January 20, 2011

The IRS has announced that processing of millions of 2010 tax returns will be delayed due to having to re-program their computers for tax changes that became law on December 17, 2010.  The IRS expects to begin processing these returns on February 14, 2011. Taxpayers that are effected include anyone who files returns with Itemized Deductions, Tuition Deductions, $250 allowance for classroom teachers

December 17, 2010

Due to the sheer number of tax law changes for tax years 2010 and 2011, we have created separate pages on our website to discuss these changes. Please check out both of these pages:

                         2010 TAX LAW CHANGES

and

1/17/09
President Bush's Mortgage Forgiveness Debt Relief Act of 2007 which helped homeowners who renegotiated their mortgages or were foreclosed upon in 2007-2009 has been extended through 2012. Usually, debt forgiveness of all types (mortgages, credit cards, etc.) is counted as taxable income.  However, due to the subprime mortgage crisis, this change (which applies only to mortgage debt on the taxpayer's primary residence) excludes such debt forgiveness from taxable income. The exclusion only applies to debt forgiveness due to a decline in the home's value or the borrower's financial condition. The new provisions may not apply to non-recourse debt. The exclusion is limited to $2 million.

6/16/08

Gov. Rick Perry signed House Bill 4765 into law today.  The new law takes effect on January 1, 2010. It increases the amount of small business revenue exempted from the Texas Franchise Tax from $300,000 to $1 million.  However, this new provision is temporary (2 years only), and without further legislative action, the exemption amount will revert back to $300,000 at the end of 2011. The bill also indexes the tax "discount" based on revenue level to inflation on an every-other-year basis. This tax is also known as the "margin tax" and is a business income tax based on a company's revenue (not net income).

5/12/08

John Beck, owner of Beck McCarthy and Associates in The Woodlands, Texas passed away on Friday, May 2, 2008.  Mr. Beck was well known in the Houston area as a tax accountant specializing in preparing tax returns for car salesmen and other automobile dealership employees. He is survived by his wife Debra McCarthy-Beck and his children Tanya Kane, John, Kalen and Tyler Beck.