Far Northern California
Chapter of Enrolled Agents
October 2013
PRESIDENT’S MESSAGE:
It's hard to believe that October is over and the Holiday Season is upon us. Just when we get the last of the extensions done it's time to prepare for 2014 filing season!!! That begins with our Gear Up tax seminar November 14-15 at the Holiday Inn. There is still time to register if you would like to attend.
The IRS just announced that due to the two weekgovernment shutdown, the 2014 filing season will be delayeduntil somewhere between January 28 and February 4. That will be sure to ruffle the feathers of all the early filers who want their refunds.
TheInternal Revenue ServicePTIN renewal site is now open for 2014 renewals. While you are there, I suggest you check out your education credits. This is new on the IRS website located in the same place as the PTIN renewals.They are posting your earned education credits as reported by the education providers for the year 2013. It's a good idea to check outthis information throughout the year to make sure they are correct.
See you at the Holiday Inn!!!
Michele Williams, E.A.
Board Meetings and Roundtable Schedules
Nov 06, 2013 - Board Meeting: 9:30 am Rose Hablitzel’s Office 208 Elm St., Red Bluff
Redding Roundtable: 12:00 pm Lulu’s Restaurant 2230 Pine St, Rdg Subject COD
Nov 07, 2013 - Chico Roundtable: 8:30 am Cozy Diner 1695 Mangrove Ave, Chico
Dec 04, 2013 - Board Meeting: 9:30 am Rose Hablitzel’s Office 208 Elm St, Red Bluff
Redding Roundtable: 12:00 pm Lulu’s Restaurant 2230 Pine St, Rdg Subject Office in Home
Dec 05, 2013 - Chico Roundtable: 8:30 am Cozy Diner 1695 Mangrove Ave, Chico
Upcoming CONTINUING
EDUCATION SCHEDULE
Gear Up 1040 Update
November 14th and 15th 2013
Earn 16 hours of CPE
This comprehensive course covers the key tax issues for completing complicated individual returns. Gear Up speakers Melanie Mugg and Joseph Anthony present topics covering new legislation (including The 2012 Taxpayer Relief Act) revenue rulings and procedures, as well as case law to help the busy practitioner keep current. Practical tips and insights are shared by practicing practitioners to help you get up-to-date for the 2013 tax season. This course satisfies 16 hours of CPE including 3 hours of tax updates.
The Seminar will be at the Holiday Inn, 1900 Hilltop Dr., Redding. Lunch is included with registration. Seminar hours 8am to 5pm, Early Bird registration postmark until 10/01/13, Members $345 / Non Members $375, after 10/01/13 until 10/25/13, Member price is $380/ Non Member $410, after 10/25/13 $475 for everyone. Register online at FNCC.org or contact 530-605-0144 for more information. Flyers have been mailed.
****Note: You MUST give your PTIN number when registering or you will NOT receive your CE Certificate.
Join us at Cattlemen’s Restaurant for our Annual
Member Dinner
On Thursday, November 14th at 5 pm, we will stroll over to Cattlemen’s Restaurant, immediately following the 1040 Update Seminar day one. Come and join us at one of Redding’s finest steakhouses! We will have raffle prizes and meet CSEA’s new President, Patricia Kappen, EA. Every year members look forward to sharing this great time relaxing with fellow Enrolled Agents. The cost for members and guests are $15.00 and $30.00 respectively. We will have an assortment of menu items to choose from such as: Steaks, Ribs, Chicken and of course Fish. RSVPs must be in by November 7th. Contact Sandra Lamberson, EA event coordinator at or (530) 547-4474.
Cal Fed Last Chance Update »
January 08, 2014
Back by popular demand....This is your last chance! Important planning for 2014!
Gear Up speaker Abe Carnow, presents this course for the busy tax professional that needs to know the essentials of important changes from the previous year, including recent tax law changes, court cases and IRS rulings. The federal government continues to be very active with regard to changes in the tax law and this has a major impact on preparing California tax returns. In addition, California will have several of its own.
Total CPE hours include 4 hours Federal Tax Update and 5 hours California Tax Update.
The Seminar will be held at the Holiday Inn, 1900 Hilltop Dr., Redding, Lunch is included. Seminar hours are 8am to 5pm, Early Bird registration postmark by 12/10/13, Members $190 / Non Members $205, Regular registrations between 12/11/13 until 01/02/14, Members $210 / Non Members $225, after 1/02/14, $275 for everyone. Register online at FNCC.org or contact 530-605-0144 for more information. Flyers have been mailed.
