Process Improvement
Utilize technology to obtain efficient
and standardized results
Get financial results more timely
Provide leaders with financial
results quicker, with more accuracy
Automation with systems integration
Increase accuracy with less data
redundancy by connecting systems
Meet Lembo Accounting Solutions
At Lembo Accounting Solutions, we pride ourselves on delivering exceptional tax preparation services under the leadership of Linnea Lembo. With over 25 years of experience as a Certified Public Accountant (CPA), Linnea brings unparalleled expertise and a personal touch to every client interaction. Her dedication to excellence ensures that all your tax preparation needs are met with precision and care.
We offer a wide range of services designed to meet the diverse needs of our clients. Whether you require assistance with accounting, consulting, or software-related issues, our team is ready to provide tailored solutions that fit your specific circumstances. Our goal is to simplify the tax preparation process and help you achieve the best possible financial outcomes.
Our commitment to the Mt. Pleasant community is at the heart of everything we do. We understand the unique challenges faced by local residents and businesses, and we are dedicated to helping our community thrive. Choosing Lembo Accounting Solutions means partnering with a team that genuinely cares about your financial well-being, not just getting professional tax services.
Why Choose Professional Tax Preparation?
Navigating the world of income taxes can be daunting, especially with the constantly changing tax laws. Professional tax preparers possess in-depth knowledge of these laws, ensuring compliance and accuracy in your tax filings. This expertise significantly reduces the likelihood of errors, thereby minimizing the risk of incurring penalties from the IRS.
Filing your taxes with a professional can save you a considerable amount of time, particularly if you are dealing with complex tax situations or multiple income sources. Approximately 85 million individuals rely on professional assistance each year to navigate their tax return process, highlighting the widespread trust in tax experts. Why spend countless hours stressing over forms and calculations when you can entrust your tax situation to a seasoned tax professional?
Professional tax preparers offer personalized advice tailored to your unique financial situation and future goals. They can help you uncover tax deductions and credits you might have overlooked, ensuring you maximize your tax savings. Above-line deductions, for instance, are available regardless of whether you itemize or take the standard deduction. This personalized approach can make a significant difference in your tax bill and overall financial planning.
Choosing professional tax preparation not only ensures accuracy and compliance but also provides peace of mind. Whether you are dealing with personal tax returns, business taxes, or self-employment taxes, having a tax preparer by your side can transform a potentially stressful experience into a smooth and manageable process. Investing in professional tax services is a smart decision that pays off in both time and money saved.
Our Comprehensive Tax Preparation Services
At Lembo Accounting Solutions, we offer a broad range of tax preparation services designed to meet all your federal and state/local tax needs. Our team ensures compliance across different jurisdictions, helping you navigate the complexities of federal income taxes and other levies such as Social Security and Medicare. We take the stress out of tax season by providing thorough and accurate tax services.
Our services are not limited to just individual tax returns; we also cater to self-employed individuals, high net worth individuals, and small and medium business owners. Self-employed clients can benefit from various business deductions, including vehicle mileage, home office costs, and health insurance premiums. Understanding state and local tax regulations allows us to help you maximize deductions and ensure compliance.
We believe in providing personalized, comprehensive tax preparation services that address your unique tax situation. Whether you need help with federal income taxes, state and local taxes, or specialized deductions, our tax professionals are here to guide you every step of the way. Let us help you reduce your tax burden and achieve significant tax savings.
Federal Income Tax Preparation
Compliance with IRS guidelines is crucial for accurate and penalty-free tax return filing. Our tax preparers at Lembo Accounting Solutions ensure strict adherence to the latest IRS guidelines during the federal income tax preparation process. This meticulous approach helps to avoid significant penalties and errors, ensuring a smooth tax filing experience for our clients.
Our goal is to maximize your tax refunds while ensuring full compliance with the Internal Revenue Code. Accurately calculating your taxable income and applying all eligible tax deductions and credits helps reduce your overall tax bill. Our team stays updated with the latest tax laws and regulations to provide you with the most accurate and beneficial tax preparation services.
We understand that each client’s tax situation is unique, and we tailor our services to meet your specific needs. Whether you are dealing with personal tax returns, business taxes, or self-employment taxes, our experts are equipped to handle all aspects of federal income tax preparation. Let us help you navigate the complexities of federal tax returns and achieve the best possible financial outcomes.
State and Local Taxes
Navigating state and local taxes can be just as complex as federal taxes. At Lembo Accounting Solutions, we ensure you understand the deductibility of real property taxes, which must be levied uniformly across all properties in a jurisdiction to qualify as deductible. Similarly, deductible personal property taxes need to be assessed annually and based on the value of the property, such as cars or boats.
The total deduction for state and local taxes is capped at $10,000 for individuals. This cap can impact your overall tax planning strategy, making it essential to choose wisely between deducting state and local income taxes or general sales taxes on your federal tax returns. Understanding these nuances can help you make the best decision for your financial situation.
Living in a state with no income tax can significantly reduce taxes on your retirement income. Additionally, mandatory contributions to state benefit funds, such as unemployment insurance, can also be deducted by employees. Our team is here to help you navigate these complexities and maximize your state and local tax deductions.
Business Tax Services
For small business and medium business owners, managing tax liabilities and optimizing deductions is a year-round endeavor. At Lembo Accounting Solutions, we provide continuous support to help you stay on top of your business taxes. Our services include the preparation of profit and loss statements, which are essential for tax savings analysis and financial planning.
One of the significant advantages we offer is the ability to help businesses elect S corporation status, which allows income, losses, deductions, and credits to be passed through to shareholders for federal tax purposes. This structure avoids the double taxation that often burdens other types of business entities. To qualify as an S corporation, your business must be a domestic corporation with no more than 100 shareholders and only one class of stock.
