TaxCoach Briefs:    February 4, 2010

Volume 5, Number 5

• Member Event: 2010 SuperTable Sneak Preview
• Member Resource: Member Call-in Registration
• Testimonial of the Week: Words of Praise
• Member Call-In: Focus Clients on the Value

****Attention All-Stars and Press Club members ****: Our next webinar will be on Tuesday, February 9. Our topic will be Marketing During Tax Season, with a focus on drawing maximum marketing advantage from every contact during the season. We'll also update you on new developments with Section 7216 that affect using client information to market throughout the year, plus talk about how to book radio and television appearances to build visibility and credibility. If you're not an All-Stars or Press Club member, click here for more information.

****Attention Certified Tax Coach™ members ****: Ed has gradually wound down his personal tax practice as TaxCoach has grown. But his personal website at www.taxtuneup.com, where he has hosted his free "Dictionary of Tax Deductions," still receives over 1,200 visits per month. That traffic has now been redirected to http://www.certifiedtaxcoach.com/ in order to boost referrals to your personal sites. Stay tuned for more information as we launch our tax-season lead-generation campaign.

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MEMBER EVENT (EAL)
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2010 SUPERTABLE "SNEAK PREVIEW"

Since late 2008, we’ve hosted nearly a dozen “Roundtables” across the country. Reviews were uniformly positive, and those of you who attended one of the meetings know there’s no substitute for learning how to make the most of TaxCoach in a small-group setting with your peers. And those of you who attended last year’s “Advanced Day” told us the discussion on pricing was one of the most valuable we’ve ever offered. In fact, many of you said we could offer an entire day on the topic!

So this year, we’re trying something new. Instead of hosting a similar series of regional meetings, we’re hosting a single, national “SuperTable.” That meeting will be in New Orleans for three days beginning on Wednesday, May 5:

• Wednesday, we’ll present the Roundtable “Basic Training” for those of you who missed it. (This session includes the famed "role play" where Keith and I walk through selling a tax-planning engagement, exactly as I did it with Keith before we launched the system.)

• Thursday, we’ll present a full day on pricing. You'll leave with a CD stuffed with customizable versions of all the forms and documents we discuss so that you can integrate them into your own practice as soon as you return home. We'll also break into small groups for the Masterminding that makes Roundtables so valuable.

• Friday morning, we’ll present more advanced TaxCoach topics.

• Friday afternoon is reserved for advanced Certified Tax Coach™ training.

As for the venue, we’ve never liked hosting meetings at the usual bland and boring convention hotels. In fact, we hosted just one of those Roundtables at a hotel – specifically, the Newark Airport Sheraton. (Picture a Sheraton at the Newark Airport. Yep, that’s exactly what it was like.)

This year, we have a special treat. We’re setting the SuperTable at the Old U.S. Mint in the famed French Quarter. (Honestly, where better to host a meeting for tax professionals than a mint?) The bad news is, there are just 75 seats available. And once they're gone, they're gone. So you'll want to reserve your space as soon as registration opens!

Save the date - May 5-7, in New Orleans! The 2010 SuperTable isn’t going to be just another tax conference. It’s going to be an experience, with plenty of fun and local color in a great American city. And you’ll kick yourself if you miss it. So keep your eyes peeled for details as they become available!

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MEMBER RESOURCE (EAL)
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MEMBER CALL-IN ENROLLMENT

Late last year, Keith and I started hosting weekly member call-ins on Wednesday afternoons. Those call-ins have become so popular that several of you have told us it's a high point of your week. And they've certainly become a high point of mine as well. (Take a look at the "Member Call-In" discussion below for highlights from this week's call to get a flavor of the discussion.)

We use the GoToWebinar service to host the calls, and that service requires pre-registration. Not all of you have registered yet, so beginning tomorrow, Catherine will register those of you who haven't done so yourself, as well as all new members as they join.

If you haven't already registered, keep an eye on your primary TaxCoach email. You'll get an email titled "Welcome to TaxCoach Weekly Member Call-In." That email will include a unique access code to join the webinar and a link to add the event to your Microsoft Outlook calendar. You'll also get weekly email reminders.

If you've already registered and participated in one or more of the calls, you don't need to change a thing. You'll continue to get the weekly email reminders, as well as the same great TaxCoach insights and commentary that make the calls so valuable.

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MEMBER TESTIMONIAL OF THE WEEK (KAV)
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"Ed, I would like to send you words of praise for your content and marketing strategies. They work!!!"

Fred Thompson, CPA,
San Mateo, CA

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MEMBER RESOURCE (KAV)
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MEMBER CALL-IN WITH ED AND KEITH

I'm getting tired of saying "we had heavy attendance and another great discussion" every week. And you're probably tired of reading it! But it's always a good call. So I'm just going to name that situation "The Goodness." Coincidentally, that's also what they call this killer horseradish sauce at Joe's Stone Crab on Grand Ave. in Chicago, which Ed and I seek out on every Chicago trip.

So this week: "The Goodness," as usual.

