Tax Compliance and Planning

D.J. Gustafson & Co. realizes the goal of all clients, whether corporate or individual, is to minimize income taxes. We quickly realized many years ago, due to the enormous complexity of the Internal Revenue Code and the dynamic tax environment we live in, that to best serve our clients, we needed to dedicate some of our resources exclusively to the tax area. We have dedicated team members, many of whom hold Masters of Science degrees in Taxation, and spend most of their day helping clients minimize their taxes through planning or compliance.

We stress the importance of planning early with our clients and the tax benefits it can reap. The techniques available to reduce income taxes are greatly diminished after the client's year-end has passed or the transaction in question is complete. Through this educational process clients learn to contact us before the transaction is complete, allowing us to take full advantage of the loopholes in the tax law.

Accounting and Auditing

Our firm has successfully completed rigorous quality reviews of our accounting and auditing practice in accordance with the stringent quality control standards set by the American Institute of Certified Public Accountants. We are also members of the Accounting and Auditing FASB task force.

Management Consulting Services

D.J. Gustafson and Co. offers a wide variety of management consulting services as follows:

• Lease/buy decisions - We are prepared to help you analyze the most complex leases and discuss the pros and cons of each alternative, including the tax effects, effective interest rate and impact of residual values. Inventory shrinkage & optimum levels - We can help you identify and resolve problems with your inventory due to spoilage, theft, breakage, overage and stockouts which reduce your gross profit and eat away at your bottom line.


• Bank financing and bonding - We educate management on the meaning and importance of financial statements, their presentation and how management's involvement and knowledge could impact the banker or bonding agent's decision or increase their chances of obtaining financing.


• Forecasts and projections - We can help you assemble a set of forecasted or projected financial statements to obtain financing from individuals, banking institutions or venture capitalists.


• Overhead allocation and costing - We can help you identify components of an overhead pool and derive an allocation method most meaningful and cost effective for your business. A properly derived overhead allocation formula allows management to accurately bid and price jobs taking into effect all costs direct and indirect associated with the completion of that job or item.


• Budgeting - We can help you establish reasonable, obtainable goals which allow management to measure and reward their progress or quickly correct problem areas which might have gone unidentified. Budgeting allows management to be proactive in their decision making in contrast to reactive.


• Profit center structure & analysis - Many businesses are multifaceted and derive income from various related sources. D.J. Gustafson & Co. can aid you in identifying these profit centers and assist in analyzing each center, enabling management to measure their performance separately and in the aggregate.


• Business plans - Business plans are an integral part of any successful business regardless of the industry. Business plans lay the foundation and direction a business will take including marketing plans, financing sources, projected income and expenses, corporate vision and mission statement. We can assist you through the entire process of planning your business' future.


• Succession plans - The importance of succession planning is often overlooked by many entrepreneurs and family businesses. Many years of hard work can be ruined overnight due to illness, death, retirement or unprepared management. We can help senior and junior management plan for a smooth transition thru well structured buyout agreements, prearranged financing, and a well documented plan.

Bookkeeping and Payroll Services

Many closely held family businesses either do not have the resources available to employ an in house accountant, or are unable to locate a dependable, skilled bookkeeper. We at D.J. Gustafson & Co. realize this need and are prepared to become your internal accountant/bookkeeper. We have experienced bookkeepers on staff available to assist you in all phases of bookkeeping at a reasonable price. Some of the bookkeeping services we provide consist of the following:

• Recording and summation of cash receipts and disbursements


• Monthly bank reconciliations


• Monthly/Quarterly Payroll tax filings


• Monthly/Quarterly Sales and Use tax filings


• Monthly/Quarterly Meals tax filings


• Computer data input


• Monthly bill paying and reporting

Estate Tax Planning

Return of the estate tax in the 2010 Tax Relief Act

The estates of wealthy individuals who died in 2010 didn't pay any federal estate tax, but that situation has changed. Under the recently enacted "Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010," the federal estate tax, which disappeared for 2010, springs back to life in 2011 and is imposed at the top rate of 35% of the estate's value after the first $5 million. Here is a brief overview of the new law.

