LOU'S NEWS Attention all: If you have a living trust this class helps you understand it. If you dont have a living trust, you should!
"Living with a Living Trust"
This two session class is presented by Torrance Estate Planning Attorney, Rob Palmer who has been preparing and administering trusts and probate for 25+ years in the South Bay.
In laymans' terms, Rob will discuss setting up a living trust, funding the trust, allocation of assets at death, control of assets, trust termination, etc. and answer class questions.
The next class schedules is as follows:
7:00 pm to 9:00 pm
Thursday, March 22, 2012 & March 29, 2012
Mira Costa High School, room 38
701 South Peck Avenue; Manhattan Beach, CA (310) 372-5456
Class cost is $44.00 per person payable at the first class.
Parking is on Artesia Blvd. and Peck Ave at the lower parking lot.
1:00 pm to 3:00 pm
Thursday, May 10, 2012 & May 17, 2012
Griffith Adult School Center, room 5
2291 Washington Ave, Torrance, 90501 (310) 533-4689
Class cost is $35.00 per person by mail, fax, walk-in or on-line only; www.tastusd.org
If you have a living trust or are planning to set one up, this class will be invaluable.
Undelivered Refunds!!!
The IRS has $153 million in undelivered refunds and recommends direct deposit to avoid future delivery problems.
New for tax year 2011:
- 2011 Form 1040 due date is April 17, 2012.
- Standard Deduction increased to $5,800 Single, $11,600 MFJ and $8,500 HOH.
- First time homebuyer credit is only available to member of the uniformed services who served abroad on extended duty.
- HSA's and Archer MSA's: additional tax increased to 20% on distributions not used to cover qualified medical expenses after 2010
- The making work pay has expired.
Re: California Use Tax
Tax professionals can take steps now to help their clients became CA use tax compliant by assisting them in reviewing their out-of-state purchases from catalogs, mail orders, and Internet purchases to determine if the retailer collected the tax.
COLA (cost of living adjustment) increases for 2012:
There is an increase in the 401(k)/403(b) salary deferral limit from $16,500 to $17,000 and contribution limit from $49,000 to $50,000.
COD!!! (Cancellation of Debt):
Remember - Cancellation of Debt is taxable. If you have anyone considering Bankruptcy, tell them to go get tax advice.
REQUIRED MINIMUM DISTRIBUTION (RMD)
This past December, Congress re-authorized the IRA Rollover provision legislation allowing you to make gifts to the charity of your choice directly from your IRA account. Under this legislation, you can make outright gifts, up to $100,000, to the charity of your choice from your traditional IRA; and have such gifts count toward your minimum distribution requirement.
Here's how it works and what you may do to take advantage of the IRA "gift" provision extended through December 31, 2011.
- Donors must be age 70 1/2 or older and own a traditional IRA. Other retirement plans such as pensions, 401(k), 403(b) or other plans are not eligible.
- IRA gifts may be up to $100,000 and must be transferred before December 31, 2011.
- Only your IRA trustee or plan administrator can transfer the gift to the charity of your choice. If IRA owners personally withdraw funds and contribute them to the charity of your choice, the amount withdrawn will be included in your gross income and subject to income tax.
- Your IRA trustee/administrator should send your IRA gift directly to the charity of your choice.
- The check should clearly reveal it represents an IRA provision gift for 2011 and the name of the IRA account owner.
ACTION - IRA BENEFICIARY
Name your Trust as the Beneficiary to protect the proceeds from Probate.
DEATH TAX IN 2010:
Even though 2010 is the year of 100% exemption for "Death Taxes", No New stepped-up basis on your highly-appreciated home or investments will be available to your beneficiaries.
NOTE: There will be no "Death Tax", there will be Capital Gains Tax on all appreciated property at time of sale.
ALERT - ALERT:
Please discuss with Lou before any update or changes on your living trust or will.
BUSINESS EQUIPMENT PURCHASES:
Total deductible on new purchases up to $250,000.
NEW STANDARD MILEAGE RATES
Auto mileage rate:
2012 Rates 2011 Rates 2011 Rates 2010 Rates:
July-Dec Jan-June
Business Use: 55.5¢ 55.5¢ 51¢ 50¢
Moving Expense & Medical: 23¢ 23.5¢ 19¢ 16.5¢
Charitable: 14¢ 14¢ 14¢ 14¢
DAY CAMP
Parents can get credit for sending Kids to Day Camp!!
Keep your receipts with address and Federal Tax ID# of Camp.
USE TAX
It bears repeating each new filing season - make sure you report use tax on your California income tax return to avoid penalties and interest.
SIGN UP NOW
Sign up for our Monthly Newsletter. Its FREE!!!! Click the link at the bottom of this page to register.
|
