Softec

Softec is the place for great events

Adi Ringer — Sun, 05 Feb 2012 16:08:00 GMT

One of our goals for this year is to continue growing Softec by providing relevant programs and we are off to a great start. We hope you enjoyed the 3 great events Softec hosted or participated in last month (Tech Brew, Startup Weekend and the Mac Superstore open house) and I want to Thank Glenn Shackelford, Russ Levanway and Deborah Bayles for their dedication and efforts in making these events happen.

February is ligning up to be another great month with Softec events and other group events that you can find out about on our website. Tech Brew, our networking event that takes place the second Monday of every month at Pappy McGregors and our main networking and dinner events at our new venue, the Madonna Inn on the fourth Wednesday of the month. We have a great program planned, look for the announcement this week.

Other cool events:

Cal Poly’s Center for Innovation & Entrepreneurship will hold its Entrepreneurship Forum Event from 4:30 to 7:30 p.m. Monday, Feb. 13 in the Pavilion at the Performing Arts Center on campus.

Check out the first-ever meeting of CocoaHeads-SLO! Randy Scovil from Cuesta College and Yes We Do Apps will have a report on the recent iOS Tech Talk in Seattle. http://cocoaheads.org/us/SanLuisObispoCalifornia/index.html

I hope you can make it to our events and tell others you know about the networking and program opportunities they can enjoy from Softec.

Adi

Certified Scrum Master course in the San Luis Obispo area with Platinum Edge, Inc.

Justin Couto — Wed, 18 Jan 2012 06:32:00 GMT

This highly interactive certification course provides in-depth understanding of the Scrum team-based approach to iterative development. The course trains participants in the full range of Scrum topics, from basic theory to organizational implementation, including practical applications, roles, and scaling. This course provides Scrum Alliance Certified Scrum Master certification, 16 PDUs toward PMP recertification and 16 PDUs toward PMI-ACP certification.

Scrum methods support responsive development that:

Adapts to volatile business needs and ongoing refinement of business solutions
Drives efficient and effective production
Ensures closer adherence to customers' real-world needs through streamlined planning
Supports faster deployment of production-grade solutions so your organization can gain market advantage and business value
Reduces project risk through rapid iterations of development that inform opportunity assessments

When this course has been completed, attendees will have gained in-depth practical knowledge of Scrum and its benefits.
Register Now

Seminar Overview

Topics included in this course are:

Agile foundational concepts

- Defined vs. Empirical process control
- The Agile Manifesto
- The 12 Agile Principles

Scrum concepts

- Theory and principles
- How the Scrum approach supports agile principles
- Planning and tracking with Scrum
- Shippable functionality and getting to Done

Scrum roles and responsibilities

- Product Owner
- ScrumMaster
- Self-organized Team

Scrum artifacts

- Product backlog
- Release burndown
- Sprint backlog
- Sprint burndown

Scrum meetings

- Release planning
- Sprint planning
- Daily scrum
- Sprint review
- Sprint retrospective

Requirements analysis

- Estimating and prioritizing product backlog items
- Technical debt
- Scaling across multiple teams and multiple geographies
- Tips on, techniques for, and benefits of helping clients and management understand the Scrum system
- How to transition into use of Scrums, with a review of management and team challenges associated with the transition, along with strategies to respond to those challenges

What a Year for Softec!

Russ Levanway — Wed, 21 Dec 2011 22:09:00 GMT

As we close out 2011, I wanted to take a moment to thank our sponsors, members, and volunteers on the board who have helped to make this a very successful year for Softec. Softec is all about connecting knowledge seekers with educators, job candidates, idea guys, and money guys in the local technology industry through "Softec moments" at our events. We hope that you have either directly or indirectly benefited from our efforts in this past year to make these moments happen!

This year started off with a decision to take over TechBrew, an informal tech networking event, and work hard to build up the attendance and viability of the event. Over the course of the year, attendance has grown steadily, and we have a great venue at Pappy McGregors. Lots of "Softec moments" have happened through TechBrew and we look forward to continuing this event in 2012 with spotlights on individual companies at each event.

We had many successful events and open houses this year, but I wanted to spotlight a few.

We had our first ever Solar special event, with experts from REC Solar, First Solar, and SunPower explaining all of the potential business to business opportunities that exist in their fast growing industry. With over 100 attendees and a lot of buzz created by the SunPower and Topaz and solar projects, we had a very successful event that showcased one of the fastest growing technology clusters in world and the huge impact utility scale solar projects are going to have on the Central Coast.

Fast forward to September when we had our largest ever Symposium, which brought together many of the local resources that Central Coast entrepreneurs can use to help their businesses thrive. This event was the place to be to learn about microloans, incubators, Cal Poly resources for entrepreneurs, City of SLO resources for small businesses, and venture capital resources, just to name a few. Rick Stollmeyer of MINDBODY gave a great keynote about connecting the dots and bringing internal and external resources together to build a successful organization, and we had two great panels that highlighted the local resources and how to utilize them.

And then in October we had an extremely successful Robotics event that was covered on live TV by KSBY during the evening news hour. Held at Kennedy Club fitness, there were even underwater robots on display! We donated $4,100 to several high school robotics programs to help their programs grow and to promote an early interest and enthusiasm for science and technology.

In December we wrapped up the year with a combined TechBrew and Buckboards event, and got to hear hi-lights of what businesses and individuals had accomplished in the past year.

Softec's online community is growing, too. Thanks to the countless hours put in by Justin Couto and his team at Couto Solutions, softec.org is a content-rich and interactive resource. From discussion groups to job forums and expert blogs, there are great resources for our membership and sponsors. You can go back into the event history and find pictures and PowerPoints from previous events. And with the increased traffic to our web site, sponsors are benefiting from their prominent placement in the Sponsor Showcase.

Thank you again to Softec's terrific Board of Directors, it has been an honor to serve as your President this year. My one year term comes to an end on December 31^st, and Adi Ringer is incoming President, joining Glenn Shackelford as Vice President, Ken Long as Treasurer, and Deborah Bayles as Secretary. I look forward to continued involvement with Softec as Board Chair, and an exciting 2012 with Adi leading the board on a new adventure.

To our members and sponsors, Happy Holidays and enjoy your time with family and friends during this season. See you all next year!

Softec to Sponsor Startup Weekend

Russ Levanway — Wed, 21 Dec 2011 18:42:00 GMT

N E W S R E L E A S E
FOR IMMEDIATE RELEASE

December 21, 2011

FOR IMMEDIATE RELEASE
Contact: Jami Fawcett
(805) 540-8929
jami@getthewordout-llc.com

Softec Sponsors San Luis Obispo's First Startup Weekend

San Luis Obispo, Calif., December 2011 - San Luis Obispo's first Startup Weekend is on track to prove that a shaky economy is no match for great ideas and passionate people.

