Posted by Administrator Account on 7/30/2015 7:55 AM

Sarah Fischer, CPAMany families understand the value of higher education and desire to help their college-bound children accomplish this goal.

There are numerous ways in which saving and paying for college education can save income tax. The most common benefits include; tax credits, deductions, and savings plans. These incentives have different limitations on the tax benefit, qualifications for education costs and often are limited for higher income taxpayers.


Sarah J. Fischer, CPA
Grand Junction office

Posted by Administrator Account on 7/21/2015 8:55 AM

mid-year tax checkup 2015We are halfway through 2015 and it’s a good time to make some planning adjustments for tax purposes before year-end. Consider these:

1.       Per the U.S. Supreme Court ruling in June, every state must recognize same-sex marriages. Employers in states that did not previously recognize same-sex marriage should revise state income tax withholding for affected employees and review any other benefit changes per the ruling.

2.       Examine your financials for the first half of the year and ask: Do you/will you have enough cash to pay your estimated tax bill? Should you increase or decrease estimated taxes to avoid underpayment or overpayment?

3.       Do you offer a 401(k) or other qualified retirement plan? Remember to file your 5500 forms by July 31, 2015 for the 2014 calendar-year plan.  (SEPs and SIMPLE-IRAs are exempt)

4.       Meet with your tax advisor for current year and big picture planning. Your advisor can help determine ways to save on your tax bill, clarify any regulation requirements (e.g., tangible property regs, Affordable Care Act), and how to implement any changes before year end. Starting or reviewing your big picture plans now will provide you time for needed budget or business plan adjustments.


Posted by Administrator Account on 7/15/2015 10:24 AM

Dalby, Wendland & Co., P.C. is pleased to announce the following staff promotions:

Michael B. West, CPAMichael B. West, CPA, to Associate Principal

Michael West is a certified public accountant with Dalby, Wendland & Co., P.C.’s in Glenwood Springs. Originally from Montrose, Mike graduated summa cum laude from Western State College in Gunnison. Since joining the Firm in 2004, he has developed expertise in business and individual taxation and extended his skills to business and financial consulting, business projections and forecasts, and estate and tax planning. His client base reflects a variety of industries including medical, healthcare, real estate development, lodging, and recreational. He is a member of the American Institute of CPAs and Colorado Society of CPAs. Mike is active and involved in the community, serving on the board of directors for the local nonprofit YouthZone and coaching as an assistant football coach for Glenwood Springs High School since 2012.



Brittany A. Dreher, CPABrittany A. Dreher, CPA, to Tax Accountant Supervisor

Brittany Dreher is a certified public accountant who has been with Dalby, Wendland & Co. in Glenwood Springs for four and a half years. She is a Colorado native and graduated from Fort Lewis College in Durango with a bachelor of arts in accounting and a minor in economics. Brittany specializes in federal and multi-state taxation and tax planning for small businesses and individuals. She is active in the community as a volunteer with the Junior Achievement Program, teaching classes about financial literacy. She is a member of the Colorado Society of CPAs and American Institute of CPAs.




Brooke A. Mulchin, CPABrooke A. Mulchin, CPA, to Tax Accountant Supervisor

Brooke Mulchin, a certified public accountant, joined the Glenwood Springs office in 2013. Brooke’s expertise is in the areas of federal and multi-state taxation for individuals and small businesses. She serves various industries with fundamental skills in trusts, and farm and ranch work. Brooke has a bachelor’s degree in zoology and a master’s degree in accountancy from Colorado State University in Ft. Collins. She is a member of the American Institute of CPAs and Colorado Society of CPAs. As an animal lover, Brooke volunteers with Colorado Animal Rescue and serves on their board of directors as treasurer. 




Jeff M. Wilson, CPAJeff M. Wilson, CPA, to Audit Accountant Supervisor

Jeff Wilson, a certified public accountant, received his bachelor of science in accounting and master of business administration degrees from Rockhurst University, Kansas City.  He provides auditing and accounting services to a variety of clients and industries including nonprofit organizations, governmental entities, construction, manufacturing, and country clubs. Jeff’s work also includes services to employee benefit plans, third party health plan administration, and loan servicing. Jeff is a member of the Colorado Society of CPAs and American Institute of CPAs.  He is active with various Grand Junction community nonprofit fundraisers, is a member of the Grand Junction Lions Club, and is a board member of the Young Professionals Network of Mesa County.



James P. Heelan, CPAJames P. Heelan, CPA, to Senior Tax Accountant
James Heelan, a certified public accountant, joined Dalby, Wendland & Co.’s Glenwood Springs office in January of 2013 after graduating summa cum laude with a bachelor’s degree in accounting from Western State Colorado University in Gunnison. James specializes in small business and individual federal and multi-state taxation, and tax planning. He is a member of the American Institute of CPAs and Colorado Society of CPAs. James supports the Roaring Fork Valley community as a member and board director for local nonprofit, Racing Mules Golf Association.








Amanda E. Malinchak, CPAAmanda E. Malinchak, CPA, to Senior Tax Accountant

Amanda Malinchak, a certified public accountant, joined the Montrose office in 2012 after graduating from Fort Lewis College in Durango with a bachelor of arts in accounting. Amanda specializes in small business and individual federal and multi-state taxation, and tax planning. She is a member of the Colorado Society of CPAs.  







 

Gregory M. Ward, CPAGregory M. Ward, CPA, to Senior Tax Accountant

Gregory Ward, a certified public accountant, joined Dalby, Wendland & Co.’s Glenwood Springs office in August of 2013. He attended the University of Illinois and attained a bachelor’s degree in accountancy, with highest honors. Greg works in the areas of individual and small business federal and multi-state taxation. He is a member of the American Institute of CPAs, Colorado Society of CPAs, National Eagle Scout Association, American Mensa, and volunteers his time on weekends at the Habitat for Humanity ReStore.







 

Sonya FosterSonya Foster to Marketing Manager
Sonya Foster manages the Firm’s strategy, branding, public relations, advertising, community relations, and business development efforts.  With 18 years of professional marketing experience, Sonya has served as vice president of marketing and communications for a regional bank in western Colorado and consulted with numerous clients and industries for a marketing strategy firm. Always a community supporter, Sonya is president of Roice-Hurst Humane Society, a member of St. Mary’s Hospital SCRUBS committee and The Giving Club.






Carol BellCarol Bell to Human Resources Coordinator

Carol Bell joined Dalby, Wendland & Co. in 2012. In her HR role, Carol oversees the full administration and maintenance of human resources activities and programs, including staffing and new hire onboarding, compensation, benefits, and training. She is also responsible for HR compliance including unemployment, work comp claim reporting/administration and workplace safety. Carol is a member of Western Colorado Human Resources Association. She graduated from Camden County College in New Jersey with an associate’s degree in business administration.




We congratulate these exemplary professionals as they represent our core values of trust, respect, and responsibility in client, employee, and community relationships.

Posted by Administrator Account on 7/8/2015 7:32 AM

Ggift taxes iving a cash or other higher-value gift to family or friends is a generous way to share your wealth. However, there are specific federal tax rules you should be aware of before gifting.

  • The IRS defines a gift as “any transfer to an individual, either directly or indirectly, where full consideration (measured in money or money’s worth) is not received in return.”  Money or money’s worth is considered as Fair Market Value by the IRS under Regulation §20.2031-1.

Posted by Administrator Account on 6/29/2015 12:59 PM

capital gains and lossesWhen you sell a ‘capital asset,’ the sale usually results in a capital gain or loss. A ‘capital asset’ includes most property you own and use for personal or investment purposes.

Here are 10 facts from the IRS on capital gains and losses:

Posted by Administrator Account on 6/23/2015 9:46 AM

Best of Colorado Business Choice Awards
Dalby Wendland would like to thank our clients, colleagues, and friends for recognizing us in CoBiz Magazine’s first annual Best of Colorado Business Choice Awards. We are truly honored and we extend our sincerest congratulations to all winners, www.cobizmag.com/articles/best-of-colorado-2015.

Posted by Administrator Account on 6/17/2015 1:42 PM

summer tax write offsWhile you're enjoying the warmer weather, you can also remain diligent about business and personal tax planning. Take advantage of these summer tax-planning tips:

1: Entertain Top Business Clients
You may be eligible to write off 50% of the cost of business meals and entertainment if you entertain clients before or after a substantial business discussion. For instance, after you hammer out a business deal, you might treat a client to a round of golf and then dinner and drinks at a restaurant. The 50% limit applies to all the qualified expenses, including the amounts you pay for the client, yourself and your significant others.

Posted by Administrator Account on 6/11/2015 7:56 AM

Dalby Wendland Volunteers
       DWC Volunteers L-R: James Heelan, Leah Thomas, Dillon Washburn, Michele Johnson, Brittany Dreher, Brooke Mulchin, Marianne Peterson, Jennifer Goolsby, Greg Ward.

Dalby Wendland employees in Glenwood Springs have taken to helping famous gunfighter and gambler, Doc Holliday.
   The group has adopted the Doc Holliday Trail to maintain for hikers through the Roaring Fork Outdoor Volunteers
 program. The half-mile hiking trail leads up to Linwood Cemetery where the notorious Holliday is buried. This year’s trail upkeep list included fixing and installing new fence panels, cleaning out drainage ditches, building new water diversion dips, and other general work.



