IRS Updates
IRS Updates February 28
Here are your updates from the IRS this week. Second Quarter Interest Rates Increase For the first time in more than three years, interest rates are being increased. For the quarter beginning April 1, 2022, the rates will be: 4% for overpayments (3% for corporations) 1.5% for the portion of a corporate overpayment exceeding $10,000 […]
Tax Updates Feb 12
Tax Help FAQs Tax filing this year is a bit more complicated, with the American Rescue Plan Act (ARPA) of 2021 which expanded the Child Tax Credit for last year only. Advance payments mean more paperwork for those who received them, and potentially repaying excess amounts, or claiming credit for remaining unpaid amounts. The IRS […]
IRS and Tax Updates January 31
2021 Recovery Rebate Credit FAQ The IRS has issued frequently asked questions (FAQs) for the 2021 Recovery Rebate Credit. This credit may apply to those who didn’t receive the full amount of their third Economic Impact Payment. To claim the credit, which can reduce taxes owed or provide a refund, eligible people must file a […]
Tax Updates December 28
Special Charitable Tax Deduction The IRS and nonprofit groups remind taxpayers that there is a special tax provision that allows more people to deduct donations to qualifying charities on their 2021 tax return. Under the temporary law, taxpayers don’t need to itemize deductions to take advantage of this pandemic-related rule; individuals can deduct up to […]
Tax Updates December 17
National Tax Security Awareness Week The IRS and Security Summit partners spent a week sharing information with taxpayers and tax professionals about security risks and how to minimize them. Day 1: Tax scams and identity theft – identifying phishing and tax scams, protecting devices with security software and protecting your sensitive information. Day 2: Fake […]
Tax Updates November 30
New Tool for U.S. Withholding Agents The IRS has launched a new online tool designed to help withholding agents comply with their responsibilities with respect to Form 1042-S, Foreign Person’s U.S. Source Income Subject to Withholding. Agents such as insurance companies, universities, entertainment venues, and banks and other financial institutions must file an information return […]
IRS Updates Mid-November
Charitable Giving Deduction The IRS reminds taxpayers that they can take advantage of a special tax provision to easily deduct up to $600 on their 2021 return. Typically, those who choose to take the standard deduction cannot claim charitable contribution deductions, but the Taxpayer Certainty and Disaster Tax Relief Act of 2020 extended this temporary […]
Tax Updates October 27
FAQ Updates and Clarification Due to concerns around transparency and impact on taxpayers, the IRS is updating its process for certain frequently asked questions (FAQs). The IRS is also addressing concerns regarding the application of penalties to taxpayers who rely on FAQs in making business and tax decisions. FAQs on newly enacted tax legislation will […]
Tax Updates Late September
Extension Deadline Approaching The IRS is reminding those taxpayers who filed an extension for their 2020 tax returns that they have until October 15, 2021 to file . Electronic and FreeFile options are still available. Those who are in a federally declared disaster area may have more time to file, thanks to the disaster relief […]
Tax Updates September 15
Deadlines and Disaster Extensions The IRS is reminding people that third quarter estimated tax payments are due on September 15, 2021. This applies primarily to those who don’t have their taxes deducted from their paychecks by their employers. Self-employed, retirees, some investors, landlords, and others not subject to withholding fall into this category. Those impacted […]