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Month: April 2021

USB Issues? There is help with that.

Posted on by Walter Moore

by Walter Moore

You may be one of those that has recently purchased one of those new external disk drives at the Costco sale. 8TB for $100 that was a Black Friday deal come early! Now for some of you with an older computer or laptop you plugged it in and got a message that your USB did not support the USB 3.0 speeds. Well what does that mean you might ask?

Back when USB technology first arrived or USB 1.0, the big rectangular style plugs that we still know today, the transfer rate only went up to 12 megabit per second. At the time, like anything in the 90s including a floppy drive, was state of the art. We even had external hard drives then, you just needed what was called an enclosure and you pretty much made your own external disk drive. Now you may have noticed your new USB plug has changed colors, it is blue. Well what does that mean? That means the usb plug is now either a 2.0 or 3.0 port. You will notice new computers have blue ports for your USBs as well. The latest 3.0 technology tranfers data at a blistering 5 gigabit per second or for comparison 625 megabits per second. That is what allows that new massive disk drive you just bought to quickly transfer data onto the drive.

Now for you older desktop users there may be a USB 3.0 module that you can put into your computer to upgrade your ports IF your motherboard is compatible. For laptop users, you might be able to find a computer repair company that can make the change, but more than likely you will have to put that on your wish list in the next laptop.

I hope this tip helps!

If you have any questions contact me walter@msatp.

News for Your Week Ahead: April 30, 2021

Posted on by Walter Moore

On this weeks’ episode of MSATP TV Jim Arnie joins Executive Director Bill Feehley to give us a final update on the legislative session in Annapolis.

Watch on YouTube.

Coming Up: On Thursday, May 6th at 10 a.m., Ellen Silverstein will join Bill Feehley on MSATP TV to tell us more about the Annual Convention & Banquet taking place June 1-4 in Ocean City, MD. Tune in on Facebook for this episode and more!

Comptroller Franchot Offers Guidance to Businesses on Sales and Use Tax Credit

Comptroller Peter Franchot has issued a reminder and further guidance to business owners who may be eligible for a Sales and Use Tax Credit under the RELIEF Act of 2021.

“While the RELIEF Act provides much-needed help to many Marylanders affected by the COVID-19 pandemic, it also includes many complicated tax provisions for our businesses that are difficult to implement,” Comptroller Franchot said. “Our agency is determined to make it easy for business taxpayers to understand the different types of relief they may be eligible for and to simplify the process by which they receive state aid.”

The legislation authorizes eligible vendors to claim an increased tax credit ONLY for the three consecutive sales periods of March, April and May – which are typically filed in April, May and June. However, taxpayers should note that filing deadlines for those months have been extended to July 15, 2021 and will be considered “timely filed” if filed by the July 15th deadline.

For more information, click here.

IRS Suspends Requirement to Repay Excess Advance Payments of the 2020 Premium Tax Credit | 2021-55

The premium tax credit helps pay for health insurance coverage bought from the Health Insurance Marketplace. Eligible people can choose to have all, some, or none of the estimated credit paid in advance directly to their insurance company on their behalf. These payments – which are called advance payments of the premium tax credit, advance credit payments, or APTC – lower what taxpayers pay out-of-pocket for their monthly premiums.

Alternatively, people can choose not to get APTC, pay the full amount of their monthly premium, and claim all the benefit of the PTC that they are allowed when they file their tax return. This will increase their refund or lower the amount of tax they owe. Taxpayers use Form 8962, Premium Tax Credit to figure the amount of their PTC and reconcile it with their APTC.

The American Rescue Plan Act of 2021 suspends the requirement that taxpayers repay their excess advance payments of the premium tax credit for tax year 2020. Excess APTC is the amount by which the taxpayer’s advance payments of the premium tax credit exceed their premium tax credit.

For more information, click here.

IRS Office of Chief Counsel’s First National Virtual Settlement Month Successful in Resolving Almost 150 Tax Court Cases | IR-2021-93

Building on the success of Settlement Days and Virtual Settlement Days, the Internal Revenue Service Office of Chief Counsel hosted its first National Virtual Settlement Month in March 2021. The results are impressive.

