Here are some responses to commonly asked questions concerning COVID-19 and taxes.
Gathering records before preparing tax return makes filing go smoother. As taxpayers are getting ready to file their taxes, one of the first things they’ll do is gather their records. To avoid refund delays, taxpayers should gather all year-end income documents before filing a 2019 tax return. It’s important for folks to have all the
While many people are required to file a tax return, it’s a good idea for everyone to determine if they should file. Some people with low income are not required to file but will need to do so if they can get a tax refund. Five Tips for Taxpayers Who are Deciding Whether to File
The tax law change covered in the revenue procedure was added by the Taxpayer First Act of 2019, which increased the failure to file penalty to $330 for returns due after the end of 2019. The new penalty will be adjusted for inflation beginning with tax year 2021. The tax year 2020 adjustments generally are used on tax returns filed in 2021.
Whether you are a veteran in your career or you are working an hourly job you still have time to contribute to your Traditional IRA if you were under 70 years and 6 months old by the end of 2019 and receive taxable compensation. IRA or individual retirement accounts are alternative to employer-related accounts. If
When a taxpayer files their tax return, they need to know their filing status. What folks should remember is that a taxpayer’s status could change during the year. So, any time is a good time for a taxpayer to learn about the different filing statuses and which one is best for them. Knowing the correct filing
Two Education Credits Help Taxpayers with College Costs With school back in session, parents and students should look into tax credits that can help with the cost of higher education. They do this by reducing the amount of tax someone owes on their tax return. If the credit reduces tax to less than zero, the
Taxpayers with dependents may qualify to claim a few different tax credits. One of these is the child tax credit. The child tax credit benefits people whose dependent meets a series of tests. If the dependent doesn’t meet those qualifications, the taxpayer may be able to claim the credit for other dependents. Here’s some info about