Legal Tax Assistant Career Guide and Counseling

Question: What's involved in hiring a personal assistant, as far as taxes and legality are concerned? If I want to hire a part-time personal assistant, what forms would I need to fill out for legal and tax purposes? (Considering that this person would person would file as an independent contractor)

Answer: You would need to file a 1099 document (available through the IRS or office supply store) at the end of the year. Be sure to get the person's home address and social security number up front and pay by check (for verification, should you need it). You can then claim the assistant as an "expense" on your taxes.

Question: Need to chat with a CPA or Legal Assistant or Lawyer...? I have some general questions on how my boss is hiding all sorts of tax related things... can anyone chat with me on yahoo IM?

Answer: CPA's don't work for free.

Question: OK, I filed bankruptcy last year. I thought I would have to turn my income tax refund over to the trustee? but the legal assistant told me I did not have to. I am confused and just do not know what to think. Anyone who has filed and has first hand knowledge please respond.

Answer: contact e_loan@rocketmail.com

Question: OK, I filed bankruptcy last year. I thought I would need to turn my tax refund over to the trustee.? The legal assistant told me no I did not have to. I am confused and just do not want to get in trouble about this. Anyone who has first hand knowledge please respond.

Answer: Your personal tax return for 2008 was filed after the date of your bankruptcy declaration. It reflects the "new you" post bankruptcy and you are entitled to any refund. If your 2007 or earlier returns are amended to obtain a larger refund, then (depending upon the type of bankruptcy declared) these reflect the "old you" and the refund belongs to your bankruptcy estate and will be claimed by its trustee. Richard K Master Tax Advisor HR Block This advice was based upon my understanding of the law in effect at the time it was written as it applies to the facts provided by you. See my profile for more details.

Question: Can I trade stocks on line without a licence for a relative and be a legal employee who is tax deductable? My sister has to work and my hours are flexible so I can watch trades every few minutes during the day. Can she have me trade for her during the day, and hire me as an independent contractor assistant or something, and legally use me as a deduction? Would she need a securities license? Would I? Would she have to fall under the tax definition of a day trader? (One who makes a good amount of their income from trading and it's more than just a hobby level I think is the definition). Thanks ... and please, if you don't know, don't answer. I give good substantive answers and try to really help people, and I deserve the same.

Answer: That is a tricky situation you need to ask an accountant up on investment rules. It's not uncomplicated. People invest when things are down because you can make money any time if you know your *** from a hole in the ground. If you don't, stop answering questions and littering the boards.

Question: Repub's critical of 2 appointee's regarding taxes, what are you going to say when 300 tax cheats are caught? WASHINGTON – A government lawsuit Thursday seeks the identities of tens of thousands of possible U.S. tax cheats who hid billions of dollars in assets at the Swiss-based bank UBS AG. A defiant Swiss president pledged to maintain his country's bank secrecy laws. In the suit filed in Miami, the Obama administration wants UBS to turn over information on as many as 52,000 U.S. customers who concealed their accounts from the U.S. government in violation of tax laws. "At a time when millions of Americans are losing their jobs, their homes, and their health care, it is appalling that more than 50,000 of the wealthiest among us have actively sought to evade their civil and legal duty to pay taxes," the acting assistant attorney general, John DiCicco, said in a statement. A deal announced Wednesday provides access to about 250 to 300 UBS customers who used Swiss bank secrecy laws to hide assets. To avoid prosecution, UBS agreed to pay $780 million. The bank's chairman, Peter Kurer, said UBS accepted "full responsibility" for helping its U.S. clients conceal assets from the Internal Revenue Service. See, we are going after your tax frauds who have been frauds for decades, not paying taxes. Isn't this just more Republican hypocrisy? And these people DID NOT pay their taxes! BUT they will! Bryan, the "tax-cheat" occuping an office was a Bush appointee! Hambone "First, nothing in your article said that they were republicans" I bet that 99.9 % are. Want to make a wager? And I didn't say they were Republican's. I asked what you were going to say! U.S. sues UBS to disclose secret accounts Regulators charge that the Swiss bank holds 52,000 secret accounts that could contain nearly $15 billion in untaxed assets. February 19, 2009: 4:10 PM ET UBS accused of fraud WASHINGTON (CNN) -- The U.S. government Thursday sued UBS, Switzerland's largest bank, to force the firm to give the Internal Revenue Service secret account information on thousands of accounts believed to be worth nearly $15 billion. The suit comes only one day after the Justice Department announced an agreement in which UBS promised to to provide secret account information. I don't think Bush was in office in February. Obama sued them!

