We are proud to announce that Mr. Mathias is now a member of the AICPA Tax Section. The resources, research tools and representation with the IRS through the Tax Section are valuable to our clients and will enhance our high level of our professional service.
Month: August 2014
IHSS Payments for Parent Care can be excluded: Simi, Chatsworth and Camarillo Offices
Reference: IRS Notice 2014-7 and IRC Section 131.
The IRS has recently changed their interpretation of the law in regards to taxpayers receiving payments as in-home care providers for their parents and adult children through California’s In Home Supportive Services (IHSS) program (administered by the County). In most circumstances, taxpayers can now exclude such income from their taxes. Furthermore, the IRS will allow the taxpayers to file amendments (to receive refunds) for all “open years.” (Typically three tax years back).
Please contact us immediately if you think you qualify. The amended returns must be timely filed.
Solar Energy Construction Prop 13 Exemption: Simi Valley and Chatsworth Offices
Ref: Senate Bill No. 871
Generally, new construction on an existing structure will trigger a property tax RE-ASSESSMENT under the rules of Proposition 13.
This bill exempts construction for installation of solar energy systems. Quoting from the Legislative Counsel’s Digest, “Pursuant to an authorization in the California Constitution, existing law excludes, through the 2015-16 fiscal year, from classification as “newly constructed” the construction or addition of an active solar energy system, as defined. This exclusion will be repealed on January 1, 2017.”
Read the full bill at http://leginfo.legislature.ca.gov.