Softec, the Central Coast Software and Technology Association, is proud to sponsor this event and encourage our membership to participate. Organized by a dedicated group of Cal Poly students, Startup Weekend SLO will take place on campus from January 20-22. Both students and community members are encouraged to attend; registration is open now.

Over the course of one weekend, participants will pitch ideas, listen to speakers, form groups and create a practical business model - all in 54 hours. Ideally, they will have the tools and the team to launch their own startup by Sunday evening.

"Part of Softec's mission is to promote entrepreneurship and creativity in our community, and Startup Weekend is a great forum for ideas and innovation," said Russ Levanway, Softec's President. "Some of the startups that result from the weekend could bring jobs and career opportunities to our region."

As one of Startup Weekend's key organizers, Chris Petersilge hopes to see participants from a variety of majors as well as the San Luis Obispo community. Local business owners and entrepreneurs allow for the exchange of wisdom and ideas through cross-generational collaboration.

Investors too would be wise to attend - Cal Poly students and alumni have launched businesses like Jamba Juice and Punchd, a smartphone app that was recently acquired by Google.

Participants can register or find more information at slo.startupweekend.org or Startup Weekend SLO's Facebook Group; students can get a discount by using the code "STUDENT2".

About Softec:

The Central Coast Software and Technology Association (Softec) is a non-profit networking, advocacy and education organization for the technology community on the Central Coast of California. Softec helps businesses and individuals establish contacts and share experience and technical knowledge through special events. www.softec.org

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Benefits of Year-end Income Tax Planning for Individuals and Businesses

Eric Schwefler — Mon, 14 Nov 2011 19:29:00 GMT

Year-end income tax planning is especially challenging this year because of uncertainty over whether Congress will enact sweeping income tax reform that could have a major impact in 2012 and beyond. However, regardless of what Congress does later this year, there are solid tax savings to be realized by taking advantage of tax breaks that are on the books for 2011 but may be gone next year unless they are extended by Congress. Year-end income tax planning is not only about what is happening in Congress and at the IRS, it is also about addressing the changing circumstances in your life and acting upon them in a timely manner in order to lower your tax bill.

Year-End Income Tax Planning Moves For Individuals To Consider

Postpone income until 2012 and accelerate deductions into 2011 to lower your 2011 tax bill. For example, it may be advantageous to try to arrange with your employer to defer a bonus that may be coming your way until 2012. Also, accelerate big ticket purchases into 2011 in order to assure a deduction for sales taxes on the purchases if you will elect to claim a state and local general sales tax deduction instead of a state and local income tax deduction. Further, if you expect to owe state taxes when you file your return next year, consider asking your employer to increase withholding, or pay estimated tax payments, before year-end to pull the deduction of those taxes into 2011 if doing so will not create an alternative minimum tax (AMT) problem. Postponing income also is desirable for those taxpayers who anticipate being in a lower tax bracket next year due to changed financial circumstances. Note, however, that in some cases, it may pay to actually accelerate income into 2011; for example, this may be the case where a person's marginal tax rate is much lower this year than it will be next year.
Estimate the effect of any year-end planning moves on the alternative minimum tax (AMT) for 2011, keeping in mind that many tax breaks allowed for purposes of calculating regular taxes are disallowed for AMT purposes. These include the deduction for property taxes on your residence, state income taxes (or state sales tax if you elect this deduction option), miscellaneous itemized deductions, and personal exemption deductions.
Increase the amount you set aside for next year in your employer's health flexible spending account (FSA) if you set aside too little for this year. Do not forget that you can no longer set aside amounts to get tax-free reimbursements for over-the-counter drugs, such as aspirin and antacids. If you become eligible to make health savings account (HSA) contributions in December of this year, you can make a full year's worth of deductible HSA contributions for 2011.
Take an eligible rollover distribution from a qualified retirement plan before the end of 2011 if you are facing a penalty for underpayment of estimated tax and the increased withholding option is unavailable or will not sufficiently address the problem. Income tax will be withheld from the distribution and will be applied toward the taxes owed for 2011.You can then timely roll over the gross amount of the distribution, as increased by the amount of withheld tax, to a traditional IRA. No part of the distribution will be includible in income for 2011, but the withheld tax will be applied pro rata over the full 2011 tax year to reduce previous underpayments of estimated tax.
Realize losses on stock while substantially preserving your investment position. There are several ways this can be done. For example, you can sell the original holdings invested in beaten-down stocks or mutual funds, and then buy back the same securities at least 31days later.
Make gifts sheltered by the annual gift tax exclusion before the end of the year and thereby save gift and estate taxes. You can give up to $13,000 in 2011 to each of an unlimited number of individuals but you can not carry over unused exclusions from one year to the next. The transfers also may save family income taxes where income-earning property is given to family members in lower income tax brackets who are not subject to the kiddie tax. Keep in mind the annual limit applies to all gifts to each individual.
Unless Congress extends it, the up-to-$4,000 above-the-line deduction for qualified higher education expenses will not be available after 2011. Thus, consider prepaying eligible expenses if doing so will increase your deduction for qualified higher education expenses. Generally, the deduction is allowed for qualified education expenses paid in 2011 in connection with enrollment at an institution of higher education during 2011 or for an academic period beginning in 2011 or in the first 3 months of 2012.
If you are a homeowner you may qualify for a tax credit if eligible energy saving improvements to the residence are installed in your home before 2012.
Consider using a credit card to prepay expenses that can generate deductions for this year.

Year-End Income Tax-Planning Moves for Businesses & Business Owners

Businesses should consider making expenditures that qualify for the business property expensing option. For tax years beginning in 2011, the expensing limit is $500,000 and the investment ceiling limit is $2,000,000. Unless Congress changes the rules, for tax years beginning in 2012, the dollar limit will drop to $139,000 and the beginning-of-phaseout amount will drop to $560,000.
Businesses also should consider making expenditures that qualify for 100% bonus first year depreciation if bought and placed in service this year. This 100% first-year writeoff won't be available next year unless Congress acts to extend it.
Nail down a work opportunity tax credit (WOTC) by hiring qualifying workers (such as certain veterans) before the end of 2011. Under current law, the WOTC will not be available for workers hired after this year.
Make qualified research expenses before the end of 2011 to claim a research credit, which won't be available for post-2011 expenditures unless Congress extends the credit.
If you are self-employed and have not done so yet, set up a self-employed retirement plan.
If you own an interest in a partnership or S corporation you may need to increase your basis in the entity so you can deduct a loss from it for this year.

These are just some of the year-end steps that can be taken to save on your taxes. Please consult with your tax advisor to determine the best strategies for your circumstances.

Required Disclaimer: Pursuant to IRS Circular 230, the Internal Revenue Service requires us to inform you that any tax advice included herein is not intended or written to be used, and it cannot be used by any taxpayer for the purposes of avoiding penalties that may be imposed by the IRS on the taxpayer.

