Andrew Samaniego | Tax Resolution Blog | CA

Archives for December 2024

Your Business Could Face $182,500 in Fines Next Year (Here’s What You Need to Know)

by Leave a Comment

Aloha from Kailua Beach,

Yesterday, while celebrating my wife Kanoe’s 29th birthday, she turned to me and said, “It’s scary… this is my last year of youth.” Little did she know, I was about to read something even scarier than aging – the new Corporate Transparency Act (CTA).

Speaking of things that keep business owners up at night…

There’s a massive change coming that could cost you $500 PER DAY if you ignore it. Yes, you read that right. While I’ve been sitting here reading parenting books for our little Kainalu’s toddler years, this regulatory bombshell has been ticking away.

The Government’s New Business “Background Check”

The feds have decided they want to know who owns what. It’s called the Corporate Transparency Act (CTA) and Beneficial Ownership Information (BOI) reporting. Think of it as a TSA checkpoint for your business entity.

Here’s the Terrifying Part:

If you own an LLC, Corporation, or other business entity and don’t file this report, you’re looking at:
• $500 daily fines (that’s $182,500 per year!)
• Additional $10,000 penalties
• Potential 2-year prison sentence

Let that sink in. Two years in prison for not filing a form.

My Naval Officer training taught me one crucial lesson: Never present a problem without a solution. So here are your options:

OPTION 1: The “DIY Adventure”
Try navigating FinCEN.gov/boi yourself. Warning: It’s about as user-friendly as programming a VCR in 1985. Sure, it’s free – if you don’t count the value of your time and sanity.

OPTION 2: The “Sleep Well at Night” Solution
While in Orlando, I discovered FileForm.com – they’ve turned this compliance nightmare into a “click, submit, done” process. Think TurboTax, but for BOI reporting in under 10 mins.

Real Talk: Some folks are waiting to see if courts strike this down. But here’s what I tell my clients: Would you rather:
A) Pay a small fee now for peace of mind
B) Risk $182,500 in fines and prison time

The choice seems pretty clear to me.

Here’s What You Need to Do RIGHT NOW:

If you have a business entity(LLC,S-Corp, ect.),

1.Head over to FileForms.

2.Complete their 10 min or under program.

3.Go have a Mai Tai.

Remember: This isn’t like other tax deadlines that come with simple late fees. This is $500 EVERY DAY you’re not compliant.

Don’t let this be the thing that ruins your New Year.

Mahalo,
Andrew “Compliant” Samaniego, EA

P.S. Already seeing ads for “BOI filing services”? Be careful. I’ve vetted the solution I’m recommending. Email me for the safe option.

Finding Paradise: What a Tiny Hawaiian Island Taught Me About Tax Season

by Leave a Comment

Moloka’i Sunset

Aloha Tax Explorers!

Missing my daily tax tips? Well, I’ve been busy discovering what might be Hawaii’s best-kept secret — the island of Molokaʻi. And surprisingly, it taught me an important lesson about taxes and life that I need to share with you.

Picture this:
• No traffic lights
• Just 3 small markets
• A handful of “restaurants”
• Everything closes by 1:30 PM
• The most pristine, untouched beaches you’ve ever seen

It’s like stepping back in time to a simpler Hawaii. But here’s what struck me — even on this remote island where time seems to stand still, there were two things you couldn’t escape: breathtaking sunsets and… taxes.

Yes, even in paradise, taxes are a reality. But here’s the difference: The locals here have mastered something many of us struggle with — they don’t let it consume their lives.

Speaking of life’s precious moments, today was extra special. Our son Kainalu was baptized here in Oahu, surrounded by our Hawaiian ohana while my mainland family joined via Zoom. It was one of those perfect moments that remind you what really matters.

And it got me thinking…

How many of us spend the holiday season:
• Stressing about upcoming tax deadlines?
• Worrying about last year’s unfiled returns?
• Missing family moments because we’re sorting through receipts?
• Pushing off joy because of financial anxiety?

The Molokaʻi Lesson:
Life will always have its complexities (like taxes), but we get to choose how much power they have over our special moments.

Here’s What I Propose:

Let’s make 2024 the year you handle taxes like a Molokaʻi local — with calm confidence and plenty of time for what matters most.

