Welcome To Our Firm

Tax Tip: Documenting Business Expenses

Businesses can generally deduct their "ordinary and necessary" business expenses. But even a legitimate expense is not deductible unless it is adequately substantiated.

Substantiation requires proof of payment and evidence showing the character and deductibility of the expenditure. Proof of payment may include canceled checks, bank statements, credit card statements or invoices marked "paid." You can establish the character and deductibility of an expense with items such as sales slips, invoices, receipts, payment acknowledgments and check registers.

Please call for assistance with your tax filings and proper tax advice:

T: 985.327.7311

BOI Filing Requirements Updated March 21, 2025

The government significantly narrowed the scope of beneficial ownership information (BOI) filing requirements to foreign entities only. The Financial Crimes Enforcement Network (FinCEN) issued an interim final rule that removes the requirement for U.S. companies and U.S. persons to report BOI to FinCEN under the Corporate Transparency Act (CTA), P.L. 116-283, passed by Congress in 2021.

The rule revises the definition of "reporting company" to mean only those entities that are formed under the law of a foreign country and that have registered to do business in any U.S. state or tribal jurisdiction by the filing of a document with a secretary of state or similar office. FinCEN also exempts entities previously known as "domestic reporting companies" from BOI reporting requirements.

Reminder: February 3 Due Date is Approaching!

Taxpayers in the entire state of Louisiana who have filed a valid extension in 2024 have until February 3, 2025 to file their 2023 tax returns.

The IRS provided relief, including postponing various tax filing and payment deadlines, for the State of Louisiana since FEMA has declared the entire state a federal disaster area after Hurricane Ida.

For extension filers, payments on the 2023 tax year returns are not eligible for the additional time because they were originally due last spring before any of these disasters occurred.

Please call for assistance with your tax filings:

T: 985.327.7311

we have moved!

Please visit us at:

1014 W 21st Avenue in Covington

After 12 years of service from South Tyler Street, the Firm has made the decision to change office locations.

We are only one-half mile away and believe the new location will address the traffic issues we faced on South Tyler.

Stop by to say hello!

Please call if you have any trouble locating the new office:

T: 985.327.7311

IRS Halts New Employee Retention Credit (ERC) Processing; Criminal Cases Being Worked on Current Claims

The IRS will take several aggressive steps against fraudulent claims for the employee retention credit (ERC), including an immediate moratorium on the processing of new ERC claims. The IRS is allowing taxpayers to withdraw unpaid claims, and the offer of a settlement program for those who have received the pandemic-era benefit intended to help small businesses.

The actions are aimed at stopping fraud by promoters in ERC mills who promise to help small businesses obtain the credit,typically in return for a contingency fee based on the size of the credit.

The IRS Commissioner stated the ERC "was not designed to be a gravy train for promoters flooding the IRS with ineligible applications that slows down work on ERC and other important matters for taxpayers."

Second location!

Pinell & Martinez, CPAs has opened a second location!

After serving our clients from the Covington office for over 12 years, the Ponchatoula office was opened January 2023 to better serve our clients in Ponchaotula, Hammond, Springfield, and surrounding areas.

The Ponchatoula office is located at:

1170 Veterans Avenue, Ste. A

The Firm's Partners will be available by appointment at both locations.

Please stop by to say hello!

2023 Mileage Rates

The Internal Revenue Service issued the 2023 standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, and medical purposes.

Beginning on January 1, 2023, the standard mileage rates for the use of a vehicle will be:

• 65.5 cents per mile driven for business use.

• 22 cents per mile driven for medical purposes.

• 14 cents per mile driven in service of charitable organizations; the rate is set by statute and remains unchanged from 2022.

These rates apply to electric and hybrid-electric vehicles, as well as gasoline and diesel-powered vehicles.

Contact us today for assistance with your tax filings.

Hurricane Ida

Victims of Hurricane Ida now have until January 3, 2022, to file individual and business tax returns if a valid extension was filed by the original due date. This includes the entire state of Louisiana.

The January 3, 2022 deadline also applies to the quarterly estimated tax payment, normally due on September 15, and the quarterly payroll and excise tax returns normally due on November 1, 2021. It also applies to tax-exempt organizations, operating on a calendar-year basis, that had a valid extension due to run out on November 15, 2021.

Contact us today for assistance with your tax filings.

IRS Announces E-File Opening Day - Be the First in Line!

The IRS announced that they will begin processing tax returns on Friday, February 12, 2021. Contact Pinell & Martinez, CPAs to get started now and be first in line! Pinell & Martinez, CPAs is already accepting tax returns and will securely hold them for transmission to the IRS and States as soon as the e-file system is up and running.

Combined with e-file, direct deposit is the fastest way to get your tax refund. The IRS anticipates nine out of ten taxpayers will receive their refund within 21 days of when they file electronically with direct deposit if there are no issues with their tax return.

Contact us today for a free consultation.

Economic Impact Payment

The IRS announced Wednesday the launch of its "Get My Payment" website, which permits taxpayers to check on the date they can expect to receive their economic impact payment and update their direct deposit information.

Under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, P.L.116-136, eligible individuals will receive an economic impact payment of up to $1,200 for individuals or $2,400 for married couples. Parents also receive $500 for each qualifying child. The payments phase out when adjusted gross income is over $75,000 for individuals, $150,000 for married taxpayers filing jointly, and $112,500 for taxpayers who file as head of household.

Office Update: March 23, 2020

Our policy has always been to care for our clients. As we do our part to stay healthy and safe during the COVID-19 pandemic, we are here for you when you need us. We are encouraging a greater use of email, phone calls, and virtual document sharing. We also understand some clients may be unable or unwilling to share documents virtually. In such cases, appointments can still be scheduled on a case-by-case basis.

Please call or email us during our regular business hours for any questions or needs you may have.

If you haven't already, you can take a look at the CDC's extensive list of tips and preventive care guide to help you stay safe and healthy.

Business Meals are Still Tax Deductible

Under Sec. 274 of the Tax Cuts and Jobs Act, expenses for entertainment, amusement, and recreation are not tax deductible. However, taxpayers may continue to deduct 50% of the meal expenses associated with operating their trade or business as long as: the expense is ordinary and necessary, the expense is not lavish, and the meal is between the taxpayer or employee and a current or potential customer \client.

Contact Pinell & Martinez, CPAs to begin planning for the upcomming tax season.

Whether you're in your 50s, 60s, or 70s, these savvy steps can help you live comfortably after you stop working

Retirement planning has always been full of uncertainties: How much longer will you be able to work? How much savings will you have when you stop working? How many decades will that money need to last? But for anyone nearing retirement, or already there, the level of uncertainty has rarely been greater than it is right now.

Read more from Consumer Reports for tips on planning for a secure retirement…

Wi-Fi encryption can be hacked and anyone can spy on your internet activity

Major security breaches are being reported more frequenty which is quiet scary - whether it be Equifax, Yahoo, Jason's Deli, and so on. However, individuals can now add the breach of the encrypted WPA2 protocol and putting at risk everyone who uses wireless internet at home or abroad. While you wait for network equipment makers to patch access points, there are several steps you can take to protect yourself.

Read more from BGR…

Chris Pinell receives standing ovation award from the AICPA!

Chris Pinell, CPA, CITP, CFE has been recognized by the American Institute of Certified Public Accountants (AICPA) with a Standing Ovation Award in the Information Management and Technology Assurance Practice (IMTA) at the AICPA's Practitioners Symposium and Tech+ Conference in Las Vegas on June 5, 2016. Chris was selected due to his involvement in the community, exemplary customer service from feedback and evaluations from those he provides service to, and service to the profession. Read more…