Here's an excerpt of questions and comments raised by callers this week, straight from the call log.

• I ran into a guy who sells health insurance to companies. He has the employees join an outside group then sells them individual policies. The employer gives them a 50 to 75 cent raise to cover their premium. Company doesn't have to set up group plan, but is paying empolyment taxes on raise and employees pay taxes on raise. What would be a better way to handle this?
• Can this situation be structured to get the homebuyer tax credit? Mom owns house that daughter and fiance currently rent from mom. Daughter has stable job and can qualify for a loan to buy the house from mom by herself, but would not qualify for credit since she is related to the owner. Fiance would qualify for the credit, but he would not qualify for the loan on his own.
• Optometrist has 2 young kids in day care. Other then the 2441 credit, any way to get a better write off for dependent care expense, either through schedule C or Sub-S corp
  • How do large companies (Abbott Labs, Dell, etc.) justify on-site daycare as ordinary and necessary? Do they not have to because of their C Corp status?
• Transfering profits out of C corp to a S corp management company. Since we will likely need reasonable comp in both entities, can we use only 1 (common paymaster) to do the payroll and benefits and allocate some to the S corp for reporting purposes?
• I have a client who had a home with a mortgage. Last year, he gave the home to his mom. I called the IRS and asked if the mortgage reduces his basis in the home to less than $12,000 could I avoid filing the gift tax return, and they told me to ask my CPA!! Would you agree the mortgage should not be considered?
• Can non deductible IRA contributions be converted to Roth? What are the tax concequences if any?
• When using a MERP, how big an issue is it if the health insurance is in the name of the owner spouse, not the employee spouse?
• I plan to use the TaxCoach summary during my tax return delivery meeting to point out some items we need to discuss after tax season. What pointers do you have in using the summary report in this way?
• Do you see any problem of ending a partnership where the assets are totally depreciated and starting sub -s for a doctor to avoid the self employment tax.
• I have a tax client who is in need of creating a corp to do consulting for one of the big banks. Besides income splitting and shifting, is there anything that jumps out at you that I can throw at him to take a serious look at tax planning now?
• How is doing a pro-forma tax plan during delivery of the tax return...consistent with charging a nice fee for doing the planning...sounds like me we are giving our knowledge away for free???
  • Using SUMMARY in post tax prep review is great idea. But I didn't think I could even prepare & run T/C plan & summary without client filling out T/C questionaire & signing tax informatin release approval?
• Would you agree with the statement "if your clients don't complain about your tax prep fees then you're not charging enough!"
• If you have an S Corp with a home office, is it possible to pay a babysitter to come to the house and deduct "on-site" day care?
• I’ve got a great way of reducing transportation costs, (for our tri-state) members. In NJ if you work in NY, at the very least you’ll pay $80 a month to go to work (public transportation). For many, the costs easily exceeds $250 a month. If I can establish the home office, I can deduct ALL transportation costs.
• I am meeting a prospective client filing a schedule C. Her net is $30,000 but she is still moving back into the workplace after a long illness. She previously made six figures plus and expects to significantly increase her income. She is in the marketing business. Would an S corp and or 105 plan be apropriate?
• If a doctor pays all his bills from home, but his staff takes care of the patient billing at the main office, do you think he can establish a home office?
• Marketing thought: People are not upset so much my specific events, but, when their expectations are not met. Expectations are in the mind and this fact gives us the responsibility and opportunity to manage expectations - to define and create the value we deliver. If our clients do not perceive the value we are delivering, then we are not providing any value to the client, no matter what we do!!
• Saw lengthy article today re: IRS moving to "audit" some 16,000 payroll returns beginning w/ 2008 tax year. Says they will be focusing on 105's & related benefit deductions, etc. Have you seen or heard anything on this?
• Has anyone done a referral reward contest?? I am sending out right now...offering a contest with the grand prize a 4-day cruise...value $2K my cost $1K. Knowing my numbers, this will be a big win for all concerned...any ideas??
• There was a handout on site that i can no longer find. It was on a background of 1040 and showed what tax would be and what it is with our suggestion. Where can i find this.
  [A: That's a Certified Tax Coach resource — it's in the CTC™ Toolbox within TaxCoach.]

If you're looking for clarification on TaxCoach strategies or additional ways to profit from TaxCoach too, join us for the next call, on Wednesday February 10, at 1pm Eastern. Enter a question or just listen in on the repartee. Check the "Contact Us" button within TaxCoach for registration instructions.

While our elite members (All-Stars, Press Club, and Hall of Fame) can still schedule time directly with Ed as part of their coaching programs, we simply cannot answer marketing and tax-strategy questions via email or unscheduled calls.

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We can answer questions on using TaxCoach system features anytime. (Save marketing and tax strategy questions for Member Call-Ins.) For best response, email support@taxcoachsoftware.com. If we think the answer will be useful to all of our members, we'll publish it (anonymously) here in the 'Member Q & A' section of TaxCoach Briefs.

Regards,

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