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Tax deadline just days away; nearly 40 million to file by April 17
As the April 17 tax filing deadline approaches, the Internal Revenue Service is reminding the nearly 40 million taxpayers who have yet to file their tax returns that there are a variety of options to help them in the final days of the tax filing season.
IRS tax help is available 24 hours a day, seven days a week on IRS.gov. Whether filing a tax return, requesting an extension or making a payment, the IRS website can help last-minute filers on just about everything related to filing taxes.
Information about free e-file options, such as FreeFile, how to request an automatic six-month filing extension or fast and easy ways to pay any tax due using IRS Direct Pay are available online at IRS.gov.
The busiest part of tax season begins this week, with millions of people planning to file. Through April 6, the IRS has processed more than 101 million tax returns and issued more than 79.1 million tax refunds totaling $226.6 billion. The average refund to date is $2,864.
Additional filing season numbers:
Tax preparation help
IRS offers four electronic filing options for individual taxpayers.
In addition, IRS.gov has the instructions and forms (1040, 1040A or 1040EZ) to download, print, sign and mail by the April 17 deadline. Taxpayers can also use the Interactive Tax Assistant tool to answer many tax questions they may encounter.
Get an extension
The IRS offers the extra time to file, automatically, to all taxpayers requesting it. A filing extension allows taxpayers until Oct. 15 to gather, prepare and file their taxes with the IRS. However, it does not extend the time to pay any tax due.
Applying for an extension of time to file is easy – and free. Individual tax filers can e-file their extension form for free using Free File. They can also get an extension by paying all or part of their estimated income tax due and indicate that the payment is for an extension using Direct Pay, the Electronic Federal Tax Payment System (EFTPS), or a credit or debit card. This way taxpayers won’t have to file a separate extension form and they will receive a confirmation number for their records.
Taxpayers can also request an extension through a paid tax preparer, tax-preparation software, by mailing a paper Form 4868. If mailing a Form 4868, the form must be mailed to the IRS with a postmark on or before April 17.
Make a payment
When paying taxes this year keep in mind:
Rushing to file taxes can result in errors; e-file decreases errors, extensions available
WASHINGTON — As the April 17 tax-filing deadline nears, many taxpayers may rush to finish their tax returns or find that extra time is needed to get them done. The IRS recommends that taxpayers request a filing extension if they need one.
Mistakes can happen when hurrying to file a tax return by the due date. This can mean longer processing times and possible tax refund delays. Electronic filing is the best way to avoid common mistakes; it is also the most accurate way to file a tax return. The IRS estimates that about 70 percent of taxpayers can file their tax return at no charge by using IRS Free File software.
Steer clear of common tax-filing mistakes by following these helpful tips:
File electronically. Filing electronically reduces tax return errors, as the software does the calculations, flags common errors and prompts taxpayers for missing information.
Mail a paper return to the right address. Paper filers should check IRS.gov or their tax form instructions for the appropriate address where to file to avoid processing delays.
Take a close look at the tax tables. When figuring tax using the tax tables, taxpayers should be sure to use the correct column for the filing status claimed.
Fill in all requested information clearly. When entering information on the tax return, including Social Security numbers, take the time to be sure it is accurate and easy to read. Also, check only one filing status and the appropriate exemption boxes.
Review all figures. While software catches and prevents many errors on e-filed returns, math errors remain common on paper returns.
Get the right routing and account numbers. Requesting direct deposit of a federal tax refund into one, two or even three accounts is convenient and allows the taxpayer access to their money faster. Make sure the financial institution routing and account numbers entered on the return are accurate. Incorrect numbers can cause a refund to be delayed or deposited into the wrong account.
Sign and date the return. If filing a joint return, both spouses must sign and date the return. When filing an individual tax return electronically, taxpayers must electronically sign the tax return using a personal identification number (PIN): Either the Self-Select PIN or the Practitioner PIN method.
Find adjusted gross income: Taxpayers who changed tax software products may be asked to enter their prior-year adjusted gross income to validate their Self-Select PIN. Taxpayers who did not retain a copy of their prior-year return may have to use Get Transcript Online or Get Transcript by Mail to obtain their prior-year AGI.
Attach all required forms. Paper filers need to attach W-2s and other forms to the front of their returns that reflect tax withholding. If requesting a payment agreement with the IRS, also attach Form 9465, Installment Agreement Request, to the front of the return. Attach all other necessary schedules and forms to the upper right-hand corner of the tax form in the order shown in the instructions.
Keep a copy of the return. Once ready to be filed, taxpayers should make a copy of their signed return and all schedules for their records.