Technology Survey Input Requested

Russ Levanway — Tue, 18 Oct 2011 23:40:00 GMT

Do you use technology? If so, please take the time to answer three questions to gauge what is needed to support the technology industry on the Central Coast.

This tool is used as a supplement to the Chamber's biennial Technology Survey, created and managed by the Technology Advocacy Committee (TAC), in hopes to find out what challenges face technology companies here, as well as what opportunities are available for growth.

Technology-related businesses are vital to the Central Coast's infrastructure, so we must continuously gauge the technology climate through activities like this survey.

This valuable tool will enable the SLO Chamber and other local organizations to:

- better understand and provide solutions for the challenges faced by local companies as well as companies eyeing the Central Coast as a possible location

- promote public policy that helps technology companies

Not only can you provide valuable feedback to help the Chamber and community determine what is needed to help technology companies on the Central Coast thrive. Using this unique tool, you can answer questions and rate other peoples' answers. The top-rated answers will rise to the top.

The more feedback we get, the better it is for the community. So please feel free to send this link to your friends and neighbors.

http://slochamber.org/cm/Relocation_Community_Info/Technology%20Resources/TechSurvey2011.html

Serra Meadows Project - Feedback Needed!!!

Russ Levanway — Tue, 18 Oct 2011 17:53:00 GMT

Feedback is needed on a proposed Work+Live project under development. A project like this has great potential for hi-tech small businesses. Please take a moment to read the background of the project and take a survey to provide your feedback.

SURVEY LINK: http://www.surveymonkey.com/s/B78FJB5

Before you take the survey it is highly recommended you read the information below for context.

The Vision: Transitional, Flexible, Imaginative, Lively and Fun

Work+Live is a lifestyle; a lifestyle that combines a professional environment with a living environment. It provides an imaginative, lively and fun way to integrate different aspects of life. The architecture that supports this way of life needs to have flexible and adaptable spaces that can transition from one use to another without compromising the living arrangement. In urban areas of San Luis Obispo Work+Live units are intended to allow for a mix of uses near the core area and along the primary circulation corridor.

The Margarita Specific Plan envisions a Work+Live area of small offices and mixed use that compliments the larger residential subdivision. Our team's vision for the Work+Live area is a group of flexible spaces that can adapt to a changing business environment. We envision an artistic urban-industrial landscape that is a reflection of downtown San Luis Obispo and something enriching that will be compatible with the adjacent residences. We vision cultural activities occurring including music, food, coffee, receptions, gatherings, art, and most importantly - people interacting. We envision this community as youthful, fit, and energized.

The simple structures reflect the materials and eclectic style of Downtown. Buildings will be clad in brick and stucco, with large storefronts and clear glazing. The commercial and residential spaces will have abundant daylight and ventilation. They will be contemporary and artistic, even though the exteriors resemble a "found" structure. The units will have tall ceilings, exposed structure, wood floors and cabinets, and large balconies. These units will be set in the landscape separated from other structures to allow good sunlight into all adjacent structures.

The identity of the Work-Live units is especially crucial. We envision public art, hang out spaces around the buildings, artistic light fixtures, hand produced street signs and wall signs, and abundant outdoor furniture. The outdoor spaces will be a magnet for conversations and interaction. This will be a great place to pull up on a bench and work on a laptop. The buildings will be flexible and we can imagine cafés, PR firms, designers, bike shops, surf shops, computer and software consulting businesses, galleries, craftsmen such as welders, furniture makers, and other light manufacturing.

Product Type Specifics

Figure 1: Ground Floor Commercial

Figure 2: Second Floor Residential

Each unit will be a stand-alone structure. No two units will share a common wall.

Ground floor commercial space will be approximately 1,500 square feet.
Second story residential space will be approximately 1,250 square feet.
The residential living space will be delivered as a completely independent space from the commercial area, providing two distinct areas.
The commercial area will be delivered in a "shell" condition allowing the owner/renter complete control on design and improvements.
Each living space will have two bedrooms and two bathrooms and a useable outdoor balcony.

What a great Symposium!

Russ Levanway — Mon, 03 Oct 2011 22:42:00 GMT

A big thank-you to all of our Symposium speakers, panelists, and attendees. We had our largest Symposium event ever, with a sell-out crowd of 160 attendees who had the opportunity to learn about local success stories and the resources available to help entrepeneurs succeed. Keynote speaker Rick Stollmeyer of MindBody gave an inspiring presentation that brought together personal goals and a strong vision for business as dots to "connect" and make your an organization successful. Our first panel of successful local business owners hilighted the difference in perceptions and methods used to work with local community resources. And our 2nd panel got the message out that San Luis Obispo county is "open for business". Thanks also go to to SLO Chamber CEO Ermina Karim for her introductory comments and our moderator and Master of Ceremonies Michael Gunther for keeping the event on track and on message.

I've had some follow up discussions since the Symposium with community leaders and business owners who had great feedback about the event. Several organizations got ideas from the event on how they could improve their messaging and make their resources more useful and easier to find. A couple of businesses owners I spoke with mentioned a new connection and potential business opportunity that came out of the event. These are the Softec moments we strive to create!

This event could not have been successful without the dedication of the members of my Symposium committee - Softec board members Glenn Shackleford, Jami Fawcett, Adi Ringer, Justin Maire, and Deborah Bayles, and Cal Poly SBDC Director Thea Chase. Great job, team!

We strive to improve our Symposium every year and create real value for our membership and the community through the event. We will be sending a follow-up survey to attendees to get feedback on the overall event, and look foward to hearing from you.

Couto Solutions Doubles Down on its Softec Community Investment

Rosa Couto — Tue, 09 Aug 2011 06:06:00 GMT

Couto Solutions, the elite design development San Luis Obispo firm that specializes in building world class online communities, has been a longtime supporter of Softec and the local tech community. Couto Solutions' founder and CEO Justin Couto firmly believes that it is the responsibility of local businesses to help foster and grow the tech sector on the Central Coast. When asked about his continued support of local community efforts Justin stated, "It is our duty to give back to our community in ways that enable continued growth, expansion, and the viability of technology based businesses in our area. We must create awareness around the opportunities that are available here and provide a rich community that supports continued develop of the people and companies on the Central Coast."

It is this commitment that motivated Justin to serve on the Softec Board of Directors and head up its web committee for several years. It was during his tenure that Justin decided he wanted to give back to Softec and the local community in a big way. This is when Couto Solutions went all in and donated over 1,000 development hours and over $50,000 in software licensing when it delivered the Softec Community site a little over 1 ½ years ago. In addition to creating a space for the community to meet online, the delivery of this new socially driven solution automated many of the tasks and tedium it took to run the volunteer organization. It provides everything from event and sponsorship management to automatic newsletter generation. Since the launch, the Softec community has grown steadily and we have been thrilled about it.

