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For families with children and aging parents, it’s important to make sure everyone guards their personal information online and at home.

It may be time for “the conversation.”

The IRS, state revenue departments and the tax industry have teamed up to combat identity theft in the tax arena. Our theme: Taxes. Security. Together. Working in partnership with you, we can make a difference.

Especially in families that use the same computer, students should be warned against turning off any security software in use or opening any suspicious emails. They should be instructed to never click on embedded links or download attachments of emails from unknown sources.

Identity thieves are just one of many predators plying the Internet. And, actions by one computer user could infect the machine for all users. That’s a concern when dealing with personal financial details or tax information.

Kids should be warned against oversharing personal information on social media. But oversharing about home addresses, a new family car or a parent’s new job gives identity thieves a window into an extra bit of information they need to impersonate you.

Aging parents also are prime targets for identity thieves. If they are browsing the Internet, they made need to the same conversation about online security, avoiding spam email schemes and oversharing on social media.

They may also need assistance for someone to routinely review charges to their credit cards, withdrawals from their financial accounts. Unused credit cards should be canceled. An annual review should be made of their credit reports at annualcreditreport.com to ensure no new accounts are being opened by thieves, and reviewing the Social Security Administration account to ensure no excessive income is accruing to their account.

Seniors also are especially vulnerable to scam calls and pressure from fraudsters posing as legitimate organizations, including the Internal Revenue Service, and demanding payment for debts not owed. The IRS will never make threats of lawsuit or jail or demand that a certain payment method, such as a debit card, be made.

Fraudsters will try to trick seniors, telling them they have won a grand prize in a contest or that a relative needs money – anything to persuade a person to give up personal information such as their Social Security number or financial account information.

Some simple steps – and a conversation – can help the young and old avoid identity theft schemes and scammers.

To learn additional steps you can take to protect your personal and financial data, visit Taxes. Security. Together. You also can read Publication 4524, Security Awareness for Taxpayers.

For help with any income tax question call one of our offices:

Plymouth 734.454.4100, Allen Park 313.388.7180,

Grayling 989.348.4055,   Livonia 734-462-6161,

Madison Heights 248.544.6160, Royal Oak 248.399.7331,

Saginaw 989.782.1985, or St. Clair Shores 313.371.6600

Driving for tax-deductible medical and moving reasons is reduced, too

When we think about tax-related inflation adjustments, we typically expect amounts to bump up, at least a little.

But, as the Federal Reserve made clear when it the first time in almost a decade, inflation has not been a big deal for a while.

So it’s not such a big surprise that the Internal Revenue Service’s annual inflation adjustments for the rates used to figure tax deductible driving looked like some earlier Fed moves: they will drop in 2016.

The lower mileage deduction rates also were expected because the cost of gasoline plays a big role in how they are determined. And as any driver will happily tell you, filling up the tank has gotten a lot less expensive recently.

Business driving deduction drop: In today’s announcement of driving deductions for 2016, the IRS says business driving write-offs next year will be calculated using a rate of 54 cents per mile. That’s down 3.5 cents from 2015’s rate of 57.5 cents per mile.

Similarly, trips taken for deductible medical reasons or to relocate will go down in 2016 from 23 cents per mile to 19 cents per mile.

The standard business mileage rate, explains the IRS, is based on an annual study of the fixed and variable costs of operating an automobile.

The medical and moving rates, on the other hand, are determined by looking at just the variable costs of operating a car.

The biggest fixed automotive cost is the vehicle price. The biggest variable cost is gasoline.

And the role of the variable and sometimes volatile price of gas is obvious in the tax deduction mileage rate changes for the coming year.

AAA says U.S. drivers are paying the lowest average price for regular unleaded gasoline since 2009. In fact, the national average pump price for unleaded is a mere penny away falling under $2 per gallon.

So with the dramatic drop in gasoline prices over the last year, it’s not that surprising that the medical and moving rates will go down more next year, by 17.4 percent, than will the business mileage rate, which will fall by just around 6 percent.

