by steve | Jul 15, 2010 | IRS Tax Advice
Here are the general rules for amended your tax return
Usually, an amended return requesting a credit or tax refund must be filed by the later of:
* Three years after the date you filed your original return, or
* Two years after the date you paid the tax.
Generally, any credit or refund will be limited to the part of the tax paid within a 3-year period (plus any extension of time for filing your return) immediately before you file your amended return if:
* The amended return is filed within 3 years of filing the original return.
If not filed within three years after filing the original return, the credit or refund will be
limited to the tax paid within the 2 year period immediately before you file the amended return.
The limits are different for issues such as net operating losses, foreign tax credits, and bad debts.
For additional information, refer to Chapter 1 of Publication 17, Your Federal Income Tax. Publication 17 is available for download at www.irs.gov/, or you may request a copy by calling 800-829-3676.
Should you have a more complicated tax problem, be sure to call Fresh Start Tax 1-866-700-1040 If you are going to owe a tax balance and are unable to pay your Federal Taxes, call us today.
by steve | Jul 13, 2010 | IRS Tax Advice, Tax News
Students with a Summer Job
School?s out and many students now have a summer job. Some students may not realize they have to pay taxes on their summer income. Here are the six things the IRS wants everyone to know about income earned while working a summer job.
All employees fill out a W-4, Employee?s Withholding Allowance Certificate, when starting a new job. This form is used by employers to determine the amount of tax that will be withheld from your paycheck. If you have multiple summer jobs you will want to make sure all your employers are withholding an adequate amount of taxes to cover your total income tax liability. To make sure your withholding is correct, use the Withholding Calculator on IRS.gov.
Whether you are working as a waiter or a camp counselor, you may receive tips as part of your summer income. All tip income you receive is taxable income and is therefore subject to federal income tax.
Many students do odd jobs over the summer to make extra cash. Earnings you received from self-employment are subject to income tax. These earnings include income from odd jobs like baby-sitting and lawn mowing.
If you have net earnings of $400 or more from self-employment, you will also have to pay self-employment tax. This tax pays for your benefits under the Social Security system. Social Security and Medicare benefits are available to individuals who are self-employed the same as they are to wage earners who have Social Security tax and Medicare tax withheld from their wages. The self-employment tax is figured on Form 1040, Schedule SE.
Food and lodging allowances paid to ROTC students participating in advanced training are not taxable. However, active duty pay ? such as pay received during summer advanced camp ? is taxable.
Special rules apply to services you perform as a newspaper carrier or distributor. You are a direct seller and treated as self-employed for federal tax purposes if you meet the following conditions:
You are in the business of delivering newspapers.
All your pay for these services directly relates to sales rather than to the number of hours worked.
You perform the delivery services under a written contract which states that you will not be treated as an employee for federal tax purposes.
Generally, newspaper carriers or distributors under age 18 are not subject to self-employment tax.
Great tips from the IRS newswire.
by steve | Jul 12, 2010 | IRS Tax Advice
U.S. Military, Armed Forces – Need to file a tax return or owe money to IRS?????????? We can take care of that today. 1-866-700-1040 or just email us FRESHSTARTTAX.COM
IRS has special treatment for those individuals who are in the military, a US Soldier, or others in the Armed Forces. Make sure you are not bullied by IRS. Bully them right back. Call Fresh Start today so we can take over the case and begin the representation so you never have to deal with IRS.
The following are the IRS procedures for those who qualify for them:
IRS procedures for those individual taxpayers who serve in a Combat Zone
Individual taxpayers who have been identified as Combat Zone personnel receive certain allowances under IRC section 7508. Section 7508 postpones the time for taxpayers to perform certain time sensitive acts. These time sensitive acts include:
Filing tax returns.
Paying taxes.
Filing claims for refunds.
Taking other actions with the Internal Revenue Service (IRS)
The postponement period is for the period of service in the combat zone and any period of continuous hospitalization (if any) outside of the United States as a result of injury received while serving in the combat zone plus 180 days following such service. The IRS will also cease all enforcement actions during the postponement period.
The postponement under section 7508 is in effect while the individual is serving the United States in the following circumstances:
Serving in the United States Armed Forces (Armed Forces) or in support of the Armed Forces in an area designated as a “combat zone” by the President of the United States (President) in an Executive Order.
Serving in the Armed Forces or in support of the Armed Forces when deployed outside the United States away from the individual’s permanent duty station while participating in an operation designated as a “contingency operation” by the Secretary of Defense.
Serving in the Armed Forces in an area designated by Congress as a “qualified hazardous duty area.”
The spouses of combat zone personnel listed under (a) (b), and (c) above. This does not apply if the individual considered as combat zone personnel is hospitalized inside the United States.
Individuals who serve in support of the Armed Forces in a combat zone also receive the postponement period under section 7508. These individuals include the following:
Merchant Marines serving aboard vessels under the operation and control of the Department of Defense.
