Newsletters

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The New Year will soon be upon us and sadly so will tax filing season. Last year, my tax letter was so well received that I am pleased to offer you another dose this year. so gather the kids and hang on to your funny bones...here we go:

What do dogs & cats call Santa? Santa Paws

The paw prints in our office went through a very sad change this year. Our office dog "Jo" passed away suddenly when she developed a large mass on her liver that ruptured. She is greatly missed. Our new set of paws belongs to an 8 year old rescued German Shepard/Carolina mix named Teddy. He is a large one eyed dog with a big deep voice, but as his name implies, he is a Teddy Bear. His prior owner worked at Sonoma Charter School and Teddy is certified to be around children.

What is a New Year's Resolution? Something that goes in one year and out the other.

Personally, I cannot wait for this year to be over and have a fresh start with a brand new year. I mentioned that Jo passed away. So did my Mother-in-Law in Petaluma, my Aunt in Southern California and the computer in my office...All during tax season. Further, we lost Terri to another firm and Liser to another job, on top of Sato's retiring the previous year. Thank you for your patience last year as we dealt with all those setbacks.

What is 20 feet tall, has sharp teeth, and says Ho, Ho, Ho? Tyranno-santa Rex

Don't be naughty around this guy...

Why does everybody like Frosty the snowman? Because he is so cool

We try to be like Frosty, but sometimes it's not realistic...such as when I have to spend time out of the office due to multiple deaths in the family. We are all human and we sometimes get overwhelmed, over worked and/or over stressed due to internal or external pressures. lf this happens, please realize we are doing the best we can in the time we have. Telling me you got your info in to us at G:30pm on the cutoff day and you expect to have the return done, does not help anyone and is a really fast way to be asked to take your tax returns elsewhere. yes, that actually happened.

What is the main difference between Youth and Middle Age? Youth is when you are allowed to stay up for New Year's, and Middle Age is you are forced to.

Speaking of being forced, you may have heard that the penalties for not having health insurance are going away. Don't believe everything you hear, especially in California. The State of California decided to pick up where the Federal Government left off...to add red tape where the Fed cut it. California is requiring all of us to have health insurance or penalties will be imposed.

Where does Santa keep his money? ln the Snow Bank

A lot of you last year had a hard time keeping your money in the snow bank after realizing that the withholding tables put out by the government were not completely accurate and you ended up owing tax when you usually got refunds. To remedy that the lnternal Revenue Service has a new Application to calculate what your withholdings should be. www.irs.qov/individuals/tax-withholding-estimator

They also have a new W-4 form to submit to your employer.

What do you call someone who does not believe in Saint Nicholas? A Rebel without a Claus.

Just an FYl...What do you get from a cow at the North pole? lce Cream

You scream, I scream, we all scream for ice cream. You may also scream when I mention that I will not be available for tax appointments after March 20th. I need the time to complete returns and extensions. AS ALWAYS, we encourage you to drop off your info for us unless you have a special tax event in either 2019 or upcoming in early 2020. Your cooperation is appreciated and rest assured you will receive a phone call or email if we have any questions.

Why don't aliens celebrate Christmas? "They do not want to give away their presence."

Speaking of presents (okay, that was kind of stretch), we will need to receive your complete tax information present to us by March 15, 2O2O to have the best chance of having your return done. Notice the word guarantee is no longer being used...See the Frosty joke above for the reason. We realize some of you won't have all your info by March 15th. lf you get the rest of your info in to us as early as possible, we will make every effort to get it done by the filing deadline. PLEASE DO NOT piecemeal your info to us. Chances are really good that, despite our best efforts, info might get lost.

When does New Year's Day come before Christmas? Every year

Another day that comes every year is Tax Day. Please do not assume that we will file an extension for you. Let us know if you will need an extension. Remember, filing for an extension gives you time to file, but all taxes are due on Tax Day. This year Tax Day is on April 15, 2020.

What did Santa get when he crossed Kleenex with a woodpecker? "Rapping paper"

The lnternal Revenue Service sends out a type of wrapping paper if you file for an extension and do not pay them before April 15th. lt comes in the form of a bill which represents penalties and interest for the underpayment. They use it to wrap up payments for the prior year. l'll say it again, filing for an extension gives you time to file, but all taxes are due on Tax Day.

What do you get if Santa comes down the chimney while the fire is still burning? Crisp Kringle!

lnstead of starting a fire with the paper organizer enclosed, make notes in your organizer. Unlike Santa's elves my Crystal Ball doesn't work really well and my memory is starting to go that way as ,well. However, if this organizer does not make your life easier, please do not use it...start a fire with it (preferably in the fireplace).

Why did the Christmas Tree go to the barber? "lt needed to be trimmed."

Speaking of getting trimmed, below is a table that shows what portion of total income tax is paid by which income group...or, if you prefer, how quickly you become part of the top 10%of income earners in the US. AGI refers to Adjusted Gross Income.

Top 1%: an AGI of $515,371 pays 38.47% of the income taxes 

Top 5%: an AGI of $208,053 pays 59.14% of the income taxes 

Top 10%: an AGI of $145,137 pays 70.08% of the income taxes 

Bottom 50% of all earners pays 3.11% of the income taxes

Why do Mummys like the holidays? Because of all the wrapping!

Yes, l'm wrapping up this year's letter. But, I have enclosed a gift that I found searching the internet for material for this letter. (No, I do not make up all the jokes.) lt is the story "Twas the Night Before Christmas" in legalese. You can use it to get the kids to sleep or as a cure for insomnia.