Posted by Administrator Account on 6/9/2015 9:42 AM

living trusts and willsEach decade of age brings new and different life situations for each of us. Marriage, divorce, children, wealth, and even relocation all affect our financial situation. Revocable living trusts, which allow heirs to avoid expensive and time-consuming probate court proceedings, have become increasingly popular in recent years. But unlike a will, a living trust cannot simply be signed and filed away.


If you have a living trust, or are considering one, keep in mind these seven life events requiring an update to your living trust or will.

 

Posted by Administrator Account on 6/2/2015 8:31 AM

donate-giving-backSlow-moving inventory is easy enough to discount or liquidate, but there's another option that can give you more of a benefit: donate that stock or computer equipment to charity.

A special tax rule lets C corporations take an additional tax break for donating inventory and computer gear to certain charities.

In general, when you donate inventory or property used in your business, your write-off is limited to the cost of the items or property. But under a special provision, corporations are allowed a higher deduction for gifts to organizations that serve the "ill, needy or infants."

In this case, a C corporation can deduct the cost of the donated inventory, plus half the difference between the cost and the selling price. The limit under this provision is a deduction of up to twice the cost of the items. In some cases, the deduction is worth more to a corporation than what could be gained through liquidation or discounting. (S corporations, partnerships and sole proprietorships are limited to a straight cost deduction.)

In addition to the inventory tax break, another law provides similar benefits for donations of computer technology to primary and secondary schools.

For more details about this tax break, contact your Dalby Wendland tax advisor.

Posted by Administrator Account on 5/27/2015 8:50 AM

IRS breachThe IRS announced thieves stole tax information from approximately 100,000 taxpayers using their “Get Transcript” online application.  In response, the IRS will provide free credit monitoring services for those taxpayers whose accounts were accessed. In total, they have identified 200,000 total attempts to access data and will be notifying all of these taxpayers via mail about the incident. For more on this, visit http://www.irs.gov/uac/Newsroom/IRS-Statement-on-the-Get-Transcript-Application.

 

Posted by Administrator Account on 5/21/2015 7:38 AM

Terri Sassano, CPA, CGMATechnology definitely makes our lives easier and more convenient.  With email, texting, internet, computers, smart phones, only to name a few, we have everything we need at our fingertips.  These items allow us ease and convenience for our personal and business lives.  Unfortunately, all of this wonderful and useful technology also provides new opportunities for thieves. 


Terri Sassano, CPA, CGMA
Grand Junction Office

Posted by Administrator Account on 5/14/2015 8:22 AM

health savings accountsThe IRS recently announced inflation-adjusted amounts for Health Savings Accounts (HSAs)  and high deductible health plan (HDHP) minimum deductible amounts and maximum annual out-of-pocket expenses for the 2016 calendar year.

  • The annual HSA contribution limit for self-only coverage under a HDHP is $3,350 and an individual with family coverage is $6,750. (self-only is unchanged from 2015; family is up slightly over 2015)
  • The annual deductible for a HDHP is a minimum of $1,300 for self-only coverage and $2,600 for family coverage. (unchanged from 2015)
  • The annual maximum out-of-pocket expenses (excludes premiums) for a HDHP is $6,550 for self-only coverage and $13,100 for family coverage. (up slightly over 2015)

For eligible individuals, HSAs offer a tax-favorable way to set aside funds (or have their employer do so) to meet future medical needs. Here are the key tax-related elements:


  • contributions you make to an HSA are deductible, within limits,
  • contributions your employer makes aren't taxed to you,
  • earnings on the funds within the HSA are not taxed, and
  • distributions from the HSA to cover qualified medical expenses are not taxed.

In addition, using and HSA as part of your retirement planning strategy may be beneficial. Supplementing tax-free HSA withdrawals with other sources of retirement income might allow you to take less taxable income out of vehicles such as an IRA or 401k, thus allowing you to manage your tax bracket and reduce your overall tax burden.

Consult your trusted Dalby Wendland tax advisor to further discuss the tax aspects and benefits of saving in an HSA.

Grand Junction: (970) 243-1921
Glenwood Springs: (970) 945-8575
Montrose: (970) 249-7701

Posted by Administrator Account on 5/12/2015 8:24 AM

vacation home rental taxes



Many communities in western Colorado have second homeowners in which the home is vacant for most of the year. Renting out your vacation home may help pay its mortgage or bring in some additional income. However, you should know the tax rules when doing so. Here are the basics.

Posted by Administrator Account on 5/7/2015 10:12 AM

chapter 11 bankruptcyIt is unfortunate when individuals and organizations wind up filing for Chapter 11 bankruptcy. Even more so, some of their names will likely appear on your accounts receivable list.


Depending on the details, if you act fast, you may be able to recoup your shipment of goods, or at least part of the money your company is owed. How much can you collect? If you're a secured creditor, the average is 77 cents on the dollar. Unfortunately, unsecured creditors often collect only two cents on the dollar, so whether or not you decide to take action obviously depends on the size of the receivable. Assuming it's enough to pursue, here's what you need to do.

Posted by Administrator Account on 4/29/2015 10:32 AM

amending tax returnsYou may have discovered you made an error after filing your personal tax return. Some errors warrant an amended return, others may be corrected by the IRS with no further action on your part. Here are some basic tips for amending an individual return:

  • You must use Form 1040X to correct your tax return and it must be filed by paper (cannot e-file).
  • Typically the IRS will correct math errors for you. Changes in your filing status, correcting your income, deductions, or credits may require an amended return.
  • Don’t sweat it if you forgot to attach tax forms or schedules with your return. This circumstance does not require amending your return. The IRS will most likely contact you via mail to request the missing forms.
  • Other IRS forms/schedules you use to support the amended return should also be attached to the Form 1040X.
  • If you are amending more than one tax return, you will need to prepare a separate Form 1040X for each. Mail them in separate envelopes.

If you need help, talk with a professional Dalby Wendland tax preparer or find more information online at www.irs.gov.

Posted by Administrator Account on 4/23/2015 9:51 AM

anti-fraud controls
Many small businesses (defined here as less than 100 employees) will experience some type of fraud over the course of their business’s lifecycle. The Association of Certified Fraud Examiners (ACFE) reports, “many organizations still suffer from an ‘it can’t happen here’ mindset.”

Posted by Administrator Account on 4/14/2015 8:22 AM

estate planning, willsA will is a written document detailing how you want your assets distributed after death. It serves as a blueprint for distributing your assets the way you want. However, there are some things that cannot legally be done in a will. In general, one spouse cannot disinherit another. No matter what a will states, a surviving spouse can elect to claim a certain amount of a deceased spouse's estate, which is determined by state law.

Posted by Administrator Account on 4/9/2015 7:25 AM

tax records retentionBefore shredding your old tax records, consider what may still be needed in case the IRS ever comes calling.

Read on for some basic guidelines for various tax documents.


Posted by Administrator Account on 4/8/2015 7:45 AM

Top Accounting FirmsDalby, Wendland & Co., P.C., was again honored as a 2015 Top Regional Firm in the “Mountain Region” by Accounting Today. The Mountain Region encompasses Colorado, Idaho, Montana, Utah, and Wyoming. This year, 15 firms made the list and of those, six were in Colorado. Dalby Wendland was the only Colorado firm outside of Denver to be recognized.

Accounting Today reported that services to oil and gas companies and other beneficiaries of the energy boom have helped post above average growth for many firms in this region. Dalby Wendland President Steve Carver said, “Growth and contraction in our local economies related to oil and gas is nothing new to western Colorado. We are seeing increased comfort in business growth and activity across most industry sectors we serve, especially real estate, construction, and health care. Many individuals are also putting their retirement plans back on track with trust and estate tax planning, and business succession planning.”

Carver also spoke on some specific issues the Firm is helping clients with this year, “Continuous complexities in the tax code and legislative rulings, like the Affordable Care Act and Tangible Property Regulations, are significantly altering the internal capabilities of businesses and organizations to respond. We are seeing increased involvement and consulting with our clients just to stay on top of the current regulatory environment and compliance requirements.” 

Posted by Administrator Account on 4/2/2015 8:28 AM

deducting moving expenses
If you move because of your job, you may be able to deduct the cost of the move on your tax return. In order to deduct moving expenses, your move must meet three requirements. Read on for write-off rules and which items may qualify for a deduction...

Posted by Administrator Account on 3/26/2015 9:29 AM

Chris West, CPAYou have worked hard, lived below your means and have now accumulated some hard-earned savings.  What is the most effective savings vehicle to use?  Should you fund your IRA, your 401k plan at work or use a Health Savings Account (HSA)?  Most people don’t think about an HSA as an alternative to an IRA or 401k plan, but it should be considered, if anything, as a savings vehicle to use in conjunction with other types of accounts. I will explain why, but first let’s cover a few of the basics of an HSA.

 

Christopher L. West, CPA
Grand Junction Tax Office

Posted by Administrator Account on 3/24/2015 8:41 AM

Top Colorado Accounting FirmsDalby, Wendland & Co., P.C., was recognized as a Top Colorado Accounting Firm by ColoradoBiz Magazine. Firms are ranked by number of Colorado employees. Dalby Wendland ranked 11th in the state and is the only public accounting firm headquartered in western Colorado. 