Recently, the team at Couto Solutions reevaluated the Softec site to see if there was a way to make it a more successful and more frequented destination for local technologists and business people on the Central Coast. With the time people were already giving to facebook, LinkedIn, and twitter, they knew they would need to add some real value to increase usage of the site. After a lot of thought and discovery, the team at Couto Solutions felt that if they could bring the same great features that help Softec run its organization to other smaller more focused groups in the community via the Softec site, it could be a big WIN for everyone. As a result, Couto Solutions doubled down on its investment donating over 600 addition development hours to deliver "Softec Hosted Groups". The new functionality brings event management, newsletter generation, and more to groups interested in hosting their organizations site on the Softec Hosted Groups Platform. What is even better is that all Softec Group content gets bubbled up into the main Softec site and into the Softec newsletter giving local groups a much greater reach through the broader exposure provided by Softec's membership. Local groups such as the SLO Tech Brew, the Central Coast Design Group, the High School Robotics Group, and the SLO .NET User Group are already taking advantage of this powerful new system AND THEY ARE LOVING IT.

To start your own group or to move your existing group to a Softec Hosted Group, please contact Softec via their contact page. To learn more about group's already taking advantage of these features please visit the Softec Site Groups sections.

Softec Announces its 15th Annual Central Coast Technology Symposium

Russ Levanway — Fri, 29 Jul 2011 18:09:00 GMT

Connecting the Dots: Leveraging Local Resources to Help Entrepreneurs

Wednesday, September 28^th 4pm-8pm at The Madonna Inn

The Central Coast is a breeding ground for both new and fast-growing businesses-from Cal Poly startups sold to Google and internationally recognized software companies to husband and wife startups fueled by passion. Looking beyond this success, community leaders recognize that there are local resources being underutilized and overlooked, simply because there is a lack of awareness.

During Softec's 15^th Annual Symposium, attendees will gain insight into our local resources-what's missing, what's available, and how entrepreneurs can connect the dots to leverage available resources and grow their businesses.

Panel Session 1: Finding the Right Dots to Connect - How They Did It!

Keynote: An Overview on Leveraging Local Resources

Panel Session 2: A Closer Look at Connecting the Dots-following a local business through the Central Coast's Entrepreneurial Ecosystem

Registration will open at our web site soon!

Couto Solutions Pays It Forward

Rosa Couto — Thu, 14 Jul 2011 23:25:00 GMT

We already know that it takes a big dream, a lot of determination and some downright hard work to start your own business. But what about standard office necessities like desks? What about office chairs? And, what about that printer you’ll need to crank out copies of your business plan that you’ll be pitching to investors? When you're just starting out, these items can really dig into your already tight budget. Couto Solutions is glad to be able to provide these items to a local organization that nurtures Cal Poly entrepreneurs..

The Cal Poly Center for Innovation & Entrepreneurship, based out of San Luis Obispo, benefitted from a donation made by Couto Solutions this summer. The donation included a complete Action Office System by Herman Miller consisting of work stations, conference room furnishings, a receptionist station, a principal’s office setup, and a dozen high backed leather office chairs. The donation also included a hand crafted, wood and metal, three station desk with a matching printer table and bookshelf. This desk is where Couto Solutions got its very own spark working out of its original 96 square foot office! In addition to all of this, also donated were a color laser printer and over twenty poster sized picture frames. Hopefully, they’ll fill the frames with inspirational messages like “Never, never, never give up!” the motto of a true entrepreneur. In all, the donation totaled over $20,000 worth of furniture and office equipment.

It’s not easy getting a business off the ground especially when you’re starting from scratch. The Center for Innovation & Entrepreneurship was created with the goal of opening the world of entrepreneurial opportunity to Cal Poly students as well as faculty members. The Center focuses on getting students better prepared for the realities of starting a business in this economy as well as nurturing their educational efforts. The donated furniture and office equipment has helped the Center furnish their new office and small business incubator facilities located in the Cal Poly Technology as well as a satellite office they occupy in San Luis Obispo.

Couto Solutions CEO Justin Couto says, “I understand well the challenges of starting a business, it’s not an easy task by any means. If I would have had the opportunity to obtain the guidance that is now being provided by The Center for Innovation & Entrepreneurship back when I started my first company, I am sure it could have been an even bigger success . I really wanted to help and I felt compelled to do what I could to contribute to the Center’s ability to provide that guidance and support to new entrepreneurs trying to get started.” Justin looks forward to also providing mentoring support to these individuals as often as his schedule allows.

It’s a tough world out there, particularly in this economy. Thanks to The Center, many local entrepreneurs will gain the support they need in order to get the best chance at thriving in the early stages of business. Couto Solutions is glad to be a part of that.

Corporate Stock Basis Reporting

James Hade — Thu, 16 Jun 2011 21:26:00 GMT

If you or your company is the issuer of any shares of stock, beginning in 2011 you may have new reporting requirements related to the basis of that stock.

Originally part of the Energy Improvement and Extension Act of 2008, IRC Section 6045B requires most corporations to file information returns with the IRS describing organizational actions taken (such as mergers, acquisitions, stock-splits) that affect the basis of stocks or "specified securities". In addition, statements must be provided to the holders of those securities or their nominees. The following provides additional information:

Section 6045B pertains to issuers of "specified securities": Specified securities include, but are not limited to, shares of stock in corporations, notes, bonds, debentures and other evidences of indebtedness. This includes stock in "closely held corporations". However, for 2011 reporting purposes only, specified securities are limited to stocks in corporations; additional reporting will be required in 2012 and 2013 for other securities.

Information to be reported: A corporation must file a return with the IRS describing action taken that affects the tax basis of any outstanding stock, along with the quantitative affect on the basis of the stock. Additionally, written statements must be provided to the holders of the securities and must include the information filed with the IRS along with contact information of the person filing the IRS returns.

Alternate filings: Issuers of stock may fulfill the requirements to file IRS returns and provide written holder statements by posting the required information in a readily accessible format on their primary website. The area of the website must be dedicated to meeting the reporting requirements of code section 6045B and the issuer must keep the returns accessible on the website for ten years. The deadlines for posting information on a website are the same as the required deadlines for filing reports with the IRS and written statements with holders of securities.

Reporting dates to the IRS: As prescribed by Internal Revenue Code section 6045B, the information returns must be filed with the IRS no later than the earlier of 45 days after the date of action or by January 15 of the following year. In effect, for reportable actions occurring after December 1, returns will have to be filed by January 15 of the next calendar year. The IRS has provided transitional relief from the 45 day reporting requirement for 2011 only and will not impose penalties on corporations that miss the 45 day deadline provided that issuers file the required return with the IRS by January 17, 2012. As of this writing, the IRS has not developed a form for filing the required information. Posting the return information by January 17, 2012 on a company website as provided in the regulations will also meet the requirements to avoid penalties for 2011.

