Sunday, February 7, 2010
Finding Help for to Prepare and File Past Due Returns
Regardless if you are seeking help to file past due tax returns, or to file current year taxes online, you can find affordable help online.
Saturday, January 16, 2010
The IRS's Three Year Window for Tax Refunds on Unfiled Taxes
Taxpayers have only until April 15 to file past due tax returns and qualify for an actual refund.
Past due tax returns are best filed ASAP. However, when you fail to file within the three year window, from the date the return was actually due, you can loose the actual refund check.
The IRS, usually will contact a taxpayer, in the form of a letter, when report income, suggest that the taxpayer may owe the IRS. If you have not filed your tax returns, and you have not heard from the IRS, that may be an indication that you may have a refund coming.
For help with past due tax returns, click on the title.
Past due tax returns are best filed ASAP. However, when you fail to file within the three year window, from the date the return was actually due, you can loose the actual refund check.
The IRS, usually will contact a taxpayer, in the form of a letter, when report income, suggest that the taxpayer may owe the IRS. If you have not filed your tax returns, and you have not heard from the IRS, that may be an indication that you may have a refund coming.
For help with past due tax returns, click on the title.
Friday, January 15, 2010
IRS Redesigning Notices Sent to Taxpayers
In an effort to communicate more effectively with taxpayers, the IRS has redesigning notices.
The newly formatted notices includes every day English and states what action the taxpayer should take.
The design is said to include a clear, simple and clean design.
Hopefully the new design will reduce the enormous amount of fear that many taxpayers experienced when opening the old notices.
You know, there is more to this “hope” stuff than I realized, cause “faith” surely, didn’t get the notices redesigned, or did it?
If you need help with past due returns, click on the link above.
The newly formatted notices includes every day English and states what action the taxpayer should take.
The design is said to include a clear, simple and clean design.
Hopefully the new design will reduce the enormous amount of fear that many taxpayers experienced when opening the old notices.
You know, there is more to this “hope” stuff than I realized, cause “faith” surely, didn’t get the notices redesigned, or did it?
If you need help with past due returns, click on the link above.
Wednesday, January 6, 2010
Report from the National Taxpayer Advocate, Says the Only 64% of Taxpayers, Get Through to the IRS When Calling
National Taxpayer Advocate, Nina E. Olson in her annual report to Congress, released the following information:
"According to Olson's report, the IRS only plans to answer 71 percent of the calls it gets this year. That's barely above the 69 percent level in 1998 when Congress got so fed up with complaints about taxpayer service that it reformed the agency. And the numbers have gone down in recent years – during the 2009 tax filing season, only 64 percent of callers got through."
Tax professionals have understood this issue for a long time, but not because we experienced the problem. The IRS provides a special number for tax professionals and has, in my experienced, been more that helpful and prompt in answer Tax professionals calls.
We know that it has been a problem, because, this is the reason, often times, that we get new clients.
When a taxpayer receives a letter from the IRS, the first thing many people do, is take a moment to contact the IRS. It is because the moment, turns into many moments, people get upset, and start looking for someone to help them.
If you receive communications from the IRS pertaining, to past due tax returns, you can seek out a local tax professional or even an online tax service, to help you resolve the issue as quickly as possible.
"According to Olson's report, the IRS only plans to answer 71 percent of the calls it gets this year. That's barely above the 69 percent level in 1998 when Congress got so fed up with complaints about taxpayer service that it reformed the agency. And the numbers have gone down in recent years – during the 2009 tax filing season, only 64 percent of callers got through."
Tax professionals have understood this issue for a long time, but not because we experienced the problem. The IRS provides a special number for tax professionals and has, in my experienced, been more that helpful and prompt in answer Tax professionals calls.
We know that it has been a problem, because, this is the reason, often times, that we get new clients.
When a taxpayer receives a letter from the IRS, the first thing many people do, is take a moment to contact the IRS. It is because the moment, turns into many moments, people get upset, and start looking for someone to help them.
If you receive communications from the IRS pertaining, to past due tax returns, you can seek out a local tax professional or even an online tax service, to help you resolve the issue as quickly as possible.
Past Due Tax Returns, Current Year Tax Returns, Extensions Filed, IRS Payment Plans, Online Tax Service
Regardless, if you need to file your current year taxes or past due tax returns from 10 years back. Taxes Will Travel.com now offers, secure, online tax preparation.
services.