Never a change for charity: As for the miles you can claim next year in connection with travel related to an IRS-qualified charity, that rate will stays at 14 cents.

But that has nothing to do with inflation or gas prices.

The charitable mileage rate is set by law, meaning that it can only be changed by Congressional action.

Keep track of what miles in which year: Remember, too, that the mileage rates that the IRS just released don’t take effect until Jan. 1, 2016.

So if you do any deductible driving between today and Dec. 31, you’ll want to use the 2015 figures to figure your deduction on your taxes that you’ll file next spring.

For help with any income tax question call one of our offices:

Plymouth 734.454.4100, Allen Park 313.388.7180,
Grayling 989.348.4055,  Livonia 734-462-6161,
Madison Heights 248.544.6160, Royal Oak 248.399.7331,
Saginaw 989.782.1985, or St. Clair Shores 313.371.6600

It’s time to have a word about your password.

Many of us use the same sign-on and password over and over for our online accounts.

That’s why phishing scams, which often seek password information, are so successful. Once a criminal has your password for one account, it’s highly likely you’ve used the same sign-on information for other accounts.

The IRS, state revenue departments and the tax industry have teamed up to combat identity theft in the tax arena. Our theme: Taxes. Security. Together. Working in partnership with you, we can make a difference.

That’s why we have all agreed to new stronger standards that you will see when you access your tax software products for 2016 and file your taxes. These include:

• A password that has eight or more characters, including upper case, and lower case letters as well as numbers and a special character.
• New features include a timed lockout and limits on unsuccessful log-in attempts.
• You must complete three security questions.
• Tax software partners must verify email addresses. In many cases, this means a PIN will be sent to your email or text that you must use to verify your address before you can proceed with your tax software.

These are just a few of the new protections that will be in place for the 2016 tax season to protect you from identity thieves. Most of the protections we are taking may not be visible to you, but they will add layers of protection nonetheless, adding new and stronger protections during tax time.

While we are taking these steps, it’s a good time for you to think about the passwords you use for other accounts. You should always use strong passwords with a mix of letters, numbers and special characters. Do not use the same password for multiple accounts. The longer, the better. And change your passwords regularly.

We all have a role to play in fighting identity theft. Join with us to fight identity theft.

For help with any income tax question call one of our offices:

Plymouth 734.454.4100, Allen Park 313.388.7180,

Grayling 989.348.4055,  Livonia 734-462-6161,

Madison Heights 248.544.6160, Royal Oak 248.399.7331,

Saginaw 989.782.1985, or St. Clair Shores 313.371.6600

The theft of your identity, especially personal information such as your name, Social Security number, address and children’s names, can be traumatic and frustrating. In this online era, it’s important to always be on guard.

The IRS has teamed up with state revenue departments and the tax industry to make sure you understand the dangers to your personal and financial data. Taxes. Security. Together. Working in partnership with you, we can make a difference.

Here are seven steps you can make part of your routine to protect your tax and financial information:

1. Read your credit card and banking statements carefully and often – watch for even the smallest charge that appears suspicious. (Neither your credit card nor bank – or the IRS – will send you emails asking for sensitive personal and financial information such as asking you to update your account.)
2. Review and respond to all notices and correspondence from the Internal Revenue Service. Warning signs of tax-related identity theft can include IRS notices about tax returns you did not file, income you did not receive or employers you’ve never heard of or where you’ve never worked.   3. Review each of your three credit reports at least once a year. Visit annualcreditreport.com to get your free reports.
3. Review your annual Social Security income statement for excessive income reported. You can sign up for an electronic account at www.SSA.gov.
4. Read your health insurance statements; look for claims you never filed or care you never received.
5. Shred any documents with personal and financial information. Never toss documents with your personally identifiable information, especially your social security number, in the trash.
6. If you receive any routine federal deposit such as Social Security Administrator or Department of Veterans Affairs benefits, you probably receive those deposits electronically. You can use the same direct deposit process for your federal and state tax refund. IRS direct deposit is safe and secure and places your tax refund directly into the financial account of your choice.