Reporting dates to holders of securities: The annual deadline for providing written statements to holders of securities is January 15 of the year following the action requiring the statement. Unlike the return to be filed with the IRS, statements to holders of specified securities are not required to be provided within 45 days after the date of each action unless the action occurs within 45 days of January 15 of the following year.

Penalties: As a general matter, the IRS imposes a $100 penalty for each informational return that is not filed timely or does not include required information. For purposes of determining penalties, each statement required to be filed with holders of securities is considered one return. As such, issuers will want to insure that statements provided to holders are properly filed annually by January 15.

Please feel free to contact James Hade at james@calibercpas.com.

Robotics teams ROCKED!

Kim Mistretta — Fri, 10 Jun 2011 16:52:00 GMT

Competition results of Central Coast high-school robotics teams for 2010/11 year!

...(read more)

Learn More About HTML5 with Scott Stanfield

Rosa Couto — Thu, 09 Jun 2011 19:31:00 GMT

Scott Stanfield, CEO of Vertigo Software, Inc., will be speaking at the SLO .NET User Group meeting Tuesday, June 14, at 5:30 pm in the first floor conference room of the Cal Poly Tech Park, Building 83. Vertigo Software, Inc., is a digital design and development shop. Scott is a frequent public speaker, presenting on software technology and design for the past 20 years. Before starting Vertigo in 1997, he worked at Pixar in Point Richmond, California, which happens to be the current home of Vertigo. Scott holds a BS in Computer Science for Cal Poly, San Luis Obispo.

If you've been watching the HTML5 hype with bemused skepticism, or simply want to sound smart over pizza, his HTML for Skeptics presentation might be for you. Scott will show you how Vertigo approaches the Open Web Platform, and more importantly, how they talk to their customers about it.

Scott will cover how Vertigo balances HTML and plug-ins, the tradeoffs of going HTML over native for mobile apps, and strategies for ideal compatibility across many browsers. You'll analyze the latest browser statistics, review the state of the spec, and discuss how to answer clients who want rich sites, but want it "HTML5 compatible".

With all the buzz around this topic, you have a good reason to be skeptical; Scott will help you be more informed about where to invest your energy. This is a SLO .Net User Group presentation you won't want to miss.

No registration is required for this or any SLO .NET User Group monthly meeting. Dinner and soft drinks will be provided. All User Groups meetings are now being held in the Cal Poly Tech Park, Building 83. No parking permit is required. If you have any questions about this event or are interesting in speaking at future User Group meetings, please email the SLO .NET User Group Team at Info@SloDotNet.org or visit our website at SloDotNet.org.

Free Training on Windows Phone App Development

Justin Couto — Thu, 02 Jun 2011 01:25:00 GMT

Free Windows Phone 7 Unleashed Event!

All Day (10 hours) of Hands on Programming

To Register Now Click Here

Location Map: Cal Poly Technology Park

Come check out the Windows Phone 7 Unleashed event for everything you need to know to develop for WP7. Whether you're a seasoned veteran or you're just starting with .NET development, there's something in it for you. This is a 'Bring Your Own Laptop' event (see requirements below). You must bring a laptop to participate in the hands-on labs.

The first half of this deep dive event is lecture and hands-on lab. At the half-way mark of the day, you'll have a solid foundation for building WP7 applications. The second half of the day is going straight to code.

Build the best app and win a $500 (1st place), $200 (2nd place) or $100 (3rd place) American Express gift card!

Free MarketPlace tokens for those putting their application into the marketplace ( a limited supply of these, organizers of each event will collect names and we will distribute).

Telerik is sponsoring a $5000.00 Grand Prize for the best application over all of the WP7 Unleashed events that are submitted to marketplace. The top 25 will be selected and then one of the top 25 will be randomly picked for the prize (So get your app into the marketplace after the event). They are also giving EVERY attendee a free set of their $99.00 WP7 Controls.

PDSA, Inc. is pleased to sponsor the WP7 Unleashed Events. They will be giving 2 lucky winners from each event a chance to win four 1 hour long videos on Silverlight. In addition, 1 lucky person will win our Haystack Code Generator for .NET at each event that allows you to create the business and data classes and the WCF services that can be consumed by Windows Phone 7 applications!

O'Reilly will be giving away a free ebook to every attendee (Many WP7 titles) and will also donate a few books to raffle at each event.

Food and Drink (Water, Sodas) will be provided.

In order to deliver the best possible experience for attendees, seating at this event is VERY limited. Register now!

Session 1 - Introduction to Windows Phone 7 Programing.

In this session, we start with a discussion of windows phone, the architecture changes made from 6.5 to 7.0, the hardware specifications and then move into the beginnings of building a WP7 application including :

Application life cycle
Hardware Foundation
Files associated with project template
Splash screen and the importance of 1 second / 19 second loading
Application Bar
Panorama and Pivot controls
Red Threads
MVVM
Marketplace

Session 2 - Connecting to Services

In this session, we will discuss how Cloud Services help to bring power to the phone. We will be binding to a rest based services and show how to search and display the information received. In this session we will also talk about Navigation, passing information between screens, simple page animations while working with List and detail information.

Navigation
Fragment Navigation
JSon Deserialization
JSon.Net
The Extras Menu
Live Tile
Push Notifications
Push Notification Helper Library
Shell Tile Scheduler

Session 3 - Recording Data

In this session we will be working with the Camera to capture and crop photos, record audio files, take notes, saving location, sharing (sending emails and SMS messages - and if time permits sending to twitter or FB) and saving everything using isolated storage. We will discuss tombstoning and how it effects your application process, including the when, where and whys of saving state).

Tombstoning
Tombstoning helper
Sensor overview
Location and GPS
Bing Maps
Accerometer
Phone Shake
Launchers and Choosers
Isolated Storage

NOTE: This is a 'Bring Your Own Laptop' event. Please ensure that your laptop has all the required software installed before the event.

