January 4, 2016 Happy New Year!

January 4, 2016 Happy New Year! We look forward to working with you this year and are extremely grateful for your partnership! Our 2016 business organizer is available on our website on the tax page in the services menu. We ask that you fill it out completely so that we can process your tax return without delay. Please answer all of the questions pertaining to:

• Business information- we are updating your files and would like to make sure we have the most current information

• Financial information- along with answering these questions, please upload an accountants copy of your QuickBooks file to your portal

• Inventory Worksheet- if applicable • Mileage Worksheet- if applicable • Income Tax Return- please let us know how you would like us to proceed with the payment or

refund on your behalf *Note: this document requires a signature. • Use Tax- check the box that applies to you and provide documentation • Form 1099- these forms must be provided to recipients on or before February 1, 2016 and filed

with the IRS by February 29, 2016 • Business use of your home office- for this to apply, you must have an area that you use exclusively

and regularly for business purposes • New client sheet – welcome!

For your convenience we have prepared these documents as a fillable pdf. Please upload the completed organizer and all supporting documents to your portal by January 15, 2016. You can log in to your portal by going to our website www.oaa-cpa.com and clicking the link ‘CLIENT PORTAL’ located at the top of the homepage. Again, thank you for your business and let us know if there is anything we can do to help you and your business this year!

https://oaacpa.sharepoint.com/Shared Documents/Professional Services/ACCTG/WP/Business Year End Form 2015.pdf 2

Business Organizer Business Information Name:

DBA:

Address:

Type of Entity: Contact Name:

Email: Phone:

General Questions If there has been a change to the entity’s name, address, type of entity, or contact information, please provide former and current information:

� N/A

Explain any significant changes in the entity’s business or operations:

� N/A

Schedule of beginning of year (BOY) and end of year (EOY) ownership:

Name: EIN/SSN:

Address:

Individual/Type of Entity: ¨ Foreign ¨ Domestic

BOY % Ownership: EOY % Ownership:

Name: EIN/SSN:

Address:



Name: EIN/SSN:

Address:




For each change in ownership, provide the date of the transfer, parties involved, and a description of the interest acquired or sold (common or preferred stock, general or limited partnership interest, etc.)

� N/A

Schedule of entities owned: � N/A

Name: EIN/SSN:

Address:

Type of Entity: ¨ Foreign ¨ Domestic

% Ownership: Date of Acquisition:

Name: EIN/SSN:

Address:



Name: EIN/SSN:

Address:



Check the appropriate box: N/A | Attached | OAA will prepare

� � Amendments to Articles of Incorporation, Bylaws, Partnership or Operating Agreement, Certificate of Limited Partnership, or Articles of Organization

� � Copy of notices from federal, state, or local taxing authorities with any changes

noted � � � Copy of federal and state payroll tax reports: Forms 941, 940, state unemployment

reports (IL UI-3/40 in Illinois), state withholding returns (IL-941 in Illinois), and other state returns

� � � Copy of federal and state W-3 and W-2 forms

Business meals and entertainment (m+e) are 50% deductible on your tax return except occasional employee meals, which are 100% deductible. Please list the accounts in your ledger where meals are posted:


If the m+e are not posted to separate accounts, provide the total $ amount of m+e in each account.

Check the appropriate box: Yes | No

� � Have you reimbursed yourself or any of your employees at an amount greater than the IRS standard mileage rate of $0.575 per mile for business use of their personal vehicles?

If yes, provide the details:

� � Have you paid yourself of any of your employees a flat dollar amount for using their personal vehicles for business, instead of using the standard mileage rate?

If yes, provide the details:

� � Have you paid any life insurance policies through the business?

If yes, what kind of life insurance policy is it and who are the beneficiaries?

� � Have you paid any personal expenses through the business?

If yes, what are those expenses and to which accounts are they posted?

� � If there are gasoline expenses, are they all for company owned vehicles? � � Should there be an accrual for an employer’s contribution to a retirement plan at year-end?

If yes, please provide the details.

� � Do you have cancelled checks or a receipt from the charity to support charitable

contributions?


Please list all corporate officers or partners and the percentage of time they devote to the business, i.e. full-time is 100%. Name Title Percentage of Time %

%

%

%

Financial Information Please upload an accountants copy of your QuickBooks file to your portal. You can log in to your portal by going to our website www.oaa-cpa.com and clicking the link ‘CLIENT PORTAL’ located at the top of the homepage.

