Category Archives: TipOffs

TipOffs

Three Tips to Help You File a More Complete Form 990-Series Return

A tax-exempt organization using the calendar-year as its tax year must file a Form 990-series return by May 15th, unless it has filed Form 8868, Application for Automatic Extension of Time To File an Exempt Organization Return.

Request for your Automatic Extension of Time online at http://ExtensionTax.com in 3  simple steps. May 15th is the last date to claim additional time to report your Exempt Organization Return

Exempt Business Tax Extension Form 8868

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Don’t fall for myth-leading information about tax refunds

Now that the April tax-filing deadline has come and gone, many taxpayers are eager to get details about their tax refunds. When it comes to refunds, there are several common myths going around social media.

Here are five of these common myths:

Myth 1: Getting a refund this year means there’s no need to adjust withholding for 2019
To help avoid an unexpected tax outcome next year, taxpayers should make changes now to prepare for next year. One way for a taxpayer to do this is to adjust their tax withholding with their employer. The IRS encourages people to do a Paycheck Checkup using the IRS Withholding Calculator to determine whether their employer is withholding the right amount. This is especially important for anyone who got an unexpected result from filing their tax return this year. This could have happened because the taxpayer’s employer withheld too much or too little tax from the employee’s paycheck in 2018. Continue reading

Many tax-exempt organizations must file information returns by May 15

Form 990-series returns are due on the 15th day of the fifth month after an organization’s tax year ends. In 2019, May 15 is the deadline to file for organizations using a calendar year tax year. If you need an extension of time to file, use Form 8868, Application for Automatic Extension of Time to File an Exempt Organization Return.

IRS is sending back incomplete and incorrect returns  

The IRS sends back Form 990 series returns filed on paper – and rejects electronically filed returns – when they are incomplete or the wrong return. What happens if my Form 990 is missing information or a schedule, or is the wrong return? Continue reading

Taxpayers who can’t pay their taxes should still file on time

With the April tax filing due date just a few days away, taxpayers should remember to both file and pay any taxes they owe by the deadline. Taxpayers who do not file and pay timely will see their tax debt grow. In fact, penalties and interest can cause a taxpayer’s debt to grow by more than thirty percent in just a few months.

Here are some tips for taxpayers who owe tax, but who can’t immediately pay their tax bill. Taxpayers should:

  • File their tax return or request an extension of time to file by the April deadline.
    Taxpayers who owe tax and do not file their return on time or request an extension may face a failure-to-file penalty for not filing on time.
  • Pay as much as possible by the April due date.
    Whether they are filing a return or requesting an extension, taxpayers must pay their bill in full by the April filing deadline. Taxpayers who do not pay their taxes on time will face a failure-to-pay penalty. Taxpayers should remember that an extension of time to file is not an extension of time to pay.
  • Set up a payment plan as soon as possible.
    Taxpayers who owe, but cannot pay in full by the deadline don’t have to wait for a tax bill to request a payment plan. Taxpayers can apply for a payment plan on IRS.gov. Taxpayers can also submit a payment plan request in writing using Form 9465, Installment Agreement Request.

e-File Business and Individual Extension Tax Forms online

Form 7004 and Form 4868 are due this April 15th, File a Tax Extension and Push you Deadline to October 15th

Extension of Time to report

Rushing to file taxes can result in errors, use e-file, file extension if needed

IRS in its latest issue (Issue Number: IR-2019-65) alerts users about the deadline approaching to file 2018 tax returns. Your in between something and need additional time to complete your tax returns then file for an Extension, push you deadline beyond April 15th. IRS Form 4868 can help you to push your deadline from April 15th to October 15th.


WASHINGTON — As the April tax-filing deadline nears, many taxpayers may rush to finish their tax returns or find they need extra time to get them done.

The IRS recommends that taxpayers file for an extension if they need one. Filing an extension will help taxpayers avoid paying penalties for filing a late return. Tax Extensions provide more time to file, but not more time to pay any tax owed.

