Tax Day reveals a major split in how Joe Biden and Donald Trump would govern
Tax Day reveals a major split in how Joe Biden and Donald Trump would govern: The presidential candidates have conflicting ideas about how much to reveal about their own finances and the best ways to boost the economy through tax policy.
IRS expects to collect hundreds of billions more in overdue and unpaid taxes thanks to new funding
The IRS says it expects to collect hundreds of billions of dollars more in overdue and unpaid taxes than previously anticipated using funding provided to the agency by the Democrats’ Inflation Reduction Act.
The IRS is launching a direct file pilot program for the 2024 tax season — here is how it will work
As tax filing season officially starts Monday, a limited number of taxpayers in 12 states will soon be eligible for a program that will allow them to calculate and submit their returns directly to the IRS without having to pay for commercial tax preparation software.
Ex-IRS contractor gets five years in prison for leak of tax return information of Trump, rich people
A former contractor for the Internal Revenue Service who pleaded guilty to leaking tax information to news outlets about former President Donald Trump and thousands of the country’s wealthiest people was sentenced to five years in prison on Monday.
Ex-IRS contractor pleads guilty in leak of tax return information of Trump, wealthy people
A former contractor for the Internal Revenue Service charged with leaking tax information to news outlets about former President Donald Trump and thousands of the country’s wealthiest people pleaded guilty Thursday in an agreement with prosecutors.
IRS steps toward a new free-file tax return system have both supporters and critics mobilizing
Plans by the IRS to test a new electronic free-file tax return system next year have got supporters and critics of the idea mobilizing over whether the government should set up a permanent program to help people file their taxes without needing to pay somebody else to figure out what they owe.
Republicans get their IRS cuts; Democrats say they expect little near-term impact
While Republicans seek to make good on campaign promises to cut IRS funding through the proposed debt ceiling and budget cuts package now moving through Congress, Democrats are offering assurances that the spending cuts will have little impact on the federal tax collector.
IRS: Florida Taxpayer Assistance Centers to open Saturday in Miami-Dade, Broward counties
The Internal Revenue Service announced Tuesday that Florida Taxpayer Assistance Centers (TAC) will be open on Saturday in Miami-Dade, Broward and Orange counties for customers who are unable to visit during the week.
IRS warns of phishing scam targeting colleges, universities
The Internal Revenue Service issued a warning Tuesday about a phishing scam targeting students and staff at educational institutions who have an .edu email address. The IRS said it has received complaints about the scam aimed at students at both public and private, profit and non-profit institutions. People who receive this scam email should not click on the link in the email, but they can report it to the IRS. The IRS said taxpayers who believe they may have provided identity thieves with their information should consider immediately obtaining an Identity Protection PIN. An IP PIN is a six-digit number that helps prevent identity thieves from filing fraudulent tax returns in the victim’s name.
IRS will delay tax filing due date until May 17
The Internal Revenue Service says it's delaying the traditional tax filing deadline from April 15 until May 17. The pandemic hit in the middle of last year's tax filing season, setting the agency back in terms of processing. Ad“Never before has the law changed so substantially in the middle of tax filing season," Patrick Thomas, director of Notre Dame Law School’s Tax Clinic, said in a statement. A number of lawmakers and professionals from the tax community have urged the tax filing season be extended to accommodate for these pressures. Rettig is expected to speak to the committee tomorrow about how the IRS is managing this filing season and the need for this extension.
IRS says new round of COVID relief payments on the way
Ad“The payments will be delivered automatically to taxpayers even as the IRS continues delivering regular tax refunds,” IRS Commissioner Chuck Rettig said in a statement. The relief measure, which passed on party-line votes in both the House and Senate, contains the third round of economic-impact payments. The first round passed last spring provided up to $1,200 per individual, and a second round of payments in December provided up to $600 per individual. AdThe latest round of relief payments will provide households with $1,400 for each adult, child and adult dependent, such as college students or elderly relatives. Officials said they wanted to handle the payments this way rather than waiting for the 2020 tax return to be filed in the interest of speeding payments to taxpayers.
