Tuesday, June 20, 2006

Employee recognition ? new spin on employee recognition ..

You probably think that employee recognition means when an employee is singled out for a great contribution and a job well done. However some people have put a new spin on employee recognition. Now the recognition is for the employee who has the worst boss. So there is a web site sponsored by the AFL-CIO that has a contest for the most awful story about an employees bad boss. Before you go to the site which I will supply the link for please read on to see why it may be a place you can do without.

Wikipedia has a great definition of the law of attraction:
"The Universal Law of Attraction is basically the notion that likes attracts like, and that means that what you focus your mind on will manifest in your reality."

What this means is that if we focus on a certain result it seems to come about. So simply stated spending time reading stories about who has the worst boss, and voting on who has the worst story, may make that your reality. I would rather focus on a pleasant employer, who is caring, thoughtful, considerate and gracious in doling out compensation. My wish for you is that the boss I just described is yours or your present employer is getting closer to that ideal. Then maybe we can go back the old idea of employee recognition such as a raise or a new corner office.

If after all that you're you are still curious about the site, or perhaps you think your story is so awful that you might win the contest then here is the site my bad boss.

Tuesday, June 13, 2006

Save or pay when you incorporate online

Today I heard from two clients who utilized the services of one of many of the companies that help people incorporate online. The individual who was disappointed had made a false assumption that because he paid an extra fee he was automatically an S Corp. He was unaware that the pretty form filled out with his corporate papers had to be signed and mailed to the IRS in order to have an s corporation. So now a year later he is looking at the prospect of paying double taxes, in his corporation and then personally.

This is why I advise my second client to pass on the additional services such as getting an ID number and the s election. you can do the same thing by filing the links that I will supply. To get an employer identification number from the IRS follow this link. In order to do an s election you can click on the following link for the form 2553.

I hope you found this helpful so that you can feel comfortable when you incorporate online, saving significant attorney's fees, and getting the right services.

Friday, June 09, 2006

Good news about the new offer in compromise

If we look hard enough at an issue there is always a positive angle. A good example of this would be the new and improved IRS offer in compromise program. I failed to mention in my post two days ago that included in the new legislation is that offers not rejected by the IRS within 24 months are considered accepted.

Due to the July 16 deadline, when the new changes will take effect, there has been an abundance of filings prior to the change. What this means is that it is very likely that the IRS will be overloaded with cases based on the the old system. Considering how antiquated their computer systems are I wouldn't be surprised if filings posted right after July 16 might not get responded to within 24 months. In fact even though I truly believe the IRS has become much improved, there has still been a wealth of stories where deadlines had passed with no action.

If one feels that they have a strong case for acceptance of their offer then I would suggest they go with it before July 16 so they do not have to make a 20% down payment. Because the strategy of hoping that there will be no response to an offer sure sounds like a longshot.

Thursday, June 08, 2006

IRS - it really is the internal revenue SERVICE

Today I was really pleasantly surprised to find the service I received from the IRS. I called on a collection matter for a client and the phone was answered with a hold time of less than a minute. We actually enjoyed the conversation and resolved more than one issue.

There is one secret that I would like to tell you about how I accomplished what I did. Most of us have a sick yuky feeling when we hear the word IRS. This might be natural but it is not helpful.
Sometimes we forget that the person representing the IRS is just that a person, usually working under conditions that they take a lot of abuse. So if we get on the phone with them with a smile on our face ( yes people feel your smile even over the phone ), you will probably get that smile back. You are then more likely to get the best possible resolution - like an abatement of penalty ! So I got on the phone with a big smile and a warm hello and by the end of the call over $ 400 of tax was abated, not bad for a twenty minute conversation(and a lot less stressful too).

Wednesday, June 07, 2006

Offer in compromise - an offer you can't refuse ?

I was really disappointed this week to find out that the IRS is changing the offer in compromise program. First let's discuss below what was really great about this program. An offer in compromise lets a taxpayer who cannot afford to pay all his taxes to make an offer to pay a percentage of what they owe. It is really government acting in a very humane manner. Just like a regular businessman will sometimes make a deal with the customer who has fallen on tough times, this program allows the same thing to happen at the IRS.

Well as of July 16 this program will not be the same anymore. If you want to make an offer in compromise you must first give a down payment of 20%. If the IRS does not accept your offer you don't get the 20% back. I'm not sure why anyone in their right mind would make an offer in that position, knowing that they might show nothing for their efforts but a loss of 20% of what they owe.

Remember the old joke that if pro is the opposite of con then what is the opposite of progress, that's right Congress. I don't know why they would want to fix a program that brings in revenue to make it so flawed that no one would want to use it anymore. When in the past few years many states have gotten bountiful tax revenues by offering amnesty we now find the IRS going in the opposite direction and making it even harder for a taxpayer to clean up his act.