Settlement Days events are coordinated efforts to resolve cases in the United States Tax Court by providing taxpayers who are not represented by counsel the opportunity to receive free tax advice from Low Income Taxpayer Clinics (LITCs), American Bar Association (ABA) volunteer attorneys and other pro bono organizations.

“The March Settlement Days campaign yielded great results with well over half of participating taxpayers settling their cases on a basis agreeable to them without having to represent themselves in Tax Court,” said IRS Commissioner Chuck Rettig. “These strong results could not be achieved without the dedication and support of our partner groups–the LITCs, ABA and other pro bono organizations.”

For more information, click here.

Comptroller Announces More Than 2 Million Returns Processed | Franchot Warns Fake Collection Agency is Using Public Lien Information to Target Taxpayers

Comptroller Peter Franchot today announced the agency has processed more than two millions state tax returns in the current tax season with 1.4 million taxpayers receiving refunds totaling $1.4 billion. He also released details of another tax scam in which a fake collections agency attempts to steal Marylanders’ money.

Scammers have taken advantage of public lien information to target taxpayers. Taxpayers have received letters – correctly addressed to them – with public record lien information from an entity claiming they are a collections agency operating on behalf of the Comptroller of Maryland. The letter is not legitimate. If any individual or business taxpayer, in Maryland or out of state, receives such a letter, please contact our office immediately.

For more information, click here.

Here’s Why Some People Got More Than One Notice About Their Economic Impact Payments

After each of the three Economic Impact Payments is issued, the IRS is required to mail a notice to each recipient’s last known address. The notice provides information about the amount of the payment, how it was made and how to report any payment that wasn’t received. Some people may receive multiple notices about each payment. Most people will simply file the notice with their tax records and won’t need to contact the IRS or take any further action.

Here are some details about each notice and what action some people may need to take.

  • Notice 1444, Your Economic Impact Payment. The IRS mailed this notice within 15 days after the first payment was issued in 2020. Some people received another Notice 1444 if the IRS corrected or issued more than one payment in the first round. Taxpayers who received a Notice 1444 but did not receive their first payment should review the frequently asked questions for instructions on what to do if their first payment is lost, stolen, destroyed or has not been received. People should keep this letter with tax year 2020 records.
  • Notice 1444-A, You May Need to Act to Claim Your Payment. The IRS mailed this letter last year to people who typically aren’t required to file federal income tax returns but may have been eligible for the first Economic Impact Payment. People who didn’t get a first and second Economic Impact Payment or got less than the full amounts, may be eligible to claim the 2020 Recovery Rebate Credit and must file a 2020 tax return even if they don’t usually file a tax return.
  • Notice 1444-B, Your Second Economic Impact Payment. The law that authorized the second payment gave the IRS more time to mail Notice 1444-B after the second payments were issued. This means people likely received their second payment several weeks before Notice 1444-B arrived. Taxpayers who received Notice 1444-B but didn’t receive the second payment should read the FAQs about what to do if their second payment is lost, stolen, destroyed or has not been received. People should keep this letter with tax year 2020 records.
  • Notice 1444-C, Your 2021 Economic Impact Payment. The IRS is mailing this letter to people who received a third Economic Impact Payment. People should keep this letter with tax year 2021 records.

People should keep any IRS notices they receive about Economic Impact Payments with other tax records. The IRS cannot issue replacement copies of these notices. Taxpayers who don’t have their notices can view the amounts of their Economic Impact Payments through their online account.

For more information, please click here.

News for Your Week Ahead: April 23, 2021

Posted on by Walter Moore

On this week’s episode of MSATP TV, Bob Jennings joins Executive Director Bill Feehley to tell us about his classes TaxSpeaker Security and Preparations, Compilations and Reviews. He will be presenting both of these classes at the MSATP Annual Convention & Banquet in Ocean City, MD on June 2-3, 2021.

Watch on YouTube.

Coming Up: On Thursday, April 29th at 10 a.m., Jim Arnie will join Bill Feehley on MSATP TV to give us a wrap up on the legislative session in Annapolis. Tune in on Facebook for one last up date on the 2021 legislative session.