Filing Form 2553, which requires signatures from all shareholders, is a crucial step in electing S corporation status. Our team guides you through this process, ensuring all requirements are met and that you fully understand the tax benefits and obligations associated with S corporation status.
Let us help you optimize your business tax strategies and achieve significant tax savings.
Personal Tax Returns
Preparing personal tax returns requires meticulous attention to detail and thorough documentation. Our tax preparers utilize questionnaires or direct communication to gather all necessary information from clients, ensuring no detail is overlooked. Having all relevant tax documents organized before meeting with a tax preparer is crucial for a smooth and efficient tax filing process.
If you plan to itemize deductions, collecting receipts for various expenses throughout the year can significantly maximize your write-offs. For the 2023 tax year, the standard deduction for individuals has increased to $13,850, providing an additional tax savings opportunity for those who do not itemize.
Our team is dedicated to helping you navigate these complexities and achieve the best possible financial outcomes.
Retirement Accounts and Tax Savings
Contributing to retirement accounts is a powerful strategy for reducing your taxable income and lowering your tax liability. Maximizing contributions to 401(k) plans, for example, can significantly decrease your taxable income. In 2023, the contribution limit for 401(k) plans is up to $22,500, with an additional $7,500 catch-up contribution for those aged 50 and older.
Health Savings Accounts (HSAs) offer multiple tax advantages, including pretax contributions that reduce your taxable income. For individuals in 2023, the maximum deductible HSA contribution is $3,850. Contributions made through payroll deduction are excluded from taxable income, amplifying your tax savings.
Delaying required minimum distributions (RMDs) by donating them to charity can avoid immediate tax implications. If RMDs are not donated, they are considered income and can increase your tax bill. Additionally, transferring funds from retirement accounts to a qualified longevity annuity contract (QLAC) can defer RMDs and taxes.
Our team can help you navigate these strategies to maximize your retirement savings and minimize your tax burden.
Maximizing Tax Credits and Deductions
Tax credits are powerful tools that can reduce the amount of tax you owe on a dollar-for-dollar basis. The Earned Income Tax Credit, for instance, is designed for low- to moderate-income workers and families, with a maximum amount of up to $7,430 in 2023. Similarly, the Child Tax Credit for 2023 is $2,000 for each qualifying child under the age of 17, with certain income limitations.
Deductions, on the other hand, can lower your taxable income, thereby reducing your overall tax bill. Taxpayers can choose to itemize their tax deduction depending on their expenses, such as medical expenses, which can be deducted if they exceed 7.5% of your adjusted gross income. Charitable contributions can typically be deducted up to 20% to 60% of your adjusted gross income if you itemize.
Donations of cash, goods, and payroll deductions are all deductible if made to qualified charities. Our team is here to help you identify and maximize all available tax credits and deductions, ensuring you achieve the maximum refund possible and reduce your tax burden.
Our services are not limited to just individual tax returns; we also cater to self-employed individuals, high net worth individuals, and small and medium business owners. Self-employed clients can benefit from various business deductions, including vehicle mileage, home office costs, and health insurance premiums. Understanding state and local tax regulations allows us to help you maximize deductions and ensure compliance.
We believe in providing personalized, comprehensive tax preparation services that address your unique tax situation. Whether you need help with federal income taxes, state and local taxes, or specialized deductions, our tax professionals are here to guide you every step of the way. Let us help you reduce your tax burden and achieve significant tax savings.
Tax Software vs. Professional Tax Preparation
When it comes to filing your taxes, you have the option of using tax software or hiring a professional tax preparer. Tax preparation software is often ideal for individuals with uncomplicated tax situations. However, if you have a more complex tax return, hiring a professional can provide significant benefits, including personalized advice and continuous tax planning support.
In the event of an audit, a tax professional can provide valuable support and guidance to navigate the process. While the cost of tax software is generally lower than hiring a certified tax professional, the peace of mind and potential savings from professional assistance can outweigh the initial expense.
Our team is here to help you decide the best approach for your specific tax situation.
Common Tax Mistakes to Avoid
Avoiding common tax mistakes is crucial for ensuring accurate and compliant tax returns. The IRS emphasizes a due diligence compliance program to minimize errors, particularly for credits like the Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC). Mathematical errors, ranging from basic arithmetic to complex calculations, are common pitfalls; always double-check or verify using tax software to prevent these mistakes.
Using incorrect bank details for direct deposits can delay your refund, so ensuring accuracy in routing and account numbers is essential. Unsigned tax returns are invalid, and electronic filing with a digital signature helps prevent this mistake. Professional tax preparers use advanced accounting software, which significantly reduces the likelihood of human error during the filing process.
Tax preparers are liable for penalties if necessary due diligence forms are not submitted with clients’ returns. Understanding and correctly applying tax laws is essential for preparers to avoid errors that could lead to fraud accusations. Utilizing professional tax preparation services helps prevent common tax mistakes by providing expert guidance and assuring accuracy.
How to Prepare for Your Tax Appointment
Preparing for your tax appointment can streamline the process and ensure you don’t miss any crucial deductions. Consulting last year’s tax return can help identify necessary documents and potential deductions for the current year. Filing your tax return too early can result in missing important documents, leading to potential mistakes.
Utilizing a filing cabinet to store essential financial documents can simplify tax season preparation. Organizing past tax documents in labeled folders can facilitate easy access during tax preparation and audits. Maintaining accurate financial records year-round significantly simplifies the tax filing process.
If you need more time to prepare your tax return, you can apply for an extension. However, you must still estimate any taxes owed and pay them by the original deadline to avoid penalties. Proper preparation for your tax appointment ensures a smooth and efficient process, helping you maximize your tax savings.
