Saturday, December 18, 2010

Tax code changes impacting accountants


Article courtesy of www.WWLP.com Channel 22 News 

Shane Symolon (22 News)

CHICOPEE, Mass. (WWLP) - Last minute changes to the tax code has made it challenging for accountants and others who help people with their taxes.

The Internal Revenue Service just released tax instructions to help employees implement the 2011 cut in payroll taxes.

They usually get those tax tables in November, but only draft guides were sent out this year.
Some accountants say they've told their clients multiple possible strategies depending on what congress did.
"We have to give both ends of the spectrum, if this happens your going to get hit with less tax, if the other situation happens and it gets extended it won't be as bad," said Andy Pignatare, CPA of Pignatare & Sagan LLC.

Accountants say the fact that many cuts, credits and deductions were extended makes the transition easier than if everything had changed.