In mid 2008, the mobile tax service began providing services, to taxpayers who had not filed past due returns and didn't have a clue as to where their W2s or 1099s were.
After ironing out security and fraud alert procedures, the small tax service has continued to grow.
Because there is very little overhead, such as expensive office space and employees, the rates have remained extremely affordable. Taxpayers from all over the world visit the site daily to learn more about past due taxes and the options available, for dealing with the IRS.
services.
In mid 2008, the mobile tax service began providing services, to taxpayers who had not filed past due returns and didn't have a clue as to where their W2s or 1099s were.
After ironing out security and fraud alert procedures, the small tax service has continued to grow.
Because there is very little overhead, such as expensive office space and employees, the rates have remained extremely affordable. Taxpayers from all over the world visit the site daily to learn more about past due taxes and the options available, for dealing with the IRS.
Thursday, December 17, 2009
Online Tax Preperation Service vs. Doing My Own Taxes?
For this year, 2009, the difference is: There are over 22 MAJOR tax laws. This is not counting the dozens and dozens of laws which included the basic annual changes in tax codes.
This year, 2009, there are a number of complicated tax credits, that must be understood, completely, in order to successfully take the credits.
That is not to say that the major tax software companies won't include the new tax credits, because, they will, however, your ability to understand the more complicated tax laws is the concern.
What if the IRS didn't care if you make a mistake in THIER favor? However, if you make an error in YOUR favor, you will be receiving a letter in the mail, informing you of the changes!
Again, that is not to say that the IRS won't inform you, that you have a larger refund coming. But in order to do that, they (or the computer) will take a CLOSER look at your return, before a check is mailed.
If you find an online service which has a confidential policy, (in writting) and you can verify their professional status, it sure beats, waiting at the tax office to have your taxes done!
This year, 2009, there are a number of complicated tax credits, that must be understood, completely, in order to successfully take the credits.
That is not to say that the major tax software companies won't include the new tax credits, because, they will, however, your ability to understand the more complicated tax laws is the concern.
What if the IRS didn't care if you make a mistake in THIER favor? However, if you make an error in YOUR favor, you will be receiving a letter in the mail, informing you of the changes!
Again, that is not to say that the IRS won't inform you, that you have a larger refund coming. But in order to do that, they (or the computer) will take a CLOSER look at your return, before a check is mailed.
If you find an online service which has a confidential policy, (in writting) and you can verify their professional status, it sure beats, waiting at the tax office to have your taxes done!
If I have my taxes prepared online for me, can I still e-file?
Yes. It is only past due tax returns, that cannot be e-filed.
Most online tax preparation services will e-file your tax return. I know with our service, we send the online tax client, his or her tax return in PDF format for their approval.
Once identity is established, we can than e-file the tax return, with certain confidential, information provided by the taxpayer.
Most online tax preparation services will e-file your tax return. I know with our service, we send the online tax client, his or her tax return in PDF format for their approval.
Once identity is established, we can than e-file the tax return, with certain confidential, information provided by the taxpayer.
Taxes Prepared for You, Online. Is this safe?
Yes and maybe no.
It depends on the company and their confidentiality procedure.
There are only two states who require their tax professionals to be licensed. And in one of those states, California, the tax professional has to be bonded as well.
There are certain codes and business procedures which California tax professionals must adhere to. There are stiff penalties for allowing a taxpayer's information, to be compromised.
Check out which state the tax professional is in, and what are the procedures to make sure your information is safe.
PS: The Department of Justice gives out jail time, to unscrupulous tax preparers!
It depends on the company and their confidentiality procedure.
There are only two states who require their tax professionals to be licensed. And in one of those states, California, the tax professional has to be bonded as well.
There are certain codes and business procedures which California tax professionals must adhere to. There are stiff penalties for allowing a taxpayer's information, to be compromised.
Check out which state the tax professional is in, and what are the procedures to make sure your information is safe.
PS: The Department of Justice gives out jail time, to unscrupulous tax preparers!
Monday, December 7, 2009
This Just in from the IRS: New Mileage Rates for 2010
IRS Sent this information concerning New Standard
Mileage Rates for 2010.