Request a filing extension. For taxpayers who cannot meet the April 17 deadline, requesting a filing extension is easy and will prevent late-filing penalties. Use Free File to request an extension electronically or submit a paper Form 4868, Application for Extension of Time to File U.S. Individual Income Tax Return. Other fast, free and easy ways to get an extension include using IRS Direct Pay, the Electronic Federal Tax Payment System or by paying with a credit or debit card. There is no need to file a separate Form 4868 extension request when making an electronic payment and indicating it is for an extension. The IRS will automatically count it as an extension. But keep in mind that while an extension grants additional time to file, tax payments are still due April 17.
Owe tax? If so, several payment options are available. If sending a check or money order, make it payable to the “U.S. Treasury.”
More Tax Time Tips from the IRS
The tax filing deadline is Tuesday, April 17 this year. This is because April 15 falls on a weekend and the following Monday is a holiday in Washington D.C. Even with an extra two days, the IRS urges taxpayers to avoid waiting until the last minute to file their taxes. This is the second tip with things to remember at tax time – taxpayers can check out yesterday’s tip.
For those who have yet to file, the IRS has these additional tips to consider:
•Explore Filing Options. Taxpayers have many filing options, many of them free. Seventy percent of the nation’s taxpayers are eligible for IRS Free File and free tax preparation help from a Volunteer Income Tax Assistance or Tax Counseling for the Elderly site. Other options include self-preparation or a professional tax preparer.
•Choose Direct Deposit. The fastest and safest way to receive a refund is to file electronically and choose direct deposit. The IRS issues most refunds in fewer than 21 days.
•Visit IRS.gov. IRS.gov is an excellent resource. Taxpayers can click on the File link for access to filing tips, answers to frequently asked questions and IRS forms and publications. The IRS Services Guide outlines the many ways to get help on IRS.gov.
•Check out Publication 17. Publication 17, Your Federal Income Tax, is a complete tax resource.
•Avoid Errors. Taxpayers should take extra time to review their return for accuracy. Mistakes may delay refunds. IRS e-file is the most accurate way to file, as it eliminates many common errors. Paper return filers should check all names and Social Security numbers, and remember to sign their tax return.
Taxpayers should keep a copy of their tax return. Those using a software product for the first time may need their adjusted gross income amount from their prior-year tax return to verify their identity. Taxpayers can learn more about how to verify their identity and electronically sign tax returns at Validating Your Electronically Filed Tax Return.
There’s less than one week left to file your individual tax return for the year 2017! The tax deadline for 2017 federal individual returns is coming up quickly on Tuesday, April 17th.
It’s NOT too late to hire us to help file your return in time for the deadline (04/13/2018 our deadline for preparing without an extension) , but we can still help you file for an extension to avoid failure-to-file penalties! Note: This is not an extension to pay any tax liability that is due. However, even if you owe tax on your 2017 income, the penalty for failing to file on time is greater than the penalty for not paying. Therefore, it’s a smart move to get an extension filed if you haven’t already filed your federal individual tax return.
You can Count On us to file your extension on time for a simple flat rate of $39.95.
Once you’ve incorporated your small business, what else needs to happen to keep your company running smoothly? Here’s a guide to what every small business owner must do to stay in compliance with government guidelines.
Once you’ve chosen the business you want to start and have secured funding for your new venture, the next step is incorporating your business. But once you’ve selected your business entity, what comes next? What else does your company need to file in order to do business and stay in compliance? If you’re in need of a guide that tells you what to do next, here’s are some of the small business musts you need to focus on accomplishing.
If you incorporated as an LLC, you’ll want to draft an operating agreement. While these documents are generally not required by most states, having a written operating agreement ensures that the LLC is conducted the way you want, prevents financial and management disputes, and helps protect your limited liability status.
Corporations have bylaws, which are the rules and regulations of your corporation. Some topics that bylaws must include are the functions of each corporate officer, how meetings are called and conducted and shareholder voting formalities.
Filing for an Employer Identification Number (EIN), or federal tax ID, gives your business the ability to open up a business bank account, hire employees and establish a credit profile. If you don’t feel comfortable using your social security number on all of your official documents, you may use your EIN instead. This ID is much less sensitive to use and helps to safeguard against identity theft.
If your business has a unique name, logo, slogan or design, the best way to protect those assets is to file a trademark application. By registering the mark, you will be able to protect your identity and keep copycat businesses from plagiarizing it. Don’t forget to conduct a search before filing to make sure that your ideas are indeed unique and that there are no other pending applications similar to your own.
Your location, industry and entity type will ultimately determine which business licenses are required by your city or state.
Even though it sounds similar, a Doing Business As name is different from filing a trademark. The trademark protects the name of your business while a DBA is the official registration of your business name. By filing a DBA, you can open up a business bank account and accept payments under an alternate business name.
