Charitable Contributions

Strict substantiation requirements can trip up charitable donors
At this time of year, when many taxpayers give to charity, it's important that tax practitioners understand the strict substantiation requirements that must be met to qualify for a charitable deduction. A recent Tax Court case illustrates the lengths the Internal Revenue Service will go to enforce the substantiation requirements. The Tax Adviser (12/2012)     

Estate Planning - Young Families

Young families need to consider estate planning, too
Estate planning is important for young families too, especially if there are children or a spouse dependent on one adult's income. Steps young families should take include naming an executor for the estate, naming a guardian for minor children, providing instructions for distribution of assets and planning for disability. PFP/PFS members, for more estate planning considerations, can access the 2012 edition of the comprehensive CPA's Guide to Financial and Estate Planning. National Underwriter Life & Health (11/29)     

IRS issues guidance on 0.9% Medicare surtax

IRS issues guidance on 0.9% Medicare surtax
The Internal Revenue Service issued proposed regulations on the 0.9% additional Medicare tax that will take effect next year. The regulations cover filing requirements, how to make adjustments for underpayments and overpayments of the tax, and how to file refund claims for overpayment of the tax. JournalofAccountancy.com (12/3)     

Free Webinar on Fiscal Cliff

Free client-oriented Web seminar on the "fiscal cliff"

The "fiscal cliff" is the combination of tax increases and spending cuts scheduled to take effect on Jan. 1 for the purpose of increasing government revenue and decreasing the budget deficit. It is imperative not only that your clients have the best strategies in place for maximizing their tax savings and protecting their net worth (view free recording and presentation materials on this topic from the PFP Division), but also to ensure that they understand the economic outlook and long-term outcomes of the fiscal cliff and its impact on them. Invite your clients to a free Web seminar on Dec. 18 from 1 to 2 p.m. ET, where leading CPA financial planners Michael Goodman, CPA/PFS, and Ted Sarenski, CPA/PFS, will walk your clients through a plain-English discussion of the fiscal cliff, the economic outlook and what this means for the consumer. Register now.     

Fiscal Cliff Calculator

"Fiscal cliff" tax calculator tries to shed light on uncertainty
Financial advisers' bread-and-butter clients -- a family with two children, earning $147,000 a year -- could see their tax liability increase by $7,323 if there isn't a resolution to the "fiscal cliff." There are countless scenarios, though, of what could happen, making planning difficult. The Urban Institute and Brookings Institution's jointly run Tax Policy Center has created a fiscal cliff tax calculator that shows how various plans under consideration might affect a taxpayer's liability. Visit aicpa.org/PFP/YearEnd for FREE resources to help you get financial plans in place for your clients now, so you are ready to trigger when there is more certainty. AdvisorOne (11/29)