Beginning on Jan. 1, 2010, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:
50 cents per mile for business miles driven
16.5 cents per mile driven for medical or moving purposes
14 cents per mile driven in service of charitable organizations
The new rates for business, medical and moving purposes are slightly lower than last year’s. The mileage rates for 2010 reflect generally lower transportation costs compared to a year ago.
If you have questions, visit: irs.gov for more information
We prepare taxes, online for tax payers. No fuss, no waiting, no problem. Secure, Confidential Online Tax Service.
Mileage Rates for 2010.
Beginning on Jan. 1, 2010, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:
50 cents per mile for business miles driven
16.5 cents per mile driven for medical or moving purposes
14 cents per mile driven in service of charitable organizations
The new rates for business, medical and moving purposes are slightly lower than last year’s. The mileage rates for 2010 reflect generally lower transportation costs compared to a year ago.
If you have questions, visit: irs.gov for more information
We prepare taxes, online for tax payers. No fuss, no waiting, no problem. Secure, Confidential Online Tax Service.
Wednesday, December 2, 2009
First-Time Homebuyer Credit Extended to April 30, 2010; Some Current Homeowners Now Also Qualify
WASHINGTON — A new law that went into effect Nov. 6 extends the first-time homebuyer credit five months and expands the eligibility requirements for purchasers.
The Worker, Homeownership, and Business Assistance Act of 2009 extends the deadline for qualifying home purchases from Nov. 30, 2009, to April 30, 2010. Additionally, if a buyer enters into a binding contract by April 30, 2010, the buyer has until June 30, 2010, to settle on the purchase.
The maximum credit amount remains at $8,000 for a first-time homebuyer –– that is, a buyer who has not owned a primary residence during the three years up to the date of purchase.
But the new law also provides a “long-time resident” credit of up to $6,500 to others who do not qualify as “first-time homebuyers.” To qualify this way, a buyer must have owned and used the same home as a principal or primary residence for at least five consecutive years of the eight-year period ending on the date of purchase of a new home as a primary residence.
For all qualifying purchases in 2010, taxpayers have the option of claiming the credit on either their 2009 or 2010 tax returns.
A new version of Form 5405, First-Time Homebuyer Credit, will be available in the next few weeks. A taxpayer who purchases a home after Nov. 6 must use this new version of the form to claim the credit. Likewise, taxpayers claiming the credit on their 2009 returns, no matter when the house was purchased, must also use the new version of Form 5405. Taxpayers who claim the credit on their 2009 tax return will not be able to file electronically but instead will need to file a paper return.
A taxpayer who purchased a home on or before Nov. 6 and chooses to claim the credit on an original or amended 2008 return may continue to use the current version of Form 5405.
Income Limits Rise
The new law raises the income limits for people who purchase homes after Nov. 6. The full credit will be available to taxpayers with modified adjusted gross incomes (MAGI) up to $125,000, or $225,000 for joint filers. Those with MAGI between $125,000 and $145,000, or $225,000 and $245,000 for joint filers, are eligible for a reduced credit. Those with higher incomes do not qualify.
For homes purchased prior to Nov. 7, 2009, existing MAGI limits remain in place. The full credit is available to taxpayers with MAGI up to $75,000, or $150,000 for joint filers. Those with MAGI between $75,000 and $95,000, or $150,000 and $170,000 for joint filers, are eligible for a reduced credit. Those with higher incomes do not qualify.
New Requirements
Several new restrictions on purchases that occur after Nov. 6 go into effect with the new law:
Dependents are not eligible to claim the credit.
No credit is available if the purchase price of a home is more than $800,000.
A purchaser must be at least 18 years of age on the date of purchase.
For Members of the Military
Members of the Armed Forces and certain federal employees serving outside the U.S. have an extra year to buy a principal residence in the U.S. and still qualify for the credit. An eligible taxpayer must buy or enter into a binding contract to buy a home by April 30, 2011, and settle on the purchase by June 30, 2011.
The Worker, Homeownership, and Business Assistance Act of 2009 extends the deadline for qualifying home purchases from Nov. 30, 2009, to April 30, 2010. Additionally, if a buyer enters into a binding contract by April 30, 2010, the buyer has until June 30, 2010, to settle on the purchase.
The maximum credit amount remains at $8,000 for a first-time homebuyer –– that is, a buyer who has not owned a primary residence during the three years up to the date of purchase.
