President Barack Obama filed his 2008 Internal Revenue Service IRS TAX Form 1040 Income Tax Return today.
Some of the highlights to his returns are listed here:
President Obama's Donation List
United States Tax Court US TAX COURT
Internal Revenue Service IRS criminal tax evasion charges against Helio Castroneves came to a conclusion today. Federal Jury acquitted former Los Angeles Dancing with the Stars and Indy Race Car Driver on six counts of IRS Tax Evasion. Criminal tax evasion cases are processed throug the Federal District and not through the US TAX COURT system.
IRS criminal tax evasion charges against Helio Castronoves which alleged that IRS tax evasion mechanism involving Panamanian bearer share corporation called Seven Promotions to avoid and evade IRS taxes. Asset protection attorneys view these corporations as a planning device to evade taxes and protect certain class of assets from creditors.
these Panamanian bearer share corporations can be created without producing a public record of the incorporating party's name, their shares omit any identifying information about shareholders, and a person with a controlling interest can direct corporate assets to purchase various property and goods, such as real estate and cars, with minimal risk of personal detection.
Los Angeles based mall owner files for Chapter 11 business bankruptcy. According to Los Angeles Times article, one of the largest mall owners in Southern California with locations in Burbank, Northridge, Torrance and Carson has filed bankruptcy to reorganize its debt structure.
Chapter 11 Bankruptcy filings and other consumer and business bankruptcy filings by businesses located in Manhattan Beach Torrance Hermos Beach Redondo Beach Carson Gardena Lomita Lawndale Palos Verdes have seen a dramatic increase over the last 12 months period as our local economy goes through the current recessionary cycle. Chapter 11 Bankruptcy filing by General Growth Properties could have a ripple effect to other local businesses which rely on these malls for their own survival.
Chapter 11 bankruptcy attorneys provide business protection through the bankruptcy courts which typically allows a bankrupt company to hold off creditors and operate as normal while it develops a financial reorganization plan. Most Chapter 11 bankruptcy plans and Chapter 7 liquidation bankruptcies provide pay out of few cents on the dollar to its general unsecured creditors. Chapter 11 bankruptcy is available to both individuals and businesses of all size.
SUBCONTRACTOR SALES TAX
California Sales Tax Audit Attorney:
A California subcontractor who has furnished and installed materials or fixtures for a general or prime contractor must pay California sales tax on the materials cost or in the case of non U.S. contractors the retail selling price of the fixtures installed. California BOE Sales Tax rules require a subcontractor who has furnished and installed materials or fixtures for a prime contractor must pay tax on the cost of the materials or in the case of non U.S. contractors the retail selling price of the fixtures installed.
A subcontractor may not accept a resale certificate from a prime contractor for materials the subcontractor furnishes and installs. Under most circumstances, California BOE Sales Tax guidlelines state that subcontractors may also not accept a resale certificate from a prime contractor for fixtures the subcontractor furnishes and installs.
However, a subcontractor may furnish and install a fixture for a person, other than the owner of the realty, who intends to lease the fixture in place as tangible personal property and pay tax on the rental receipts. In this latter case, the subcontractor may accept a resale certificate from the lessor at the time of the transaction.
Most Sales Tax Audits for subcontractors spin off from an audit conducted on the general contractor which would disclose potential untaxed transactions among the many related companies and sub contractors in its network. In that regard, subcontractors should consider material purchase arrangements or construct their contracts with either the general contractor or the owner of realty to reduce or eliminate potential sales tax liability.
Source Document from EDD
Today is tax day - the 15th of April. If you need any last minute information you can find a lot of information here at Internal Revenue Service's website IRS TAX. Hope everyone got their IRS 1040 and California 540 tax returns filed on time. Our current income tax system has been in effect since the United States Congress (website) ratified the 16th Amendment in 1913. The following single sentence in our constitution is the genesis of the most dreaded day for most Americans:
The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration.16th Amendment Tax
The 16th amendment to the United States Constitution was proposed to the legislatures of the several States by the 61st Congress on the 12th of July, 1909, and was declared, in a proclamation of the Secretary of State, dated the 25th of February, 1913, to have been ratified by 36 of the 48 States. Ratification was completed on February 3, 1913.
Back in 1913 income tax forms were only 2 pages long. For some of us, it still is. President Obama's 2008 tax return was 43 pages long (including state return).
