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THE SMART BUSINESS OWNER’S LIST OF TAX DEDUCTIONS

For a business owner, taxes can be overwhelming and cumbersome. Tax deductions allow you to save thousands of dollars each year on your taxes and make tax filing a much more bearable experience. In this post, we'll list some of the tax deductions you can use to...

The Smart Business Owner’s List Of Tax Credits

One of the best ways to cut costs as a business owner is to take advantage of all the tax deductions and tax credits for which you're eligible. As a business owner, you're concerned with the bottom line--increasing your net profits. That probably means you spend most...

PRESS RELEASE: Cassidy Jakovickas, CPA of Fresno, CA Appointed to Intuit’s Accountant Council

Select Panel Advises on Products and Services that Accountants and Their Clients Want Most             FRESNO, CALIFORNIA – June 4, 2019 –Today, Intuit, Inc (Nasdaq: INTU) announced that Cassidy...

Beyond The Numbers: What We’ve Been Reading

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Looking Back At April

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5 Last-Minute Tips For Filing Taxes in 2019

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An Introduction To Cybersecurity for Business Owners

Keeping your sensitive business and customer data secure has never been more critical. Whether you are a small business or a national corporation, you can't relax your defenses against those criminals seeking to take advantage of lazy cybersecurity policies. Virtually...

March News Roundup

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4 Key Changes To Depreciation Under The TCJA

As the Tax Cuts and Job Act (TCJA) continues to be unraveled by tax professionals, it’s important to review the changes and their implications on business operations and tax strategies. In this article, we’ll highlight TCJA’s changes to first-year bonus depreciation,...

3 Ways A CPA Can Make Your Business Successful

It can often seem unnecessary to hire a certified public accountant (CPA) since bookkeepers and accountants are frequently believed to be the be-all-end-all for a business’ finances. However, there are certain advantages to having a CPA by your side. While we...

Even Zombies Can’t Escape The IRS

Reading Time: 2 minutes

The first income tax in the United States was assessed in 1862 to help raise funds for the American Civil War. Its rate was only a mere 3%. Today the IRS collects over $2.4 trillion each year from around 234 million tax returns. To be clear, it collects it from the living, and it collects it from the dead.  That’s right, even the dead are required to file taxes.

Let’s consider for a moment that a virus of catastrophic proportions breaks out in the Central Valley, leaving the infected to turn into the walking dead – a-la zombie style. Let’s take it a step further and imagine that your spouse (your wife in our example) gets bitten by one of those zombies and turns into one herself.

As far as tax filing is concerned, you’ll still need to file jointly if that’s how you filed pre-apocalypse. The point is, just file as you normally have but be sure to declare her as deceased. Unfortunately there’s nothing you can say or do that would change the IRS’s view on this – one more year of filing still needs to be done for her. There’s no, “She turned into a zombie, please cut me some slack” option.

zombie-girlPhoto by Gianluca Ramalho Misiti | Flickr Creative Commons

Zombie Apocalypse aside, the deceased are indeed required to file taxes for the tax year of which they have passed away. Here are just a few of the taxable items you must remember that the deceased are still accountable for:

  1. Federal, State and Local Income Tax
  2. Property Taxes
  3. Business Taxes
  4. Child Support

If there is a sizable estate or any level of complexity to your filing, please be sure to come see us (MBS Accountancy) in Fresno, CA and we’ll take care of you! We look forward to your questions and comments below.

Additional Resources:

California Links:
http://www.ftb.ca.gov/individuals/FileRt…
http://www.ftb.ca.gov/index.shtml

Federal links:
http://www.irs.gov/taxtopics/tc356.html
Local office of Federal IRS is probably your best location if you need to call: http://www.irs.gov/localcontacts/article…

http://www.irs.gov/individuals/index.htm…

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