WASHINGTON – Starting this week, the Treasury Department and the Internal Revenue Service are sending approximately 8 million second Economic Impact Payments (EIPs) by prepaid debit card. These EIP Cards follow the millions of payments already made by direct deposit and the ongoing mailing of paper checks that are delivering the second round of Economic Impact […]
Author: acesassociates
Withhold tax from unemployment now to avoid a tax-time surprises!
Due to the Coronavirus pandemic, millions of Americans received or are currently receiving unemployment compensation, many of them for the first time. It’s important for these individuals to know that unemployment compensation is taxable. People can have taxes withheld from this compensation now to help avoid owing taxes on this income when they file their income […]
How using the Tax Withholding Estimator will help taxpayers avoid surprises next year
COVID Tax Tip 2020-101 Using the IRS Tax Withholding Estimatorcan help taxpayers have the right amount of tax withheld and avoid surprises when filing next year. Income taxes are pay-as-you-go. By law, taxpayers are required to pay most of their tax as income is received. There are two ways to do this: Through withholding from paychecks, pension […]
Good recordkeeping is an essential element of tax planning
IRS Tax Tip 2020-100, August 11, 2020 Now is a good time for people to begin thinking about next year’s tax return. While it may seem early to be preparing for 2021, reviewing your recordkeeping now will pay off when it comes time to file again. Here are some suggestions to help taxpayers keep good […]
Dirty Dozen Scams – Part 2
COVID Tax Tip 2020-97 This is the second of two tips exploring the IRS Dirty Dozen tax scam list. Tax scams tend to rise during tax season or during times of crisis. Scam artists are using the COVID-19 pandemic to try to steal money and information from taxpayers. Taxpayers should watch out for these scams. Scammers targeting […]
Dirty Dozen Scams – Part 1
COVID Tax Tip 2020-96 All tax scams put taxpayers at risk. This is the first of two tips taking a closer look at the IRS Dirty Dozen tax scam list. This year, taxpayers should be especially, watchful for aggressive schemes related to COVID-19 relief, including Economic Impact Payments. Here is a recap of the first six scams […]
Deadline for estimated tax payments postponed until Wednesday, July 15
COVID Tax Tip 2020-79, July 2, 2020 As part of its response to COVID-19, the IRS has postponed several tax deadlines until Wednesday, July 15, 2020. These postponements generally apply to all taxpayers with a filing or payment deadline between April 1 and July 15, 2020. This relief includes individual and corporate quarterly estimated tax payments. Any taxpayer […]
Keep Economic Impact Payment notice with other tax records
COVID Tax Tip 2020-74 People who receive an Economic Impact Payment this year should keep Notice 1444, Your Economic Impact Payment, with their tax records. This notice provides information about the amount of their payment, how the payment was made and how to report any payment that wasn’t received. For security reasons, the IRS mails this notice […]
Breaking News from the IRS
Following is guidance put out this evening from the IRS regarding the stimulus payments. Note, despite prior indications, everyone will be required to file a tax return to receive the stimulus payment (see the 4th question). Stay tuned for further developments. Economic impact payments: What you need to knowCheck IRS.gov for the latest information: No […]
2020 Spring Client Newsletter
Dear Client We are providing this special edition of Tax News to try and make sense of the recent actions and legislation that have been put into place. Almost daily we have been seeing new announcements and new legislation being offered by both Congress and the Internal Revenue Service (IRS). We are providing information on […]