by Fresh Start Tax | Dec 8, 2014 | Tax Help
Most Retirees Need to Take Required Retirement Plan Distributions by Dec. 31
Fresh Start Tax LLC reminds taxpayers born before July 1, 1944, that they generally must receive payments from their individual retirement arrangements (IRAs) and workplace retirement plans by Dec. 31.
Known as required minimum distributions (RMDs), these payments normally must be made by the end of 2014.
But a special rule allows first-year recipients of these payments, those who reached age 70½ during 2014, to wait until as late as April 1, 2015 to receive their first RMDs.
This means that those born after June 30, 1943 and before July 1, 1944 are eligible for this special rule.
Though payments made to these taxpayers in early 2015 can be counted toward their 2014 RMD, they are still taxable in 2015.
The required plan distribution rules apply to owners of traditional IRAs but not Roth IRAs while the original owner is alive.
They also apply to participants in various workplace retirement plans, including 401(k), 403(b) and 457(b) plans.
An IRA trustee must either report the amount of the RMD to the IRA owner or offer to calculate it for the owner.
Often, the trustee shows the RMD amount on Form 5498 in Box 12b. For a 2014 RMD, this amount was on the 2013 Form 5498 normally issued to the owner during January 2014.
The special April 1 deadline only applies to the RMD for the first year. For all subsequent years, the RMD must be made by Dec. 31.
Example:
A taxpayer who turned 70½ in 2013 (born after June 30, 1942 and before July 1, 1943) and received the first required payment on April 1, 2014 must still receive the second RMD by Dec. 31, 2014.
The RMD for 2014 is based on the taxpayer’s life expectancy on Dec. 31, 2014, and their account balance on Dec. 31, 2013.
The trustee reports the year-end account value to the IRA owner on Form 5498 in Box 5.
Use the online worksheets on IRS.gov or find worksheets and life expectancy tables to make this computation in the Appendices to Publication 590.
For most taxpayers, the RMD is based on Table III (Uniform Lifetime) in the IRS publication on IRAs.
So for a taxpayer who turned 72 in 2014, the required distribution would be based on a life expectancy of 25.6 years.
A separate table, Table II, applies to a taxpayer whose spouse is more than 10 years younger and is the taxpayer’s only beneficiary.
Though the RMD rules are mandatory for all owners of traditional IRAs and participants in workplace retirement plans, some people in workplace plans can wait longer to receive their RMDs.
Usually, employees who are still working can, if their plan allows, wait until April 1 of the year after they retire to start receiving these distributions.
See Tax on Excess Accumulations in Publication 575. Employees of public schools and certain tax-exempt organizations with 403(b) plan accruals before 1987 should check with their employer, plan administrator or provider to see how to treat these accruals.
Retirement Plan Distributions by Dec. 31= WHAT YOU NEED TO KNOW, IRS TAX EXPERTS
by Fresh Start Tax | Dec 8, 2014 | Tax Help
We are experts in IRS tax relief help. We have over 60 years of working directly for the Internal Revenue Service, AFFORDABLE professionals.
We are a full-service professional tax firm that deals in complete and permanent IRS tax relief.
As former IRS agents we have over 60 years of working directly for the Internal Revenue Service in the local, district, and regional tax offices of the Internal Revenue Service including working as tax instructors, manager, supervisors and former IRS agents.
Our firm has over 206 years a professional tax experience and we have an IRS expertise in this in almost every facet of IRS tax problems.
You can contact us today for a free initial tax consultation.
If you have received an IRS tax levy, bank levy or wage garnishment levy as a general rule we can get your levy release within 24 hours of receiving a valid documented financial statement.
If the IRS sent you a IRS tax audit notice, we can represent your best interest.
Former IRS agents and managers in the audit division can help guide anybody through an IRS tax audit and get results .
We can take that case to IRS tax appeals or tax court if necessary.
If you wish to settle your tax debt for pennies on a dollar we can have former IRS revenue officers find out if you are a valid candidate to settle your debt via the offer in compromise.
If you need to file tax returns, contact us today and have our former IRS agents prepare your tax return and help audit proof your return as well.
Call us today for a free initial tax consultation, A+ rated by the Better Business Bureau.
IRS Relief Help – Tax Levy, Tax Audit, Tax Settle, File Tax Returns = Affordable IRS Experts = Tupelo, Oxford, Columbus, Corinth, Aberdeen
by Fresh Start Tax | Dec 8, 2014 | Tax Help
FST is a full service tax firm with an expertise in all IRS matters, problems and situations. We are the affordable local professional tax firm.
We are one of the most experienced professional tax firm dealing and IRS matters.
Our firm has over 206 years professional tax experience and over 60 years of working directly for the Internal Revenue Service.
We have worked in almost all aspects of the IRS.
Our expertise is in the collection, audit, tax preparation and appeal divisions within the Internal Revenue Service.
When you call our office you will speak directly to a true IRS tax professional that has years and years of experience and have successfully worked hundreds of cases.