In 2001, Congress passed the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA), the first of the two large legislative packages that contain most of what are now commonly referred to as the Bush tax cuts. EGTRRA repealed the estate tax completely for decedents dying in 2010. That led to several well-publicized instances in which famous people died in 2010 leaving multibillion-dollar estates that passed to their heirs without paying so much as a penny in federal estate tax. However, all of those provisions were scheduled to sunset on December 31, 2010, meaning that if Congress had not acted, starting January 1, 2011, the estate tax would have sprung back at a level that no one seemed to want. Where the exclusion was $3.5 million ($7 million for couples) in 2009 - a level at which it affected relatively few households - it would have been $1 million ($2 million for couples) in 2011 .The tax rate would also have risen, from a top rate of 45% in 2009, to a top rate of 55% in 2011.

The new law brings back the estate tax, for 2011 and 2012 anyway. During 2011 and 2012, the top rate will be 35%. For 2011, the exemption amount will be $5 million per individual (indexed for inflation after 2011). At those levels, the vast majority of estates (all but an estimated 3,500 nationwide in 2011) will not be subject to any federal estate tax, and the tax will raise about $11.4 billion for the government. By way of comparison, the 55% tax with a $1 million exemption would have resulted in about 43,540 taxable estates in 2011, and raised about $34.4 billion.

From a planning standpoint, a nice feature of the new law is that it makes it easier to transfer the $5 million exemption to a surviving spouse, so married couples can shield $10 million of their assets from taxes. In the language of tax professionals, the estate tax exemption will be "portable."

Due to the complexity of estate planning laws, D.J. Gustafson & Co. has put together a team of professionals who specialize in Estate Planning. We can assist you in all aspects of formulating an estate plan best suited for you.

IRS and State Audit Representation

Professional representation can be vital during an audit, and our years of experience with tax authorities enable us to guide clients in their dealings with federal and state agencies. If you have been chosen for an income, payroll, sales, use or meals tax audit, the professional representation you can find with our firm will put many of your worries at bay. We handle the entire process, often without you ever meeting the agent. We are ready and willing to answer any and all questions the IRS or state agents may be asking of you.

Entity Selection and Restructuring

Your business entity has a large impact on your taxes and other liabilities. From your company's inception through its growth and development, D.J. Gustafson & Co., CPA PC can advise you on choosing an entity type and later restructuring if advantageous. With our knowledge and expertise, you will always be receiving the most advantageous entity type for the functions your business performs.

QuickBooks Accounting Help and Assistance

QuickBooks can provide useful and timely information in the form of financial statements, reports and graphs. However, it can only provide this information if you purchase the right product and then install, setup and use it properly. We don't just help you use the software, we help you use it more efficiently and more effectively.

D.J. Gustafson & Co., CPA PC offers the following solutions to help meet your QuickBooks needs:

Personal Training

We train you personally! Either one-on-one or several individuals within your organization at your company's location.

Installation

We install QuickBooks on your stand alone computer or in a network environment, in either single- or multi-user mode.

Setup

We assist new QuickBooks users with initial setup including: EasyStep Interview, Preferences, Lists, Customers, Vendors, Employees, Banking and Reports. We also help experienced users manage their businesses more effectively by improving their current setup. Many users experience problems and lack the ability to generate and track important information as a result of inadequate setup.

Support

Our QuickBooks support service can assist you with any installation, setup or operation assistance you might need. In addition, our support is not limited just to the software part of it, but we can also provide accounting and payroll assistance.

Review

Our QuickBooks review service helps companies that have the human resources to perform daily accounting and payroll tasks, but need an accounting and payroll expert to review your transactions, accounts and reports. This review ensures that you receive timely, relevant and reliable financial information. We also inform you of any corrections, adjustments or reclassifications necessary to ensure that the financial information you receive reflects the correct financial condition of your business. Reviews may be conducted at any time, but monthly reviews provide you with up-to-date information and feedback about your business.