The required software is listed below:

Windows Vista or Windows 7 (WP7 tools will not run on XP or on a VM)
Windows Phone 7 Developer tools http://create.msdn.com/en-us/home/getting_started (All 3 below)
- Developer Tools
- Developer Tools Jan Update
- Windows Phone Developer Tools Fix
- All three can be found on that page
- If you already have Visual Studio, the tools will be added to VS otherwise it will install the free phone tools
- Direct Link to tools ISO instead of web installer http://go.microsoft.com/fwlink/?LinkId=201927 (If you use this make sure you go to the other page and install Jan update an dFix)
Silverlight for Windows Phone Toolkit http://silverlight.codeplex.com/releases/view/60291
Shake Gesture Library http://create.msdn.com/en-us/education/catalog/article/Recipe_Shake_Gesture_Library
Register at FanFeedr http://developer.fanfeedr.com/
Register for MS Advertising and download SDK - we will show you how to add this to your apps in class http://advertising.microsoft.com/mobile-apps
Sign Up for a Bing Maps account and key http://msdn.microsoft.com/en-us/library/ff428642.aspx (see instructions next line)
Instructions on how to register for Bing Maps account http://msdn.microsoft.com/en-us/wp7trainingcourse_usingbingmapslab_topic2

Optional But Suggested Downloads and Resources:

VB SDK if you want to write your phone apps in VB.Net http://www.microsoft.com/downloads/en/details.aspx?FamilyID=a808a69d-6119-47b7-b858-262be5c49915
- (Visual Studio Professional or higher. Does not yet support VS Express for windows phone)
Paint.Net (Its Free) (for working with images-if you don't have Photoshop) http://www.getpaint.net/download.html
Paint.Net PSD Plugin & Install instructions http://psdplugin.codeplex.com/
Windows Azure Toolkit for WP7 http://watoolkitwp7.codeplex.com/
Application Certification Requirements http://go.microsoft.com/?linkid=9730558
Windows Phone 7 Design Templates http://wp7designtemplates.codeplex.com/ (Silverlight for Windows Phone Toolkit above is needed for this)
Article - Using the design templates http://www.windowsphonegeek.com/articles/21-WP7-Toolkit-in-Depth-articles-covering-all-controls
Silverlight & WP7 Exception Handling and Logging Building Block http://silverlightlogging.codeplex.com/
Windows Phone 7 Isolated Storage Explorer http://wp7explorer.codeplex.com/
WP7 Tombstone Helper http://tombstonehelper.codeplex.com/
Push Notification Server Side Helper http://create.msdn.com/en-us/education/catalog/article/pnhelp-wp7
WP7 Databases
- WinPhone7DB http://winphone7db.codeplex.com/
- Wp7Sqllite http://wp7sqlite.codeplex.com/
- JubbaDB http://blog.clauskonrad.net/2010/10/how-to-database-for-wp7.html
- EffiProzDB_WP http://www.effiproz.com/product_wp.aspx
Isolated Storage Explorer http://wp7explorer.codeplex.com/
WP7 Dropbox http://wp7dropbox.codeplex.com/
JSon Viewer to see and read long Json http://jsonviewer.codeplex.com/
Creating Custom Pushpins for Bing Maps http://msdn.microsoft.com/en-us/wp7trainingcourse_usingbingmapslab_topic3
RestSharp http://lukencode.com/2010/08/04/rest-web-services-in-windows-phone-7/
JSON.Net http://json.codeplex.com/

Owner of BridgePoint Custom Strategies Earns Prestigious Designation from the Exit Planning Institute (EPI)

Russ Levanway — Sun, 29 May 2011 21:29:00 GMT

SAN LUIS OBISPO, CA - Adi Ringer, owner of local financial and insurance services firm, BridgePoint Custom Strategies recently earned the Certified Exit Planning Advisor (CEPA®) designation from the Exit Planning Institute (EPI).

The CEPA® program was specifically designed for business advisors who work closely with owners of privately held companies. Using an executive MBA style format, the program is designed around a central case study and uses a combination of lectures, group discussions, case studies and individual exercises to introduce participants to concepts and to reinforce skills.

To earn the CEPA® credential, Ringer completed a rigorous five-day program that involved approximately 100 hours of pre-course study, 32 hours of classroom instruction, and successful completion of a 3.5 hour proctored examination. With this certification, Ringer joins an exclusive group of fewer than 150 business advisors worldwide. The Exit Planning Institute is the premier provider of learning, knowledge, and future-oriented research for exit planning professionals. The Institute delivers innovative learning experiences, performance-enhancing resources, and strategic tools designed to advance the exit planning profession.

"Holding an expertise in exit planning issues is especially important in a time where baby boomers are beginning to enter the stage of retirement," said Ringer. "We can expect to see a flood of businesses for sale in the next 15 years, driving prices down and depleting an owners value. It is my job to ensure personal, family and community goals come true for my clients, and a solid exit plan will help make this happen."

Ringer also recently earned the Chartered Life Underwater (CLU®) designation, the world's most respected designation of insurance expertise. He has continued to taken steps over the years to receive several other certifications in order to acquire a level of knowledge and credibility, and enhance his ability to create customized financial strategies for his clients.

BridgePoint Custom Strategies is an independent firm that provides relationship-driven financial and insurance services from a highly experienced and educated professional with an extensive network of alliances and resources. They offer comprehensive financial planning solutions to both individuals and businesses including business exit planning, customized wealth management, investments and insurance. Contact Adi Ringer at (805) 574-1005, or visit http://bridgepointslo.com/ for more information

Advertising Giant Publicis Groupe Acquires Rosetta/Level For $575 Million+

Thomas Lebens — Tue, 17 May 2011 18:27:00 GMT

Publicis Groupe, the French advertising colossus, announced today that it will acquire Princeton-based interactive marketing agency Rosetta/Level for $525 million in cash, plus later milestone payments.http://techcrunch.com/2011/05/17/advertising-giant-publicis-groupe-acquires-rosetta-for-575-million/

Tax Strategy Patents

Eric Schwefler — Fri, 01 Apr 2011 23:00:00 GMT

In the field of technology, patents are commonplace. What may surprise you is that a similar debate has been stirring in recent years regarding patents on tax reporting strategies. In 1998 the Federal Circuit Court of Appeals in State St. Bank & Trust v. Signature Fin. Group determined that tax strategies are patentable as a type of business method. Throughout the years, there have been many deliberations concerning the negative consequences caused by patentable tax strategies.

Since 1998, the U.S. Patent and Trademark Office has granted more than 130 patents on tax strategies and tax planning methods. The majority of the issued patents have been in the area of estate and gift taxation, but also include patents in the areas of charitable giving, pension plans, tax-deferred exchanges, and deferred compensation. These patents directly target average taxpayers through income tax minimization, alternative minimum tax (AMT) minimization, and income tax itemized deduction maximization.

For several years, the AICPA, which is the principal trade group in the accounting industry, has strongly opposed the issuing of patents for tax strategies saying that tax patents:

1. Limit the ability of taxpayers to fully utilize interpretations of tax law intended by Congress;

2. May cause some taxpayers to pay more tax than Congress intended, and may cause other taxpayers to pay more tax than others in similar situations;

3. Complicate the provision of tax advice by professionals;

4. Hinder compliance by taxpayers;

5. Could mislead taxpayers into believing that a patented strategy is valid under the tax law; and

6. Preclude tax professionals from challenging the validity of tax strategy patents.

On March 8, 2011, the senate passed “The America Invents Act”, formerly known as the Patent Reform Bill, by a vote of 95-5. This is the first time that the Senate has passed a piece of legislation that includes a provision addressing the problem of tax strategy patents. The bill would prevent individuals or firms from being able to receive patents on tax strategies.