If the IRS has levied you you are not alone. The Internal Revenue Service levies approximately 1.8 million taxpayers each and every year and this figure includes wage garnishments.
Before IRS will remove a tax levy or wage garnishment they will need a current and verifiable financial statement.
Once we have your current verified financial statement in hand, we can usually get your tax levy or garnishment released within 24 hours.
If you are undergoing an IRS tax audit, you can speak directly will former IRS audit manager.
If you wish to go to IRS appeals, we have a professional staff that deals with IRS appeals alone.
If you have back tax returns to file, you can have former IRS agents ensure that you are paying the lowest amount of tax allowed by law.
If you wish to settle your tax that we can have former IRS revenue officers who worked the offer in compromise program settle your tax debt if and only if you were a true candidate for a tax debt settlement called an offer in compromise.
Call us today for a free initial tax consultation.
You can also call us for a second opinion.
We are A+ rated by the Better Business Bureau have been in private practice since 1982.
When you call our office, you will speak directly to a true IRS tax professional.
IRS Tax Services = Affordable = Levies, Garnishments, Audits, Appeals, Tax Returns, Settle = Former IRS = Local Tupelo, Oxford, Columbus, Corinth, Aberdeen
by Fresh Start Tax | Dec 8, 2014 | Tax Help
If you have a IRS problem it only makes sense to consult former IRS agents and managers with over 60 years of direct IRS work experience. We are a local Mississippi tax firm.
We have over 60 years of direct work experience with the Internal Revenue Service.
We have worked in the local, district, and regional tax offices of the IRS.
Not only do we have 60 years of direct work experience with the IRS, we have also worked in positions as former instructors, managers, supervisors and are familiar with all aspects of the Internal Revenue Service.
We are a full service tax firm specializing with an expertise in anything related to IRS.
FST can take any case the IRS appeals and even attack court if necessary.
IRS audits about 1% of all taxpayers.
If this is your case, you can have a former IRS agent provide your best possible IRS tax audit defense.
If you have received an IRS bank or wage garnishment levy, you can have a former IRS collections supervisor remove your bank or wage garnishment levy and settle your case all at the same time.
If you owe back taxes with the Internal Revenue Service, we can make sure you get the very best tax resolution and your case closed off the IRS enforcement computers.
If you wish to settle your tax debt for pennies on a dollar you, will have to file an offer in compromise.
We will walk you through the offer in compromise pre-qualifier tool to make sure you are a qualified candidate to settle your tax debt for pennies on a dollar.
If you have unfiled back tax returns to prepare, we can have former agents assure you that you are paying the lowest amount by law.
Call us today for a free initial tax consultation and you will speak directly to a true tax professional who has worked hundreds and hundreds of cases.
We are A+ rated by the Better Business Bureau.
Help with IRS Problem = IRS Tax Audits, Tax Levy, Owe Back Taxes, Settle Tax Debt = Affordable Former Agents = Tupelo, Oxford, Columbus, Corinth, Aberdeen
by Fresh Start Tax | Dec 8, 2014 | Tax Help
Have Former IRS Agents and Managers completely resolve your problem with the IRS, we are the AFFORDABLE tax firm.
We get results. Since 1982, we have been resolving taxpayer’s problems with the Internal Revenue Service.
We can resolve your IRS wage garnishment tax levy issues and file any unfiled her back tax returns and settle your tax debt all at the same time.
The Process
Upon calling our office you get initial free tax consultation, a valuation or assessment.
We first discuss your case, come up with a summary of options, and and completely explained to you a short-term and long-term solution to your case.
Contact with the IRS
We will contact the IRS by filing a valid power of attorney and calling the ACS unit or the revenue officer and asked them to put a hold on your case while we completely and thoroughly find out the issues of concern with the Internal Revenue Service.
At that time, we pull your tax transcripts and prepare the necessary financial statements needed for Internal Revenue Service to review.
Seasoned Mediation
Your individual representative will submit financials, negotiate the liability, and submit final paperwork.
All financial statements will need to be fully documented and all your tax returns will need to be filed and brought up to date.
If there are unfiled or back tax returns we can prepare those tax returns for you.
Your personal tax resolution
Due to our 60 years of direct IRS work experience we will get the very best tax resolution possible. We will get your account off the enforcement computers with the Internal Revenue Service.
Call us today for a free initial tax consultation.
You will speak directly to a seasoned IRS tax professional who can make sure your wage garnishment or IRS tax levy is released within 24 hours of receiving your fully current and documented financial statement.
If you are a tax settlement candidate for offer in compromise program will review the pre-qualifier tool to see if it’s possible for you to settle your debt for pennies on the dollar.
Call us today for that free consultation, A plus rated.
IRS Tax = Wage Garnishments, Tax Levies, Unfiled-Back Tax Returns = Settle Tax Problems = Affordable, Former IRS = Tupelo, Oxford, Columbus, Corinth, Aberdeen