In appreciation of the acknowledgement, DWC President Steve Carver said, “Our firm founders, Walt Dalby and Wes Wendland, set the bar early on for the best client service and highest of technical expertise,” says Carver. “We continue to push the bar to help our clients and communities be successful. It is an honor to be recognized as a Top Accounting Firm. We are proud of our communities, our clients, and our team members.”

Posted by Administrator Account on 3/19/2015 8:39 AM

Job Hunting and TaxesMany people change their job in the summer. If you look for a new job in the same line of work, you may be able to deduct some of your job hunting costs.

Here are some key tax facts you should know about if you search for a new job:

  • Same Occupation.  Your expenses must be for a job search in your current line of work. You can’t deduct expenses for a job search in a new occupation.

  • Résumé Costs.  You can deduct the cost of preparing and mailing your résumé.

  • Travel Expenses.  If you travel to look for a new job, you may be able to deduct the cost of the trip. To deduct the cost of the travel to and from the area, the trip must be mainly to look for a new job. You may still be able to deduct some costs if looking for a job is not the main purpose of the trip.

  • Placement Agency. You can deduct some job placement agency fees you pay to look for a job.

  • First Job.  You can’t deduct job search expenses if you’re looking for a job for the first time.

  • Work-Search Break.  You can’t deduct job search expenses if there was a long break between the end of your last job and the time you began looking for a new one.

  • Reimbursed Costs.  Reimbursed expenses are not deductible.

  • Schedule A.  You usually deduct your job search expenses on Schedule A, Itemized Deductions. You’ll claim them as a miscellaneous deduction. You can deduct the total miscellaneous deductions that are more than two percent of your adjusted gross income.

As always, consult your local Dalby Wendland tax professional if you have questions.

Posted by Administrator Account on 3/11/2015 8:21 AM

new business open signStarting your own business can be exciting! In addition to your business plan, you’ll need to consider your federal tax obligations, including income and payroll taxes. Here are five basic tax tips that can help get your business off to a good start.

Posted by Administrator Account on 3/5/2015 11:28 AM
farming and ranching

The IRS defines farming as being in the business of cultivating, operating, or managing a farm for profit, either as owner or tenant. Farms include plantations, ranches, ranges and orchards and farmers may raise livestock, poultry or fish, or grow fruits or vegetables.

If you farm, consider these income and expense points from the IRS for tax time.

Posted by Administrator Account on 3/4/2015 10:27 AM
IRS Scams

As tax season ramps up, the IRS continues to warn taxpayers about phone, phishing, and identity theft scams. As a reminder, be wary of these schemes:

Phone Scams: Taxpayers, including the elderly and new immigrants, receive an aggressive or threatening call demanding they provide payment by credit/debit card or by giving your bank account information. The caller typically threatens the person with arrest, deportation, driver’s license revocation, or other if they don’t pay. To make the call seem more real, the scammer may have personal information like date of birth or the last four digits of the person’s Social Security number. The scammer also disguises their phone number so it looks like it’s coming from the IRS, police, or DMV. Sometimes the scammer will lure in a taxpayer by saying they have a refund coming and will trick you for personal and/or bank information.

Phishing: In this scenario, scammers may send you a fake email and/or direct you to a fake website to pay taxes they say you owe or for you to provide your personal information.

Identity Theft:  Tax time is prime time for fraudulent returns. Scammers will use someone else’s Social Security number to file a fake return and get a refund.

Remember, the IRS will never:

  • Call to demand immediate payment, nor will the agency call about taxes owed without first having mailed you a bill.

  • Use email, text messages or any social media to discuss your personal tax issue involving bills or refunds.

  • Demand that you pay taxes without giving you the opportunity to question or appeal the amount they say you owe.

  • Require you to use a specific payment method for your taxes, such as a prepaid debit card.

  • Ask for credit or debit card numbers over the phone.

  • Threaten to bring in local police or other law-enforcement groups to have you arrested for not paying.

Posted by Administrator Account on 2/25/2015 1:20 PM

IRS auditWhat are your chances of being audited? For individuals, it depends on your income. In fiscal year 2013, returns reporting income of under $200,000 stood a 0.88 percent chance of an audit. Those with incomes of $200,000 and more had a 3.26 percent chance. And if your income was $1 million or more, you had a 10.85 percent chance. While audit rates were generally down in 2013 from the previous couple of years, they're still much higher than in earlier years.

While the IRS isn't about to publish a list, there are a number of items that are known to raise the IRS's interest in a return. In addition to income, here's a list of items some tax preparers believe trigger an audit:

Posted by Administrator Account on 2/18/2015 8:24 AM

Business Records RetentionRecords retention is important for businesses and organizations for many reasons including legal disputes, employee issues, and in the case of audits. You should have an established record retention policy for the retention and destruction of documents and other records you maintain. Below are a few guidelines for keeping important business records:

  • Employee earnings: Maintain for at least four years, to meet various state and federal requirements. (However, don't throw away records that might involve unclaimed property, such as a final paycheck not claimed by a former employee.)
  • Employee time cards: Keep for at least three years if your business is subject to the Fair Labor Standards Act (engaged in interstate commerce). It is a best practice for all businesses to keep the files for several years in case questions arise.
  • Personnel records: Retain three years after an employee has been terminated.
  • Employment tax records: Keep four years from the date the tax was due, or the date it was paid -- whichever is longer.
  • Employee business expenses: For travel and transportation expenses (supported by mileage logs), expense reports, and other receipts, keep supporting documents for the three-year statute of limitations.
  • Sales tax returns: State regulations vary. Colorado is four years.
  • Business property: Records used to substantiate the cost and deductions (such as depreciation, amortization and depletion) associated with business property must be maintained to determine the basis and gain (or loss) on the sale. Keep these for as long as you own the asset, plus seven years, according to IRS guidelines.

When the time comes to destroy sensitive documents, remember to do so safely by shredding them.

Posted by Administrator Account on 2/12/2015 10:24 AM

Michael D. Brooks, CPADalby, Wendland & Co., P.C., in Grand Junction is pleased to announce Michael D. Brooks recently passed the Unified Certified Public Accountant (CPA) Examination, which is set by the American Institute of Certified Public Accountants. The Uniform CPA Examination protects the public interest by helping to ensure that only qualified individuals become licensed as U.S. Certified Public Accountants (CPAs). 

Michael came to the Grand Junction tax team as an intern in January of 2013. After attaining a bachelor’s degree in computer science in 2007 from Colorado Mesa University, he returned to CMU and earned a bachelor’s degree in accounting, graduating in May 2013. He then joined the Firm full time.

 

As a staff accountant, Michael analyzes financial information; prepares financial reports and schedules; prepares federal and state tax returns for individuals, businesses and other organizations; and he excels at research projects. He is a member of the American Society of CPAs, Colorado Society of CPAs, and enjoys being an active member of Young Professionals Network of Mesa County.

Posted by Administrator Account on 2/11/2015 10:53 AM

Form 1099-C Cancellation of DebtCancellation of all or part of a debt that is secured by property may occur because of a foreclosure, a repossession, a voluntary return of the property to the lender, abandonment of the property, or a principal residence loan modification.

Typically, if you are liable for a debt that is canceled, forgiven, or discharged, you will receive a Form 1099-C, Cancellation of Debt, and you must include the canceled amount in gross income unless you meet an exclusion or exception. If you receive a Form 1099-C but the creditor is continuing to try to collect the debt, the creditor may not have canceled the debt. You should verify with the creditor which arrangement they mean.

Read on to learn more about which debt cancellations/reductions qualify for inclusion or exclusion in your gross income...


Posted by Administrator Account on 2/5/2015 9:37 AM

taxable incomeQ: Which Income Types are Taxable and Nontaxable?

A: All income is taxable… unless the law specifically excludes it.

It is true that some do not pay taxes, however most of us have income from taxable sources such as wages and tips. Taxable income can also include noncash income from property or services (e.g., both parties in a barter exchange must include the fair market value of goods or services received as income on their tax return).

Here are some types of income not taxable except under certain conditions:

  • Life insurance proceeds paid to you are usually not taxable. However, if you redeem a life insurance policy for cash, any amount that is more than the cost of the policy is taxable.
  • Income from a qualified scholarship is normally not taxable. This means that amounts you use for certain costs, such as tuition and required books, are not taxable. However, amounts you use for room and board are taxable.
  • If you got a state or local income tax refund, the amount may be taxable. You should receive a Form 1099-G from the agency that made the payment to you. You should report any taxable refund you got even if you did not receive Form 1099-G.
  • Gifts and inheritances
  • Child support payments
  • Welfare benefits
  • Damage awards for physical injury or sickness
  • Cash rebates from a dealer or manufacturer for an item you buy
  • Reimbursements for qualified adoption expenses

If you are unsure whether a certain income type is taxable, speak with your tax advisor or visit IRS.org to review Publication 525 for more on this topic.

Posted by Administrator Account on 2/3/2015 10:57 AM

2015 GJ Chamber Banquet

DWC congratulates the 2015 Grand Junction Area Chamber of Commerce Annual Banquet Award Winners: Business of the Year, Knowles Enterprises; Small Business of  the Year, The Trophy Case; Citizen of the Year, Susan Alvillar; Community Visionary, Christy Whitney; and Young Professional of the Year, Heather Benjamin. We also congratulate Diane Schwenke, president and CEO of the GJ Chamber, for her 25 years of service to the chamber. It was an honor to attend the event and celebrate each of your accomplishments with our community business leaders.

