Converting a traditional IRA to a Roth IRA may save tax dollars by reducing your Social Security income that is subject to income tax for San Diego, Mira Mesa, Scripps Ranch, Rancho Bernardo, Rancho Penasquitos residents.  For additional information whether you should convert and save tax dollars, please call Steve Pearson, CPA at 858-695-1040.

Exemptions for dependents may be claimed for your children and other relatives may qualify if the relationship test is met for Mira Mesa, Scripps Ranch, Rancho Penasquitos and San Diego residents.  The relationship test also applies to your brother, sister, half brother, half sister, stepbrother, stepsister, or a descendant.  To see if you can claim an exemption for addtional qualifying children, please Steve Peasrson, CPA at (858) 695-1040.

The recent Hiring Incentives to Restore Employment Act of 2010 (the HIRE Act) extended the increased amounts that businesses can expense under Sec 179.  Businesses can expense, write off up to $250,000 of equipment purchases a year provided certain conditions are met.  Please call Steve Pearson, CPA for clarification or questions at (858)695-1040.

If a person has a discharge of indebtedness or a cancellation of debt, it may result in taxable income.  It is also possible that the discharge or cancellation may be excluded under certain conditions.  If you need help in knowing if your cancelled or discharged debt is taxable or not please call Steve Pearson, C.P.A. at 858-695-1040.

If you have a short sale or foreclosure on your personal residence in San Diego, Mira Mesa, Scripps Ranch, Rancho Penasquitos, or 4S Ranch you may have taxable income from the cancelled debt or some or it may be forgiven.  For more information contact Steve Pearson CPA at stevecpa50@yahoo.com or (858) 695-1040.
Steve Pearson, CPA