NAEA: Become an Effective Leader
Save the date: November 10-12, 2013 and register soon for the Schuldiner/Smollan Leadership Academy in Orlando, FL. The academy is open to all members of NAEA who are or wish to serve in a leadership capacity and desire to learn more about governance and leadership. All who attend will walk away with tools, strategies, and knowledge that will benefit them in professional and personal endeavors. For more information and to register, please visit our website or contact Marie Stravlo or 202.822.6232, x 105.
NAEA: Sample Engagement Letters and More
In addition to the great resources to promote the EA profession and your business, the Tools for Members section of the NAEA website has plenty of documents to aid your practice, including that oh-so-important engagement letter. Here is what you'll find under Sample Documents and Letters(you must first log into the site to access this page):
· Fee Agreement Engagement Letter
· Audit Engagement Letter
· Collections Engagement Letter
· Privacy Policy Engagement Letter
· Disclosure and Waiver of Potential Related-Party Conflict of Interest
· Mandatory Internal Revenue Code 7216 Disclosure and Consent
SEE STUDENTS WANTED NOW
Part II now in progress
Increase your earning potential! Become an Enrolled Agent. Regulations continue to increase for tax preparers. Be prepared and take the plunge! Do it today!
Dates: Part 2 – in progress (Tuesdays)
Times: 6pm to 9pm
Location: Rose Hablitzel’s office: 208 Elm St., Red Bluff.
Tuition costs: Parts 1 & 2 $400.00 each, Part 3 $300.00 Material costs: $428.00 + shipping & tax
Students can also sign up for online courses at NAEA’s website. Class details contact Rose Hablitzel @ 530-527-8225 or email .
Not an Enrolled Agent yet? Would you like to become one?
NAEA, CSEA and FNCC all have Scholarship funds set aside to financially help cover a portion of the education costs for those wishing to become an Enrolled Agent. Check out the following websites and telephone numbers for more information or copy the following links to access Scholarship applications: FNCC: 530-547-4474 Contact William Reilly, EA
NAEA.Org: 202-822-6232
http://www.naea.org/NR/rdonlyres/800C71BF-8AD5-4858-B508-C89C508CD5D9/0/2008_SEE_Scholarship_Application.doc
CSEA.Org: 800-777-2732
http://www.csea.org/Portals/0/S-1%20Final%20non-EAs..pdf
CSEA Education Foundation
The primary purpose of the Foundation is to foster, improve and provide access to tax related information and services available to the general public through education programs and scholarships aimed at increasing the knowledge of current Enrolled Agents and potential EA candidates. There are two types of scholarships available. 1) California residents not currently or previously licensed as EAs are eligible to apply for a scholarship for tuition, including registration fees and books, for courses in the field of taxation, finance, or accounting, particularly courses specifically designed for Special Enrollment Examination (SEE) preparation. 2) Current California EAs who wish to broaden their knowledge in the field of taxation are eligible to apply for a scholarship for appropriate courses. Scholarships are NOT awarded for courses necessary to maintain Continuing Professional Education hour requirements, but are specifically intended for courses that expand the field of knowledge and expertise. Examples of appropriate courses include Tax Court, NTPI, C Star, etc. More information and Scholarship applications can be found at www.cseaeducationfoundation.org. Scholarship Awards and Foundation operating expenses are funded through the generosity of the Members of the California Society of Enrolled Agents and by sponsors, donors, and bidders of the Foundation’s annual Auction. Contributions to the CSEA Education Foundation are deductible for tax purposes.
Donations of cash and merchandise can be made year round. For more information contact CSEA at 800-777-2732 or 916-366-6646.
CSEA/NAEA POLITICAL ACTION COMMTTEE:
(pictured right, Senator Ted Gaines, Rose Hablitzel, EA, center and William Reilly, EA, left)
The PAC has contributed too many legislators such as Senator Ted Gaines, (Redding Area), who are either ontax or budget committees. Theselegislators know whatEnrolled Agentsdo and are interested in working with us. We are spending our budgeted amount and are in need to generate more funds to keep this action going. We are developing great relationships with these legislators that are in turn working with us on relevant and significant concerns of Enrolled Agents. Please donate and give generously to the NAEA PAC. Your dollars are working for you! Any contributions over $50 will receive a lapel pin from the NAEA PAC. Please make your contributions out to "NAEA PAC". Or, you may contribute to CSEA’s PAC for any amount and receive a CSEA pin. All members are encouraged to contribute since the PAC works for all Enrolled Agents and their Affiliates! Contact Rose Hablitzel, EA for further questions: 530-527-8225.