Check the appropriate box: N/A | Attached | OAA will prepare

� � Support for tax credits to be claimed � � � Forms 1099 filed � � Forms 1099 received � � Schedules K-1 received � � Schedule of LIFO and/or UNICAP calculations � � For domestic production activities deduction: domestic production gross receipts,

qualified production activities income, and qualified W-2 wages, including K-1 amounts

� � Foreign income, expenses, and foreign taxes paid.

Does the corporation have any interests in foreign bank accounts or other foreign financial assets? � Yes � No

� � Schedule of estimated taxes paid for C Corporations:

Federal State Date Paid Amount Date Paid Amount

Total: Total:


**Clients who receive monthly accounting services need not prepare these marked sections.

For property and equipment acquired during the tax year, provide the following:**

Description of Property Acquired:

Date of Acquisition: Purchase Price: Trade-in Allowances:

Description of Trade-in Property:

Date of Financing: Amount Financed: Interest Rate:

1st Payment Due: Payment Amount: # of Payments:











For property disposed of during the tax year:**

Description of Property Disposed:

Date of Acquisition: Date of Disposition:

Sales Proceeds: Cost:







List creditors of existing loans and leases:

For existing loans and/or leases, provide a transaction history for the year showing the beginning and end of year principal balances, the principal and interest breakdown of each payment and the total interest paid.


Check the appropriate box: N/A | Attached

� � Detail of loans to/from owners and/or related parties � � Detail of any other related-party transactions � � Detail of any large or unusual transactions

Fringe benefits provided or paid to partners or more than 2% S corporation shareholders: Fringe Benefit: Name Premium Amount

Health Insurance

Dental Insurance

Vision Insurance

Life Insurance

Long-Term Disability

For charitable contributions made during the tax year:

Donee: Cash:

Description and FMV of Property:

Appraisal Attached: ¨ Yes ¨ No Substantiation Attached: ¨ Yes ¨ No

Donee: Cash:



Donee: Cash:




Inventory If you maintain inventory, complete the inventory worksheet on page 9 of this form.

Vehicles For all company-owned and leased vehicles with personal use, including commuting back and forth to work, complete the mileage worksheet on page 10. If you have additional vehicles, please print the mileage worksheet and prepare one for each vehicle. Please attach the additional worksheets with the submission of this document.


Inventory Worksheet

Ending inventory at cost: $ As of (date):

The market value of the inventory on the above date: $

We use the following method to identify the cost of our inventory: ¨ Specific Identification Method ¨ FIFI (First-in First-out) ¨ Other If other, please state the method:

Was there a write-down of “subnormal” goods? If so, provide details:

Was there a change in the method of determining quantities, cost, or valuations between opening and closing inventory? If so, provide details.

¨ Attached is the detail of the physical count of our ending inventory (required). Include the following items in inventory:

• Merchandise or stock in trade • Raw materials • Work in process • Finished products • Supplies that physically become a part of the item for sale

Include the following merchandise in inventory:

• Purchased inventory, if title has passed to you, even if it is in transit or if you do not have physical possession for another reason

• Goods under contract for sale that you have not yet segregated and applied to the contract • Goods out on consignment • Goods held for sale in display rooms, merchandise mart rooms, or booths away from your place of business

C.O.D. sales: If you sell merchandise where payment and delivery happen at the same time, title passes when payment is made. Include the merchandise in your inventory until the buyer pays for it. Containers such as kegs, bottles, and cases, regardless of whether they are on hand or returnable, should be includable in inventory if title has not passed to the buyer of the contents. If title has passed to the buyer, exclude the containers from the inventory. Do not include goods you have sold if the title has passed to the buyer, goods consigned to you and goods ordered for future delivery if you do not have title. Do not include supplies that do not physically become part of the item intended for sale. Goods that cannot be sold because they are damaged, broken, have imperfections or similar or secondhand goods taken in exchange should be valued at their bona fide selling price minus their direct cost of disposition no matter which method the rest of your inventory is valued at. To value inventory at cost, you must include all direct and indirect costs associated with it. For merchandise on hand at the beginning of the tax year, cost means the ending inventory price of the goods. For merchandise purchased during the year, cost means the invoice price minus appropriate discounts plus transportation charges or other charges incurred in acquiring the goods. It also includes other costs that have to be capitalized under the uniform capitalization rules of section 263A. For merchandise produced during the year, cost means all direct and indirect costs that have to be capitalized under the uniform capitalization rules.


