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TAX TIPS AND FACTS
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ROGER A. KAHAN Certified Public Accountant and Advisor Serving the tax and financial needs of individuals and small to medium sized businesses 11 Jeanne Road, Randolph, MA 02368 TEL: (781) 963-RAK-1 (963-7251) E-mail: kahan@rak-1.com Copyright © 1998 Roger A. Kahan, CPA ALL RIGHTS RESERVED |
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You are the person to access this issue!
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| TOPICS COVERED IN THIS ISSUE | |
| BUSINESS CERTIFICATE | |
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Do you operate your business using a "trade name?" If you use a name other than your own (or
you use a name other than your corporate name), such as a D/B/A (Doing Business As), you must
file a Business Certificate in the city or town your business is located. Did you know you
must file a new certificate every FOUR years? If you do not file or refile the Business
Certificate, you may be subject to a substantial fine and other legal problems related to your
business. It does not cost a lot of money to register the name, but the costs of non-filing
can be astronomical.
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Taxes, business, funds and management;
rise and fall. If you have a question, give us a call. No matter how big or how small, we can handle it all. |
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| SELF-EMPLOYED RETIREMENT PLAN | |
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If you carry on a trade or business as a sole proprietor, a member of a partnership, an
independent contractor or you are otherwise in business for yourself, you are considered to be
self-employed and can participate in a retirement plan for yourself. Part-time work, work
done at home, even in addition to a regular job, may also be self-employment. You can take a
tax deduction for contributions made to your self-employed retirement plan. Like the "big
companies," a self-employed must provide coverage for all full-time employees who are at least
21 years of age and have one year of service (at least 1,000 hours). You must establish the
plan before the end of your tax year (usually by December 31) by signing plan documents and
making a minimum contribution. Contributions can be made up to the due date of the related
income tax return (or extended due date) and still be deductible in the year accrued. There
are limits to the maximum amount that can be contributed and other limitations and
restrictions do apply.
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| Many accountants view their goal as minimizing their clients' taxes. NOT ME! I like to see my clients pay more taxes - because their earnings and profits are increasing dramatically. I can make a major difference in achieving those profits. Talk to me and find out more. | |
| DRIVING AND DRINKING DON'T MIX | |
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This is a poem received last year from my friend Mark Gulko, also a CPA. Read it and be
responsible.
I went to a party, Mom, I remembered what you said.
I know I did the right thing, Mom, I Know you are always right.
I started to drive away, Mom, but as I pulled out into the road,
I'm lying here dying, Mom. I wish you'd get here soon..
I just wanted to tell you, Mom, I swear I didn't drink.
Why do people drink, Mom? It can ruin your whole life.
Tell my brother not to cry, Mom. Tell Daddy to be brave.
My breath is getting shorter, Mom. I'm becoming very scared.
I have one last question, Mom, before I say good bye.
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ Good Morning, Roger, Thank you so much for that beautiful piece. I really appreciate it & will circulate it as well. Your versatility and concern for fellow humans speaks loudly in favor of you as a "mensch" (good person).
Keep up the good work, This is really strange, that this poem should come back to me, because it was I that started this poem in circulation over a year ago. I am a teacher and this was given to me by one of my students. I had posted this to an organization called SCHOOLNET, an organization sponsored by the Canadian Government. I guess what really goes around, comes around! Isn't life really strange?
Best wishes from your Pythian Brothers in Quebec. John D, Greenfield Park, Quebec
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| WE NEED YOUR SUPPORT | |
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If you like our work, recommend us to a friend. If you are not happy with our work, please call me and let's talk about it. We will both appreciate it.
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Remember, "It's not what you make that counts, it's what you keep."
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| CERTIFIED? | |
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Your doctor is certified. Your lawyer is certified. Is your accountant certified? If your accountant isn't a Certified Public Accountant, think twice about where you are getting your advice. Who do you want handling your financial and business matters? If your accountant isn't a CPA, it's time to seek professional help. 
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| INTERNET ACCESS | |
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We are kahan@RAK-1.com (that is a "one" and not a small
"L") and an active user of the INTERNET. You can E-mail us from any service connected to the
NET. Our Internet provider is The Xensei Corporation of
Quincy. For more information about Xensei and a reasonably priced and easy to use
unlimited-time, local Internet access, call Xensei at (617) 376-6342 or me or E-mail
info@xensei.com.
This issue of TAX TIPS AND FACTS will appear on our own World Wide Web (WWW) page, making it available to the rest of the WORLD. You can find us at http://www.rak-1.com. Last month, 2,251 Internet surfers from 19 countries accessed our web page and read TAX TIPS AND FACTS on-line.
