Category Archives: Tax Tips

When Can I file my 2016 Taxes in 2017?

Tax season will begin Monday, Jan. 23, 2017, and reminded taxpayers claiming certain tax credits to expect a longer wait for refunds. This is the first day that you can file a 2016 tax return. The IRS will begin accepting electronic tax returns that day, with more than 153 million individual tax returns expected to… Read More »

Filing Taxes and Nominee payments

If you are receiving payments for someone else, you need to follow the procedure for “nominee payments.” This is where payments are made in your name but you are not the beneficiary of the payments. I assume that you received a 1099-K. You must obtain a blank Form 1099-K and a blank Form 1096. You… Read More »

Tax Debt and Other IRS Information About Having Debt

People facing financial difficulties may find that there’s a tax impact to events such as job loss, debt forgiveness or tapping a retirement fund. For example, if your income decreased, you may be newly eligible for certain tax credits, such as the Earned Income Tax Credit. The Mortgage Forgiveness Debt Relief Act of 2007 generally allows taxpayers… Read More »

Tax Issues Related to Having a Job and Employment Tax

What if I lose my job? The loss of a job may create new tax issues. Severance pay and unemployment compensation are taxable. Payments for any accumulated vacation or sick time also are taxable. You should ensure that enough taxes are withheld from these payments or make estimated tax payments to avoid a big bill… Read More »

How to Contact the IRS

Find out about IRS Tax Refund Where’s My Refund? will give you personalized refund information The IRS issues more than 9 out of 10 refunds in less than 21 days. Where’s My Refund? has the most up to date information available about your refund. The tool is updated once a day so you don’t need… Read More »

How do I notify the IRS my business address has changed?

If you move after filing your return, you should have the post office forward mail to your new address. Some post offices do not forward government checks, so you may also want to change your address with the IRS. You can use IRS Form 8822-B, Change of Address to notify them of an address change.… Read More »

2016 Filing Season Update on IP PINs

Identity Protection PINs Due to an error, taxpayers are receiving Identity Protection PIN letters with an incorrect year listed. Taxpayers and tax professionals should be advised the IP PIN listed on the CP 01A Notice dated Jan. 4, 2016, is valid for use on all individual tax returns filed in 2016. The notice incorrectly indicates… Read More »

Understanding Tax Return Preparer Credentials and Qualifications

Any tax professional with an IRS Preparer Tax Identification Number (PTIN) is authorized to prepare federal tax returns. However, tax professionals have differing levels of skills, education and expertise. An important difference in the types of practitioners is “representation rights.” Here is guidance on each credential and qualification: UNLIMITED REPRESENTATION RIGHTS: Enrolled agents, certified public accountants,… Read More »

Interest that the IRS must pay you on overpayments of tax to them

What happens when you overpay the IRS? Interest is paid by the government on overpayments, whether refunded or credited against tax liabilities for other years, at three percentage points above the federal short-term rate, rounded up to the nearest full percent—the same rate that applies to underpayments. However, this is a little different For corporate… Read More »