 

Posted by Administrator Account on 1/28/2015 9:13 AM

Melissa Hoaglund, CPASince the implementation of the Affordable Care Act (ACA), many small businesses have been intrigued by the possibility they may be able to discontinue offering group health insurance and instead offer their employees a stipend to purchase individual health insurance policies on their own. However, employers and small business owners need to be aware that implementing such a plan after December 31, 2013, could cause the company to be in violation of the ACA market reform requirements. Such a violation under the ACA could subject the company to penalties equal to $100 per day per employee. Ouch!        

Read on to learn more...

Melissa Hoaglund, CPA
Grand Junction Office

Posted by Administrator Account on 1/20/2015 8:53 AM

FAFSA formMany graduating high school seniors and other college applicants will be applying for federal student aid in the next few months using the Free Application for Federal Student Aid (FAFSA) form.  The 2014 tax year, however, may pose some interesting and complicated income calculation challenges, particularly for business owners, with the implementation of the Tangible Property Regulations and issues yet to be resolved with the Affordable Care Act.

As we await further guidance from the IRS on these issues, it may be beneficial to file for extensions of your 2014 tax returns to ensure you receive the best income tax advantages, avoid penalties and report correct income information on your tax returns and FAFSA form.

   Some points to remember regarding the FAFSA form:

Posted by Administrator Account on 1/14/2015 9:29 AM

Dalby, Wendland & Co., P.C. in Glenwood Springs is pleased to announce Brittany A. Dreher, James P. Heelan, and Gregory M. Ward recently passed the Unified Certified Public Accountant (CPA) Examination, which is set by the American Institute of Certified Public Accountants. DWC would also like to recognize accountant, Brooke A. Mulchin, who passed the exam in early 2014. The Uniform CPA Examination protects the public interest by helping to ensure that only qualified individuals become licensed as U.S. Certified Public Accountants (CPAs). 

The exam consists of four sections and represents 14 hours of testing in auditing and attestation, business environment and concepts, financial accounting and reporting, and regulation. The test is one of four requirements to attain CPA licensure in Colorado – education, ethics discipline, and experience is also needed. To maintain the CPA certification, licensees are required to take annual continuing professional education courses and other opportunities for professional development.

Congratulations to:

Brittany A. Dreher, CPABrittany A. Dreher
Brittany is a senior accountant for Dalby, Wendland & Co. She is a Colorado native and graduated with her accounting degree from Fort Lewis College in Durango with a minor in economics. Brittany specializes in small business and individual federal and multi-state taxation and tax planning. She is active in the Glenwood Springs community as a volunteer in the Junior Achievement Program, teaching classes about financial literacy. She is a member of the Colorado Society of CPAs and American Institute of CPAs.




Brooke A. Mulchin, CPABrooke A. Mulchin

Brooke is a senior tax accountant with Dalby, Wendland & Co. She has a bachelor’s degree in zoology and a master’s degree in accountancy from Colorado State University in Ft. Collins. She is a member of the American Institute of CPAs and Colorado Society of CPAs. As an animal lover, Brooke volunteers with Colorado Animal Rescue.

 





 

James P. Heelan, CPAJames P. Heelan
James joined Dalby, Wendland & Co. in January of 2013 after graduating summa cum laude with a bachelor’s degree in accountancy from Western State Colorado University in Gunnison. He is a staff accountant and is a member of the American Institute of CPAs and Colorado Society of CPAs. James supports the Roaring Fork Valley community as a member and board director for local nonprofit, Racing Mules Golf Association.







                                                                                   

Gregory M. Ward, CPAGregory M. Ward

Greg is a staff accountant and joined Dalby Wendland in August of 2013. He attended the University of Illinois and attained a bachelor’s degree in accountancy, with highest honors. Greg is a member of the American Institute of CPAs, Colorado Society of CPAs, National Eagle Scout Association, American Mensa, and volunteers his time on weekends at the Habitat for Humanity ReStore.

Posted by Administrator Account on 1/6/2015 9:18 AM

The IRS recently announced annual inflation adjustments for more than 40 tax provisions, including the tax rate schedules, and other tax changes. Revenue Procedure 2014-61 provides details about these annual adjustments.

The tax items for tax year 2015 of greatest interest to most taxpayers include:

Tax Item

2015

2014

Highest tax rate of 39.6 percent

Affects singles whose income exceeds $413,200 ($464,850 for married taxpayers filing a joint return)

Affects singles whose income exceeds $406,750 ($457,600 for married taxpayers filing a joint return)

Standard deduction

$6,300 for singles and married persons filing separate returns and $12,600 for married couples filing jointly. The standard deduction for heads of household rises to $9,250

$6,200 for singles and married persons filing separate returns and $12,400 for married couples filing jointly. The standard deduction for heads of household rises to $9,100.

Limitation for itemized deductions

Begins with incomes of $258,250 or more ($309,900 for married couples filing jointly).

Begins with incomes of $254,200 or more ($305,050 for married couples filing jointly).

Personal exemption

$4,000

$3,950

Alternative minimum tax exemption

$53,600 ($83,400, for married couples filing jointly)

$52,800 ($82,100 for married couples filing jointly)

Maximum Earned Income Credit

$6,242 for taxpayers filing jointly who have 3 or more qualifying children.

$6,143 for taxpayers filing jointly who have 3 or more qualifying children.

Estates

Decedents who die during 2015 have a basic exclusion amount of $5,430,000.

Decedents who die during 2014 have a basic exclusion amount of $5,340,000.

Gifts to non-U.S. citizen spouse

The exclusion from tax on a gift to a spouse who is not a U.S. citizen is $147,000.

The exclusion from tax on a gift to a spouse who is not a U.S. citizen is $145,000.

Foreign earned income exclusion

$100,800

$99,200

Annual exclusion for gifts

$14,000

$14,000

Kiddie Tax

The amount used to reduce the net unearned income reported on a child's return that is subject to the Kiddie Tax is $1,050

The amount used to reduce the net unearned income reported on a child's return that is subject to the Kiddie Tax is $1,000.

Flexible spending arrangements (FSAs)

The annual dollar limit on employee contributions to employer-sponsored healthcare FSAs is $2,550.

The annual dollar limit on employee contributions to employer-sponsored healthcare FSAs is $2,500.

Small business health care tax credit

The maximum credit is phased out based on the employer's number of full-time equivalent employees in excess of 10 and the employer's average annual wages in excess of $25,800 for tax year 2015.

The maximum credit is phased out based on the employer's number of full-time equivalent employees in excess of 10 and the employer's average annual wages in excess of $25,400 for tax year 2014.

 

Information and details about these inflation adjustments, including others not listed above, can be found at IRS.gov in  Revenue Procedure 2014-61. As always, consult with your tax professional for guidance and planning to discuss the least tax burden your situation allows.

 

Posted by Administrator Account on 12/24/2014 8:23 AM
Posted by Administrator Account on 12/23/2014 1:43 PM

IRA remindersIf you have an IRA or may open one soon, there are some key year-end rules that you should know. Here are the top four reminders on IRAs from the IRS:

 

1.  Know the limits.  You can contribute up to a maximum of $5,500 ($6,500 if you are age 50 or older) to a traditional or Roth IRA. If you file a joint return, you and your spouse can each contribute to an IRA even if only one of you has taxable compensation. In some cases, you may need to reduce your deduction for traditional IRA contributions. This rule applies if you or your spouse has a retirement plan at work and your income is above a certain level. You have until April 15, 2015, to make an IRA contribution for 2014.

2.  Avoid excess contributions.  If you contribute more than the IRA limits for 2014, you are subject to a six percent tax on the excess amount. The tax applies each year that the excess amounts remain in your account. You can avoid the tax if you withdraw the excess amounts from your account by the due date of your 2014 tax return (including extensions).

3.  Take required distributions.  If you’re at least age 70½, you must take a required minimum distribution, or RMD, from your traditional IRA. You are not required to take a RMD from your Roth IRA. You normally must take your RMD by Dec. 31, 2014. That deadline is April 1, 2015, if you turned 70½ in 2014. If you have more than one traditional IRA, you figure the RMD separately for each IRA. However, you can withdraw the total amount from one or more of them. If you don’t take your RMD on time you face a 50 percent excise tax on the RMD amount you failed to take out.

4.  Claim the saver’s credit (retirement savings contribution credit). You may qualify for this credit if you contribute to an IRA or retirement plan. The saver’s credit can increase your refund or reduce the tax you owe. The maximum credit is $1,000, or $2,000 for married couples. The credit you receive is often much less, due in part because of the deductions and other credits you may claim.