American Rescue Plan Tax Credits Available to Small Employers to Provide Paid Leave to Employees Receiving COVID-19 Vaccines; New Fact Sheet Outlines Details | IR-2021-90

The Internal Revenue Service and the Treasury Department announced today further details of tax credits available under the American Rescue Plan to help small businesses, including providing paid leave for employees receiving COVID-19 vaccinations.

The additional details, provided in a fact sheet released today, spell out some basic facts about the employers eligible for the tax credits. It also provides information on how these employers may claim the credit for leave paid to employees related to COVID-19 vaccinations

Eligible employers, such as businesses and tax-exempt organizations with fewer than 500 employees and certain governmental employers, can receive a tax credit for providing paid time off for each employee receiving the vaccine and for any time needed to recover from the vaccine. For example, if an eligible employer offers employees a paid day off in order to get vaccinated, the employer can receive a tax credit equal to the wages paid to employees for that day (up to certain limits).

For more information, click here.

Second Round of Economic Impact Payments | 2021-04

The Coronavirus Response and Relief Supplemental Appropriations Act Second Round Economic Impact Payment data are now available on SOI’s Tax Stats Web page. The Coronavirus Response and Relief Supplemental Appropriations Act, enacted in December 2020, created a second round of advance cash payments to individuals. These tabulations provide data on the second round of Economic Impact Payments by adjusted gross income, State, and marital status. Data on the third round of Economic Impact Payments from the American Rescue Plan Act of 2021 will be available at a later date.

For more information, click here.

Taxpayer Should File Their Tax Return on Time Even if They Can’t Pay Their Tax Bill in Full | Tax Tip 2021-53

Taxpayers should file their tax return by the deadline even if they cannot pay the full amount due.

If an individual taxpayer owes taxes, but can’t pay in full by the May 17, 2021 deadline, they should:

File their tax return or request an extension of time to file by the May 17 deadline.

  • People who owe tax and do not file their return on time or request an extension may face a failure-to-file penalty for not filing on time.
  • Taxpayers should remember that an extension of time to file is not an extension of time to pay. An extension gives taxpayers until October 15, 2021 to file their 2019 tax return, but taxes owed are still due May 17, 2021.

For more information, click here.

Digital Advertising Gross Revenues Tax and Tobacco Tax Alterations and Implementaion | SB 787

Due to the broad interpretation of what “digital goods” were subject to a new sales tax in HB932 of 2020, the MDCC formed a working group of tax experts to develop a set of recommended amendments providing clarity in the law. After much work, amendments on two major issues were agreed upon and included in SB 787, which passed Monday night and awaiting review from the Governor.

The amendments do two things:

  • Clarify that a taxable “digital product” does not include educational instruction or seminars conducted by educational institutions or professional organizations and business associations.
  • Clarify that certain types of computer software and related services are not taxable, where the purchase involves software that is unusable until it is configured or modified as necessary to perform the required functions and for the software to operate as intended. This is often referred to as “enterprise software” used by businesses.

For more information, click here.

Computer a Little Slow? A Possible Solution!

Posted on by Walter Moore

by Walter Moore

With these new laptops out here, especially the higher end workhorses good can be made better! If you have an older premium end laptop, you probably paid a nice amount money when you purchased it. As time goes on and applications get bigger and more advanced you may notice your computer slowing down. This is due to how much RAM or memory the application uses for the newer and more advanced features.

Most premium end laptops do not come maxxed out on memory as surprisingly as that sounds. So if you find it being slow, if you are into working on your own computer you can open up the computer and take out the “stock memory” and put in a larger and more capable set of memory cards. So if your computer’s motherboard can handle up to 32 GB and you only have 16 GB of memory you have plenty of room for growth. This will not only be a simple upgrade but it will save you from buying a new laptop for another few years.

Be mindful there is a lot of different types of memory cards out there and you will need to see the capacities of your motherboard. The best place to start is to look up your computer’s model number so you can see what type of memory card you need and what the maximum is. Another resource is your IT support company as they will be able to do the research and possibly the install.

I hope this tip saves you money and helps you to get a little more life out of your current computer before replacement.

If you’d like to reach out to me, please do so a walter@msatp.org.