I’m putting together a special “2024 Tax Season Peace of Mind Package” for my email subscribers, including:
• Early-bird scheduling privileges
• Monthly tax organization tips
• Key 2024 tax law updates
• Special rates for early preparation

How to Never Miss a Family Moment Due to Tax Stress:

Comment below with your biggest tax season challenge
Subscribe to my email list
Get priority scheduling for 2024
While our office will be operating via email until January (yes, even tax pros need family time!), I promise you this: Subscribe now, and you’ll be first in line when we return.

As I prepare to celebrate Kanoe’s birthday tomorrow and welcome the New Year, I’m grateful for this community and the trust you place in me.

From my family to yours, Hauʻoli Makahiki Hou! (Happy New Year!)

Until Next Time,

Andrew “Sunset” Samaniego, EA, CTRC

Andrew Samaniego Tax Planning & Resolution

(619) 268–1084 | AndrewSamaniego.com

P.S. Ever been to Molokaʻi? Share your favorite “off the beaten path” Hawaii story in the comments. Or tell me about your special family moment that reminded you what’s truly important!

Why Your Tax Problems Shouldn’t Steal Your Holiday Joy

by Leave a Comment

Aloha from Oahu! 🌺

As I write this, I’m watching my son Kainalu play with his grandparents in their kitchen that overlooks the ocean, and it got me thinking about something important I want to share with you.

Our journey here started at 4:45 AM yesterday (yes, that’s pre-coffee time!) when our amazing friend Maggie showed up with her 4-runner to help us wrangle our luggage and a very excited baby to the airport. Looking back, it could have been a disaster…

Picture this:

  • 6 AM airport arrival
  • TSA line snaking like an old Nokia phone game
  • 2-hour flight delay
  • 5.5 hours across the Pacific with a baby
  • Enough luggage to make a sherpa nervous

But you know what? We made it. Not just made it – we actually enjoyed the journey. Why? Because we had:

The right tools (CLEAR membership = skipping that terrifying TSA line)
The right help (Thank you, Maggie!)
A plan in place
And that’s when it hit me – this is exactly what I see with clients who come to me panicked about their taxes right after the holidays.

Every year, I meet wonderful people who:

  • Spent their holidays stressed about tax problems
  • Missed precious moments with family worrying about the IRS
  • Put off making memories because of financial anxiety
  • Waited until April to start thinking about tax preparation

Here’s the truth: Just like our holiday travel, tax season doesn’t have to be chaotic. You don’t have to miss out on building gingerbread houses with your keiki because you’re sorting through shoebox receipts in January.

Let me share a quick story about one of my clients from last year. She was a small business owner who usually spent her entire holiday season stressed about taxes. Last year, she decided to do things differently. We put a plan in place before the holidays, and you know what she told me in January?

“This was the first Christmas in five years where I was actually present for my family.”

That’s what this is all about.

As I sit here in Oahu, watching three generations of my family together, I’m reminded why I do what I do. It’s not just about numbers – it’s about giving people their peace of mind back. It’s about making sure you can focus on what really matters during the holidays.

Here’s My Holiday Gift to You:

I’m putting together a special “2024 Tax Referral” for my email subscribers. It includes:

  • Getting $100 off your annual tax prep fees per client refereered
  • 4 clients referred (free prep)

How to Get It:

Let your friends/family know I can solve their tax woes.
If they sign up with me and mention you ill credit you $100

Easy.

Remember: Just like our airport adventure, sometimes you need the right tools and the right people to make the journey easier.

Bonus Tip: Like how CLEAR saved us from that TSA line, getting your tax prep started early can save you from the April rush. Early birds get the best service (and often find more deductions!)

From my ohana to yours, Mele Kalikimaka! 🎄

P.S. What’s your holiday travel story? Share it in the comments – I’d love to hear how you manage the chaos of holiday logistics!

Until Next Time,

Andrew “Shaka” Samaniego, EA, CTRC

Andrew Samaniego Tax Planning & Resolution

(619) 268-1084  |  AndrewSamaniego.com

The IRS’s Secret List: Living Expenses They Actually Want You to Claim

by Leave a Comment

Hello folks from Orlando!

As I wrap up the final day of the Tax Rep Summit and prepare for my 5.5-hour flight back to my family in San Diego, I want to share something that might surprise you about the IRS.