Posted by Administrator Account on 12/17/2014 10:36 AM

congressJust in time for tax season! Congress passes tax extender legislation through 2014: http://www.journalofaccountancy.com/news/2014/dec/tax-extender-legislation-201411490.html

Posted by Administrator Account on 12/15/2014 10:25 AM

charity tax write offsAs you remember those less fortunate this holiday season, there are a few things to consider if you want to write-off your contributions:

  1. To claim a tax deduction for your gifts, you must itemize your deductions.
  2. You can only deduct gifts you give to qualified charities. You can find qualified groups at irs.gov and search for organizations eligible to receive tax-deductible charitable contributions.
  3. Gifts of money include those made in cash or by check, electronic funds transfer, credit card and payroll deduction. You must have a bank record or a written statement from the charity to deduct any gift of money on your tax return, regardless of the amount of the gift. The statement must show the name of the charity and the date and amount of the contribution. Bank records include canceled checks, or bank, credit union and credit card statements. If you give by payroll deductions, you should retain a pay stub, a Form W-2 wage statement or other document from your employer. It must show the total amount withheld for charity, along with the pledge card showing the name of the charity.
  4. Household items include furniture, furnishings, electronics, appliances and linens. If you donate clothing and household items to charity they generally must be in at least good used condition to claim a tax deduction. If you claim a deduction of over $500 for an item it doesn’t have to meet this standard if you include a qualified appraisal of the item with your tax return.
  5. You must get an acknowledgment from a charity for each deductible donation (either money or property) of $250 or more. Additional rules apply to the statement for gifts of that amount. This statement is in addition to the records required for deducting cash gifts. However, one statement with all of the required information may meet both requirements.
  6. You can deduct contributions in the year you make them. If you charge your gift to a credit card before the end of the year it will count for 2014. This is true even if you don’t pay the credit card bill until 2015. Also, a check will count for 2014 as long as you mail it in 2014.
  7. Special rules apply if you give a car, boat or airplane to charity. For more information, speak with your tax professional or visit IRS.gov.
Posted by Administrator Account on 12/10/2014 2:38 PM

2015 Standard Mileage RatesThe IRS announced today the 2015 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes.

Beginning on Jan. 1, 2015, the standard mileage rates for the use of a car, van, pickup or panel truck will be:

  • 57.5 cents per mile for business miles driven, up from 56 cents in 2014
  • 23 cents per mile driven for medical or moving purposes, down half a cent from 2014 
  • 14 cents per mile driven in service of charitable organizations
Posted by Administrator Account on 12/4/2014 12:20 PM
Jaime Martinez, CPA

Creating an effective retirement program that meets the needs of employees and owners is a complex issue. Not only are business strategies involved, such as attracting and retaining qualified employees, but a host of complex tax rules are present. To complicate matters even more, there is often a significant need for the business owner to maximize their own savings in preparation for retirement.

While there are many different retirement plan choices out there, there are some specifically designed for small businesses. Here are a few of the more common options to get you started:

 

Jaime Martinez, CPA
Grand Junction Office

Posted by Administrator Account on 12/2/2014 9:48 AM

IRS Form 1099 Reporting ManualRecently, Dalby Wendland professional, Terri Gallegos, CPA, taught an IRS Form 1099 Reporting class in Grand Junction. The seminar, hosted by Lorman Education Services, provided attendees with the latest information on best practices and processes in complying with 1099 filing requirements, forms, and IRS reporting guidelines.

The quick reference manual used in the class is now available for purchase at 50% off for interested persons/businesses. Included in the manual are current copies of the forms, completion information, and due dates. The manual is good through 2015.

For more information, or to purchase the manual, visit, http://www.lorman.com/bookstore/393567MAN?discount_code=R1543511&p=13389.

 

Posted by Administrator Account on 11/26/2014 9:19 AM

We wish you many blessings and joy -
Happy Thanksgiving from our family to yours!

Happy Thanksgiving 

Posted by Administrator Account on 11/24/2014 11:08 AM

holiday fraudIt’s easy to get swept up in the holiday hustle and bustle. Fraudsters know consumers may be less aware than usual at safeguarding their personal information and payment cards. Slow down and take time to consider these fraud prevention tips:

  1. Keep your purse and wallet secure. Make sure to use a purse that fully zips or closes. It’s easy to grab billfolds, cash, or other items from an open-top bag in a crowded, frenzied place. Men, likewise, should consider keeping your wallets in your front pocket.
  2. Make sure you receive your credit/debit card and ID back from the clerk before leaving the checkout area.
  3. If you lose your credit/debit card, call the issuing bank or go to their online site immediately to report the card lost or stolen.
  4. Keep your receipts and check them against your credit/debit card statements.
  5. Sign up for your card’s email or mobile “alerts” to monitor transactions and set notifications for purchases over the limit you have set.
  6. Make sure your computer has up-to-date virus software, firewall, operating system, and software (including browser).
  7. Don’t shop online in public places. Hackers can access the public WiFi you’re using too.
  8. Shop with established businesses you trust and can contact easily if there is a problem.
  9. Look for “https:” in the web address.  The “s” stands for private and “secure”.
  10. Watch out for emails with a link to a website for direct shopping. Go directly to the store’s site to avoid clicking on fraudulent links that look real.

Be wary of phone calls, emails, and texts from seemingly legitimate businesses or organizations that ask or threaten you to verify or resubmit personal information, including; name, address, social security number, bank account or credit/debit card information, etc. These are “phishing” scams and typically not only result in fraud, but also identity theft.

Posted by Administrator Account on 11/20/2014 9:26 AM

Top 250 Private Colorado CompaniesColoradoBiz recently announced their Top 250 Private Companies in Colorado with Dalby, Wendland & Co., P.C. making the list for the second year.  

Companies must be headquartered in Colorado and are ranked each year by gross revenues.  The published list also highlights industry type, years in business, and number of employees.

Dalby Wendland President and Firm Principal Steve Carver said, “We are honored to be among so many of Colorado’s greatest. As we celebrate 66-years in western Colorado, our Firm’s founders, Walt Dalby and Wes Wendland, would be proud of the legacy they started - one client at a time.“

A complete list of the Top Companies can be found at: http://www.cobizmag.com/colorado-lists/

Posted by Administrator Account on 11/18/2014 8:48 AM

Spirit of Western Colorado Awards

Dalby, Wendland & Co., P.C., recently announced the 2014 winners of its “Spirit of Western Colorado®” award. FCI Constructors, Inc. in Grand Junction, attorney Dan Kerst of Kerst & Strautman, P.C., in Glenwood Springs, and Flower Motor Company in Montrose each received a beautiful bronze eagle statue during a luncheon ceremony on November 7th.

Since 2004, DWC has proudly and publicly recognized individuals and businesses that create lasting legacies throughout western Colorado. The awards honor the pioneer spirit of the west, which embodies vision, skill, and a can-do attitude that contribute for the better in our communities. Congratulations to the award winners for representing the true Spirit of Western Colorado!

FCI Constructors, Inc.

FCI Constructors, Inc.

FCI has grown from its founding in Grand Junction, Colorado in 1978 to a regional leader in commercial construction with offices in Longmont, Durango, Phoenix (Arizona), Cheyenne (Wyoming), Williston (North Dakota) and Aztec (New Mexico). Operating from seven smaller offices across the region rather than traveling to building sites from a centralized hub means FCI personnel live and work in their home communities.

Recognized as one of Engineering News-Record’s Top 400 Contractors since 1998, FCI has been at the forefront of the industry in customer service, safety, technology, and sustainable building.

An employee-owned company, FCI’s 280 personnel are stockholders with a vested interest in the success of each and every client project; they work hard to provide the best value and service the  industry has to offer.

Philanthropic support and community engagement are fundamental to FCI’s corporate culture. With a rich history of giving back to not only its home communities, the company’s employee-owners offer support in the other communities they work and build in as well. FCI understands that the core values of any business are a direct reflection of its people. Driven by strong values of trust, hard work, honesty, and professionalism, FCI employee-owners, when not building client projects, can be found coaching little league, serving in leadership positions on non-profit boards of directors, fundraising for special projects, participating in service clubs, and reading with elementary school students in communities across the region.

(Pictured L-R Front: FCI representatives Clay Marshall, Stan Kiser, Cassie Retherford, Pat Hutchinson, and Mark Leyba; L-R middle: DWC representatives Sabrina Hoyt, Kat Fraser, Nate Fyock, Sarah Menge, and Lisa Thon-Kollar; L-R back: DWC representatives Chris Allen, Larry Terrell, Jaime Martinez, Melissa Hoaglund, and Chris West)


Dan Kerst

Dan Kerst

Dan was raised in Wray, Colorado.  He obtained his Juris Doctorate from the University of Denver in 1975 and shortly thereafter, moved to the Glenwood Springs area and began practicing law.   He first began practicing with Petre, Zimmerman and Shelton and eventually opened a law firm of his own – not an easy task in a small town.

Dan poured his life into the practice of law and is now recognized by his peers as one of the best attorneys in his field.  He has now been helping people through his law practice, Kerst & Strautman, P.C.,  for nearly 40 years.

Dan and his wife Lynne are parents to two sons, Jarrod and Tyler, and are grandparents to five girls (six including the next bundle of joy to enter their lives soon).  The importance of family and children is evident in Dan’s legacy. He was a founding member of the YouthZone Foundation, served on the school board for RE-1 school district, and served on the board for the Northwestern area of Youth for Christ.

 

Dan continues to be very active in the community and his church, serving on the board of elders at Mountain View Church, and helping to keep the historical integrity of the Glenwood Springs downtown district by participating in the renovation of an old police station into a building that complements the historic town. He has invested and continues to invest in the youth of the Roaring Fork Valley with the same passion with which he practices law.