 

News for Your Week Ahead: April 16, 2021

Posted on by Walter Moore

On this week’s episode of MSATP TV, John Kennedy joins Executive Director Bill Feehley to tell us about his class Creating a Culture of Measurement and Metric. He will be presenting at the MSATP Annual Convention & Banquet in Ocean City, MD on June 1, 2021.

Watch on YoutTube.

Coming Up: On Tuesday, April 20th at 10 a.m., Bob Jennings will join Bill Feehley on MSATP TV to discuss his presentations at MSATP’s Annual Convention: TaxSpeaker Security and TaxSpeaker Preparation, Compilations and Reviews. Tune in on Facebook for information on this exciting event!

Comptroller Franchot: Revised Individual Tax Forms are Ready | Taxpayers Eligible to Subtract Unemployment Benefits Must Use Maryland Form 502LU

Comptroller Peter Franchot announced today that all individual Tax Year 2020 tax forms have been updated and are ready for use by taxpayers and tax preparers, effective immediately.

Ordinarily, April 15 would be the deadline for filing federal and state income taxes, but those due dates have been pushed back due to emergency legislation in Annapolis and Washington, D.C., that required extensive changes to the current year tax forms.

The tax forms ready for use as of today (April 15) are:

  • 502 Maryland Resident Income Tax Return
  • 502CR Maryland Personal Income Tax Credits for Individuals and Instructions
  • 502LU Legislative Updates Addition/Subtraction Modifications *(New Form)*
  • 502X Maryland Amended Tax Form and Instructions
  • 505 Nonresident Income Tax Return
  • 505X Nonresident Amended Tax Return

All forms will be available at www.marylandtaxes.gov. Third-party tax software vendors will have the updated forms available once they have successfully completed all necessary testing.

In just over two months since the start of the tax season, the Comptroller’s Office has processed more than 1.7 million tax returns and issued $1.17 billion in refunds to approximately 1.22 million taxpayers.

For more information, click here.

Revenue Ruling 2021-08 | RR-2021-08

Revenue Ruling 2021-08 provides various prescribed rates for federal income tax purposes including the applicable federal interest rates, the adjusted applicable federal interest rates, the adjusted federal long-term rate, and the adjusted federal long-term tax-exempt rate. These rates are determined as prescribed by § 1274.

The rates are published monthly for purposes of sections 42, 382, 412, 642, 1288, 1274, 7520, 7872, and various other sections of the Internal Revenue Code.

Revenue Ruling 2021-08 will be in IRB:  2021-18, dated May 3, 2021.

For more information, click here.

Important Information Regarding Certain Filing and Payment Deadlines in Virginia: New Individual Income Tax Filing and Payment Deadline | Virginia Tax Bulletin 21-5

Individual income tax returns and payments required to be made with such returns for Taxable Year 2020 that were originally due May 1, 2021, are now due on or before May 17, 2021. As a result, no penalties will apply so long as a return is filed and full payment is made by May 17, 2021. In addition, pursuant to Virginia Tax’s authority to waive the accrual of interest during a declared state of emergency in the commonwealth, no interest will apply so long as a return is filed and full payment is made by May 17, 2021.

The new filing and payment deadline for certain Taxable 2020 returns applies to composite returns filed on behalf of nonresident owners. However, all other Virginia tax payment, withholding, and filing deadlines remain the same, including the requirement for calendar year filers to make their first estimated payments for Taxable Year 2021 by May 3, 2021.

For more information, click here.

Claiming The Employee Retention Credit in The First and Second Calendar Quarters 2021 | COVID Tax Tip 2021-49

IRS issued guidance for employers claiming the employee retention credit under the Coronavirus Aid, Relief, and Economic Security Act modified by the Taxpayer Certainty and Disaster Tax Relief Act of 2020.