Here’s a truth that often shocks my clients: The IRS doesn’t actually want to bankrupt you or put you on the streets.

I know, I know. It might not feel that way when they empty your bank account without verbal warning. But here’s the thing – once you decide to become compliant, the IRS has a whole system of allowable living expenses they’ll let you claim before determining how much you can pay.

Let’s break down what expenses the IRS will actually let you claim:

  1. Housing and Utilities
  • Rent or mortgage payments
  • Property taxes
  • Insurance
  • Gas, electric, water
  • and more
  • Pro Tip: These allowances vary by county and family size. San Diego’s housing allowance is significantly higher than many other regions.
  1. Transportation
  • Car payment (up to a reasonable amount)
  • Gas and oil
  • Insurance
  • Maintenance
  • Public transportation costs
  • Insider Knowledge: The IRS even allows ownership of two cars per household!
  1. Food and Clothing
  • Groceries
  • Personal care items
  • Apparel
  • Services (like dry cleaning)
  • Strategy Note: These are based on national standards, not your actual spending.
  1. Healthcare
  • Insurance premiums
  • Out-of-pocket medical expenses
  • Prescriptions
  • Key Point: Medical expenses are often allowed in full if documented properly.
  1. Other Expenses That Often Get Approved
  • Child care
  • Term life insurance
  • Court-ordered payments
  • Student loan minimum payments
  • Some retirement contributions

But here’s where it gets interesting…

Just knowing these categories isn’t enough. The real skill comes in knowing:

  • How to document each expense properly
  • When to argue for expenses above standard allowances
  • Which expenses can be combined or separated for maximum benefit
  • How to time your financial statement for optimal results

For example, last week I helped a client become declared “Currently Not Collectible” by properly documenting their San Diego housing costs and medical expenses. The IRS revenue officer initially pushed back, but because we knew the rules inside and out, we prevailed.

Think of it this way: The IRS is like a strict parent with very specific rules about allowances. They’ll give you your allowance – but only if you ask correctly and follow their procedures.

Ready to Stop Worrying About the IRS?

Option 1: Download my free guide at CrushIRSAnxiety.com to learn more about how to handle your IRS issues, including a detailed breakdown of allowable expenses.

Option 2: Email me at info@andrewsamaniego.com to schedule a consultation. Let’s review your specific situation and create a strategy that works for you.

The Bottom Line:
Don’t let the IRS determine what you can and can’t afford without understanding your rights. Just like I’m heading home to my family in San Diego, you too can find your way back to financial peace of mind.

P.S. – The IRS’s allowable expense guidelines change regularly. The sooner you act, the sooner we can put together a plan that works for your situation.

Until Next Time,

Andrew “Home-bound” Samaniego, EA, CTRC

Andrew Samaniego Tax Planning & Resolution

(619) 268-1084  |  AndrewSamaniego.com

Why Trusting a Professional Shouldn’t Keep You Up at Night

by Leave a Comment

I’m writing this from my hotel room in Orlando, surrounded by the magic of Disney World. But my mind keeps drifting 2,400 miles away to my little boy, Kainalu, back home in San Diego.

Yesterday was a big day for our family. Bigger than any IRS battle I’ve ever fought (and I’ve fought many). It was Kainalu’s first day at daycare.

Let me tell you something they don’t prepare you for in parent school: the gut-wrenching anxiety of leaving your child with someone else for the first time.

While I’m here at the Tax Rep Summit, learning the latest strategies to protect my clients from the IRS, my wife Kanoe was facing her own challenge – trusting a stranger with our most precious possession.

The questions kept swirling:

  • Will he be okay?
  • Is the babysitter really as experienced as she claims?
  • Will he be the same happy little boy when pickup time comes?

Sound familiar? These might be the same questions running through your mind about your tax problems:

  • Will my tax issue ever be resolved?
  • Can I trust someone else with my financial future?
  • What if things get worse?

Here’s what we did with the daycare situation: We did our homework. Met with the babysitter. Checked her credentials. Asked the tough questions. And then… we had to trust.

And you know what? Kainalu was perfectly fine. Better than fine, actually. When Kanoe picked him up, he was all smiles.