The foundation of the campaign against tax strategy patents is the sole conviction that tax strategy patents are harmful to taxpayers. Tax strategy patents have put taxpayers in a position where they must choose to violate patent laws and pay royalties to a third-party, or pay higher federal tax than is legally required. Tax patents set an uneven playing field for taxpayers and tax professionals alike. A tax professional with a patented tax strategy will have the ability to charge higher fees while attracting more taxpayers. As a result, a monopoly on tax compliance will form. The AICPA does not agree that taxpayers should be punished for using the best legal means available to comply with the Federal Tax Code. This Act, if passed, would solve the tax strategy patent problem by giving all taxpayers and their advisors equal access to all tax laws.

With the America Invents Act moving to the House of Representatives, the AICPA urges members of the house to move forward with the patent reform legislation so that the negative impacts of tax patents can be resolved.

Please feel free to contact Eric Schwefler at eric@calibercpas.com.

STEM Education Forum Coming Soon

Russ Levanway — Fri, 01 Apr 2011 16:41:00 GMT

Science, Technology, Engineering, and Math (STEM) Education is essential to our economy yet critically challenged. Our community has a wide variety of business, education, and non-profit groups that are active proponents and stakeholders in STEM education. These groups can all benefit through increased collaboration and enhanced understanding of the activities, resources, and capabilities of the others.

We are excited to announce the formation of the Central Coast STEM Education Collaborative to address this need. Here are three ways we invite you to participate in this effort:

Visit the newSTEM Education Collaborative Website:http://endeavours.org/STEMforum/
Contribute to the a newCentral Coast STEM Education Inventory(click here)byApril 11
Mark your calendar for theCentral Coast STEM Education Forum to be held onMay 24

Visit New Central Coast STEM Education Collaborative Website

The new Central Coast STEM Education Collaborative Webpage is hosted by the Endeavor Institute: http://endeavourinstitute.org. This website will feature STEM events hosted by local schools and other organizations and serve as a local networking point for the collaborative.

Complete Central Coast Education Inventory by Monday, April 11

We sincerely hope that each of you or your representatives will participate in this collaborative. The first crucial step is to gather your input into the current activities, vision, and needs within the community through an online Central Coast STEM Education Inventory (click here). This inventory will also ask you to indicate your interest in attending the Education Forum described below. Please feel free to encourage others to participate through the Inventory even if they will not be able to attend the Forum.

Participate in Central Coast STEM Education Forum on Tuesday, May 24

Mark your calendars for the Central Coast STEM Education Forum to be held on Tuesday, May 24, from 9-3PM. Indicate your interest in attending this free event through the Education Inventory described above. Keynote speakers for the event are Chris Roe (former Deputy Director of the Business Higher Education Forum in Washington DC and newly appointed CEO of the California STEM Learning Network) and Lt. General Susan Helms (Former Space Shuttle Astronaut and current Commander of the Air Force Space Command at Vandenberg).

Green Tech Event - April 14th

Hillary Trout — Mon, 28 Mar 2011 12:52:00 GMT

Experts in green building, lighting, renewable energy and clean tech funding will gather for an evening of education, discovery and networking on April 14th at 5 p.m. at the Tech Park at Cal Poly. The Entrepreneurship Forum will be hosted by the Cal Poly Center for Innovation & Entrepreneurship and attendees will be able to network after the event. For more information visit entrepreneur.calpoly.edu.

Small Business Jobs Act of 2010 Tax Provisions

James Hade — Wed, 02 Mar 2011 21:31:00 GMT

As you prepare to file income tax returns for your business this year, do not forget about the Small Business Jobs Act of 2010. This legislation was enacted on September 27, 2010 and it contains some tax provisions that have an immediate impact on the 2010 tax year. The provisions of the Act are designed to encourage investment and provide access to capital for businesses. The following is list of some of those tax provisions which are now in effect.

· General business credits of eligible small businesses for 2010 carried back 5 years.

· General business credits of eligible small businesses in 2010 not subject to alternative minimum tax

· Increase in amount allowed as deduction for start-up expenditures in 2010

· Deduction for health insurance costs in computing self-employment taxes in 2010.

General business credits of eligible small businesses for 2010 carried back 5 years

The new law allows an eligible small business to carry back general business credits five years. Previously, the credits in excess of limitations could only be carried back one year and forward twenty years. The new carryback is effective for credits determined in the first taxable year beginning after December 31, 2009 and are unused. For purposes of this part of the legislation, an “eligible small business” is, with respect to any taxable year, a business that:

1. Is a corporation (C or S), the stock of which is not publicly traded, a partnership, or sole proprietorship; and

2. Has average annual gross receipts of $50,000,000 or less over the three preceding tax years.

This is a one year initiative applicable only to the tax year 2010 (For fiscal year filers, the effective tax year is the first tax year beginning after December 31, 2009).

General business credits of eligible small businesses in 2010 not subject to alternative minimum tax

The Small Business Jobs Act allows general business credits to offset both regular income tax and alternative minimum tax of eligible small businesses. The provision is effective for any general business credits determined in the first taxable year beginning after December 31, 2009, and to any carryback of such credits.

The prior law did not allow general business credits to offset alternative minimum tax.

This is a one year initiative applicable only to the tax year 2010 (For fiscal year filers, the effective tax year is the first tax year beginning after December 31, 2009).

Increase in amount allowed as deduction for start-up expenditures in 2010

For taxpayers starting an active trade or business, the new law increased the amount the taxpayer is allowed to elect as a deduction for start-up expenditures, under Internal Revenue Code section 195(b), for tax years beginning after December 31, 2009, from $5,000 to $10,000. In addition, the phase-out threshold was also increased from $50,000 to $60,000, meaning the law now requires a dollar-for-dollar reduction of the $10,000 deduction if startup expenditures exceed $60,000. The remainder of any start-up expenditures not deducted can be amortized ratably over a 180 month period beginning with the month in which the active trade or business began.

The deduction for “organizational expenses” is not affected by this change and remains at $5,000.

Deduction for health insurance costs in computing self-employment taxes in 2010

A self-employed individual can typically only deduct the cost of health insurance in calculating their adjusted gross income (AGI). However, in 2010 under the Small Business Jobs Act, business owners are able to deduct the cost of health insurance for themselves and their family in computing net earnings from self-employment when calculating their self-employment tax for 2010. “Their family” includes their spouses, dependents, and any children who have not attained age 27 as of the end of the taxable year (Internal Revenue Code Section 162).

The deduction is not available for any month which the small business owner is eligible to participate in an employer-subsidized health plan (maintained by the employer of the taxpayer or the employer of the taxpayer’s spouse).

Many of these tax incentives will not be available going forward so be sure to take advantage of them this year if you qualify.

Please feel free to contact James Hade at james@calibercpas.com.

