How Long is Long Enough: Key Tips to Storing Income Tax Records

We all want to be safe, and nobody likes taking chances with the IRS. So how long should we save documents like income tax records and other relating materials? One of Matthew Mullhofer's clients wondered the same thing as he made his way in to the office for his 3 o'clock appointment.

He wanted to be prepared for anything, while at the same time, feared his files would start to overflow with the number of papers he was stuffing in to them. Matthew Mullhofer sat him down, and promptly started explaining...

At minimum, federal income-tax returns should be saved 3 years from the date the return was originally due; once again, this is at MINIMUM. To be SAFE, it is advised to save federal returns for at least 6 or 7 years. The reason for this being if you failed to report income that you should have reported and if its more than 25% of the gross income shown on your return, then "the period of limitations does not run out until six years after you filed the return," so says the IRS.

However, These same rules DO NOT apply if you file a return that is "false or fraudulent." In this case, the IRS can take action generally at any time.

When it comes to records showing how much you paid for stocks, bonds, mutual funds, real estate and other types of property that you bought and still own, it would be considered wise to hold on to these for very long periods of time. also to check if your state tax department has any special record keeping rules. Some states require you to hang on to old documents for longer than you would imagine, these are all based on IRS rules.

Matthew Mullhofer had one final piece of advise pertaining to the client's w-2 form (showing wages and other compensations). The client was advised to keep copy "C" until he began receiving social security benefits. This is in order to protect benefits in case there is a question about work records or earnings in a particular year.

Attorney Matthew C. Mullhofer can be reached toll free at (877) 246-2770

Matthew Mullhofer: Attorney At Law Protects Your Assets

Protecting your assets during a time of crisis is something everyone seeks to do. People work hard during their lifetime to make their lives comfortable. One bad legal judgment can change the way you and your family live if you are unprepared. Attorney at law Matthew C. Mullhofer knows all about this topic as he focuses on helping families and people of business protect their assets so that they can not be seized in times of legal troubles involving both the government and in the instance of a lawsuit.

Matthew Mullhofer emphasizes the need to take precautionary measures when it comes to your assets. Once a judgment has been passed on you it's to late to transfer or protect your assets in any way. The time to do this is beforehand so that should the unthinkable happen your assets can not be seized.

Matthew helps clients with needs pertaining to the following:

• Frivolous Lawsuits
• Trusts
• Family Limited Partnerships
  
• Limited Liability Companies
• Domestic Corporations
• Estate Planning
• Corporate acquisition, licensing, and registration of trademarks.

There are numerous other services Matthew Mullhofer offers his clients, all of which are designed to protect what you've worked so hard to earn or have a legal right to. To view a complete list of Matthew Mullhofer's services please visit his website. You may also contact Matthew for assistance with any questions you might have.

Top 10 Reasons Business Owners Must Have A Relationship With An Attorney

Do you live in California? Do you own a business? Are you thinking of owning a business? Well here are protectmyassets.com's Top 10 reasons building a relationship with an attorney are vital as a business owner!

1. They are operating their business without properly drafted written agreements containing safeguard to maximize their protection in the event of a dispute.
   
   
2. They remain unaware of the myriad of governmental regulations they are responsible for complying with and the consequences for failure to do so.
   
   
3. They do not realize that by incorporating their business they eliminate personal liability exposure in the event of a lawsuit and gain tremendous tax advantages.
   
   
4. They are unaware of the vast number of employment laws they immediately become subject to upon hiring even one part-time employee.
   
   
5. They have no contractual agreements in force (e.g. mediation and arbitration) to avoid drawn out litigation with its costly attorneys fees and potential for large jury verdicts.
   
   
6. No provisions are in place to address situations where a partner wants to leave the business or be bought out.
   
   
7. They may have misclassified workers as independent contractors instead of employees which can result in exorbitant penalties and interest.
   
   
8. No efforts have been made to prevent the theft or misappropriation of their company’s intellectual property (ideas, trademarks, trade secrets, copyrights, etc.)
   
   
9. They are unaware of the hidden pitfalls included in their office space leases that could, if they arise, substantially increase their cost or lead them into bankruptcy.
   
   
10. They lack a costs effective plan to collect their stale accounts receivables causing them to lose their hard-earned money.
    

Our Firm’s hands on involvement in the business decisions of our clients allows for the early identification and minimization of potential problems. Through implementing our legal and tax strategies, our clients have saved hundreds of thousands of dollars in costly decisions and litigation. Please feel free to contact us at our Orange County Attorneys office to schedule a private meeting.

Contact Information
Phone: 877-246-2770
Email: info@protectmyassets.com
Web: www.protectmyassets.com

We hope this information was helpful! If you found this blog helpful, we encourage you to pass this on to friends, family and associates. Thank you!

Meet Matthew Mullhofer, Attorney At Law

Since 1999, Matthew C. Mullhofer of Protect My Assets has been an attorney licensed by the State Bar of California and a member in good standing.

He has extensive experience in the area of estate planning and asset protection, which includes the formation of trusts, wills, family limited partnerships, limited liability companies, and domestic corporations.

Additionally, Mr. Mullhofer has formed numerous corporations, trusts, and private family limited partnerships. Mr. Mullhofer has been a featured speaker at many estate planning and asset protection seminars.


Matthew Mullhofer has extensive experience in business and corporate law, civil litigation, probate, and real estate law. Matthew Mullhofer has negotiated many commercial and residential real estate leases and transactions. He has drafted and negotiated numerous business contacts and sale agreements for business owners. In the area of Intellectual Property, Mr. Mullhofer has acquired extensive experience representing corporations in the acquisition, licensing, and registration of their trademarks and copyrights.


Mr. Mullhofer has also experienced success in representation of taxpayers regarding collection efforts by the Internal Revenue Service, Franchise Tax Board, and State Board of Equalization. He also handles Chapter 7 Bankruptcy cases with an emphasis in discharging taxes in bankruptcy.

Courts
Mr. Mullhofer is admitted to practice before the Supreme Court of California, the United States District Court, and the United States Tax Court.

Education
Mr. Mullhofer received a Juris Doctor Degree from Western State University, College of Law, emphasizing in estate planning and taxation. Mr. Mullhofer received a Bachelor of Arts Degree in Political Science and English minor from California State University at Chico.


Professional Affiliations
American Bar Association
The State Bar of California
Orange County Bar Association
Long Beach Barristers
South Orange County Bar Association