Vehicle Mileage

Use a separate worksheet for each vehicle you use for business or investment (rentals).

Name of the Driver of the Vehicle:

Year: Make: Model:

Check the appropriate box: ¨ The listed vehicle is a company vehicle and is recorded as a fixed asset on the books of the business.

¨ This is a leased vehicle in the name of the business.

This information is only needed for the first year the vehicle is placed in service. Date Placed in Service: Beginning Odometer Reading:

Cost/FMV at Date of Purchase/Lease:

Is the vehicle still in use after 4 years? Provide the current fair market value (FMV) if so. Current FMV:

Provide the mileage for the year: ¨ January 1 – December 31

¨ November 1 – October 31

Business Mileage:

Commuting to/from Work Mileage:

Other Personal Mileage:

Total Mileage:

Beginning Odometer Reading: Ending Odometer Reading: If you want to use the standard mileage rate (SMR) for a car you lease, you must use it for the entire lease period. If you want to use the SMR for a car you own, you must choose to use it in the first year the car is available for use in your business. Then, in later years, you can choose to sue either the SMR or actual expenses.

¨ I have a mileage log and can substantiate the above mileage if needed for an IRS audit.


Income Tax Returns

Bank Information Name of Financial Institution:

Routing Number (9 digits): Account Number:

� Checking � Savings

Balance Due Instructions* � Please debit the amount due from our bank account list above on (date).

By checking this box, you give Oldenburg Accountants & Advisors permission to debit your account on or after the indicated date. This is permission for a single transaction only, and does not provide authorization for any additional unrelated debits or credits to your account.

� I will make a payment via the EFTPS.gov and/or state website. Illinois taxes can be paid at http://tax.illinois.gov in the eServices section.

* If you operate as an S-Corporation or a Partnership you normally will not owe federal tax, but you may owe state tax.

Return Review Instructions � I want to review the tax return before it is e-filed. � I do not want to review the tax return before it is e-filed.

PIN Please provide us with a 5-digit PIN which is your electronic signature:

�� You will use this PIN to sign your tax return electronically. After you have signed your return you no longer need to keep this PIN. This PIN will not be used in future years.

Client Instructions Before we will file your tax return, we will send you one of the following tax forms which must be signed and dated by a person (officer, general partner, etc.) authorized to act on behalf of the entity. Please upload the signed and dated form to your portal.

• IRS form 8879-S, IRS e-file signature authorization for Form 1120S • IRS form 8879-C, IRS e-file signature authorization for Form 1120 • IRS form 8879-PE, IRS e-file signature authorization for Form 1065

Please print this page, sign it, and upload it to your portal. You can log in to your portal by going to our website www.oaa-cpa.com and clicking the link ‘CLIENT PORTAL’ located at the top of the homepage.

Signature Date


Use Tax

Use tax is a type of sales tax which is to be paid to the state on tangible personal property purchased outside of the state where you transact your business which you have not paid sales tax and that would be taxable if purchased in your state. Purchases made through a catalog or on the internet are examples of purchases where there may have been no sales tax collected.

For Illinois If your total use tax liability for the year is $600.00 or less, the tax can be paid by April 15th of the following year by filing form ST-44, Illinois Use Tax Return, with the Illinois Department of Revenue. If you are required to file forms ST-1 with the Illinois Department of Revenue, you are required to pay your use tax with the ST-1 returns. In order to prepare your Illinois Use Tax Return, please provide us with the following information.

� Attached are the receipts for purchases with no sales tax paid.

� Attached is a worksheet listing the purchases: date, vendor and amount.

� We did not make purchases during 2015 without paying sales tax.

Other States Name of State:

In order to fulfill your use tax filing requirements, please provide us with the following information.

� Attached are the receipts for purchases with no sales tax paid.

� Attached is a worksheet listing the purchases: date, vendor and amount.

� We did not make purchases during 2015 without paying sales tax.