In The News:
Looks like accountants, consultants will see new business from Obamacare
By Melissa Preddy on Oct 02, 2013.
The federal government may have shut down but according to officials, health care exchanges were buzzing Oct. 1 as insurance-hungry consumers swarmed the online marketplaces.
News reports said Healthcare.gov and other sites were overwhelmed by traffic – which seems to imply that audiences will be receptive to more Affordable Care Act news coverage in the near future, as well.
First, as a resource you may not have seen, here is Politico’s primer on the Affordable Care Act; it’s pithy and deciphers some political aspects of the law.
Accountants. My informal quest to gauge public savvy re Obamacarehas resulted in a frequent conversation closer: “Oh well, I’ll let my accountant figure it out.” This is apropos of whether consumers would do better selecting bronze or silver plans, or whether self-employed people would be better purchasing as individuals or under their business entity, or any of the myriad other as-yet-unanswered questions. Between that and the existing tie of Affordable Care Act mechanisms to income tax returns (subsidies, etc. based on filing status and AGI while non-compliance penalties collected via the Internal Revenue Service) it seems that accountants, enrolled agents and others well-versed in the art of interpreting federal law might see a spike in demand for their services in coming months.
“My informal quest to gauge
public savvy re: Obamacare
has resulted in a frequent
conversation closer: ‘Oh well,
I’ll let my accountant
figure it out.’ ”
I haven’t found much evidence from the industry yet, although the Fiscal Times reported back in June that both individual preparers, accountants, lawyers and firms like H&R Block expected a boost in business from the new health care law.
This is a double-barreled angle you can work with: The industry story itself is rather intreresting, and in addition to profiling firms andhow they are responding to the implementation of thehealth care exchanges, you can look for spin-off businesses, like consultants and trainers; here’s one advertising the Obamacare Bootcamp for accountants, lawyers and insurance agents. (It offers tips on “how to get invited to speak to organizations like Rotary” and “how to get businesses to pay $500 for a strategic plan” ) — clearly some see the new policy as a way to make a buck.
Meanwhile, cultivating professionals in the accounting and tax prep arenas is a good path to finding real consumers — you can ask the professionals to share the most challenging scenarios they are hearing, as well as case studies that your audiences can relate to, and to connect you with the real consumers in question for some informative stories with the human-interest component. I was fascinated, for example, at the array of questions and scenarios readers posed in response to the New York Times’ insurance exchange primer over the weekend; clearly there are circumstances and scenarios out there that ACA authors may not have envisioned or provided for.
2014 Tax Season to Start Later Following Government Closure; IRS Sees
Heavy Demand As Operations Resume
IR-2013-82, Oct. 22, 2013
WASHINGTON–The Internal Revenue Service today announced a delay of approximately one to two weeks to the start of the 2014 filing season to allow adequate time to program and test tax processing systems following the 16-day federal government closure.
The IRS is exploring options to shorten the expected delay and will announce a final decision on the start of the 2014 filing season in December, Acting IRS Commissioner Danny Werfel said. The original start date of the 2014 filing season was Jan. 21, and with a one- to two-week delay, the IRS would start accepting and processing 2013 individual tax returns no earlier than Jan. 28 and no later than Feb. 4.
The government closure came during the peak period for preparing IRS systems for the 2014 filing season. Programming, testing and deployment of more than 50 IRS systems is needed to handle processing of nearly 150 million tax returns. Updating these core systems is a complex, year-round process with the majority of the work beginning in the fall of each year.
About 90 percent of IRS operations were closed during the shutdown, with some major workstreams closed entirely during this period, putting the IRS nearly three weeks behind its tight timetable for being ready to start the 2014 filing season. There are additional training, programming and testing demands on IRS systems this year in order to provide additional refund fraud and identity theft detection and prevention.
“Readying our systems to handle the tax season is an intricate, detailed process, and we must take the time to get it right,” Werfel said. “The adjustment to the start of the filing season provides us the necessary time to program, test and validate our systems so that we can provide a smooth filing and refund process for the nation’s taxpayers. We want the public and tax professionals to know about the delay well in advance so they can prepare for a later start of the filing season.”