Is VPDI Deductible on Schedule A of a Tax Return?

Categories: California Tax Law

Tax return caclculation

Voluntary Plan for Disability Insurance (VDPI) Starting January 1, 2024, VP employers will pay a VPDI assessment rate of 0.00154, calculated as 14 percent of the 1.1 percent DI State Plan tax rate, applied to taxable wages. When it comes to California tax returns, there are a lot of questions about what expenses are deductible...

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Do I Have to Pay California Income Tax If I’m Moving?

Categories: California Tax Law

Do I Have to Pay California Income Tax If I’m Moving? Most people don’t want to pay California taxes. They end up contacting me because they are going to move to Florid, Texas or Nevada. I warn them to make sure they actually decided to relocate, move their family, move their house, move their driver’s...

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Taxpayers: Beware of Disaster Donation Scams

Categories: IRS

Taxpayers: Beware of Disaster Donation Scams Recent months have seen several natural disasters in the form of Hurricanes Helene and Milton that have devastated areas in the southern Appalachian Mountains and Florida. As if these disasters are not terrible enough, it’s become a common practice for scammers to set up fake charities to take advantage...

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What Should I Do if I Get Hit With an EDD Audit?

Categories: California Tax Law

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What Should I Do if I Get Hit With an EDD Audit? *The following article was updated in February 2022* If you’re a business owner and taxpayer in California, you may have heard the term EDD audit recently. Or perhaps you’ve faced this tax audit first-hand. If you’re not familiar with the term, an EDD...

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What is the Statute of Limitations for an EDD Audit?

Categories: California Tax Law

Notes for EDD audit.

What is the Statute of Limitations for an EDD Audit? Many San Francisco business owners have been faced with a new challenge over the last several years, and that is the EDD audit. This type of audit occurs when the California Employment Development Department (EDD) launches an investigation into a business’ California state payroll tax...

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Does Prize Money get Taxed?

Categories: Federal Tax

Golfer in California.

Does Prize Money get Taxed? *The following article was updated in November 2023* Lottery winnings are taxable as income at federal and state levels. The IRS applies a 24% federal tax, while California state income tax rates from 1% to 13.3% increase total taxes owed. However, the total tax liability could be higher, potentially reaching...

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How to Dispute a CDTFA Audit Finding

Categories: California Tax Law

How to Dispute a CDTFA Audit Finding If you’re a California business owner who recently underwent a California Department of Tax and Fee Administration (CDTFA) audit, you may not be pleased with the result. The CDTFA is known for its distinctive sales tax audits and generally reviews San Francisco retailers who sell items at a...

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Your Rights in an IRS Audit

Categories: IRS

Your Rights in an IRS Audit Facing an IRS audit can feel overwhelming, especially when it’s your personal or business’ financial future on the line. As a California resident, it’s important to understand you have rights that protect you throughout the IRS audit process. Knowing these rights can help you navigate the audit with confidence...

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