[Pictured L-R front: Dan and Lynne Kerst (middle) are flanked by associates and friends Bill and Sue DeWinter (left) and Rebecca and John Shenk (right); L-R back: DWC representatives Steve Carver, Duane Antes, Lynn Kleager, Greg Keller, Lisa Cunningham, and Mark Groves]


Flower Motor Company

Flower Motor CompanyFlower Motor Company pins its roots to 1904 when Fred Flower’s great-grandfather, Sid Hartman, and great-uncle, Joe, founded Hartman Brothers. They were the first in Montrose to sell and service automobiles, becoming the agency for Ford in 1908. They later gave up the Ford Agency and went with Dodge Motor Company in 1915 and the Walter P. Chrysler franchise in 1917. Along the way, L.F. Flower married into the Hartman family and he purchased Montrose Equipment in 1968, selling to his son Fred and wife Noreen a short time later.  Renamed as Flower Motor Company, they sold International Harvester trucks and farm machinery, tractors, and Scout vehicles.

In 1973, Fred and Noreen acquired the Subaru franchise, making Flower Motor Co. the second oldest Subaru franchise in the state (today they are the oldest). In 1984, they purchased the Dodge, Chrysler and Plymouth franchise from their Hartman cousins, keeping it all in the family.

Although the Flower Motor Company name has not technically existed for 50 years, the family ownership of the automobile franchise continues with the reins now firmly in the hands of Fred and Noreen’s sons Fletcher and Fritz, who put Jeep in the line-up in 2009 and opened the new Subaru store in 2011.

Today, Flower Motor Company employs 58 people and the company keeps good brands, local ownership, and customer satisfaction at the forefront of their business’s focus. They are active in supporting the community and traditionally provide donations for students, scholarships, various organizations and events. In the prior calendar year, they contributed and committed to over $63,000. They have been recognized as one of the outstanding Chrysler dealerships in the nation and received the Stellar Performer designation from Subaru.

(L-R front: Fred Flower, Noreen Flower, and Fletcher Flower; L-R back: DWC representatives Buck Miller, Susan Fezer, and Bob Eakin)



Posted by Administrator Account on 11/13/2014 9:32 AM

Colorado Animal RescueThe holiday season is quickly approaching and as people are shopping for loved ones, Dalby, Wendland & Co. would like to ask the community to pick up much needed items for our homeless, four-legged furry friends at Colorado Animal Rescue (C.A.R.E.). Specific items C.A.R.E. needs includes:

·         Creamy peanut butter (to place in dog treats)                       

·         Moist training treats                                                       

·         Rawhides for dogs                                                                 

·         Plush toys with squeakers     

·         Canned dog and cat food (pate kitten food)                          

·         Feliway diffusers and refills (cats)

·         Cat treats and cat nip                                                                        

·         Cardboard cat scratching pads

·         Pet-safe snow salt (de-icer)                                                  

·         Kongs

·         Small storage shed

·         Heating pads                                                                          

·         Stamps

·         AAA and AA batteries

·         Laser jet ink cartridges:  HP 85A

·         Ink jet cartridges:  920XL in

·         black/yellow/magenta/blue     

·         Gently Used Items:  towels, blankets, collars, leashes, harnesses, dog sweaters and bandanas

·         Financial contributions and gift cards to Target, Walmart, & City Market           

All contributions are tax deductible!                   

DWC will accept donations from November 10th – November 25th. All donations can be dropped off at DWC’s Glenwood Springs’ office located at the Two Rivers Park Plaza building, 201 Centennial Street, Suite 300.

For questions about donations, contact DWC representatives Brooke Mulchin (BMulchin@DalbyCPA.com), Marianne Peterson (MPeterson@DalbyCPA.com), or Rita Coder (RCoder@DalbyCPA.com).

Posted by Administrator Account on 11/12/2014 1:54 PM

Dalby Wendland and neighboring businesses in the Two Rivers Park Plaza building in Glenwood Springs participated with other local community partners in this year’s Community Coat Drive. Neil-Garing Agency, Inc.; CQG, Inc.; Colorado River District; and Alpine Technologies, Inc. collected gently-used coats, hats, sweatshirts, sweaters, gloves, and boots for local families. Twenty-two bags of items were collected by the group from September to October.

DWC would like to extend our gratitude to all participating organizations for supporting our community!

Pictured: DWC employees Marianne Peterson, Tracy Barner, Janna Burk, and Michele Johnson volunteer at one of the community distribution sites.

Glenwood Springs Community Coat Drive
Posted by Administrator Account on 11/11/2014 10:14 AM

We honor the many courageous men and women who have served our country. Thank you Veterans!

US Flag

Posted by Administrator Account on 11/6/2014 9:26 AM

QuickBooks 2015If you have not heard yet, QuickBooks 2015 (QB 2015) has a built-in feature that allows Intuit to collect information about you and how you use their product. It’s called the QuickBooks Usage & Analytics Study and they collect your data by tracking your usage online.

While Intuit will most likely use the collected information for marketing and product development purposes, you DO have the option to “opt-out” of being in the study if you prefer.

Posted by Administrator Account on 11/4/2014 9:40 AM

Dlaby Wendland Glenwood Springs

Employees from DWC’s Glenwood Springs office recently participated in a Charity of Choice event, raising over $850. On Friday’s during September and October, employees paid to wear jeans at the office. All participating employees’ names were put into a drawing with the winner able to choose a local nonprofit group to donate the monies to. Staffer Renee Stump’s name was drawn and, wanting the money to go to a charity that benefits children, she chose Junior Achievement of the Roaring Fork Valley as the recipient.


Posted by Administrator Account on 10/30/2014 12:03 PM

DWC booth

Pictured L-R: DWC staffers Meghan Holdsworth and Sarajane Rossi
DWC hosted a booth at this year’s Grand Junction Area Chamber of Commerce Business Showcase . Attendees experienced great prize giveaways, various food samples, and networking. The event sold out with 92 businesses participating and a multitude of community and business individuals attending. Thank you to the GJ Chamber for another great Showcase event!

Posted by Administrator Account on 10/22/2014 9:10 AM

Melissa Hoaglund, CPA

As the need for a college degree has increased, the cost of going to college has also increased.  According to the College Board, for the 2013 - 2014 academic year, the average annual in-state tuition and fees at a public four-year college is $8,893, and the average out-of-state tuition and fees is $22,203.  The average annual tuition and fees at a private nonprofit college is $30,094.  These costs do not include room and board, books or supplies.  Because of this, parents should seriously consider saving towards these costs while their children are young.  Parents may choose from an array of tax-favored savings options.  Here is a rundown of what is available...

Melissa Hoaglund, CPA
Grand Junction Office
Posted by Administrator Account on 10/16/2014 9:02 AM

early retirment tax consequencesThe rules for retirement plans can be complex. Withdrawing money too early from your retirement plan may trigger additional taxes.  Consider these points before you decide to take money prior to reaching to age 59½:

  • If you make a withdrawal, you must report the amount you withdrew to the IRS. You may have to pay income tax as well as an additional 10 percent tax on the amount you withdrew.
  • The additional 10 percent tax does not apply to nontaxable withdrawals. Nontaxable withdrawals include withdrawals of your cost to participate in the plan. Your cost includes contributions that you paid tax on before you put them into the plan.
    • A rollover is a type of nontaxable withdrawal and is a distribution to you of cash or other assets from one retirement plan that you contribute to another retirement plan. You usually have 60 days to complete a rollover to make it tax-free.
    • There are exceptions to the additional 10 percent tax. Some of the exceptions for retirement plans are different from the rules for IRAS.
  • If you make an early withdrawal, you may need to file additional tax forms with your federal return.

Because everyone’s situation is unique, consult your local DWC tax professional about your tax exposure when looking to retire and withdrawing income from your retirement plan or investments. A certified tax professional can help you plan for the least amount of tax exposure. DWC professionals can also assist with estate and gift tax planning to help protect your assets.

Posted by Administrator Account on 9/30/2014 8:12 AM

medical and dental deductionsIf you plan to claim a deduction for your medical expenses, there are some rules that may affect your tax return. Here’s what you should know:

1. AGI threshold.  The amount of allowable medical expenses you must exceed before you can claim a deduction is 10 percent of your adjusted gross income.

2. Exception for age 65.  The AGI threshold is still 7.5 percent of your AGI if you or your spouse is age 65 or older. This exception will apply through Dec. 31, 2016.                                                                   


Posted by Administrator Account on 9/23/2014 9:13 AM

IRS Form 1099 classDalby, Wendland & Co., P.C. (DWC) is pleased to be a part of an upcoming educational opportunity, IRS Form 1099 Reporting: What You Need to Know, hosted by Lorman Education Services. This continuing education event will take place on Wednesday, October 22nd at the Grand Vista Hotel in Grand Junction. A portion of the agenda will be taught by DWC professional Terri Gallegos, CPA.

This seminar aims to provide attendees with the latest information on best practices and processes in complying with 1099 filing requirements, forms, and IRS reporting guidelines. Attendees can also obtain CPE credits by attending.

A 50% discount is available to DWC clients. Please contact our Grand Junction office at 970-243-1921 to receive the registration discount code.

Space is limited! To learn more, or to sign up, visit https://www.lorman.com/training/393567.

Posted by Administrator Account on 9/23/2014 9:05 AM

Colorado Department of Labor and EmploymentThe Colorado Department of Labor and Employment (CDLE) is requiring all employers to complete a new mandatory Affirmation of Legal Work Status Form for all new hires working in Colorado starting on or after October 1, 2014.

The form should be completed within 20 calendar days of hiring the employee and it should be kept with the hiring documentation/employment documents of that employee for the duration of their employment with that employer.

