Our Blog

Preventing Identity Theft For Businesses

Michael Murphy, CPA, CGMA

August 23, 2016

It is important to understand that there is no way to completely prevent identity theft. The following are some steps that businesses can take to help prevent the risk of falling victim to this crime:

1. Conduct a background check before hiring an employee who will have access to customer’s
personal information.
2. Use micro-shredders to dispose of any...

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Preventing Identity Theft For Individuals

Michael Murphy, CPA, CGMA

August 23, 2016

It is important to understand that there is no way to completely prevent identity theft. The following are some steps that individuals can take to help prevent identity theft:

1. Never give out personal information to someone you do not know.
2. Beware of deals that are “too good to be true.”
3. Beware of any sales pitch where you have to “act...

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Requiring Driver License Information to File Electronically

Michael Murphy, CPA, CGMA

February 1, 2016

There is no requirement to record drivers licenses when you are e-filing your tax return. However, it is believed by recording this information in your tax return it will help prevent fraud and to protect taxpayers and their refunds. Providing a driver license or state ID number is voluntary at this time but may help process a return more efficiently.

The Acting Director of the...

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Homestead Benefit Deadline Extended

November 9, 2015

The deadline for filing the Homestead Benefit application in the State of New Jersey has been extended to Thursday, December 31, 2015. To be eligible for a benefit for calendar year 2013, you must be a New Jersey resident who owned a principal residence on October 1, 2013, and paid property taxes on that home. You must also have reported $75,000 or less in New Jersey gross income for 2013 or...

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IRS Notice Change of Address

August 31, 2015

If you received a notice from the IRS indicating a change of address, you are not alone. The IRS is using a New Modernized e-File system and as a result your address may have been changed in error. To correct this error a Change of Address or Responsible Party- Business Form 8822-B should be filed directly with the IRS or you...

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New Jersey Refunds Delayed

July 14, 2015

The NJ Division of Taxation has distributed notices to taxpayers regarding additional information needed for the screening of individual tax returns. This additional information that is delaying refunds in the State of NJ is needed in order protect the taxpayers and the state from refund fraud and identity theft. The notices reference either PO BOX 437 or 438 Trenton, NJ 08695 as the...

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Issuing 1099-MISC Forms

January 15, 2015

A 1099-MISC is required to be filed for payments you made in the course of your trade or business paid in the amount of $600 or more. Also, a 1099-MISC needs to be filed for any royalties paid in the amount of at least $10. The general rule is that you do not need to issue 1099-MISC forms for payments you made to a corporation; however there are a few exceptions, which include attorney's...

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Standard Mileage Rates Increase for 2015

December 12, 2014

For business use of a car, van, pickup truck, or panel truck the 2015 rate will be 57.5 cents per mile. Driving for medical or moving purposes may be deducted at 23 cents per mile. The mileage rate for service to a charitable organization will remain at 14 cents a

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2014 Year End Tax Planning

December 1, 2014

With 2014 coming to an end it is time to re-evaluate your income taxes to avoid an underpayment penalty. Most individual taxpayers are required to pay either 90% of their 2014 tax or 100% of their 2013 tax, whichever is less. If your 2013 Adjusted Gross Income (AGI) was more than $150,000 ($75,000 if your 2013 filing status was married filing separately), you must pay 90% of your 2014 tax or...

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Business Travel and Entertainment Expense Deductions

November 19, 2014

As year end approaches it is important to review your travel and entertainment records carefully. If you are ever involved in an Internal Revenue Service (IRS) audit it is possible that the IRS may find your records inadequate, which could lead to the employee reimbursements being reclassified as compensation. The employee will then have to pay income taxes on the reclassified amount, and the...

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Tax Related Identity Theft

November 6, 2014

Tax related identity theft has been on the rise in recent years. It topped the list of the IRS Dirty Dozen Tax Scams for 2013 and 2014. If you have received an IRS Notice or letter that states any of the following you should be alert to the possibility of tax related identity theft:

  • More than one tax return for you was filed.
  • You have a balance due, refund offset or...

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Resolve Unpaid Tax Liabilities with the State of New Jersey

September 29, 2014

If you have unpaid tax liabilities with the State of New Jersey for tax periods from 2005 through 2013 for a limited time the Division is offering businesses and individuals an easy way to resolve these outstanding liabilities. If you receive a letter from the New Jersey Division of Taxation with a Schedule of Liabilities showing a reduced amount you are ready to move ahead and make payment....

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One-Per-Year IRA Rollover Rule to Take Effect January 1, 2015

August 7, 2014

Beginning January 1, 2015, the IRS will limit the number of tax-free IRA rollovers to one per year. Taxpayers can make a temporarily distribution of IRA funds, without a tax burden, so long as the funds are re-deposited into another IRA account, belonging to the same taxpayer, within 60 days. Previously, IRS publications did not clarify how often a taxpayer could make these temporarily...

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“Senior Freeze” Checks on the Way

August 4, 2014

The state budget for fiscal year 2015 provides continued funding for the property tax reimbursement (Senior Freeze) program, meaning checks will soon be on the way to eligible homeowners.

Checks for the 2013 reimbursement are scheduled to be mailed in mid-July to qualified senior and disabled homeowners who filed applications by June 2, 2014. The deadline for filing was extended to...

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Streamlined Application Process for Tax Exemption

July 23, 2014

Applying for 501(c)(3) tax-exempt status just became significantly easier for nearly 70% of charitable organizations. Beginning this month, applicants can access the newly released IRS Form 1023-EZ which shortens the standard Form 1023 from 26 pages down to a mere 3 pages.  The change is designed to speed up the application process for small charitable organizations while also freeing up...

