Questions: What is the federal minimum wage? Is an appointment required to have my taxes prepared? Can you e-file my return? What if I can't pay my taxes? What if I don't file my taxes? How do I report IRS scams? How do gifts affect employment tax? Can the IRS impose a penalty for missing or invalid social security number? Do corporate minutes have to be filed with the State of Florida? Answers: What is the federal minimum wage? Federal minimum wage for covered, non-exempt employees is currently $6.55/hour. On July 24, 2009, the federal minium wage will increase to $7.25/hour. States with no minimum wage requirements may use the federal guidelines. If an employer is covered by both federal and state law, it must follow the law that is more favorable to employees. Florida's minimum wage is currently $7.21/hour. However this will increase on July 24, 2009, to equal the federal minimum wage of $7.25/hour. Top Is an appointment required to have my taxes prepared? No. Once you have complied your tax data, you may mail it in or drop it off. You may also scan your tax documents and either email or fax them to the office. Either way, please be sure to include a phone number where you can be reached in case there are questions concerning your tax preparation. Top Can you e-file my return? We have the technology to e-file various types of tax returns, but we only e-file returns which have been prepared by the firm. Prior to e-filing your return, you are required to sign a form authorizing us to electronically transmit your return. NOTE: Only current year returns are eligible for e-filing. Current year returns not timely filed are not elibilige for e-filing. Top What if I can't pay my taxes? The failure to pay penalty is .5% for each month (or part of a month) the payment is late. The maximum penalty for failure to file is 25%. If 90% of the tax was paid by the original due date of the return, a penalty will not be charged but interest will be charged on the remaining balance. A taxpayer can file Form 9465, requesting the IRS to enter into an installment agreement. An installment agreement does not stop the accrual of interest at the current rate on the unpaid tax. The late payment penalty will be .25% instead of .5% per month. NOTE: The IRS charges a fee of $105 for entering into an installment agreement. Top What if I don't file my taxes? A failure to file penalty is based on tax owed. Therefore, if no tax is due, no penalty will be imposed on a late filed return. If tax is due, the penalty is 5% per month (or partial month) up to a miximum of 25%. The minimum penalty for filing more than 60 days late is the smaller of $100 or 100% of tax due with the return. Top How do I report IRS scams? The IRS warns against cyber scams. One type of email message informs taxpayers their returns will be audited. Another offers information on tax law changes. In each case, the recepient is directed to click on a link provided by the sender which will allow access to the taxpayer's personal computer and personal information. If you receive such a notice, DON'T FALL FOR IT. Forward the solicitation to phishing@irs.gov then delete the message. If some calls saying they need your bank account information so they can deposit the upcoming tax rebate, DON'T BE FOOLED. The IRS does not contact taxpayers via unsolicited calls. Top How do gifts affect employment tax? In general, any amount transferred from the employer to an employee, whether directly or indirectly, is subject to social security, Medicare, income tax withholding, and federal unemployment taxes. Exceptions are “de minimis” fringe benefits. De minimis fringe benefits may include traditional holiday gifts (turkeys); occasional typing of personal letters; coffee and soft drinks; and occasional meal money or local transportation fare paid to enable an employee to work overtime. Further examples and information on de minimis benefits are provided in section 2 of Publication 15-B, Employer’s Tax Guide to Fringe Benefits (www.irs.gov/ir-pub/p15b.pdf. Cash or cash equivalents not excluded may be cash (whether currency, check, direct deposit, etc.) and cash equivalents (gift cards) are taxable compensation and must be reported as supplemental wages, regardless of the amount, for which employment taxes are owed. Both the employee and the employer shares of social security and Medicare taxes are owed. The employer is responsible for the employee portion if the deduction was not passed on to the employee. For examples on how to figure tax liability and corresponding wage amounts in this situation, see section 7 of Publication 15-A, Employer’s Supplemental Tax Guide (www.irs.gov/pub/irs-pdf/p15a.pdf. Top Can the IRS impose a penalty for missing or invalid social security number? The IRS may impose a penalty for an employee's missing or incorrect social security number. A social security number is invalid if: - it is all ones or all threes, or - it is 123456789, or - the first three digits are 000, 666, 734-749, 773-999, or the middle two digits are 00, or the last four digits are 0000. Top Do corporate minutes have to be filed with the State of Florida? CORPORATIONS: Don't be filled by scan. A company called Compliance Services is mailing noties to busineese that are titled "Annual Minuted Requirement Statement Directors and Shareholders." This document instructs you to submit the Annual Minutes Requirement Statement with your $125 payment to this company can prepare your corporate minutes for you. This is a scam! Corporations are required to keep munites of corporate meetings, but minutes do not have to be filed with any agency in the State of Florida. Furthermore, you do not have to pay someone to prepare your minutes. DO NOT CONFUSE THIS NOTICE WITH AN OFFICIAL NOTICE SENT BY THE STAT DIVISION OF CORPORATIONS RELATED TO YOUR 2009 ANNUAL REPORT. Top