As we reach the end of the year, now is the time to start sorting your tax documents for an on-time filing of your individual income tax return. Following is a listing of items to consider when preparing for the preparation of your individual tax return: Note any changes to your marital status, or the […]
Category: Tax Planning
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 […]
Updated Tax Withholding Estimator
Looking for a useful tool? You’re in luck! Here is the most recent Tax Withholding Estimator. The IRS encourages everyone to use the Tax Withholding Estimator to perform a “paycheck checkup.” This will help you make sure you have the right amount of tax withheld from your paycheck. There are several reasons to check your […]
Taxpayers should remember these tips when searching for a tax preparer
IRS Tax Tip 2020-04 The tax filing season is upon us, and many people will be looking for someone to help them file a tax return. These taxpayers should choose their tax return preparer wisely. This is because it’s ultimately the taxpayer who is responsible for all the information on their income tax return. It’s […]