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Roger A. Kahan is a Certified Public Accountant and business advisor with
an office in Randolph, serving the tax and financial needs of individuals
and small to medium sized businesses. Roger is always looking for more business and individual clients. With the advent of the Internet, fax machine and overnight delivery, our client base now covers many states in the USA. If you know of someone seeking professional tax or business advice, or funds management, please let us know. Also let me know if I can use your name in a welcome letter to the prospective client. Professional or business questions can be addressed, E-mailed or faxed to Roger A. Kahan, CPA at any the above addresses. A response, may appear in a future edition of TAX TIPS AND FACTS. We do accept "a friend" or "anonymous" suggestions or questions, although we reserve the right to edit them. |
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| TAX TIP OF THE WEEK | |
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I am now writing a TAX TIP OF THE WEEK that is distributed over the Internet to a growing list
of people each week. Some items in the weekly version will appear in the printed monthly
version. If you would like to be included in the weekly electronic distribution, just send me
your e-mail address with your City and State (for statistical purposes) by e-mail, snail-mail,
voice-phone or fax.
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| No one is required to pay more in taxes than the law demands. If you pay too much, you have less resources to meet your other financial goals. We can help find tax deductions and credits, and help you plan so your taxes will be as low as possible, year after year. And we can also assist you with business and estate tax planning. | |
| DEAL WITH THE BEST | |
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You can feel confident in knowing the DIME DEAL from Excel Telecommunications remains one of
the most competitive long-distance calling plans around. With all interstate calls at just
10¢ PER MINUTE, ALL DAY EVERY DAY (except calls to/from or between HI and AK, calls to
Puerto Rico/U.S. Virgin Islands). The DIME DEAL saves you up to 17% over similar plans
offered by AT&T, MCI and Sprint (based upon rates effective 12/10/97).
And like always, Excel customers receive the highest quality service and customer care. That's what you should expect when you deal only with the best. Call Discount Buyers Network at (781)963-5800 and sign up for the service. The only cost to you is the charge by your local telephone carrier to switch, an Excel $1 monthly fee and an Federal Communications Commission mandated monthly line access fee.
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| FEATURES WANTED | |
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We want to feature our clients in future editions of TAX TIPS AND FACTS.
If you would like to have a FREE spot to sell us on your company, its
products or services, simply send us a brief story about your company, an
overview of your company's products and future plans. We may edit the
information and include it in a future edition. Send the information to
Roger A. Kahan, CPA via mail, E-mail
or FAX it.
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| De WHAT???? | |
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This is from my Web surfing friends Phil and Shirley:
If lawyers are disbarred and clergymen defrocked, doesn't it follow that: Here's hoping your hard drive is never defiled.
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| KEEP IT IN GOOD CONDITION | |
Most of us want to keep our vehicle in good working order. Here are just a few suggestions
for you:
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| MUTUAL FUNDS WITH CHANGING SHARE VALUE | |
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Do you have money invested in a mutual fund that changes share values each day, week or month?
A money market account usually has a value of $1 per share at all times. If so, you must save
ALL annual statements of those accounts from the date of original purchase. Each time you
write a check or withdraw funds from a changing value mutual fund, you are creating a sale of
a security that must be reported on your income tax return. This may be enough of a burden,
but, you must also know the cost basis of EACH share sold. That means keeping detailed
records of each share purchased through deposits made into the account, dividends reinvested
(more shares purchased) and all sales (withdrawal of shares). Save yourself a lot of
aggravation by using a money market account for check writing purposes and the "floating
price-per-share" account for those rare withdrawals.
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| ALIMONY | |
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Question: "Is alimony deductible when paid by me?
Answer: Generally, alimony is deductible by the person who pays it and taxable income to the person that receives it. However, child support is neither deductible by the payor nor is it taxable to the recipient.
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| DO YOU HAVE A WILL? | |
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What would you do if your parents died without leaving a will? Who will be responsible for
you, your brothers and sisters? What will happen to your parent's bank accounts and other
property including their home or the old car? As many as 70% of adult Americans do not have a
Last Will and Testament. Apparently, they do not think they need one. Maybe they think they
will live forever. A will is not necessarily as complex as some may think. You don't have to
be wealthy to need a will. The most important purpose of a Will is to know that your
possessions will be distributed the way YOU want them to be. What about your minor children?
Who will take care of them after you are gone? Who will make sure your final wishes are
carried out? You can get the answers to these and many other questions about the Last Will
and Testament, Living Wills and Health Proxies by contacting your attorney and about estate
planning by calling your CPA.
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TAX TIPS AND FACTS is published periodically by Roger A. Kahan, CPA.
Subscription is free to clients, prospective clients and friends of Roger
A. Kahan, CPA. If you know of someone interested in a subscription to TAX
TIPS AND FACTS allowing him or her to obtain valuable comments on
national, Massachusetts or local tax issues, call (781) 963-RAK-1.
The information contained in this publication has been obtained from sources I believe to be reliable at the time of writing, but I do not guarantee its accuracy or completeness. Neither the information nor any opinion expressed constitutes a solicitation by me of the purchase or sale of any securities or other investment. This material, or any portions thereof, may not reproduced without prior written permission of Roger A. Kahan, CPA. |
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Web design and hosting by the Xensei Corporation. |
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