Facing a lot of different tax questions this year? If you are interested in researching some of these issues on your own, the IRS has pulled together an overview of common tax issues in one convenient place — Publication 17, “Your Federal Income Tax.” This updated publication, available on the IRS Web site, contains a…
A lot of things change when you have a child. One of those things is your income tax regarding the deductions and credits you get. You can claim a baby who was just born on your taxes. To get the maximum tax benefit, get clued in on what steps to take and what deductions and…
Any change in your income can impact your income tax return since the IRS taxes different types of income at different rates. The most important thing to determine when assessing your tax situation is whether your income is taxable or nontaxable. After you’ve made that initial determination, it’s easier to attribute a tax rate to…
Everybody loves tax exemptions. They reduce the amount of your taxable income, which affects the amount of taxes you pay. You can take a personal exemption for yourself, and you get an exemption for each of your dependents. In some cases, you might qualify as your boyfriend’s dependent. He might even be able to claim…
Every spring, taxpayers across the USA gather their tax documents to file taxes and get that coveted refund check. The IRS issues tax refunds based on a tentative schedule they release in early January. Simply filing your tax return according to their schedule does not mean you get your refund exactly on time. Several factors…
The IRS will begin to release EITC/ACTC refunds starting Feb. 15. However, the IRS cautions taxpayers that these refunds likely won’t arrive in bank accounts or debit cards until the week of February 27 — if there are no processing issues with the tax return and the taxpayer chose direct deposit. This additional period is…
The IRS is proposing to change its position on when taxpayers may qualify as childless for purposes of the Sec. 32 earned income tax credit (REG-137604-07). The proposed regulations, issued on Thursday, would also make a variety of changes to the definition of “dependent” in the regulations to reflect various statutory changes that have been…
Getting your tax return rejected by the IRS can mark the outset of a serious freak-out session. Thankfully the process of correcting and re-submitting your return often turns out to be fairly painless. Once you file your annual tax return, the IRS can reject it if it contains conflicting information. If the IRS rejects your…
Combating identity theft is a top priority, and across the IRS many important steps are being taken to fight it. A key part of this involves the Security Summit Initiative, a unique partnership between the IRS, state revenue departments and the private-sector tax industry leaders. This unprecedented Security Summit Initiative is the first public-private partnership…
The IRS is delaying tax refunds for more than 40 million low-income families this year as the agency steps up efforts to fight identity theft and fraud. The delays will affect families claiming the earned income tax credit and the additional child tax credit. These tax breaks are geared to benefit the working poor, and…
