The Olympics have taken center stage throughout the world for the past two weeks. For me personally, it has been a surreal experience to hear from new friends, readers of “3PL News”, from as far away as China, literally while watching China compete in an Olympic event.
Many years ago, ABC Sports here in the U.S. began its broadcasts with the familiar phrase, “The Thrill of Victory; the Agony of Defeat!” That very phrase leads us into our opening thought:
1) “Whatever it takes!” Have you been following the Olympics? Do you have a favorite athlete or favorite sport? The giant slalom? Or figure skating maybe?
The phrase above, “Whatever it Takes”, has been embodied in the spirit of every gold, silver and bronze medal winner. The white-hot desire and single-mindedness of purpose of every winner in the Olympics is not at all unlike the desire and single-mindedness of most every successful entrepreneur and business owner.
I know for myself, I have had strong goals and, honestly, I love the feel of “the push”. But at the same time, truth be told, I have coasted sometimes when I should have been pushing. And I’ve done “well enough”, but that doesn’t even get me “on the podium”. The only consolation is that in most cases, I’ve probably gotten the results I deserved. And I can’t blame anyone but the guy in the mirror if I didn’t reach my goal.
How about you? Even if you’ve had great success by most standards, did you do “whatever it takes”?
I’d love to hear from you on this.
2) We receive lots of questions about IRS audits. One of the over-riding questions we receive is, “what if I believe (or know) that the examiner made a mistake? And what if they wrongly disallowed some of my expenses?”
Believe it or not, there are actually two options for pursuing redress when an IRS examination has had an unpleasant or less-than-hoped-for conclusion.
1. Appeal of the audit – Few people realize that there is a totally separate group within the IRS, the Appeals Division, that can hear your case. If the proposed additional liability is below $25,000, the appeal can be conducted informally – sometimes by phone.
What is amazing is that over HALF of all audit cases that are brought before Appeals Division are resolved to the satisfaction of the taxpayer. This literally means that the IRS has reduced the proposal additional balance in more than 50 percent of the cases brought before it.
In order to appeal an IRS audit, the taxpayer or representative must respond within 30 days of receiving the proposed adjustment. And then the appeal itself must be submitted to the IRS within 90 days.
2. Request for “audit re-consideration” – This is a process usually reserved for situations where either documentation, information or a new avenue of appeal has become available after the normal appeal deadlines previously mentioned. There is technically no time limit for this avenue of seeking a change in the audit assessment, but most successful re-consideration appeals are those that are brought within two years of the audit assessment being finalized.
3) We love finding overlooked deductions for our logistics clients.
For truck drivers, some of the frequently overlooked deductions are those that take place at home.
So when you are summarizing your trucking expenses, be sure to include:
- Local business mileage driven by either you, your spouse or a dependent. This includes trips to the bank, to purchase trucking supplies of any kind, check on truck repairs, etc.
- Office or business furnishings that you purchased during 2013 and use for business at home. You may even qualify for a home office deduction.
- Any legal or professional fees incurred related to your business.
4) Many of you have very graciously said you would love to support our efforts in our “Truckers Million Dollar Tax Cut”. If you haven’t heard, this is our nationwide initiative to save at least $1 million in income taxes for a minimum of 2,014 drivers. If you are a driver, call us here at eTruckerTax, at 770-984-8008, and also tell your friends. If you are a company owner, fleet manager or other person that works with a number of drivers, let us know and we’ll be very happy to send you flyers to distribute or an email message that you can blast to your drivers, or both!
Just call Kristin at eTruckerTax, and she’ll be very glad to help you.
Until next time, this is Dennis Bridges with “HotShots!”
Dennis Bridges is a CPA and recognized leader in tax and financial issues for logistics professionals and logistics-based enterprises. He is the author of The Truckers Tax Relief Toolkit, and co-author of Amazon best-seller, Breaking the Tax Code, 2nd Ed.
In honor of the sacrificial work effort expended by drivers and other logistics professionals, he has created the “Truckers Million Dollars Tax Cut”, a nationwide initiative to save over $1 million in income taxes for at least 2,014 truck drivers and others. He welcomes inquiries from individual drivers and others for tax preparation.
Dennis strives to bring the maximum value to every client relationship, whether income is measured in six figures or nine figures. He is best known for reaching innovative solutions to tax and business problems.
Click here in order to:
- Address a tax or financial question for consideration by Dennis Bridges or another member of his Logistics Finance Panel.
- Get a totally FREE copy of our very own “Top 5 Tax Savings Strategies”.
- Nominate a worthy individual (or yourself!) for our panel. Please provide support for your nomination.