IRS ISSUES ANOTHER WARNING

Another strong warning from the IRS is alerting taxpayers to phone scams that have already resulted in 90,000 complaints and the theft of millions of dollars. Here's how the typical scam works: The caller claims to be from the IRS and, using hostile and abusive language, demands immediate payment of taxes by a prepaid debit card or wire transfer. The IRS reminds taxpayers it will never contact you by phone about owed taxes; the first contact will be by mail. It will never ask for credit, debit, or prepaid card information in a phone call, and it will never request immediate payment over the phone.

DRIVING FOR CHARITY

If you drive your car on behalf of a charitable organization and there is no element of personal pleasure, recreation, or vacation involved, you may take a tax deduction for either your actual vehicle expenses or the standard mileage rate of 14 cents a mile, plus parking fees and tolls.

PARENTS NEED TO DO ESTATE PLANNING

For a parent, estate planning is especially important. The first priority is to make sure your children are protected in the event that something happens to you. Your estate plan should appoint guardians for your minor children, as well as provide for their financial well-being.

USE SUMMER EARNINGS FOR AN IRA

If your children have earnings from summer or after-school jobs, encourage them to open IRA accounts. The additional years of tax-free compounding can produce huge additional savings by the time your children reach retirement age.

WILL BUSINESS GROWTH BRING MORE PROFITS?

Question: My business has not been growing but it seems as though I add more people and equipment without increasing my net profit. What am I doing wrong?