Red Cross personnel.
Accredited Correspondents.
Civilian personnel acting under the direction of the Armed Forces in support of those Forces.
Military Service performed outside a combat zone but within a “qualified hazardous duty area” is treated in the same manner as if the area was a combat zone if:
The service is in direct support of the military operations in a combat zone, and
The service qualifies the individual for special military pay for duty subject to hostile fire or imminent danger
Fresh Start Tax has seen an influx of these cases within the last 6 months. If you need to hire a professional firm that gets the job done, call us today. Also, thank you for serving and defending our country. I am free because of you.
You are welcome to SKYPE us to met us face to face Skype Password Freshstarttax Thank You
by steve | Jul 11, 2010 | IRS Tax Advice
Ways to Access Records
Many IRS records are available for sale from the Government Printing Office, or are available through established agency procedures. Routine requests are most efficiently processed through those procedures. Refer to the chart below for information on obtaining tax records or the Electronic Reading Room for publicly available records.
To obtain a copy of a tax return, a written request is required:
IRS charges a fee of $57.00 for each copy of a return as originally filed. Send completed Form 4506 to the address provided on the form. [Note: a transcript of a tax account is provided free of charge and may be accepted in lieu of an original return.]
By phone: Obtain a copy of Form 4506 by calling the IRS Forms HOTLINE at (800) 829-3676.
Transcript of account:
Contact Taxpayer Service at (800) 829-1040 for individual taxpayer returns; at (800) 829-4933 for business taxpayers returns, or file Form 4506-T.
Tax-exempt or political organization returns:
By phone: Contact the Tax Exempt/Government Entities HOTLINE at (877) 829-5500, or send completed Form 4506-A to the address printed on the form.
Online: Forms 990 are available online through Guidestar, a privately funded database of nonprofit organizations. Some Employee Plan information is available online through private research services (e.g., FreeERISA.com ).
Tax forms and publications:
Online: Forms and Publications page
Phone: Contact the IRS Forms Hotline at (800) 829-3676
For tax account & technical tax law questions:
Individuals and businesses: Call Taxpayer Service at (800) 829-1040. GOOD LUCK GETTING THROUGH TO THESE 800 NUMBERS
Employee plans, tax-exempt, or political organizations: Contact the Tax Exempt/Government Entities hotline at (877) 829-5500.
Useful information online: Frequently Asked Questions
Tax Court cases are not IRS records:
Copies are available by writing to: U.S. Tax Court , 400 Second Street, NW, Washington, DC 20217.
Online: Available through public legal research or library services. Opinions issued since 01/01/1999 can be retrieved from the Tax Court’s Opinions Search page.
The Internal Revenue Code is not an IRS record:
An online version of the official copy of the IRC released by Congress can be accessed via the Tax Code, Regulations and Official Guidance page.
If you do need to make a FREEDOM OF INFORMATION ACT request to obtain the records you seek, please refer to the links under Guidance Accessing Info on this page.
FRESH START TAX INFO FOR ALL OUR CLIENTS AND FOLLOWERS, WE SAY A BIG THANKS
by steve | Jul 10, 2010 | IRS Tax Advice
Search for Charities for their non-profit status
IRS Publication 78, is Cumulative List of Organizations described in Section 170(c) of the Internal Revenue Code of 1986, is a list of organizations eligible to receive tax-deductible charitable contributions. This online version is offered to help you conduct a more efficient search of these organizations.
For assistance on using see Publication 78.
Most Recent Data Update: April 30, 2010
Additional Information go to this link. http://www.irs.gov/charities/article/0,,id=96136,00.html
To verify whether an organization has been added or deleted since the most recent update, check the following links:
- Eligible Donees Generally Not Listed in Publication 78
- Additions to Cumulative List
- Recent Revocations and Deletions from Cumulative List
- Suspensions Pursuant to Code Section 501(p)
Should you not find your charity on this list ask to see their non profit status.
by steve | Jul 8, 2010 | IRS Tax Advice
Summertime Child Care Expenses May Qualify for a Tax Credit from IRS
Did you know that your summer day care expenses may qualify for an income tax credit? Many parents who work or are looking for work must arrange for care of their children under 13 years of age during the school vacation. Those expenses may help you get a credit on next year?s tax return.
Here are five facts the IRS wants you to know about a tax credit available for child care expenses. The Child and Dependent Care Credit is available for expenses incurred during the lazy hazy days of summer and throughout the rest of the year.
- The cost of day camp may count as an expense towards the child and dependent care credit.
- Expenses for overnight camps do not qualify.
- If your childcare provider is a sitter at your home or a daycare facility outside the home, you’ll get some tax benefit if you qualify for the credit.
- The actual credit can be up to 35 percent of your qualifying expenses, depending upon your income.
- You may use up to $3,000 of the reimbursed expenses paid in a year for one qualifying individual or $6,000 for two or more qualifying individuals to figure the credit.