The CDLE is allowing employers to start using the form as early as September 1, 2014, however, it is required for all employers to start using on October 1, 2014.

For more information or to access the new Mandatory Affirmation Form visit the CDLE website, https://www.colorado.gov/cdle/evr.

Posted by Administrator Account on 9/16/2014 8:17 AM

DWC recruiters Kevin Hettler, Brittany Dreher, and Sonya Foster visited the Fort Lewis College Beta Alpha Psi accounting club last week. The students got to hear about accounting as a career, some recent hot topics, and got to know a little more about the DWC family. Thank you to the professors, students, and career center for having us – you inspire us and we are excited that so many bright students are interested in making accounting their career of choice!

Kevin Hettler, Brittany Dreher Fort Lewis College

Fort Lewis Beta Alpha Psi Accounting Club 

Posted by Administrator Account on 9/10/2014 7:45 AM

Lisa Thon-Kollar, CPAOwning commercial or residential rental real estate is a common investment for many Americans.  Most rental properties will produce net positive cash flow.  However, even with net positive cash flow a loss can occur, but in some cases this loss can not be deducted.   

This is because in general a rental activity falls into the category of a "passive" activity. This means that rental losses you incur in a tax year can only be deducted against passive income and not deducted against nonpassive income, such as your wages or investment income.

Continue reading to learn about active participation and its benefits...


Lisa Thon-Kollar, CPA
Grand Junction Office

Posted by Administrator Account on 9/4/2014 8:55 AM

2012 Tax SOI Report Key Points

 

The IRS recently released the 2012 Statistics of Income (SOI) for Individual Income Tax Returns report. The Report provides evidence of an improving national economy.

Key points for the 2012 tax year include:

      • Adjusted gross income (AGI)reported on individual returns increased by $726 billion to  $8.4 trillion—an 8.7% increase over 2011
      • U.S. taxpayers filed 145.9 million individual income tax returns for the 2012 tax year, a decrease of 0.4 million (down 0.3%) from 2011
  • The total tax liability increased $1.3 trillion (up 13%)
  • A few components of AGI showed decreases from 2011 and 2012:
    • Unemployment compensation (down 22.9%)
    • Cancellation of debt (down 9.9%)
    • Taxable interest (down 6.9%)
  • On the other hand, several components showed large increases for 2012:
    • Net capital gain s were up 65.4%
    • Ordinary dividends were up 33.8%
    • Rents, royalties, partnerships, estates, trusts, etc. were up 26.2%

For details and the full report, visit www.irs.gov/pub/irs-soi/12inalcr.pdf.

 
Posted by Administrator Account on 9/2/2014 1:45 PM

Roaring Fork Women's Triathlon Team

DWC would like to congratulate the Roaring Fork Women’s Triathlon Team(RFWTT) for another successful year in helping and supporting women athletes. This year RFWTT had 62 members on the team and every single member crossed the finish line at the Tri for the Cure in Denver in early August. DWC is proud to support these amazing women! For more information about RFWTT, visit online at www.roaringforktriteam.com.

Posted by Administrator Account on 8/13/2014 7:25 AM

fake irs scam alertFake IRS scams are on the upswing again and are being reported across Colorado and the nation. Fraudsters are either calling or emailing individuals and businesses and will either threaten the person/business saying they owe taxes, or they tell the potential victim they are due a tax refund.

Phone scammers are calling with a toll-free number that appears to be from the IRS. They are threatening people with deportation, arrest, having their utilities shut off, or having their driver’s license revoked. The caller is oftentimes insulting or hostile to scare their victims into giving them personal information, including credit/debit/prepaid card numbers. They use fake names, IRS badge numbers, and may even be able to recite the last four digits of a victim’s Social Security number.  

Likewise, legitimate-looking emails are being sent stating individuals or businesses can get a tax refund on their credit/debit/prepaid card. The email asks you to follow a link to solicit personal information and credit card information. DO NOT open any link or attachments as they may contain malicious code that will infect your computer.

The IRS does not initiate contact with taxpayers by email to request personal or financial information. This includes any type of electronic communication, such as text messages and social media channels. The IRS also does not ask for PINs, passwords or similar confidential access information for credit card, bank or other financial accounts. You should forward the email to phishing@irs.gov.

If you are unsure as to whether you owe taxes, have tax payment issues, or want to determine if the IRS is trying to contact you regarding a refund, call the IRS direct at 1-800-829-1040. You can also find more information at http://www.irs.gov/uac/Tax-Scams-Consumer-Alerts.

Posted by Administrator Account on 8/12/2014 12:51 PM

home office tax deductions

If you work from home, you should learn the rules for how to claim the home office deduction. This year, the IRS provided a new, simpler option to figure the deduction for business use of your home.

Here are six facts from the IRS about the home office deduction:

Posted by Administrator Account on 8/5/2014 10:17 AM

Foreign Income Reporting, Tax FormsIf you live or work outside of the U.S. or receive income from foreign sources and you are a U.S. citizen or resident, you must report income from all sources within and outside of the U.S. The rules for filing income tax returns are generally the same whether you’re living in the U.S. or abroad.

Here are five IRS tips that U.S. taxpayers with foreign income should know:

Posted by Administrator Account on 7/29/2014 7:35 AM

Dalby, Wendland & Co., P.C. is pleased to announce the following staff promotions. We congratulate these exemplary professionals as they represent our core values of trust, respect, and responsibility in client, employee, and community relationships.

Steve D. Hovland, CPA, Certified Forensic AccountantSteve D. Hovland, CPA, Certified Forensic Accountant
Steve Hovland, a certified public and forensic accountant, is promoted to principal. He brings 13 years of experience in audit and accounting services as well as forensic investigations, litigation support, and single audits. He specializes in several industries including construction, financial institutions, government, non-profit organizations, and employee benefit plans. Steve is a member of the Colorado Society of CPAs, American Institute of CPAs, Financial Managers Society, Healthcare Financial Management Association, and American College of Forensic Examiners Institute. He also serves as treasurer on the boards of Grand Junction Business Incubator and River Technology Corporation, and the finance committee of First Presbyterian Church. He holds a bachelor’s degree from Colorado Mesa University.

Cont'd...

 

Posted by Administrator Account on 7/23/2014 10:19 AM

house sale taxesTo pay or not to pay taxes on capital gains from your home sale can be confusing. If you are selling your home this year, keep these facts in mind come tax time.

  • If you have a capital gain on the sale of your home, you may be able to exclude your gain from tax. This rule may apply if you owned and used it as your main home for at least two out of the five years before the date of sale.
  • There are exceptions to the ownership and use rules. Some exceptions apply to persons with a disability, certain members of the military, and certain government and Peace Corps workers.
  • The most gain you can exclude is $250,000. This limit is $500,000 for joint returns. The Net Investment Income Tax will not apply to the excluded gain.
  • If the gain is not taxable, you may not need to report the sale to the IRS on your tax return.
  • You must report the sale on your tax return if you can’t exclude all or part of the gain. And you must report the sale if you choose not to claim the exclusion. That’s also true if you get Form 1099-S, Proceeds From Real Estate Transactions. If you report the sale you should review the Questions and Answers on the Net Investment Income Tax page on IRS.gov.
  • Generally, you can exclude the gain from the sale of your main home only once every two years.
  • If you own more than one home, you may only exclude the gain on the sale of your main home. Your main home usually is the home that you live in most of the time.
  • If you claimed the first-time homebuyer credit when you bought the home, special rules apply to the sale.
  • If you sell your main home at a loss, you can’t deduct it.

Always consult your tax advisor if you have questions or are unsure as to how your home sale may affect your tax situation.

Posted by Administrator Account on 7/17/2014 7:52 AM

Sarah Fischer, CPA

When an employer advances or reimburses an employee for business expenses, there must be appropriate documentation to support the deduction as a business expense. Otherwise, these types of payments are considered additional wage paid to the employee and thus subject to payroll and income taxes.

The savings from properly structured reimbursement arrangements can have a valuable impact on businesses and their employees. Read on for details of "accountable plans"...

 

Sarah J. Fischer, CPA
Grand Junction Office

Posted by Administrator Account on 7/7/2014 9:55 AM

got investments

Last year, some taxpayers became subject to the Net Investment Income Tax (NIIT) - a new tax for those that have investment income and total yearly income exceeding certain limits. If you have investment income, or are planning future investments, keep these four things in mind...

 

Posted by Administrator Account on 7/3/2014 9:25 AM

RFOV group photo

DWC’s Glenwood Springs office took a group volunteer day to give back to the community. Participants spent a day with Roaring Fork Outdoor Volunteers (RFOV) to build split-rail fences and widen existing trails on the Doc Holliday trail. RFOV promotes stewardship of our public lands by engaging the community in volunteer trail and restoration projects.

Volunteers included Kevin and Caryn Hettler, Brittany Dreher, Duane and Tina Antes, James Heelan, Brooke Mulchin, Leah Thomas, Caitlin Miner, Tiffanie and Carson Miller, Katy Alvarez, and Greg Ward.

For more information, or get involved, visit rfov.org.

Posted by Administrator Account on 7/1/2014 7:39 AM

PCORI fee deadlineDoes your company maintain a self-insured health plan? If you answered “yes,” you may be required to pay the Affordable Care Act PCORI fee.