If you incorporated as an LLC or corporation, you must file an annual report in order to stay in compliance. This report includes basic information including the name of the business, its address and its registered agent. Document any changes made in the corporation or LLC and update your operating agreement or bylaws to reflect any new partners, members or investors involved with the business.
Planning to expand your business outside of its home state? Whether you plan to do this now or later down the line, file to qualify as a foreign entity in order to do business there.
Special Thanks to “Guidant Financial”for reaching out to share content
The Internal Revenue Service today encouraged several key groups of taxpayers to perform a “paycheck checkup” to check if they are having the right amount of tax withholding following recent tax-law changes.
The IRS emphasizes the new tax law changes make it especially important for specific groups of taxpayers to visit the Withholding Calculator on IRS.gov. This includes people in households with two or more jobs, who have children or dependents, who itemize their taxes, or who have high incomes or complex tax situations.
“It’s important every year for people to review if they’re having the right amount of tax withheld from their paychecks,” said Acting IRS Commissioner David Kautter. “This year, it’s even more urgent for people to review their situation following the new tax law changes. As people complete their 2017 tax returns, this is a perfect time to take a paycheck checkup.”
The IRS unveiled several new features to help taxpayers understand the implications of the new Tax Cuts and Jobs Act and navigate the complex issues affecting withholding. During the Paycheck Checkup campaign, the IRS is highlighting these efforts, including new YouTube videos and a special Tax Tip series.
The centerpiece of the effort is the updated Withholding Calculator on IRS.gov.
The new tax law could affect how much tax someone should have their employer withhold from their paycheck. Using the Withholding Calculator can help prevent employees from having too little or too much tax withheld.
Having too little tax withheld can mean an unexpected tax bill or potentially a penalty at tax time in 2019. And with the average refund topping $2,800, some taxpayers might prefer to have less tax withheld up front and receive more in their paychecks.
Taxpayers can use the Withholding Calculator to estimate their 2018 income tax. The Withholding Calculator compares that estimate to the taxpayer’s current tax withholding and can help them decide if they need to change their withholding by submitting a new W-4 form to their employer. When using the calculator, it’s helpful to have a completed 2017 tax return available.
Special alert for key groups to check withholding
The IRS always recommends employees check their withholding at the beginning of each year or when their personal circumstances change to make sure they’re having the right amount of tax withheld from their paychecks.
Following the recent tax law changes, it’s especially important for certain people to use the Withholding Calculator on IRS.gov to check if they are having the right amount of withholding.
Among the groups, in particular, who should check their withholding are people who:
Received large tax refunds or had large tax bills for 2017.
“The IRS urges people in these groups to take a few minutes and review their withholding and tax situation,” Kautter said. “Taking this step will help avoid surprises next year at tax time.”
The new law increased the standard deduction, removed personal exemptions, increased the child tax credit, limited or discontinued certain deductions, and changed the tax rates and brackets.
Withholding calculator helps with Form W-4; submit to employer as soon as possible
Taxpayers can use the results from the Withholding Calculator to help determine if they should complete a new Form W-4, Employee’s Withholding Allowance Certificate, and, if so, what information to put on it. Employees will submit the completed Form W-4 form to their employer.
When changes in personal circumstances reduce withholding allowances they are entitled to claim–including divorce, starting a second job, or a child no longer being a dependent–employees have 10 days to submit a new Form W-4 to their employer claiming the proper number of withholding allowances.
Employees who need to adjust their withholding should do so as quickly as possible so there’s more time for tax withholding to take place evenly during the rest of the year. Waiting until later in the year means there are fewer pay periods to make the tax changes – which could have bigger consequences for each paycheck.
To use the Withholding Calculator, taxpayers should have their 2017 tax returns and most recent paystubs ready. Having a completed 2017 tax return can help taxpayers work with the Withholding Calculator to help determine their proper withholding for 2018 and avoid issues when they file next year.
Taxpayers should remember that the tax law changes generally don’t affect 2017 returns that people are filing in early 2018. They affect returns for 2018, which taxpayers will file in 2019. The Withholding Calculator helps taxpayers check their 2018 withholding for their 2018 situation, including recent law changes.
Withholding Calculator results depend on the accuracy of information entered. Taxpayers whose personal circumstances change during the year should return to the calculator to check whether their withholding should be changed.
Members of the Military and their Families Can Get Free Tax Assistance 2018
The IRS offers free tax help to members of the military and their families through the Volunteer Income Tax Assistance program. A VITA site is easy to find on or off base — even overseas.
The Armed Forces Tax Council directs the military tax programs worldwide. Military VITA-certified employees receive training on military tax issues, including tax benefits for service in a combat zone. They can help with special extensions of time to file tax returns and pay taxes, or with special rules that apply to the Earned Income Tax Credit.