But the new law also provides a “long-time resident” credit of up to $6,500 to others who do not qualify as “first-time homebuyers.” To qualify this way, a buyer must have owned and used the same home as a principal or primary residence for at least five consecutive years of the eight-year period ending on the date of purchase of a new home as a primary residence.
For all qualifying purchases in 2010, taxpayers have the option of claiming the credit on either their 2009 or 2010 tax returns.
A new version of Form 5405, First-Time Homebuyer Credit, will be available in the next few weeks. A taxpayer who purchases a home after Nov. 6 must use this new version of the form to claim the credit. Likewise, taxpayers claiming the credit on their 2009 returns, no matter when the house was purchased, must also use the new version of Form 5405. Taxpayers who claim the credit on their 2009 tax return will not be able to file electronically but instead will need to file a paper return.
A taxpayer who purchased a home on or before Nov. 6 and chooses to claim the credit on an original or amended 2008 return may continue to use the current version of Form 5405.
Income Limits Rise
The new law raises the income limits for people who purchase homes after Nov. 6. The full credit will be available to taxpayers with modified adjusted gross incomes (MAGI) up to $125,000, or $225,000 for joint filers. Those with MAGI between $125,000 and $145,000, or $225,000 and $245,000 for joint filers, are eligible for a reduced credit. Those with higher incomes do not qualify.
For homes purchased prior to Nov. 7, 2009, existing MAGI limits remain in place. The full credit is available to taxpayers with MAGI up to $75,000, or $150,000 for joint filers. Those with MAGI between $75,000 and $95,000, or $150,000 and $170,000 for joint filers, are eligible for a reduced credit. Those with higher incomes do not qualify.
New Requirements
Several new restrictions on purchases that occur after Nov. 6 go into effect with the new law:
Dependents are not eligible to claim the credit.
No credit is available if the purchase price of a home is more than $800,000.
A purchaser must be at least 18 years of age on the date of purchase.
For Members of the Military
Members of the Armed Forces and certain federal employees serving outside the U.S. have an extra year to buy a principal residence in the U.S. and still qualify for the credit. An eligible taxpayer must buy or enter into a binding contract to buy a home by April 30, 2011, and settle on the purchase by June 30, 2011.
Monday, November 23, 2009
IRS Announced, Todays That Interest Rates Beginning in Jan 1, 2010 Will Remain the Same As Last Quarter of 2009
The Internal Revenue Service today announced that interest rates for the calendar quarter beginning January 1, 2010, will remain the same as they were in the prior quarter. The rates will be:
four (4) percent for overpayments [three (3) percent in the case of a corporation];
four (4) percent for underpayments;
six (6) percent for large corporate underpayments; and
one and one-half (1.5) percent for the portion of a corporate overpayment exceeding $10,000.
For more information, visit irs.gov
four (4) percent for overpayments [three (3) percent in the case of a corporation];
four (4) percent for underpayments;
six (6) percent for large corporate underpayments; and
one and one-half (1.5) percent for the portion of a corporate overpayment exceeding $10,000.
For more information, visit irs.gov
Friday, November 6, 2009
Qualifing for an Offer in Compromise and Getting the Right Help
I refer people who have decided to file an Offer in Compromise, to our Enrolled Agent when thay live in the San Francisco Bay Area. However, when web visitors need help with OIC information, I refer them to http://www.oicadvice.com/index.html
Below is information from the above site, which provides quality information on the IRS's Offer in Compromise program.
OICs
Most OICs are based on a taxpayer's inability to pay the full amount owed to the IRS, or, alternatively, that paying the full amount will leave the taxpayer in dire financial hardship. The IRS uses extensive guidelines and standards for determining ability to pay and identifying potential hardship cases. A thorough knowledge of these guidelines and standards is absolutely essential for submitting a potentially acceptable OIC.
Below is information from the above site, which provides quality information on the IRS's Offer in Compromise program.
OICs
Most OICs are based on a taxpayer's inability to pay the full amount owed to the IRS, or, alternatively, that paying the full amount will leave the taxpayer in dire financial hardship. The IRS uses extensive guidelines and standards for determining ability to pay and identifying potential hardship cases. A thorough knowledge of these guidelines and standards is absolutely essential for submitting a potentially acceptable OIC.
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