Notice 2021-23 explains the changes for the first and second calendar quarters of 2021, including:

  • the increase in the maximum credit amount
  • the expansion of the category of employers that may be eligible to claim the credit
  • modifications to the gross receipts test
  • revisions to the definition of qualified wages
  • new restrictions on the ability of eligible employers to request an advance payment of the credit

Eligible employers can now claim a refundable tax credit against the employer share of Social Security tax equal to 70% of the qualified wages they pay to employees after December 31, 2020, through June 30, 2021. Qualified wages are limited to $10,000 per employee per calendar quarter in 2021. The maximum employee retention credit available is $7,000 per employee per calendar quarter, for a total of $14,000 for the first two calendar quarters of 2021.

For more information, click here.

IRS Letters Explain Why Some 2020 Recovery Rebate Credits are Different Than Expected | IR-2021-76 

As people across the country file their 2020 tax returns, some are claiming the 2020 Recovery Rebate Credit (RRC). The IRS is mailing letters to some taxpayers who claimed the 2020 credit and may be getting a different amount than they expected.

It’s important to remember that the first and second Economic Impact Payments (EIP) were advance payments of the 2020 credit. Most eligible people already received the first and second payments and shouldn’t or don’t need to include this information on their 2020 tax return.

People who didn’t receive a first or second EIP or received less than the full amounts may be eligible for the 2020 RRC. They must file a 2020 tax return to claim the credit, even if they don’t usually file a tax return.

For more information, click here.

Don’t Forget Those Updates!

Posted on by Walter Moore

by Walter Moore

Recently I was asked about issues with a co-workers laptop regarding functionality. We were trying to figure out why the webcam quality was low, and the device was having glitches with ethernet connectivity. The first thing that came to mind was the ethernet cord itself. Simple solution first right? Then thinking back to my career prior to joining MSATP I remembered “the drivers!”

One thing that I noticed in the past, was even the IT tech support companies people hire for small office seem to forget the drivers especially for Dell computers. Most simply do the Windows updates and consider it done in the initial setup phase. The drivers will simply be missed and you might have 5 or more on a brand new laptop! What I found especially in my time dealing with Dell computers is Dell will release their own patch updates for the various components in their own computers. This relates to the webcam, docking station, USB drivers and whole host of other components in your laptop. If you do not update the drivers you can have a list of uncorrected “bugs” on your machine that have probably been driving you nuts. If you’re like me and have a machine with graphics capabilities utilizing a GeForce brand graphics card then there are routine updates for that component as well.

If you are a Dell owner simply type “Dell updates” in the search bar next to the windows icon in the bottom of your screen to bring up the driver updating software and click check for updates. There will also be a a read out there to tell you if and when the last Dell updates were installed. Give it a try, you might install a solution for that glitch you thought you needed a new laptop or computer for.

If you have any questions please contact walter@msatp.org!

News for Your Week Ahead: April 9, 2020

Posted on by Walter Moore

On this week’s episode of MSATP TV, Rob Smith joins Executive Director Bill Feehley to tell us about his class OneNote – Your Own Personal Internet he will be presenting at the MSTAP Annual Convention & Banquet in Ocean City, MD on June 4th. Be sure to like/follow us on Facebook to catch all the MSATP TV episodes live.

Watch on YouTube. 


The Young Professionals Leadership Program Application Deadline Extended | Applications Must Be in by April 16, 2021

If you are looking to build and develop your leadership skills or have an employee you would like to recommend to MSATP’s Young Professionals Leadership Program, the deadline to apply has been extended to April 16, 2021!

The mission of this year-long educational training and development program is to encourage qualifying individuals who display leadership skills to take charge in the new wave of the accounting and tax preparation professions. This program affords employers a cost-effective option to further the development of their staff, strengthen leadership capacity, and establish pathways to leadership within their practice.

MSATP has engaged top leadership trainers to build a curriculum that specifically fosters a community of support and resource to students and young professionals who show tremendous capability and enthusiasm for the profession. Only 10 professionals and students will be accepted into the program.

For more information, click here.

IRS Provides Guidance for Employers Claiming the Employee Retention Credit for First Two Quarters of 2021 | A-2021-74

The Internal Revenue Service issued guidance for employers claiming the Employee Retention Credit under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) modified by the Taxpayer Certainty and Disaster Tax Relief Act of 2020 (Relief Act).