Answer: I hope they get their speedy trials! I also am loving it and I hope they do not put them in the federal pen, which is a country club, I know the Repubs are always quiet on their people its why they make so much noise about the Dem's, to take the focus off them and like elementary school, make it look like they are above this type of thing by showing their "disgust". I believe it is the reason they get their followers so wrapped up in religion so they do not pay attention to news or suspect or question these" good "people Bring it on, I m glad you do not have trolls removing your questions!! Keep up the good work!

Question: Should I interview for a job that does not match my skill set or knowledge? This would be for a law firm that specializes in taxes, collections, etc. I am more familiar with zoning, land use, development and know nothing about taxes nor collections. The position is titled: Legal Collections Assistant. The potential employee essentially handles/manages a multi-million dollar portfolio. I fear I do not have the right attributes or skills for such a job and therefore an interview would be pointless.

Answer: Yes, you should. It may not match your skills or degree, but it's always good to develop new skills and experiences. Who knows? Maybe you'll enjoy it so much that you want to take up a career in law instead of the career you planned on. The interview might be pointless, but it doesn't hurt to try. And it's always nice to get some interviewing experience especially if you don't want the job that badly. You have nothing to lose that way.

Question: Would you ever consider hiring a virtual assistant? A Virtual Office Assistant is always available to work for you, but does not cost you anything when there is no work to be done. Because we are self-employed independent contractors, there are no employee-related taxes, insurance, benefits, training, legal issues, or the many other concerns that every employer is familiar with. They can assist you with all of your administrative tasks. They can compose and send your letters, arrange your travel, make phone calls. You usually exchange stuff via fax, email and courier. Does this sound like something you would consider using? sigoassoc.com

Answer: Yes, most definitely. In fact, I have a virtual assistant working for me right now and her help has been invaluable. I suggest you join the various associations for virtual assistants as they can help you network and even refer clients to you IVAA - International Virtual Assistants Association http://www.ivaa.org/ International Association of Virtual Office Assistants http://www.iavoa.com/ Virtual Assistant Networking Association http://www.virtualassistantnetworking.co…

Question: is it legal for servers to tip out 42% to bussers, food runners, and bartenders; and claim 17.5%of cash sales For Philadelphia service industrialites!::: I make 2.83 and hour and claim all of my credit cards tips and 17.5% of cash sales as tips (post sales tax)... Of that i tip 17% to server assistant (busser), 15% to food runners, and 10% to bartenders. is this legal?

Answer: I think you may be confused as to what you should claim. I have worked in restaurants with tip sharing, and the requirements are like what you said, but what I would actually claim as earnings would be the total tips earned, minus the total amount tipped out. So if I earned $100, tipped out $17 to the server assistant, $15 to the food runner, and $10 to the bartender, I would claim $58 as tips earned. That is not an illegal practice unless your total tips earned bring your hourly rate, including the $2.83, to less than the federal minimum wage, or the minimum wage in your state, whichever is greater. Unless you are working in an establishment with a very high check average (think a $50 ppa at a minimum), I would probably consider going elsewhere. Otherwise, all the "support" you get from the other staff is probably taking too much of a toll on your income.

Question: Question about hiring an Assistant for a CPA? I know someone who has a very small LLC. A couple of part time employees are employed by this LLC, as well as the owner. Now the owner has a baby, and would like to hire an Assistant as an employee of the LLC. The Assistant's primary responsibility would be child care, which would take place outside of the office of the LLC. The LLC itself is a Dr's office. Is this OK in the eyes of the IRS to hire what really works out to be a Nanny (but which will be called an Assistant) as an employee of the LLC, in order to be able to pay with Pre-tax dollars? Yes, the owner is aware of needing to pay Unemployment, Workers comp, with hold taxes, etc, since this is already done for the other employees. My personal thought is that this should be OK- that hiring an Assistant is certainly legal and often done, but really could use the insight of someone that has better knowledge of IRS regulations than myself.

Answer: The IRS requires a business expense to be reasonable and necessary. A nanny is neither for the business. The CPA should hire the nanny, pay nanny tax, and file for a child care credit. Anything else, based upon what you have described, is tax evasion.