October 28, 2020 – Strafford Continuing Legal Education has asked Mr. Shilts to present as part of their “Divorce and Income Tax Problems: Strategies for Resolving IRS Disputes and Liabilities in Divorce Proceeding” webinar. More details to follow at a later date.

Tax Due Dates

  • September 10 – Employees Who Work for Tips – If you received $20 or more in tips during August, report them to your employer. You can use Form 4070.
  • September 15 – Individuals – Make a payment of your 2020 estimated tax if you are not paying your income tax for the year through withholding (or will not pay in enough tax that way). Use Form 1040-ES. This is the third installment date for estimated tax in 2020.
  • September 15 – Partnerships – File a 2019 calendar year income tax return (Form 1065). This due date applies only if you were given an additional 6-month extension. Provide each shareholder with a copy of Schedule K-1 (Form 1065) or a substitute Schedule K-1.
  • September 15 – S corporations – File a 2019 calendar year income tax return (Form 1120S) and pay any tax due. This due date applies only if you made a timely request for an automatic 6-month extension. Provide each shareholder with a copy of Schedule K-1 (Form 1120S) or a substitute Schedule K-1.
  • September 15 – Corporations – Deposit the third installment of estimated income tax for 2020. A worksheet, Form 1120-W, is available to help you make an estimate of your tax for the year.
  • September 15 – Employers – Nonpayroll withholding. If the monthly deposit rule applies, deposit the tax for payments in August.
  • September 15 – Employers – Social Security, Medicare, and withheld income tax. If the monthly deposit rule applies, deposit the tax for payments in August.

Any accounting, business or tax advice contained in this communication, including attachments and enclosures, is not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax-related penalties. If desired, we would be pleased to perform the requisite research and provide you with a detailed written analysis. Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired consultation services.