Notice 2021-23 explains the changes to the Employee Retention Credit for the first two calendar quarters of 2021, including:

  • the increase in the maximum credit amount,
  • the expansion of the category of employers that may be eligible to claim the credit,
  • modifications to the gross receipts test,
  • revisions to the definition of qualified wages, and
  • new restrictions on the ability of eligible employers to request an advance payment of the credit.

As a result of the changes made by the Relief Act, eligible employers can now claim a refundable tax credit against the employer share of Social Security tax equal to 70% of the qualified wages they pay to employees after Dec. 31, 2020, through June 30, 2021. Qualified wages are limited to $10,000 per employee per calendar quarter in 2021. Thus, the maximum employee retention credit available is $7,000 per employee per calendar quarter, for a total of $14,000 for the first two calendar quarters of 2021.

For more information, click here.

Treasury, IRS Provide Guidance on Tax Relief for Deductions for Food or Beverages from Restaurants | IR-2021-79

The Treasury Department and the Internal Revenue Service issued Notice 2021-25 providing guidance under the Taxpayer Certainty and Disaster Relief Act of 2020. The Act added a temporary exception to the 50% limit on the amount that businesses may deduct for food or beverages. The temporary exception allows a 100% deduction for food or beverages from restaurants.

Beginning Jan. 1, 2021, through Dec. 31, 2022, businesses can claim 100% of their food or beverage expenses paid to restaurants as long as the business owner (or an employee of the business) is present when food or beverages are provided and the expense is not lavish or extravagant under the circumstances.

For more information, please click here.

IRS Issuing Third Economic Impact Payments to Non-Filers and Most Federal Beneficiaries | COVID Tax Tip 2021-43

The IRS continues to issue the third Economic Impact Payment to eligible individuals. This includes Social Security recipients and other federal beneficiaries who do not normally file a tax return. Most of these payments will be sent electronically and received on April 7.

Most of these payments will be sent electronically – by direct deposits or to existing Direct Express cards – they should arrive on the official payment date of April 7.

This round of third payments applies to eligible Social Security retirement, survivor or disability, Supplemental Security Income, and Railroad Retirement Board beneficiaries who don’t file tax returns. In addition, many federal beneficiaries who filed a 2019 or 2020 tax return or used the Non-Filers tool last year were issued Economic Impact Payments, if eligible, during the last three weeks, along with other taxpayers.

For more information, click here.

IRS Extends Additional Tax Deadlines to May 17 | COVID Tax Tip 2021-45

Following the extension of the filing and payment deadline for individuals to May 17, 2021, the IRS announced other tax deadline extensions to the same date.

Here’s what’s affected:

Contributions to IRAs and health savings accounts

People now automatically have until May 17, 2021, to make 2020 contributions to their:

  • Individual retirement arrangements
  • Health savings accounts
  • Archer medical savings accounts
  • Coverdell education savings accounts

The deadline for reporting and paying the 10% additional tax on amounts included in gross income from 2020 distributions from IRAs or workplace-based retirement plans is now May 17, 2021. Lastly, the due date for Form 5498 series returns related to these accounts is now June 30, 2021.

2017 unclaimed refunds The law provides a three-year window to claim a refund. Normally, April 15, 2021, is the deadline to claim a refund from tax year 2017 but, the IRS has extended it to May 17, 2021. To get the unclaimed refund, a taxpayer must properly address and mail the tax return, postmarked by May 17, 2021. If a taxpayer doesn’t file a return within three years, the money becomes property of the U.S. Treasury.

Foreign trusts and estates Foreign trusts and estates with federal income tax filing or payment obligations, who file Form 1040-NR, now have until May 17, 2021.

2021 Annual Filing Season Program application deadline Tax return preparers who’d like to participate in the Annual Filing Season Program for calendar year 2021 now have until May 17, 2021, to file their application with the IRS.

No extension for estimated tax payments April 15, 2021 is still the deadline to make first quarter estimated tax payments. Withholding is automatic for most employees, but some taxpayers’ income isn’t subject to income tax withholding. These taxpayers must generally make quarterly estimated tax payments. Income that may require estimated tax payments includes:

  • Self-employment
  • Interest
  • Dividends
  • Alimony
  • Rentals

For more information, please click here.

