Dear Clients and friends:

From the staff of Airline Crew Taxes, we hope you have an enjoyable holiday season with your family and loved ones, had a good year in 2009, and wish you a happy and prosperous 2010.

With the economic conditions being flat in 2009, we realize the need for the utmost sincerity and competence in preparing your taxes; this in order to provide you with the best possible result on your 2009 tax return. This letter is an effort to once again thank you for your prior business and to highlight some of the things that we feel are important to our clients for tax year 2009. We also highlight some changes to the IRS tax code that may have a positive impact on your 2009 taxes.  Knowing that the airline industry has not been immune to the economic environment, past, present and future, we can identify with your tax needs as pilots, flight attendants, and airline support staff.  We are also well equipped to maximize your tax returns to help ease some of these economic stresses.

 As we prepare for a busy 2010 tax season, we do expect a continued increase in new clients. This is primarily due to referrals from satisfied clients; and for that we are thankful. We ask that you please tell your friends and co-workers about our services. We will be working as many hours as necessary and adding support staff to keep up with demand, and process files as rapidly and accurately as possible. We have enclosed your 2009 tax organizer for you to start organizing your information for your tax preparation. We have also enclosed some business cards for you to use when referring us. Please write your name on the back of the card to help identify your referral and enable us to credit you $15 per referral or possibly have your tax return prepared free with five referrals.

We would like to be your choice for tax preparation again! Please remember that you can:

  1. -Fill out the organizer and mail it back with any tax related documents you may have.

  2. -Fax your tax organizer and tax related documents to our office (unlimited toll free fax).

  3. -Go to our website and complete our paperless forms (recommended if you do not have numerous tax forms, ie.W2’s, 1098’s, 1099’s, etc.).

  4. -Visit our office. An appointment is recommended, but walk-ins are welcome.

 

TAX PLANNING IDEAS FOR 2009 AND BEYOND

Employee / Employer contributions allow taxes to be deferred on the amounts contributed to a retirement plan. The contributions are fully deductible, thereby reducing tax liability for taxpayer. We suggest contributing as much as you can to your 401K, as this money goes into your retirement account on a pre-tax basis. This saves you a considerable amount in taxes as it reduces your total taxable income. It’s a good deal, but do keep in mind that the overall value of your 401K portfolio is driven by the financial markets, and is subject to market volatility.

YEAR END TAX TO DO LIST

If you own any stocks that are underperforming, and are not planning to them long term, selling by December 31st 2009 will allow you to deduct a loss of up to $3,000 on your tax return. Any amount over $3,000 will be carried over to future years. Plan your finances accordingly if making any IRA contributions (for possible tax benefits) as the contribution has to be made by April 15, 2010.

In closing, we are all aware of the political changes that have recently occurred, and there is speculation about additional stimulus programs that could bring about tax code changes. We have included most pertinent information available at the time of this print. In the coming days we will make our best effort to remain cognizant of any income tax changes that may affect our clients. Our office will continuously update our systems in order to answer any questions you may have and make sure we take advantage of all possible credits and deductions. We thank all of our clients that have been a part of our continuing success and growth, and we look forward to serving you this and many more tax seasons.

CHARITABLE CONTRIBUTIONS

Always remember to be charitable, especially with non cash items that you no longer need, such as clothing, furniture, and housewares. Try to make several drops during the year (aim for 3 or 4) as each drop could be itemized and given maximum value for deductions (please obtain a receipt). We use software that gives value to the items donated; all you have to do is list what you donated and the quantity of the items donated. You can do this at most non profit resale shops like Goodwill, Salvation Army, Purple Heart, etc. This could be a sizeable deduction.

IRS updates

FIRST TIME HOME BUYERS EXTENDED AND EXPANDED

click here for more info...

ENERGY CREDITS

The American Recovery and Reinvestment Act of 2009 has expanded the energy credits available. The new act basically combines the 2007 energy credit items and the 2008 energy credit items. Improvements like:  insulation, energy efficient windows and doors, energy efficient heating and air conditioning systems, solar and geothermal systems. The credit amounts have increased. However, there are a number of stipulations associated with the energy credits, so we will consult you and help determine if you can claim any of these energy credits on your tax return.

SUMMARY OF ADDITIONAL CHANGES FOR 2009 TAX FILINGS

There are several changes affecting Alternative Minimum Tax.
There are changes on adoption benefits; child’s investment income there is now additional child tax credit.
You may now deduct credit or debit card convenience fees incurred when you pay your income tax owed with them.
You can still deduct sales and excise taxes when purchasing a new vehicle. The earned income credit amounts have increased for 2009 and 2010.
There were education related tax changes with the hope and lifetime credit, tuition fees deduction, and student loan interest deduction.
There were changes to the Medical Savings Accounts, Health Spending Accounts and long-term care premiums.
There was an increase to the Personal Casualty and Theft Loss Limit.
There are changes to the maximum tax rate on qualified dividends and net capital gain.
The failure to file penalty has increased.
The maximum amount of wages subject to the social security tax and Medicare tax has increased.
The standard deduction increased.
The standard mileage rate for business use of your vehicle, medical and move-related use and charitable use has increased for 2009.
A portion of unemployment compensation received is excludable from taxation.

Note: This is not a complete list of changes, only the most likely to possibly affect our clients