Taxing time: How the pandemic will affect filing your taxes
(AP Photo/Keith Srakocic, File)The pandemic has made everything a bit trickier — tax filing season is no exception. Additionally, unemployment benefits are always subject to federal taxes, but a handful of states do not tax it. AdSide note: It won't affect your federal taxes but if you relocated to a different state during the pandemic, you may owe state taxes in more than one location. The provision allows taxpayers to use either their 2019 or 2020 income when claiming the Earned Income Tax Credit or Child Tax Credit. And if you are a higher income household, you may also face a net investment income tax on capital gains and other investment income.
IRS says executors undervalued Prince's estate by 50%
The IRS determined that Prince’s estate is worth $163.2 million, overshadowing the $82.3 million valuation submitted by Comerica Bank & Trust, the estate’s administrator. Documents show the IRS believes that Prince's estate owes another $32.4 million in federal taxes, roughly doubling the tax bill based on Comerica’s valuation, the Star Tribune reported. The IRS also has ordered a $6.4 million “accuracy-related penalty” on Prince’s estate, citing a “substantial” undervaluation of assets, documents show. Comerica sued the IRS this summer in U.S. Tax Court in Washington, D.C., saying the agency’s calculations are riddled with errors. A trial could dramatically lengthen the settlement of Prince’s estate and generate more legal fees at the expense of Prince’s heirs, Patrick said.
Insurance shoppers: Plan now to trim next spring's tax bill
But they have to estimate their income for the coming year to figure out how much help they need in the form of tax credits. Those who make between 100% and 400% of the federal poverty level can get some tax credit help paying their premium. This year, 400% of federal poverty amounted to $104,800 for a family of four. EXPLORE OPTIONS FOR HELPIt’s too late to adjust your tax credits for 2020. There’s enough time at that point to adjust tax credits if needed.
IRS: Broward male escort earned more than $356K when he lied on taxes
MIAMI – A 46-year-old man, who lives in Broward County and worked as an escort around the country, could face up to three years in prison after pleading guilty Wednesday to filing a false tax return. Jami Kopacz reported his total 2018 income as $356,170, including $284,969 in earnings from JK Training, a Florida corporation founded in 2015, according to court records. He received payments in cash, check and wire transfer, according to federal prosecutors. Criminal investigators with the Internal Revenue Service in Miami accused Kopacz of underreported his earnings as an independent contractor — causing the IRS a $278,325 tax loss. Kopacz’s sentencing hearing is March 5 before U.S. District Judge Roy K. Altman in Fort Lauderdale.
IRS chief: agency reaching out on pandemic relief payments
A congressional watchdog found that millions could miss the payments of up to $1,200 per individual because of incomplete government records. A day after cutting off talks with Democratic leaders in Congress over a new COVID-19 relief package, President Donald Trump pressed Wednesday for passage of fresh $1,200 relief checks, among a few other items. Lawmakers on the panel decried the diminished funding for the IRS, now further strained by the pandemic. Delayed income tax refunds, hampered audit and enforcement efforts, and a revenue drain for the Treasury are the results, they said. Trump’s near-zero tax payments have underscored the ability of wealthy individuals with high-priced accountants to outmatch the IRS.
Havent done your taxes? Here are links to free tools to meet July 15 deadline
MIAMI The July 15 deadline to file and pay taxes or to request an Oct. 15 extension or a payment plan is in a week and two days. EARNING $69,000 OR LESSFor those whose 2019 adjusted gross income was $36,000 or less, the IRS is providing the Free File program by TurboTax, or the Free Tax USA tool. For those whose income was $69,000 to $14,000, the IRS provides the free OLT service. For those whose income was $69,000 to $9,000 and they are 65 years old or younger, there is this free tool. EARNING $69,000 OR MOREThe IRS recommends the use of commercial software or accounting businesses that qualify as e-File providers.
Where’s your stimulus check? Everything you need to know
PEMBROKE PARK, Fla. – Are you wondering if and when you will get an Economic Impact Payment, also known as the coronavirus stimulus check, from the Treasury Department? To check the status, you’ll need to enter:Social Security NumberDate of birthAddress on file with IRSZIP codeDon’t get direct deposit from IRS? Sign up nowIf officials don’t have your banking information on file, you may need to wait a few months before a paper check arrives in the mail. The IRS said that Get My Payment data is updated once per day, so there’s no need to check back more frequently. Social Security and Railroad Retirement recipients who are not typically required to file a tax return need to take no action, according to the Treasury and IRS.