Join the Tax Payer Advocacy Panel and Help Improve the IRS; Apply by May 14 | IR-2021-73

The Internal Revenue Service today announced it is seeking civic-minded volunteers to serve on the Taxpayer Advocacy Panel (TAP).

The TAP is a federal advisory committee that listens to taxpayers, identifies major taxpayer concerns and makes recommendations for improving IRS service and customer satisfaction.

Taxpayers interested in serving on the panel may apply between April 5 and May 14.

National Taxpayer Advocate Erin Collins recently expressed her appreciation for the contributions of TAP volunteers to improve the experience of U.S. taxpayers. “I am grateful to these citizens for volunteering their time and talent to the Taxpayer Advocacy Panel,” she said. “I am very proud of the accomplishments of the TAP last year, and I look forward to the TAP bringing its valuable taxpayer perspective in recommending changes to tax administration to achieve the quality service that taxpayers expect and deserve.”

For more information, please click here.

A Standing Desk? Give it a Try!

Posted on by Walter Moore

by Walter Moore

I remember when Varidesk was the new hot advertised item for offices when they arrived on the scene in 2013. These compact yet interesting pieces of engineering fit on just about any desk, were capable of holding two or more screens and at the squeeze of two levers and a little pull, could transform into a standing desk for a host of benefits including easing back pain brought on by sitting at a desk for long periods of time. Soon Varidesk would begin to offer other options including desks themselves that could transform.

Fast foward to 2020 and now 2021, most of us have gone to a work from home setting where we are using subpar office furniture for office use. Now I’m sure many including myself have developed new aches and pains within this setting and are looking for some relief. While a Varidesk is probably the most well known leader for these standing desk options I recently found a new little less expensive option while browsing Sam’s Club, Costco and even Amazon, an electronic standing desk. These come in a wide variety of finishings to match the house decor but their most amazing feature is now at the push of a button the table will raise and lower completely on it’s own. Once you’ve achieved the desired height you can save the setting by pushing and holding one of it’s numbered preset options. Many even have a display which lets you know how high the table is raised so you can see where it’s set and have a more precise measurement of what is going on.

Costco and Sam’s Club members can find these electric desks in the office supply sections of the stores next to where you would find office supplies and furniture. If you are a prime member with Amazon simply search “electric desk” and you will a host of styles, colors and options to choose from delivered to your door. Some desks even have wireless charging for your cell phone which I find is a nice added touch.

I hope this tip helps you relieve some of the aches and pains from the work from home environment.

If you need help please feel free to reach out to me by email walter@msatp.org.

#TechTips – Epistemology, or, How Do You Know What You Know?

Posted on by Walter Moore

A wise accountant once taught me that opinions are like a… certain part of one’s body. Everyone has this particular part, and everyone else’s smells. (It’s your nose, at least for this publication.)

What’s the point of opening this post with a crass depiction of an opinion? Because, in our profession, and in our world, we must have a handle on facts.  The truth is what the facts arei. Period.

The previous post, about logic, relied heavily on facts. If there are no facts, there can be no logic. If there are no facts and no logic, there can be no accounting.

Of course, those of us that still practice in the field of attestation might argue that accounting can’t exist without opinions either, but that is a fool’s errand because in the aggregate, opinions don’t actually exist. Ok, they exist. In the same way that a fist or one’s lap exists.  What happens to your fist when you straighten your fingers, or your lap when you stand up?  Wherever the fist and the lap goes, that’s where the opinion goes.

In all seriousness, one cannot render a professional opinion without first determining the facts of the matter.

Ahem.

Epistemology then, is a field of knowledge that seeks to distinguish fact from opinion. We are all entitled to our own opinions, but not our own facts.  As far as those opinions, we’ll just be sure to keep a window opened 😉

As in all fields of study, it’s important to start with some definitions and that is certainly true in Epistemology. The term is relatively new, about 200 years old, give or take, though the pursuit of this knowledge and its debates radiate throughout history back to Plato’s and Socrates’ time.

Here are a few terms of art in this branch of philosophy – and it’s just a few because this is meant to be a short blog post. As stated previously, the purpose of these posts is to spark your imagination and interest into learning something new.