The deadline to file 2018 individual tax returns and pay taxes owed is Monday, April 15, 2019, for most taxpayers. Because of the Patriots’ Day holidays on April 15 in Maine and Massachusetts and the Emancipation Day holiday on April 16 in the District of Columbia, taxpayers who live in Maine or Massachusetts have until April 17, 2019, to file their tax returns.


Form 4868 Deadline April 15

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With the filing deadline close, here’s why taxpayers should e-File

IRS in its recent issue (Issue Number: Tax Tip 2019-34), highlighted the importance of electronic filing and how this efile could be a saver with the deadline fast approaching, here it is.

A few taxpayers still use the old-school method of filing their tax returns: on paper. For these people, now is the time to consider filing electronically. With the April tax deadline right around the corner, it’s the perfect time to use IRS e-File.

Here are the top six reasons why taxpayers should file electronically in 2019:

It’s accurate and easyE-File helps taxpayers avoid mistakes, such as a transposed Social Security number. Taxpayers who e-File receive an acknowledgement from the IRS within minutes, telling them their return has been accepted. If a return is rejected, the acknowledgement will detail why the IRS rejected the tax return. Continue reading

IRS revises EIN application process; seeks to enhance security

IRS seems to revised the application processing for Employer Identification Number and here is the new Issue Number: IR-2019-58 that outline the changes.

WASHINGTON — As part of its ongoing security review, the Internal Revenue Service announced today that starting May 13 only individuals with tax identification numbers may request an Employer Identification Number (EIN) as the “responsible party” on the application.

An EIN is a nine-digit tax identification number assigned to sole proprietors, corporations, partnerships, estates, trusts, employee retirement plans and other entities for tax filing and reporting purposes.

The change will prohibit entities from using their own EINs to obtain additional EINs. The requirement will apply to both the paper Form SS-4, Application for Employer Identification Number, and online EIN application. Continue reading

All taxpayers will file using 2018 Form 1040; Forms 1040A and 1040EZ no longer available

As the April filing deadline approaches, IRS reminds taxpayers that Form 1040 has been redesigned for tax year 2018. The revised form consolidates Forms 1040, 1040A and 1040-EZ into one form that all individual taxpayers will use to file their 2018 federal income tax return.

Forms 1040-A and 1040-EZ are no longer available to file 2018 taxes. Taxpayers who used one of these forms in the past will now file Form 1040. Some forms and publications released in 2017 or early 2018 may still have references to Form 1040A or Form 1040EZ. Taxpayers should disregard these references and refer to the Form 1040 instructions for more information. Continue reading

Before visiting an IRS office, taxpayers should call to make an appointment

Before visiting an IRS Taxpayer Assistance Center for in-person help with their tax issues, a taxpayer needs to call 844-545-5640 to schedule an appointment. All TACs provide service by appointment. The Contact Your Local Office tool on IRS.gov helps taxpayers find the closest IRS TAC, the days and hours of operation and a list of services provided.

Once they make an appointment , taxpayers will receive an automated email to the address they provide. The email will confirm the day and time of their appointment. Taxpayers should consider the self-service options on IRS.govbefore calling for an appointment. Taxpayers can resolve many questions  online without taxpayers having to travel to a Tax Assistance Center. Continue reading

Business taxpayers should take another look at their estimated tax payments

IRS in their latest issue (Issue Number: Tax Reform Tax Tip 2019-23) has alerted the business taxpayers to double check the estimated tax payments, and here it from the alert…

Taxpayers who pay quarterly estimated tax payments may want to revisit the amount they pay. The Tax Cuts and Jobs Act changed the way most taxpayers calculate their tax. These taxpayers include those with substantial income not subject to withholding, such as small business owners and self-employed individuals. The tax reform changes include:

  • Revised tax rates and brackets
  • New and revised business deductions
  • Limiting or discontinuing deductions
  • Increasing the standard deduction
  • Removing personal exemptions
  • Increasing the child tax credit

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