Planning Potpourri

■ Free online goodies www.360financialliteracy.org is the American Institute of CPA’s financial info site Chock Full O’ resources (not Nuts, that’s the coffee) to help you plan thru every stage of your life, which is especially helpful during this economic turmoil. It’s time to educate yourself and take control of your financial life instead of obsessing about the Dow going up and down which unfortunately you can’t control at all!

■ Where’s Inflation? 2010 Inflation-adjusted tax figures are the same or only modestly different:  ◙  Dependency exemption$3,650 (unchanged).  ◙ Standard deduction $11,400 MFJ and $5,700 for singles and MFS (unchanged). ◙  Annual gift exclusion $13,000 (unchanged). News Release IR-2009-93 and 94.

■ Final 2053 regs (T.D. 9468) provide guidance in determining the deductible amount of a claim against an estate. Sec. 20.2053-1(d)(1) provides the general rule that a deduction for a claim or expense described in section 2053 is generally limited to the amount actually paid for the claim or expense. Exceptions are provided. If a claim or expense that would have been deductible if it had been paid is not fully deductible within the limitation period, the estate may file a protective refund claim to preserve its right to claim a refund in the event that it becomes deductible later. Sec. 20.2053-1(d)(5). A protective claim for refund may be filed at any time before the expiration of the period of limitation prescribed in Sec. 6511(a) for the filing of a claim for credit or refund. Even if the IRS can’t assess additional  tax it may still reject the claim for refund to the extent the Service determines there is no overpayment of tax.

■ Post Tax Season Follow Up: So you signed your income tax returns and filed them. You’re not done (not if you want to play it smart!). Call you CPA and set up a review meeting to sit with him/her for an hour (yes, you’ll have to pay him). Ask your CPA to review your tax return with you not to address tax issues per se, but to identify any type of planning ideas that your return might suggest, and any issues you may have missed. CPAs all have a wealth of general tax, investment, business, insurance and other knowledge, but you won’t know it if you don’t give them a shot to show you. It could be the most valuable hour of CPA advice ever.