To learn additional steps you can take to protect your personal and financial data, visit Taxes. Security. Together. You also can read Publication 4524, Security Awareness for Taxpayers.

For help with any income tax question call one of our offices:

Plymouth 734.454.4100, Allen Park 313.388.7180,

Grayling 989.348.4055,  Livonia 734-462-6161,

Madison Heights 248.544.6160, Royal Oak 248.399.7331,

Saginaw 989.782.1985, or St. Clair Shores 313.371.6600

“Update your account now.” “You just won a cruise!” “The IRS has a refund waiting for you.”

In the cyber world of phishing, the sentences are “bait” – lures from emails, telephone calls and texts all designed to separate you from your cash, your passwords, your social security number or your very identity.

The IRS has teamed up with state revenue departments and the tax industry to make sure you understand the dangers to your personal and financial data. Taxes. Security. Together. Working in partnership with you, we can make a difference.

No doubt you’ve heard that warning to beware of phishing many times. But, phishing remains a problem because it works. Cybercriminals on a daily basis concoct new ways to trick people into turning over cash or sensitive data that can affect your taxes.

When it comes to this type of crime, the main line of defense is not technology, it is you.

Criminals pose as a person or organization you trust and/or recognize. They may hack a friend’s email account and send mass emails under their name. They may pose as your bank, credit card company or tax software provider. Or, they may pose as a state, local or federal agency such as the Internal Revenue Service or a state agency. Criminals go to great lengths to create websites that appear legitimate but contain phony log-in pages.

Just remember: No legitimate organization – not your bank, not your tax software company, not the IRS – will ever ask for sensitive information through unsecured methods such as emails. And the IRS never sends unsolicited emails or makes calls with threats of lawsuits or jail.

Scam emails and websites also can infect your computer with malware without you even knowing it. The malware can give the criminal access to your device, enabling them to access all your sensitive files or track your keyboard strokes, exposing login information.

Here are a few simple steps you can take to protect yourself:

• Avoid suspicious phishing emails that appear to be from the IRS or other companies; do not click on the links- go directly to their websites instead.
• Beware of phishing scams asking you to update or verify your accounts.
• To avoid malware, don’t open attachments in emails unless you know who sent it and what it contains.
• Download and install software only from websites you know and trust.
• Use security software to block pop-up ads, which can contain viruses.
• Ensure your family understands safe online and computer habits.

To learn additional steps you can take to protect your personal and financial data, visit Taxes. Security. Together. Also read Publication 4524, Security Awareness for Taxpayers.

For help with any income tax question call one of our offices:

Plymouth 734.454.4100, Allen Park 313.388.7180,

Grayling 989.348.4055,  Livonia 734-462-6161,

Madison Heights 248.544.6160, Royal Oak 248.399.7331,

Saginaw 989.782.1985, or St. Clair Shores 313.371.6600

The Internal Revenue Service, the states and the tax industry urge you to be safe online and remind you to take important steps to help protect yourself against identity theft.

Taxes. Security. Together. Working in partnership with you, we can make a difference.

Scammers, hackers and identity thieves are looking to steal your personal information – and your money. But there are simple steps you can take to help protect yourself, like keeping your computer software up-to-date and giving out your personal information only when you have a good reason.

We all have a role to play to protect your tax account. There are just a few easy and practical steps you can take to protect yourself as you conduct your personal business online.

Here are some best practices you can follow to protect your tax and financial information:

