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Big Changes are Going into Effect in 2018

Law keeps seven tax brackets, but with different rates. Top rate lowered from 39.6% to 37%. Inflation indexing of income tax brackets and various tax breaks is altered. According to critics, this is a hidden tax hike that over time will nail nearly all individual filers. Investments: Tax rates on long term capital gains and […]

Early Filing Season Myths

Myth 1: All Refunds are Delayed While more than nine out of 10 federal tax refunds are issued in less than 21 days. By law the IRS cannot issue refunds for tax returns claiming the Earned Income Tax Credit (EITC) or the Additional Child Tax Credit (ACTC) before mid-February. Myth 2: Delayed Refunds, those Claiming […]

Big Changes are Going into Effect in 2018

Most individual tax provisions are temporary. They expire after 2025. Let’s start with individual taxes. Standard deductions nearly double. The new law pares back many deductions claimed. Personal exemptions for individual filers and their dependents no longer exist. State and local taxes are being squeezed. Deductions include residential property and income or sales taxed up […]

Latest Filing Scheme at Beginning of Tax Season

New Filing Season Scam: Cybercriminals are posing as debt collectors before contacting compromised taxpayers and requesting for the taxpayer to return refunds deposited to their bank accounts in error. After cybercriminals have stolen taxpayer data obtained through a practitioner’s comprised computer system, the cybercriminals have been contacting these taxpayers after fraudulently filing a return for […]

Impact for 2018 Tax Cuts & Jobs Act

Included in our service we supply the Potential Tax Cut & Job Act Impact summary for your upcoming 2018 year. We compare what the potential outcome will be based on 2017 year features. This will provide clients an opportunity to be ahead of the curve for 2018 tax year so they can plan accordingly.

Special Rule Help Taxpayers with Quality for Earned Income Tax Credit

Taxpayers with disabilities and parents of children with disabilities be aware of the Earned Income Tax Credit (EITC). Many miss out on this valuable credit because they do not file a tax return. Earned Income Tax Credit could put a refund into eligible taxpayer’s pocket. Many do not claim the credit because income threshold requiring […]

Hurricane Victims: Harvey, Irma & Maria

Special Method Can Aid Workers Whose Income Dropped Taxpayers whose incomes dropped in 2017 can choose to figure the credit using their 2016 earned income rather than their 2017 earned income. To get credit, people must file a tax return, even if they own no tax, even if they normally aren’t required to file. The […]

Grandparents Caring for Grandchildren Should

Check Their Eligibility for ETIC Grandparents who work and are also raising grandchildren might benefit from the earned income tax credit. If grandparents are the primary caretaker of their grandchildren remember these facts: Grandparent who is working, has a grandchild living with them may qualify, even if the grandparent is 65 years of age or […]

Members of Military and Earned Income Tax Credit

The credit benefits people who work and have earned income that’s less than $53,930. Nontaxable pay for member of the armed forces isn’t earned income for the EITC. Combat pay Basic allowance for housing Basic allowance for subsistence Member can elect to have their nontaxable combat pay included in earned income.   Taxpayers who elect […]

IRS Announces Travelers Requiring Passports Must Pay Their Back Taxes OR Enter into Payment Agreements.

This month the IRS will begin implementations of new procedures, signed into law December 2015, affecting individuals with seriously delinquent tax debts owing $51,000.00 or more to avoid putting their passports in jeopardy.