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New Charitable Deductions Bill Passes in House

July 22, 2014

The US House of Representatives passed a bill on Thursday that will increase the opportunity for charitable donation deductions.  Most notably, the provision extends the deadline for donations from December 31st  to  April 15th.  This change will allow taxpayers to make last-minute gifting decisions after preparing their tax returns.  Many believe that giving this...

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Telephone Scam

July 4, 2014

The Internal Revenue Service (IRS) continues to warn taxpayers to guard against sophisticated and aggressive phone scams targeting taxpayers, as reported incidents of this crime continue to rise nationwide. Each year, millions of individuals have their identities stolen, and these phone scams are yet another opportunity for potential identity theft to occur.

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Homestead Rebate Reminder

November 14, 2013

Those who qualify for the Homestead Benefit Program should send in their application soon, as the deadline is approaching.  The last day to file is January 31,

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Filing Taxes During the Government Shutdown

October 3, 2013

While IRS operations are currently limited due to the government shutdown, tax laws remain in effect.  This means that individuals and businesses that are required to do so must file their tax returns and pay any balance due.  However, the IRS will not be issuing refunds at this

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Fair Labor Standards Act

October 2, 2013

Most companies are now required to give their employees notice of the new health insurance Marketplace coverage options. Any company that has at least $500,000 in revenue a year or is covered under the Fair Labor Standard Act is subject to this. The notice should inform employees about the Health Insurance Marketplace, if and what kind of coverage the employer may be offering. It should also...

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Connecticut Tax Amnesty

September 12, 2013

Individuals and businesses that owe tax to the state of Connecticut are getting a chance to pay back taxes with heavily reduced penalties. The amnesty program will begin Monday, September 16, 2013 and end Friday, November 15, 2013. Individuals can apply for amnesty for tax years 2011and prior. Businesses can apply for any tax period before September 30th, 2012 if they file quarterly, or...

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New Jersey Business Annual Corporate Records Scam

August 20, 2013

Recently, New Jersey businesses have been targeted with an “Annual Corporate Records Form” mailing. The official looking form is asking for a fee of $125 to be mailed to a Washington D.C. address. If you are a business owner in NJ, disregard this form if it is received in the mail. The form is not real as the State of New Jersey does not require it to be filed nor is the State associated...

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Foreign Assets

June 7, 2013

US citizens that have assets in other countries may be required to report those assets.  If at any time in 2012 the value of your foreign accounts surpassed $10,000 you must report that information to the IRS on the Report of Foreign Bank Accounts (FBAR) which is form TD F 90-22.1.  Information regarding foreign accounts is also reported on the Schedule B of...

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Property Tax Relief Extension

May 31, 2013

This week Governor Christie issued a statement that would be extending the application deadline for the NJ Property Tax Relief program (PTR).  The new deadline for filing is September 16, 2013 which will hopefully give enough time for New Jersey residents to apply.

Any applicants who have already filed for the PTR by the original...

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Shopping Tax Tip

January 7, 2013

If you are a New Jersey resident and are making any out of state purchases that are subject to use tax, whether via the internet, the phone, or even when travelling to a different state, you may owe use tax.  A record of these purchases should be kept throughout the year as it is the New Jersey resident’s responsibility to pay the use tax.  Use tax is...

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Additional Tax Relief

November 20, 2012

For the State of New Jersey the tax relief deadline, due to Hurricane Sandy, has been extended to November 26, 2012.  The extension applies to businesses located in any of the 21 counties, which were required to file returns, reports and related payments during the time period beginning on October 30, 2012 and ending on November 26, 2012.  Filers who received...

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Tax Relief Due to Hurricane Sandy

November 12, 2012

Following the recent hurricane that struck the east coast, both the State of New Jersey and the Internal Revenue Service have announced that they will be providing tax relief to those affected.

For New Jersey, if you have a business in or operating in any of the counties, all tax filings that were due on October 30 and 31, 2012 are now...

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Going Green

August 9, 2012

Choosing more energy-efficient solutions for an organization not only benefits our environment but it can also pay off on your taxes.  Depending on the needs of the organization there are several different tax incentives that assist when purchasing energy-efficient equipment or materials like solar panels or light fixtures.  While it varies from state to...

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Your Job Search Expenses Could Be Tax Deductible

July 28, 2012

If you are currently on the hunt for a new job, it is possible for you to deduct some of those expenses on your tax return.  The IRS has outlined some guidelines on what qualifies as deductible job search expenses.  One of the main qualifying factors is that the new job you are searching for must be in your current occupation.  If that requirement is met...

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Just a Reminder

July 10, 2012

If you are a New Jersey resident and qualify for either the Homestead Benefit Program or a Property Tax Reimbursement (PTR), the deadline to file both applications has been extended to October 19, 2012.

 

For eligibility requirements and more information visit

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Fourth of July

July 4, 2012

Murphy & Company wishes their clients a Happy Fourth of

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Bush Tax Cuts

July 4, 2012

Both political parties are thinking about not renewing the Bush Tax Cuts. Neither Democrates nor Republicans claim this is their preferred option for it would probably effect the global financial markets and anger their constituents. Doing nothing would expire the tax cuts forcing the new congress in January to face new tax

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It's a New Brand Day

August 18, 2011

We are excited to announce the recent launch of our firm’s new brand. We’ve been working very hard to enhance our website, new logo, and give our firm a major facelift. We’ve also continued to research and identify the latest and greatest technologies to improve the services we provide and ensure we continue to meet your needs.

Take a moment to look around our new...

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Newton Office

94 Main Street
Newton, NJ 07860

973-579-7775
mary@murphycpas.com

West Milford Office

179 Cahill Cross Road #219
West Milford, NJ 07480

973-728-2902
melissa@murphycpas.com

Phone: 973.579.7775 • Fax: 973.579.9316
Email: murphy@murphycpas.com