Aurora Financial Services, Inc

Whether you have one year to catch-up on or ten years - we would love to help! Refunds can only be claimed for three prior years, but it's still important to be caught up with your tax returns. We have found that when clients are behind, they are overwhelmed and don't know where to start. Simply make an appointment today for a free consultation to help you get started!

The IRS is warning taxpayers of a new emerging scam regarding the purchase of clean energy tax credits from investments in clean energy which can reduce a buyer’s tax liability. (For example, credits for installing solar).

The IRS is seeing taxpayers file returns where unscrupulous preparers are misrepresenting the rules for claiming purchased clean energy credits as allowed by the IRA (Inflation Reduction Act) for taxpayers that ultimately can’t benefit from the claims. Those that purchase tax credits under the IRA are subject to the passive activity rules for purchased credits. Generally, this means that the credits can only offset income tax from a passive activity and most taxpayers do not have passive income or a passive income tax liability.

Taxpayers who claim credits for which they are not eligible for end up paying the credits back with penalties and interest.

Thinking of switching to solar? Let's chat! We would love to help calculate any tax credits that might earn based on your purchase.

The Secure 2.0 Act added 2 new exceptions to the 10% penalty on early distributions from qualified retirement plans and IRA’s. The penalty is now exempted from emergency personal expense distributions and a domestic abuse distribution. The distribution itself is still taxable but the 10% penalty for qualified early distributions is eliminated. Google IRS Notice 2024-55 for details.

Thinking about taking money out of a retirement plan? We always advise to come in for an appointment to discuss any tax implications. It sure can save a ton of money down the road at tax time!

Good news: Now you can do something with the college savings plan money that wasn’t spent on education. Maybe your child or grandchild didn’t choose to attend college—or maybe they received a scholarship. There’s an opportunity here to put that money back into your own hands without the tax pain.

Under legislation signed into law in January 2023, investors can roll up to $350,00 from a 529 into a Roth IRA account starting next year. Moving the funds to a Roth provides a great retirement vehicle.

For additional details, click here! Let us know if you have any questions.
https://bit.ly/45oZGAV

Have you seen what others are saying about our services? You, too, can rely on us to be friendly, knowledgeable, and thorough!

“Highly recommend! Bill was friendly, knowledgeable, and thorough. Amazing service and great pricing. Professional, too! Excellent accountant.”

Are you familiar with the three common ways in which cancellation of debt (COD) income can be tax-free? One way includes the principal residence mortgage debt exception.

Under the current rules for this exception, the borrower can have up to $750,000 of federal-income-tax-free COD income—or $375,000 if the borrower files separately—from the cancellation of qualified principal residence indebtedness. This is defined as debt that was used to acquire, build, or improve the borrower’s principal residence and is secured by that residence.

Interested in learning more? Click here for full details! Let us know if you have questions or concerns.
https://bit.ly/438mNho

If you’re a taxpayer, you have the right to challenge the IRS’s position and be heard.

Taxpayers have the right to raise objections and provide additional documentation in response to formal IRS actions or proposed actions, to expect that the IRS will consider their timely objections and documentation promptly and fairly, and to receive a response if the IRS does not agree with their position.

Learn more here!
https://bit.ly/39okDAZ

One common mistake that new businesses tend to make is mixing business and personal expenses.

It is necessary that any personal funds transferred to the business or payments received from the business be accurately recorded along with the purpose of payment (i.e. loans, contributions, income, reimbursements, etc.). The new 1099-K reporting a minimum of $600 (now delayed to next year) makes it especially important to document non-taxable income, such as payments to and from friends or family.

To learn more, click here! Reach out with questions or concerns.
https://bit.ly/3IDFP7f

There are deductions we often see in nearly every business return we prepare. They are so common that our team usually asks the taxpayer if they’ve forgotten something when we don’t see expenses in these categories, including the home office.

If you have a space in your home that is used regularly and exclusively for business purposes, you can deduct a portion of expenses related to this space, including:

• Utilities
• Internet
• Trash
• Water
• Hazard or Renters Insurance

To learn more, click here.
https://bit.ly/45uonMc

For your convenience, we’ve put together a list of financial resources that you can quickly and easily access, including:

• Financial Calculators
• Consumer Price Indexes
• Mortgage Rates at https://bit.ly/2Ik7pX3
• Kelly Blue Book

Could you benefit from these resources? If so, click here!
https://bit.ly/39okDAZ

Need a laugh?

Why would you invest in a gas station that loses money to save on taxes?

Because it's self-serving.

(From Parade Media.)

The skilled, professional, and friendly team at Aurora Financial Services Inc. believes in the value of relationships. We view every relationship with a client like a partnership and truly maintain that our success is a result of their success.