Under the Affordable Care Act, insurers of specific health insurance policies and plan sponsors of applicable self-insured health plans are due an annual fee. The fee, which helps fund the Patient-Centered Outcomes Research Institute (PCORI) is required to be reported annually on the second quarter Form 720. Fees due must be paid by July 31st.

Contact your tax advisor for questions, or to see if your self-insured health plan qualifies, how to calculate the fee, and how to report/pay it, visit the PCORI fee page at IRS.gov.

Posted by Administrator Account on 6/25/2014 8:33 AM

is bartering taxableBartering is the trading of one product or service for another. Often there is no exchange of cash. Small businesses sometimes barter to get products or services they need. For example, a plumber might trade plumbing work with a dentist for dental services.

If you barter, you should know that the value of products or services from bartering is taxable income.

1. Barter exchanges.  A barter exchange is an organized marketplace where members barter products or services. Some exchanges operate out of an office and others over the Internet. All barter exchanges are required to issue Form 1099-B, Proceeds from Broker and Barter Exchange Transactions. The exchange must give a copy of the form to its members who barter and file a copy with the IRS.

2. Bartering income.  Barter and trade dollars are the same as real dollars for tax purposes and must be reported on a tax return. Both parties must report as income the fair market value of the product or service they get.

3. Tax implications.  Bartering is taxable in the year it occurs. The tax rules may vary based on the type of bartering that takes place. Barterers may owe income taxes, self-employment taxes, employment taxes or excise taxes on their bartering income.

4. Reporting rules.  How you report bartering on a tax return varies. If you are in a trade or business, you normally report it on Form 1040, Schedule C, Profit or Loss from Business.

The IRS provides information in their Bartering Tax Center in the business section on IRS.gov.

Posted by Administrator Account on 6/19/2014 8:18 AM

Denise Distel, QuickBooks ProAdvisorThe security breach like the one that occurred with Target in December 2013 is another reminder that we are all vulnerable to thieves who will do anything they can to steal your personal information.  The Federal Trade Commission reported that nearly 15 million Americans have been victims of identity theft, and on average, it costs a victim $1,173 and 175 man-hours to get their credit report straightened out.

I recently attended an identity theft webinar presented by Frank Abagnale. You may remember him – he is the real life imposter the best-selling book and movie Catch Me If You Can is based on. A clever fraudster in his younger years, Mr. Abagnale is now one of the world’s most respected authorities on forgery, embezzlement, and secure documents.

As a QuickBooks ProAdvisor working with financials, I found Mr. Abagnale’s presentation very informative. Read on for a few of his recommendations...

 

 

Denise Distel, QuickBooks ProAdvisor
Montrose office

 

Posted by Administrator Account on 6/17/2014 8:44 AM

DWC Relay For Life 2014

Dalby, Wendland’s tax and audit office in Grand Junction participated in the American Cancer Society’s Relay For Life event on Friday and Saturday, June 13th and 14th. The event, held at Long Family Memorial Park, hosted over 40 teams and hundreds of walkers. This year’s theme was Disney’s “Wish Upon a Cure” and the DWC team chose the ever-popular movie, Finding Nemo.

A special thank you to these DWC team members/supporters and their families: Lisa Thon Kollar, Pat Steele, Nikki Hanks, Ray Buttermore, Janel Boudreaux, Sabrina Hoyt, Loren Hofer, and Sonya Foster.

 

(L-R, back row: Steve Kollar, Lisa Thon Kollar, Sonya Foster, Billy Foster; middle row: Sabrina Hoyt, Pat Steele, Jeff Steele, Nikki Hanks, Kylie Hanks; front row: Grayde Hoyt, Rylie Hoyt, and DWC friends, Sandra Legg and Olivia Thurston)

 

 

Sabrina HoytDalby, Wendland & Co.

Posted by Administrator Account on 6/11/2014 9:31 AM

tip incomeVarious industries today allow their employees to collect tips. If you have tip income, the IRS expects you to report it for taxes. Here are some reminders:

  • Tips are taxable.  You must pay federal income tax on any tips you receive. The value of non-cash tips, such as tickets, passes or other items of value are also subject to income tax.
  • Include all tips on your return.  You must include the total of all tips you received during the year on your income tax return. This includes tips directly from customers, tips added to credit cards and your share of tips received under a tip-splitting agreement with other employees.
  • Report tips to your employer.  If you receive $20 or more in tips in any one month, from any one job, you must report your tips for that month to your employer. The report should only include cash, check, debit and credit card tips you receive. Your employer is required to withhold federal income, Social Security and Medicare taxes on the reported tips. Do not report the value of any noncash tips to your employer. 
  • Keep a daily log of tips.  If you prefer not to keep a hand-written log via notebook, there are various  free smartphone apps available for Android and iPhone users.
Posted by Administrator Account on 6/5/2014 7:45 AM

no dumping employees

Some employers are opting to reimburse employees for the premiums they pay for health insurance—i.e., health insurance through a qualified health plan in the health insurance exchange or outside the exchange —rather than establishing a health insurance plan for its own employees. Known as “dumping,” this strategy has been proposed as an inexpensive way to shift the expense of providing employee health care away from the employer, requiring only that the employer provide its employees with what was assumed would be tax free cash contribution to their employees towards paying their health insurance premiums. While under such arrangements an employee may have an after-tax amount applied toward health coverage or take that amount in cash compensation, these arrangements are considered to be group health plans subject to the market reforms provisions under the Affordable Care Act (ACA) and the penalty for failure to meet those provisions.

Read on to learn more about the rules and consequences of this issue... 

Posted by Administrator Account on 6/4/2014 10:41 AM

Colorado River Valley Little League

DWC is proud to sponsor the Huskers – a Colorado River Valley Little League (CRVLL) team! Glenwood Springs staffer Jennifer Street’s son, Kade, plays for the Huskers. CRVLL is a nonprofit organization developed to teach fundamental life values; emphasizing respect, sportsmanship, effort, attitude, teamwork, and determination to student athletes. To support CRVLL, or to find teams and game schedules, visit www.crvbaseball.com.

Posted by Administrator Account on 6/3/2014 2:49 PM

Colorado FlagIf you have employees, please keep in mind that it is critical to make sure you have all proper employee forms on file.  The Colorado Department of Labor is issuing notices of random audit for compliance with the Colorado Employment Verification Law (§ 8-2-122, C.R.S.).  The notice requests copies of Colorado affirmation forms on file for all current employees as well as copies of forms of identification.  Penalties due for violation of the law may result in fines up to $5,000 for a first offense.

Colorado employers are required to complete an affirmation form for all employees hired on or after January 1, 2007. For additional information on the Colorado Employment Verification Law and for copies of the affirmation form, please visit www.colorado.gov/cdle/evr.

Posted by Administrator Account on 5/13/2014 8:52 AM

home energy tax creditsCertain energy-efficient home improvements may benefit your tax and utility bills. The federal government provides energy tax credits for some improvements.

While the Non-Business Energy Property Credit expired at the end of 2013, you can still utilize the Residential Energy Efficient Property Credit… for now.

Here are the details:

  • This tax credit is 30 percent of the cost of alternative energy equipment installed on or in your home.
  • Qualified equipment includes solar hot water heaters, solar electric equipment and wind turbines.
  • There is no dollar limit on the credit for most types of property. If your credit is more than the tax you owe, you can carry forward the unused portion of this credit to next year’s tax return.
  • The home must be in the U.S. It does not have to be your main home.
  • This credit is available through 2016.
  • You must file a special form (Form 5695) to claim the credit.

As always, contact your tax professional for questions, including if you can receive state tax credits.

 


Posted by Administrator Account on 5/8/2014 2:29 PM

Mark PlantzCongratulations to Dalby, Wendland & Co. staffer Mark Plantz for his recent election to the Montrose Recreation District Board of Directors.

The Montrose Recreation District’s (MRD) purpose is to provide, manage, and maintain quality recreational facilities, programs, and services, which will enhance the learning, leisure, and recreation opportunities that promote a healthy community. In addition to evaluating the needs of district residents and constructing new facilities, the MRD provides recreation programming year-round.

Mark’s goal as a director is to help uphold the mission of the MRD by assisting the public in their decision to encourage a healthy community. He says, “I will apply a standard of ethics directly to my position within the board, striving to respect opinions of both board members and Montrose residents. I aim to focus mainly on being responsible with the funds that have been allocated and economic benefits of the recent law changes. As a new Montrose resident and employee for a local accounting firm, I want to give back to residents while being a positive influence on this community as it drastically changes and grows.”

Mark joined Dalby Wendland in 2013 after moving to Montrose from Durango. He is a graduate of Colorado Mountain College and Fort Lewis College where he attained a bachelor of science degree in accounting. Mark is an avid outdoorsman and enjoys hiking, mountain biking, camping, and snowboarding.


Posted by Administrator Account on 5/8/2014 7:44 AM

Sarah Menge, CPA

In today’s modern business environment, technology is a critical tool for production, marketing, accounting, and financial reporting; and the ability to anticipate and react to changing technology needs is essential. Upgrading or changing software can be a time consuming and expensive investment, but there are some ways to ease the transition period and make sure that you select the right product for your business. When upgrading or changing accounting software it’s important to consider the business’ current and expected future needs for financial reporting and the testing and timing of implementing changes. Read on for more details...

 

Sarah L. Menge
Grand Junction Audit Office

Posted by Administrator Account on 4/24/2014 7:43 AM