Members of the military going to a VITA site for their tax return preparation should bring these things with them:
Additional IRS Resources:
IRS YouTube Videos:
hare this tip on social media — #IRSTaxTip: Members of the Military and their Families Can Get Free Tax Assistance https://go.usa.gov/xQrh5
Updated Withholding Calculator, Form W-4 Released; Calculator Helps Taxpayers Review Withholding Following New Tax Law
The Internal Revenue Service today released an updated Withholding Calculator on IRS.gov and a new version of Form W-4 to help taxpayers check their 2018 tax withholding following passage of the Tax Cuts and Jobs Act in December.
The IRS urges taxpayers to use these tools to make sure they have the right amount of tax taken out of their paychecks.
“Following the major changes in the tax law, the IRS encourages employees to check their paychecks to help ensure they’re having the right amount of tax withheld for their personal situation,” said Acting IRS Commissioner David Kautter.
The Tax Cuts and Jobs Act made changes to the tax law, including increasing the standard deduction, removing personal exemptions, increasing the child tax credit, limiting or discontinuing certain deductions and changing the tax rates and brackets.
If changes to withholding should be made, the Withholding Calculator gives employees the information they need to fill out a new Form W-4, Employee’s Withholding Allowance Certificate. Employees will submit the completed W-4 to their employer.
“Withholding issues can be complicated, and the calculator is designed to help employees make changes based on their personal financial situation,” Kautter said. “Taking a few minutes can help taxpayers ensure they don’t have too little – or too much – withheld from their paycheck.”
The withholding changes do not affect 2017 tax returns due this April. However, having a completed 2017 tax return can help taxpayers work with the Withholding Calculator to determine their proper withholding for 2018 and avoid issues when they file next year.
Steps to Help Taxpayers: Do a “Paycheck Checkup”
The IRS encourages employees to use the Withholding Calculator to perform a quick “paycheck checkup.” An employee checking their withholding can help protect against having too little tax withheld and facing an unexpected tax bill or penalty at tax time in 2019. It can also prevent employees from having too much tax withheld; with the average refund topping $2,800, some taxpayers might prefer to have less tax withheld up front and receive more in their paychecks.
The Withholding Calculator can be used by taxpayers who want to update their withholding in response to the new law or who start a new job or have other changes in their personal circumstances in 2018.
As a first step to reflect the tax law changes, the IRS released new withholding tables in January. These tables were designed to produce the correct amount of tax withholding — avoiding under- and over-withholding of tax — for those with simple tax situations. This means that people with simple situations might not need to make any changes. Simple situations include singles and married couples with only one job, who have no dependents, and who have not claimed itemized deductions, adjustments to income or tax credits.
People with more complicated financial situations might need to revise their W-4. With the new tax law changes, it’s especially important for these people to use the Withholding Calculator on IRS.gov to make sure they have the right amount of withholding.
Among the groups who should check their withholding are:
Taxpayers with more complex situations might need to use Publication 505, Tax Withholding and Estimated Tax, expected to be available on IRS.gov in early spring, instead of the Withholding Calculator. This includes those who owe self-employment tax, the alternative minimum tax, or tax on unearned income from dependents, and people who have capital gains and dividends.
Plan Ahead: Tips for Using the Withholding Calculator
The Withholding Calculator asks taxpayers to estimate their 2018 income and other items that affect their taxes, including the number of children claimed for the Child Tax Credit, Earned Income Tax Credit and other items.
Take a few minutes and plan ahead to make using the calculator on IRS.gov as easy as possible. Here are some tips:
More information
This spring and throughout the year, the IRS will be working closely with businesses as well as the tax and payroll communities to help educate the public about the new withholding guidelines and the Withholding Calculator.
For 2019, the IRS plans to make further changes involving withholding. The agency will work with businesses and the tax and payroll communities to explain and implement these additional changes.
Haven’t received your W-2 yet?
The IRS can help It’s tax time, and you need your Form W-2, Wage and Tax Statement, to file an accurate federal tax return. Your employer should have sent this to you by January 31.
If you don’t get it by the end of February, check with your employer. Make sure they have your correct address. If you still don’t get your Form W-2, you must still file on time. You can use Form 4852, Substitute for Form W-2, Wage and Tax Statement, instead of Form W-2. Estimate your wages and withholding on this form. You can use a pay stub or similar statement to help estimate the amounts.
When you finally receive your Form W-2 and discover that your estimate was off, you will have to correct your tax return by filing Form 1040X, Amended U.S. Individual Income Tax Return. Keep in mind, your amended return can take up to 16 weeks to process.
Finally, if you tried to get your Form W-2 from your employer and you still don’t receive it by the end of February, you may call the IRS and we’ll send a letter to your employer.
You can visit the forms and publications web page on IRS.gov to view, download or print the tax forms you need.
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