As such, we are committed to providing close, personal attention to our clients. We take pride in giving our clients the assurance that the personal assistance they receive comes from the following:
• Years of advanced training
• Technical experience
• Financial acumen

To learn more about us and what we can do for you, click here.
https://bit.ly/385zwaT

We conveniently work with many small businesses, helping in the following areas:

• Taxes
• Tax Planning
• Business Improvement
• Entity Selection
• Bookkeeping
• Payroll

If you’re a small business and could benefit from our skilled and professional assistance, then we want to hear from you today. Click here to learn what we can do for you.
https://bit.ly/3H6dsvC

Did you receive unemployment compensation in 2020? If so, you may remember that $10,200 of that was exempted from taxation on the Federal return but taxable under CO law. CO was sued for taking that position and lost. Those who paid CO taxes for unemployment compensation exempted under Federal rules in 2020 can now amend their 2020 returns and receive a refund for those taxes that were wrongly paid. Questions? Call AFS. 303-745-3962

It’s important to note that one common mistake new businesses tend to make is not understanding the impact of income on the self-employment tax (SE tax) or the earned income credit.

The SE tax is paid on business income, even if there is no ‘ordinary’ taxable income after adjustments are made. The earned income credit varies depending on the number of children and the amount of earned income, including business income.

Interested in learning more? Click here! Don’t hesitate to reach out with questions or concerns.
https://bit.ly/3IDFP7f

Did you know that there are three common ways in which cancellation of debt (COD) income can be tax-free? One way is insolvency.

Our team has seen this used more often than bankruptcy to accept COD income. If your liabilities exceed the fair market value of your assets on the day of the debt cancellation, your debt can be canceled to the extent of insolvency.

For example, if you have $20,000 in debt forgiven and your liabilities were $10,000 greater than your assets on the day of the debt cancellation, then you can exempt $10,000 of the forgiven debt from taxation.

Want to learn more? Click here for instant access to our full blog article.
https://bit.ly/438mNho

Don’t miss what others are saying about working with us. We’ll work hard to find you a big refund, too!

“I have worked with and known Bill and Melissa for several years. I travel all around the country for my job. Every year, when I file my taxes, Bill always goes way above and beyond to make sure everything is correct regarding all the states I’ve worked in. I won't trust anyone else with my finances. Thanks for finding me the biggest refund possible.”

If you’re a taxpayer, you have the right to quality service.

Taxpayers have the right to receive prompt, courteous, and professional assistance in their dealings with the IRS, to be spoken to in a way they can easily understand, to receive clear and easily understandable communications from the IRS, and to speak to a supervisor about inadequate service.

Learn more here!
https://bit.ly/39okDAZ

There are deductions we often see in nearly every business return we prepare. They are so common that our team usually asks the taxpayer if they’ve forgotten something when we don’t see expenses in these categories, including travel expenses for business-related trips.

Examples include the following:
• Meeting a customer out-of-town
• Annual shareholder meetings
• Business-related seminars
• Training

Keeping good records of why the trip was business related is imperative! For full details, click here. Remember, it’s never too early to start planning for next year’s taxes.
https://bit.ly/45uonMc

Are you a small business owner? If so, you may want to take a look at this resource: US Small Business Administration.

Click here for instant—and free—access! Additionally, we’ve put together a list of other resources to help with all of your business needs—big or small. Please let us know if you have any questions or concerns.
https://bit.ly/39okDAZ

Need a good laugh?

Why did the IRS agent always carry a ladder?

Because they wanted to be able to reach those high tax rates!

If you’re a small business owner, then you may find this resource beneficial: Small Business Development Centers—Local Assistance.

For instant access, just click here! Additionally, you’ll find other resources on this page to help make running your business more convenient and less stressful.

https://bit.ly/39okDAZ

Has it been a while since you filed a tax return? No problem! We do not charge extra for past year returns, and we even give a multi-year discount. Better yet, we also find that many of our past-due tax returns generate a refund for the taxpayer!

Please understand that this only works if you file within three years of the due date of the past-due return. For additional details, click here. Remember, time may be of the essence, so secure our professional help today—before it’s too late.

https://bit.ly/35pEa4r

For your convenience, we’ve made our quoting process more accurate! To accomplish this, we developed a form that captures what we need to know in about 98 percent of client situations.

Additionally, you’ll be happy to learn that we keep our prices competitive by:
• Having lower prices for basic forms than most other preparers provide
• Having lower prices for other forms than most other preparers provide
• Not charging for worksheets

Would you like to receive a quote from us? Simply click here to start the process. You won’t regret it!
https://bit.ly/3qmNryY

Our skilled and professional team wants to help improve the financial health of the average family by legally minimizing the monies paid out in income taxes.

To accomplish this, we continuously upgrade our skills to know the tax-saving strategies currently available, and when to implement them. We believe this requires close coordination between our team and the client to identify when new strategies are needed.

Would you like to learn more about us and what we can do for you? Click here! Please let us know if you have questions or concerns.
https://bit.ly/385zwaT

Searching for a good laugh?

Why did the IRS agent bring a flashlight to work?

Because they wanted to shed some light on your deductions!

It’s true: Business owners often feel equal parts rewarded, stressed, and confused. Good news, though: Our skilled and professional team is here to help make your entrepreneurial journey as smooth as possible.

As such, we’ve put together a valuable resource that showcases a few of the activities most people going into business will experience or want/need to know. This guide is meant to be brief and cannot possibly cover everything the new business person will encounter—but it’s still extremely helpful.

Click here for instant access. Don’t hesitate to reach out with questions or concerns.

https://bit.ly/3u01sro