This experience reminded me of something I see every day in my practice. When people come to me with tax problems, they’re often overwhelmed with worry. Some haven’t slept well in months. Others have been avoiding their mail, dreading another IRS letter.

But here’s the truth: Just like that experienced babysitter took expert care of our son, a qualified tax professional can take expert care of your tax problems.

As an Enrolled Agent, I’ve been in the trenches, fighting the IRS and winning. Right now, I’m at one of the nation’s top tax representation conferences, sharpening my skills and learning new strategies to keep the IRS out of my clients’ pockets.

The lesson? When you hire a professional to provide a service, you should expect results without worry.

You wouldn’t lose sleep wondering if a qualified doctor can treat an illness. You shouldn’t lose sleep wondering if a qualified tax professional can solve your tax problems.

Ready to stop worrying and start solving?

Option 1: Download my free guide at CrushIRSAnxiety.com. It’s packed with strategies I use to help people just like you tackle their tax problems.

Option 2: Schedule a free initial consultation. Let’s discuss your situation and create a plan to resolve it – no pressure, no obligation.

Remember: While I’m learning new ways to fight the IRS here in Orlando, my team is back home, ready to help you take the first step toward tax peace of mind.

Because at the end of the day, whether it’s choosing a daycare or a tax professional, you deserve to work with someone who lets you rest easy, knowing you’re in good hands.

Until Next Time,

Andrew “Well Rested” Samaniego, EA, CTRC

Andrew Samaniego Tax Planning & Resolution

(619) 268-1084  |  AndrewSamaniego.com

The $8,000 Tax Mistake Most Retirees Make (And How to Avoid It)

by Leave a Comment

Yesterday, I was on the phone with Daniel (name changed for privacy), a retiree who was dreading his upcoming Required Minimum Distributions (RMDs). Like many retirees, he’d worked hard, saved diligently, and built up a healthy retirement nest egg in his Traditional IRA.

But there was a problem.

Uncle Sam was coming for his share. And it wasn’t going to be pretty.

See, most folks don’t realize they’re sitting on a tax time bomb. Those Traditional IRAs? They’re basically a loan from the government. And when you hit 73, they want their money back – whether you like it or not.

Daniel knew something wasn’t right. He could feel it in his gut that there had to be a better way than watching thousands of his hard-earned dollars vanish into the IRS’s coffers.

And boy, was he right.

After reviewing his situation during our year-end tax planning consultation, I spotted an opportunity that most tax preparers miss. It’s a strategy I call “Roth Bracketing” – and it saved Daniel approximately $8,000 in taxes.

The only regret? He wished he’d come to see me sooner.

Here’s the thing about tax planning: it’s like planting a tree. The best time to do it was yesterday. The next best time? Today.

And with 2024 quickly approaching, you’re at a crossroads:

Option 1: Do nothing and hope for the best (like most folks do)
Option 2: Take control of your tax future NOW

Look, I’ve seen too many hard-working Americans pay thousands more than necessary in taxes. As an Enrolled Agent, it pains me to watch people overpay when there are perfectly legal strategies available to keep more of their money where it belongs – in their pockets.

Whether you’re:

  • Approaching retirement
  • Already taking RMDs
  • Running a small business
  • Or just tired of paying more than your fair share…
  • There’s still time to save on your 2024 tax bill, but the window is closing fast.

Here’s what to do next:

Visit AndrewSamaniego.com and schedule your complimentary tax-saving consultation. During our meeting, we’ll:

  • Review your current tax situation
  • Identify potential saving opportunities
  • Create a custom strategy to reduce your tax burden
  • Implement actions before the year-end deadline
  • But remember Daniel’s story – waiting too long can cost you thousands.

Don’t let another year go by paying more taxes than necessary. Visit AndrewSamaniego.com now to schedule your free consultation.

Your future self (and your wallet) will thank you.

Until next time,

Andrew “Senior Saver” Samaniego, EA, CTRC

Andrew Samaniego Tax Planning & Resolution

(619) 268-1084  |  AndrewSamaniego.com

P.S. – Tax planning isn’t about finding loopholes or cutting corners. It’s about using the tax code as it was intended to keep more of what you’ve earned. As an Enrolled Agent, I work within the law to help you pay the least amount legally possible. But these strategies need time to implement – don’t wait until it’s too late.