1. Understand and Use Security Software.  Security software helps protect your computer against the digital threats which are prevalent online. Generally, your operating system will include security software or you can access free security software from well-known companies or Internet providers. Other options may have an annual licensing fee and offer more features. Essential tools include a firewall, virus/malware protection and file encryption if you keep sensitive financial/tax documents on your computer. Security suites often come with firewall, anti-virus and anti-spam, parental controls and privacy protection. File encryption to protect your saved documents may have to be purchased separately. Do not buy security software offered as an unexpected pop-up ad on your computer or email! It’s likely from a scammer.
2. Allow Security Software to Update Automatically. Set your security software to update automatically. Malware – malicious software – evolves constantly and your security software suite is updated routinely to keep pace.
3. Look for the “S” for encrypted “https” websites. When shopping or banking online, always look to see that the site uses encryption to protect your information. Look for https at the beginning of the web address. The “s” is for secure. Unencrypted sites begin with an http address. Additionally, make sure the https carries through on all pages, not just the sign-on page.
4. Use Strong Passwords. Use passwords of at least 10 to 12 characters, mixing letters, numbers and special characters. Don’t use your name, birthdate or common words. Don’t use the same password for several accounts. Keep your password list in a secure place or use a password manager. Don’t share your password with anyone. Calls, texts or emails pretending to be from legitimate companies or the IRS asking you to update your accounts or seeking personal financial information are generally scams.
5. Secure your wireless network.  A wireless network sends a signal through the air that allows you to connect to the Internet. If your home or business wi-fi is unsecured it also allows any computer within range to access your wireless and steal information from your computer. Criminals also can use your wireless to send spam or commit crimes that would be traced back to your account. Always encrypt your wireless. Generally, you must turn on this feature and create a password.
6. Be cautious when using public wireless networks. Public wi-fi hotspots are convenient but often not secure. Tax or financial Information you send though websites or mobile apps may be accessed by someone else. If a public Wi-Fi hotspot does not require a password, it probably is not secure. If you are transmitting sensitive information, look for the “s” in https in the website address to ensure that the information will be secure.
7. Avoid phishing attempts. Never reply to emails, texts or pop-up messages asking for your personal, tax or financial information. One common trick by criminals is to impersonate a business such as your financial institution, tax software provider or the IRS, asking you to update your account and providing a link. Never click on links even if they seem to be from organizations you trust. Go directly to the organization’s website. Legitimate businesses don’t ask you to send sensitive information through unsecured channels.

To learn additional steps you can take to protect your personal and financial data, visit Taxes. Security. Together. Also read Publication 4524, Security Awareness for Taxpayers.

For help with any income tax question call one of our offices:
Plymouth 734.454.4100, Allen Park 313.388.7180,
Grayling 989.348.4055,  Livonia 734-462-6161,
Madison Heights 248.544.6160, Royal Oak 248.399.7331,
Saginaw 989.782.1985, or St. Clair Shores 313.371.6600

Individual Retirement Accounts, or IRAs, are important vehicles for you to save for retirement. If you have an IRA or plan to start one soon, there are a few key year-end rules that you should know. Here are the top year-end IRA reminders from the IRS:

• Know the contribution and deduction limits.  You can contribute up to a maximum of $5,500 ($6,500 if you are age 50 or older) to a traditional or Roth IRA. If you file a joint return, you and your spouse can each contribute to an IRA even if only one of you has taxable compensation. You have until April 18, 2016, to make an IRA contribution for 2015. In some cases, you may need to reduce your deduction for your traditional IRA contributions. This rule applies if you or your spouse has a retirement plan at work and your income is above a certain level.
• Avoid excess contributions.  If you contribute more than the IRA limits for 2015, you are subject to a six percent tax on the excess amount. The tax applies each year that the excess amounts remain in your account. You can avoid the tax if you withdraw the excess amounts from your account by the due date of your 2015 tax return (including extensions).
• Take required distributions.  If you’re at least age 70½, you must take a required minimum distribution, or RMD, from your traditional IRA. You are not required to take a RMD from your Roth IRA. You normally must take your RMD by Dec. 31, 2015. That deadline is April 1, 2016, if you turned 70½ in 2015. If you have more than one traditional IRA, you figure the RMD separately for each IRA. However, you can withdraw the total amount from one or more of them. If you don’t take your RMD on time you face a 50 percent excise tax on the RMD amount you failed to take out.
• IRA distributions may affect your premium tax credit. If you take a distribution from your IRA at the end of the year and expect to claim the PTC, you should exercise caution regarding the amount of the distribution.  Taxable distributions increase your household income, which can make you ineligible for the PTC.  You will become ineligible if the increase causes your household income for the year to be above 400 percent of the Federal poverty line for your family size. In this circumstance, you must repay the entire amount of any advance payments of the premium tax credit that were made to your health insurance provider on your behalf.