Belief – an attitude held by an individual regarding anything they take to be “true.”

Truth – The property of being in accord with facts or reality. (“The truth is what the facts are.”ii)

Justification – The reason that someone holds a rationally admissible belief; the assumption that it is a good reason for holding something to be true.

Apriori – Knowledge obtained without experience, through reason only. Views that rely on apriori knowledge are classified as rationalist.

Aposteriori – Knowledge obtained through experience and/or is empirical in nature. Views that rely on aposteriori knowledge are classified as empiricist.

The problem of regression – one’s proposition relies on premises that themselves must be justified by other premises in an infinite loop.  Revisiting the proposition about Socrates and mortals; All men are mortal. Socrates was a man. How do we know that Socrates was a man?  Do we define a man as someone born of human parents? Can we know this about Socrates? Do we simply accept this premise as factually correct apriori?

Let’s link this concept to our profession.

If any of us have been in public practice for any length of time, you will undoubtedly encounter a taxpayer who has a gripe about their current tax preparer. Often, they will say things like, “I owe a lot in taxes and it’s all their fault.”

Really?

How do we know that this is true?

If the person in question can produce their returns, a careful examination of said returns…cannot tell us definitively whether the person paid too much, or too little in tax.  We’d need to see the source documents and the preparer’s work papers. BUT, we can intuit some information from the returns to get a sense of the situation. For example, if a person is a sole shareholder of a corporation and that person works out of their house, and that they are also the sole employee of that corporation, it’s a relatively safe bet that spending $1,500 a month in telephone expenses is probably a bunch of hooey. (That’s the technical term in the IRC.)(No…no it isn’t.)

When pressing said taxpayer on this bit of…oddness, and said taxpayer blames their accountant, you can direct the person to the taxpayer signature line and ask if that’s their signature there.

Upon their inevitable acceptance of that barest of responsibilities, we can then come to understand the following:

  1. 1. It is the taxpayer’s opinion, and not a fact, that the accountant messed up the return.
  2. 2. It is our third-party observation that the return itself is most likely not correct.
  3. 3. It is not possible to know if the accountant intentionally messed up or if the client provided the accountant with faulty information.
  4. 4. It is not possible to know if the taxpayer is being truthful, though the signs would indicate that the taxpayer is not being truthful. Though it is possible that the taxpayer misheard or misinterpreted their accountant’s advice or questions, such a mismatch isn’t likely to be unintentional.
  5. 5. It is a weakness of our tax laws that allows such scenarios to not only exist, but to fester to the point where taxes, penalties, and interest accrue such that the taxpayer will never be clear of them.
  6. 6. You’d be an absolute fool to take that taxpayer on as a client. (That’s a fact.)  (Ok, that’s an opinion, but it’s still true.)

We relied on apriori and aposteriori knowledge to analyze this situation. We couldn’t know all the underlying facts of the matter. We had to draw from experience to reason out what was likely true and what was likely not true.

Let’s face it. We are lied to for a living. Sometimes those are little lies and sometimes they are big ugly lies. Sometimes they are oversights and mistakes. Other times they are intentional.

And we need to be able to spot these lies and use our logic (couched in empathy) to persuade people to get back on the straight and narrow.

As Herman Wouk once said, “Income tax returns are the most imaginative fiction being written today.”

Well, with all due respect to Mr. Wouk, when it comes to my tax returns, I’m in the non-fiction section, and I know that you are all there with me.

As we continue our journey through the various branches of philosophy, we’ll close this post with a nod to two philosophers. One, a famous personage from history who gave us a famous quote, and the other, a veteran tax jockey from within our Society’s ranks.

Borne out of a desire to craft a proposition that did not require any justification or reliance on other statements, Renee Descartes stated, “I think, therefore, I am.”

To which my father (it’s a family firm) replied, “I am, therefore, I must pay.”

We accountants are the philosophers that Einstein spoke of. Embrace it!

Our next installment will cover the topic of Aesthetics.

If you think, then you are, then you should join us!

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Thanks, and catch you next time!

i https://en.wikiquote.org/wiki/Aron_Ra
ii Ibid. See also: http://www.aronra.com/

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