Celebrating Women Entrepreneurs

Justin Couto — Fri, 25 Feb 2011 23:45:00 GMT

Cal Poly’s Tech Park will be buzzing on March 10th at 5:00 as successful women entrepreneurs share their stories and tips for success at the Entrepreneurship Forum. Cal Poly alums and founders of innovative local firms like The Spice Hunter and REC Solar will join with other successful businesswomen in this evening of presentations and networking sponsored by NetApp.

Click Here for more details!

Google VP Marissa Mayer to present at Poly

Hillary Trout — Mon, 07 Feb 2011 17:04:00 GMT

Google's, VP Consumer Products, Marissa Mayer will join us at Cal Poly to share some key insights and innovations behind Google's latest product development, as well as the secret sauce that will help take your life's work in the best possible direction.

The presentation is open and free to the Cal Poly community and the public.

Date: Thursday, February 24, 2011

Location: Harman Hall, Performance Arts Center- PAC, Cal Poly campus

Time: 11:00am - 12:15pm

Title: Innovation at the Googleplex

Presenter: Marissa Mayer
Vice President, Consumer Products, Google

Bio Sketch:

As Google's VP, Consumer Products, Marissa Mayer leads the product management and engineering efforts of Google's local, mobile, and contextual discovery products including Google Maps, Google Maps for Mobile, Local Search, Google Earth, Street View, Latitude and more. During her 11 years at Google, Marissa has led product management and design efforts for Google web search, images, news, books, products, toolbar, and iGoogle. She started at Google in 1999 as Google's 20th employee and first woman engineer. Marissa received her B.S. in Symbolic Systems and her M.S. in Computer Science from Stanford University. For both degrees, she specialized in artificial intelligence.

Co-sponsored by:

Department of Computer Science
WISH student Club
ACM student Club
College of Engineering
College of Liberal Arts

App Development: What to ask for, and how to get creatively involved

Hillary Trout — Sat, 05 Feb 2011 00:01:00 GMT

Love apps and want to get in on the action? Learn about what the app development process involves and key mobile technologies. We'll also look into using apps as a marketing tool and how creative folk can stake a claim in this space.

SLOCAMA invites you to join us Tuesday, February 15th for a presentation by Randy Scovil.

Randy Scovil has taught computer science at Cuesta College and Cal Poly for over ten years. He is an active mobile developer for both the iOS and Android platforms and taught some of the first college courses in mobile development in the country. He developed the iOS and Android apps for Cuesta College, among the first in the nation by a community college. He has an extensive media and marketing background, having worked in broadcasting for over 25 years, primarily as a program and marketing director for large-market radio stations. He was the play-by-play voice of Cal Poly Athletics for ten years and is the co-creator of the Cuesta TV project. He served on the Softec Board of Directors for eight years. He received his Master's Degree in Computer Science from Cal Poly and a B.A. in Telecommunications and Film from San Diego State University.

Networking begins at 5:30pm and the program begins at 6pm. Meetings are held at Big Images, 767 Francis Ave., San Luis Obispo.

There is currently no membership requirement, but attendees are asked to contribute $5 at each meeting they attend to support future events and programming.

For more information, contact:

Lynne Biddinger20-20 Creative Group805.542.0707 phonelynne@2020creativegroup.com

SUBSTANTIATING YOUR DEDUCTIONS

James Hade — Thu, 03 Feb 2011 16:26:00 GMT

With the recent increased budget shortfalls, the taxing authorities are looking for more ways than ever to generate revenue. The IRS has hired more auditors and is increasing the number of audits done through the mail. Consequently, more business and individual returns are coming under closer examination as the IRS seeks substantiation of specific items. Certain categories of deductions such as charitable contributions, mileage, and meals and entertainment expenses require specific documentation. It is more important than ever to maintain proper records to substantiate these deductions should your return come under the scrutiny of the tax authorities.

CHARITABLE CONTRIBUTIONS

The IRS requires that all cash contributions be substantiated by a bank record or written communication documenting the name of the organization, the date and the amount of the contribution. A schedule or log of contributions is not enough to substantiate donations. Documentation required for non-cash contributions is expanded to include the location and a detailed description of the property. The value of the contribution is not required. Contributions of $250 or more must be substantiated with “contemporaneous written acknowledgement” of the donee, such as a receipt. If a taxpayer makes multiple donations each less than $250 during the year but which exceed the $250 threshold in aggregate, there is no increased substantiation requirement. This is also true for contributions directly withheld from an individual’s pay check as long as the deduction each pay period is under the $250 threshold.

Individuals claiming a non-cash contribution valued in excess of $500 are required to file Form 8283 – Noncash Charitable Contributions with their individual income tax return. Returns reporting non-cash contributions in excess of $5,000 must include an appraisal. There are additional requirements for donations of stock and works of art valued at $20,000 or more. Failure to acquire the necessary documentation may result in the IRS denying the deduction.

MILEAGE DEDUCTIONS

Businesses, sole-proprietors and individuals may be able to take advantage of a mileage deduction based on the number of miles driven during the year for specified purposes. Eligible taxpayers may elect to deduct the greater of actual expenses incurred or use the standard mileage rate multiplied by the number of miles driven during the year. In the case of a business seeking to deduct the greater of actual expenses or the standard rate, both must be tracked to determine which provides the greatest benefit at year end. Individuals may be eligible to take a deduction for miles driven for medical or moving purposes or during service to charitable organizations. To substantiate the miles driven a detailed mileage log must be maintained consistently throughout the year as the mileage is incurred. Worksheets prepared at the end of the year may assist your accountant in determining the appropriate deduction but are not considered adequate records should the deduction be challenged. Records should include the date, destination, business purposes or nature of the travel, and mileage or odometer readings for every business trip.

MEALS & ENTERTAINMENT

To be deductible, meals and entertainment expenses must be considered “ordinary and necessary”. This requirement is essentially a test of reasonableness. The IRS has denied deductions for meal and entertainment expenses deemed “lavish or extravagant”. In addition the expense must be “directly related” or “associated with” the business operations. This means those involved must actively discuss matters pertaining to the business immediately before, during, or immediately after the expense is incurred. Meals and entertainment expenses are also deductible if they are intended to bring in new business or foster an existing business relationship. Substantiating meal and entertainment expenses requires diligent record keeping. Records must identify those involved, the amount of the expense, the date incurred and a description of the business purpose. Receipts must be maintained for meal and entertainment expenses which exceed $75. It is important to note, once the expense is deemed deductible, it is limited for tax purposes to 50% of the total cost incurred.

Proper documentation is vital to substantiating your deductions should the IRS ever challenge your return. As discussed, items such as charitable contributions, mileage, and meals and entertainment require significant documentation. The IRS has denied deductions when one element of the records was incomplete. Therefore it is important that you maintain adequate records over the course of the year to ensure the deduction on your return. If you have questions regarding these requirements or substantiation for any other items, you are encouraged to contact your tax advisor.

Please feel free to contact James Hade at james@calibercpas.com.