For help with any income tax question call one of our offices:
Plymouth 734.454.4100, Allen Park 313.388.7180,
Grayling 989.348.4055,  Livonia 734-462-6161,
Madison Heights 248.544.6160, Royal Oak 248.399.7331,
Saginaw 989.782.1985, or St. Clair Shores 313.371.6600

The Internal Revenue Service, the states and the tax industry urge you to be safe online and remind you to take important steps to help protect yourself against identity theft.

Taxes. Security. Together. Working in partnership with you, we can make a difference.

Scammers, hackers and identity thieves are looking to steal your personal information – and your money. But there are simple steps you can take to help protect yourself, like keeping your computer software up-to-date and giving out your personal information only when you have a good reason.

We all have a role to play to protect your tax account. There are just a few easy and practical steps you can take to protect yourself as you conduct your personal business online.

Here are some best practices you can follow to protect your tax and financial information:

1. Understand and Use Security Software.  Security software helps protect your computer against the digital threats which are prevalent online. Generally, your operating system will include security software or you can access free security software from well-known companies or Internet providers. Other options may have an annual licensing fee and offer more features. Essential tools include a firewall, virus/malware protection and file encryption if you keep sensitive financial/tax documents on your computer. Security suites often come with firewall, anti-virus and anti-spam, parental controls and privacy protection. File encryption to protect your saved documents may have to be purchased separately. Do not buy security software offered as an unexpected pop-up ad on your computer or email! It’s likely from a scammer.
2. Allow Security Software to Update Automatically. Set your security software to update automatically. Malware – malicious software – evolves constantly and your security software suite is updated routinely to keep pace.
3. Look for the “S” for encrypted “https” websites. When shopping or banking online, always look to see that the site uses encryption to protect your information. Look for https at the beginning of the web address. The “s” is for secure. Unencrypted sites begin with an http address. Additionally, make sure the https carries through on all pages, not just the sign-on page.
4. Use Strong Passwords. Use passwords of at least 10 to 12 characters, mixing letters, numbers and special characters. Don’t use your name, birthdate or common words. Don’t use the same password for several accounts. Keep your password list in a secure place or use a password manager. Don’t share your password with anyone. Calls, texts or emails pretending to be from legitimate companies or the IRS asking you to update your accounts or seeking personal financial information are generally scams.
5. Secure your wireless network.  A wireless network sends a signal through the air that allows you to connect to the Internet. If your home or business wi-fi is unsecured it also allows any computer within range to access your wireless and steal information from your computer. Criminals also can use your wireless to send spam or commit crimes that would be traced back to your account. Always encrypt your wireless. Generally, you must turn on this feature and create a password.
6. Be cautious when using public wireless networks. Public wi-fi hotspots are convenient but often not secure. Tax or financial Information you send though websites or mobile apps may be accessed by someone else. If a public Wi-Fi hotspot does not require a password, it probably is not secure. If you are transmitting sensitive information, look for the “s” in https in the website address to ensure that the information will be secure.
7. Avoid phishing attempts. Never reply to emails, texts or pop-up messages asking for your personal, tax or financial information. One common trick by criminals is to impersonate a business such as your financial institution, tax software provider or the IRS, asking you to update your account and providing a link. Never click on links even if they seem to be from organizations you trust. Go directly to the organization’s website. Legitimate businesses don’t ask you to send sensitive information through unsecured channels.

To learn additional steps you can take to protect your personal and financial data, visit Taxes. Security. Together. Also read Publication 4524, Security Awareness for Taxpayers.

For help with any income tax question call one of our offices:

Plymouth 734.454.4100,               Allen Park 313.388.7180,

Grayling 989.348.4055,     Madison Heights  248.544.6160,     Royal Oak 248.399.7331,

Saginaw 989.782.1985,          St. Clair Shores 313.371.6600

The U.S. Department of the Treasury created myRA (my Retirement Account), a new retirement account, to help people save for retirement. myRA is a simple, safe, and affordable way to take more control of your future. Here are the top questions employees have about myRA.