Forms 1099

A 1099-MISC is required to be filed for each person to whom you have paid at least $600 in rents, services (including parts and materials), prizes and awards, or other income payments made in the course of your trade or business. Payments made to independent contractors (nonemployee compensation) are reported on form 1099-MISC. Nonemployee compensation includes fees, commissions, prizes and awards for services performed for your trade or business by an individual who is not your employee. The following are some examples of payments to be reported:

• Professional service fees, such as fees to attorneys, accountants, contractors, etc. • Fees paid from one professional to another such as fee-splitting or referral fees • Payments for services, including payment for parts or materials used to perform the services if

supplying the parts or materials was incidental to providing the service • A fee paid or travel reimbursement for which the nonemployee did not account to the payer • Exchanges of services between individuals in the course of their trades or businesses

Payments to a corporation, except medical and health care payments and attorney fees paid, are not required to be reported. Reporting is required for all payments to partnerships. The forms 1099 must be provided to the recipients on or before February 1, 2016 and must be filed with the Internal Revenue Service by February 29, 2016 or March 31, 2016 if filing electronically. Use IRS form W-9 to request the information needed to issue the 1099 form. Ask the recipient to provide this information before you make payment. It is often difficult and very time consuming to get the information after the recipient has their money. You can find IRS form W-9 on our website at http://www.oaa-cpa.com/tax/tax-forms/. This is not all inclusive. There are other examples that may apply to a 1099 form being required.

Provide us with the following information for each 1099-MISC form you are required to file:

Recipient’s Full Name: SSN/FEIN:

Address:

Amount Paid: Purpose of Payment:


Address:



Address:



Address:




Address:



Address:



Address:



Address:



Address:



Address:



Address:



Address:



Address:



Address:



Business Use of Your Home Office

Address of Home Office:

� Shareholder of Corporation � Partner of Partnership � Sole Proprietor/Single Member LLC An individual cannot take a home office deduction for leasing a portion of his home to his employer. No deduction is allowed when a shareholder rents a portion of his residence to the corporation except mortgage interest and real estate taxes which are still deductible in full on Schedule A, if applicable. If the home office space meets the above requirements, the employer can reimburse the employee for direct expenses and an allocated amount for utilities and maintenance. Direct expenses are expenses only for the business part of the home, such as painting or repairs in the area used only for the business. Indirect expenses are expenses for keeping up and running the home such as utilities, general repairs, and insurance.

Qualifications To qualify to deduct expenses for business use of your home, you must use part of your home: � Exclusively and regularly as your principal place of business

� Exclusively and regularly as a place where you meet or deal with patients, clients, or customers in the normal course of your trade or business

� In the case of a separate structure which is not attached to your home in connection with you trade or business

� On a regular basis for certain storage use

� To qualify as exclusive use, you must use a specific area only for trade or business.

� To qualify as regular use, you must use the area on a regular basis; incidental or occasional use is not regular use.

Square Footage Area used regularly and exclusively for business:

Area used for storage of inventory or product samples:

Total area of home:

Direct Expenses Fill in the amount you paid personally this tax year; do not include expenses paid by your business:

Repairs and maintenance to the business-only area: $

Other direct expenses – describe: $

Indirect Expenses Fill in the amount you paid personally this tax year:

Homeowners Insurance: $ Security System: $

Utilities: $ Housekeeper: $

Rent: $ Repairs/Maintenance for entire home (excluding lawn care): $

Other indirect expenses – describe: $


New Clients

Check the appropriate boxes. Please upload the supporting documentation to your portal. You can log in to your portal by going to our website www.oaa-cpa.com and clicking the link ‘CLIENT PORTAL’ located at the top of the homepage. N/A | Attached | OAA will prepare

� � Federal, state, and local tax returns for prior 3 years, including amended returns � � Articles of Incorporation, Bylaws, Partnership or Operating Agreement, Certificate

of Limited Partnership, or Articles of Organization, including any amendments � � � IRS notice of EIN assigned � � � For S corporations: Election (Form 2553), QSub election (Form 8869), built-in gains

tax information, IRS Notice of Acceptance as an S Corporation and accumulated earnings and profits worksheet

� � For partnerships: partners’ inside and outside basis, details of any Section 754

election in effect, and book-tax differences for property contributed in prior years � � Copy of Form 3115 if there has been a change in accounting method � � Copy of Form 1128 if there has been a change in tax year � � Copy of Form 970 if the LIFO method was adopted or terminated � � Copy of Form 8832 if a check-the-box election was filed

January 4, 2016 Happy New Year!

Documents

Transcript of January 4, 2016 Happy New Year!