What is myRA?

myRA is a new type of Roth IRA* – a popular retirement savings tool – that has been specifically designed by the U.S. Treasury to address many of the most common barriers to saving, such as fees and minimum initial contributions. There is no cost to you to participate, and myRA carries no risk of losing money. The account stays with you when you change jobs, and if you have more than one job, you can contribute to it through multiple employers. myRA has no minimum contribution requirement, which means you can contribute the amount you choose.* And best of all, it’s easy to set up and manage.

Who can sign up for myRA?

myRA could be a good option if you don’t have access to a retirement savings plan through your job. myRA follows Roth IRA rules so it is generally available to anyone who earns an annual income of less than $129,000 a year for individuals and $191,000 for married couples filing jointly.* You can set up direct deposit into your myRA through your employer.

Are there any fees?

No. It costs nothing to open an account and there are no fees for the maintenance of the account. Best of all, you decide how much to save – as little as a few dollars a month up to $5,500 per year.* It’s up to you. And even saving a little each paycheck can really add up over time.

How do I open an account?

myRA makes it easy to sign up and start saving. You can sign up today at no cost – it takes only minutes. There are three simple steps:

1. Open your myRA online at myRA.treasury.gov
2. Give a direct deposit authorization form to your employer
3. Watch your savings grow – your contributions will be made automatically each payday.

For more information on myRA, you can visit myRA.treasury.gov.

For help with this or any income tax question call one of our offices:
Plymouth 734.454.4100,            Allen Park 313.388.7180,
Grayling 989.348.4055,         Madison Heights  248.544.6160,         Royal Oak 248.399.7331,
Saginaw 989.782.1985,         St. Clair Shores 313.371.6600

You could be throwing your money away if you haven’t taken steps to decrease your tax liability and spend down your flexible savings account.

Not to worry, we’ve got a few ideas that can help. Start now, and you’ll be in good shape come Dec. 31, the last day for most 2015 tax savings.

Go see a doctor. Hearing aids, eyeglasses, contacts, health insurance premiums and more are deductible as is medical mileage to doctors, hospitals and the pharmacy. If your spending equals more than 10 percent of your adjusted gross income, 7.5% if 65 or older, you may be eligible for a tax deduction. Use your flexible spending account to pay these bills. FSAs used to have a use it or lose it rule, but now companies can allow a $500 FSA rollover. Still, it might be best to use all your FSA money by year’s end to ensure that you don’t lose any.

Take stock of your stocks. Have the stock market highs and lows affected your portfolio? There’s still time to sell stocks or mutual funds and take the losses to offset your income.

Fix up your rental property. Make repairs to rental property before December 31 to reduce rental income when you file your tax return.

Donate. You can deduct contributions to qualified charities in the year you make them. So, gifts charged to your credit card before year end will count for 2015, even if you don’t pay the bill until 2016. Also, a check will count for 2015 as long as it goes into the mail in 2015. Don’t forget to clean out the garage and closets and make non-cash donations.

Check here for a list of IRS qualified charities.

If you miss the Dec. 31 deadline for tax savings, consider these:

Pay it forward. Payments made in the first 3 months of 2016 to a qualified educational institution can be used towards credit on your 2015 tax return with regards to the American Opportunity Credit, the Lifetime Learning Credit, and the Tuition & Fees Deduction.

Take two tax breaks in one. 18 or older? Not a dependent or full-time student? You could be eligible for the Saver’s Credit. The tax credit for low- to moderate-income employees allows you to save for retirement and get a credit for doing so. In short, you put money into an IRA and get your IRA deduction, then you also get a credit for your IRA contribution. IRA contributions for 2015 can be made until April 18, 2016.

For help with any income tax question call one of our offices:

Plymouth 734.454.4100,              Allen Park 313.388.7180,

Grayling 989.348.4055, Madison Heights  248.544.6160, Royal Oak 248.399.7331,

Saginaw 989.782.1985,         St. Clair Shores 313.371.6600