| Tax Tip 2001-73 |
April 14, 2000 |
| Need Last-Minute Tax Help? Don’t Panic |
| If you´re trying to beat the tax deadline, the IRS offers several options for last-minute help. If you need a form or publication, the IRS web site at www.irs.gov has copies available. If you discover you need more time to finish your return, get a four-month extension with Form 4868. And if you have trouble paying your tax bill, the IRS has several payment options available. |
| Tax Tip 2001-72 |
April 14, 2000 |
| Child Tax Credit |
| With the Child Tax Credit, you may be able to reduce the tax you owe by $500 for each qualifying child under the age of 17, according to the IRS. |
| Tax Tip 2001-71 |
April 14, 2000 |
| What If You Can’t Get a Social Security Number? |
| If you are not eligible to get a Social Security Number but have to file a tax return, you will need to use Form W-7, “Application for IRS Individual Taxpayer Identification Number” to get this number, known as an ITIN. |
| Tax Tip 2001-70 |
April 12, 2000 |
| Credit for the Elderly or the Disabled |
| You may be able to take the Credit for the Elderly or the Disabled if you are age 65 or older, or if you are retired on permanent and total disability, according to the IRS. Like any other tax credit, it´s a dollar-for-dollar reduction of your tax bill. The maximum credit available is $1,125. |
| Tax Tip 2001-69 |
April 11, 2000 |
| Options for Paying Your Taxes |
| If you do not pay your taxes when due, you may have to pay a failure-to-pay penalty. To avoid this penalty, the IRS suggests several ways to pay your taxes. You can pay by check, money order, credit card or use the direct debit method. |
| Tax Tip 2001-68 |
April 11, 2000 |
| Tax Tips for Last-Minute Filers |
| With the tax filing deadline close at hand, the Internal Revenue Service offered some tips for those still working on their tax forms: |
| Tax Tip 2001-67 |
April 6, 2000 |
| E-file Helps Refunds, Payments |
| Are you one of the more than 90 million taxpayers who will receive a refund this year? Requesting direct deposit, and filing your tax return electronically with e-file will put that money in your pocket faster and easier, according to the IRS. |
| Tax Tip 2001-66 |
April 6, 2000 |
| Early Distributions from Retirement Plans |
| An early distribution from an Individual Retirement Account (IRA) or a qualified retirement plan need not be a “taxing” experience, according to the IRS. |
| Tax Tip 2001-65 |
April 6, 2000 |
| Alternative Minimum Tax |
| Before mailing your tax return, check to make sure you aren´t subject to the alternative minimum tax (AMT). In recent years, more and more people have found themselves subject to the AMT, according to the IRS. |
| Tax Tip 2001-64 |
April 6, 2000 |
| Capital Gains and Losses |
| Almost everything you own and use for personal purposes, pleasure or investment is a capital asset. When you sell a capital asset, the difference between the amount you sell it for and your basis, which is usually what you paid for it, is a capital gain or a capital loss. While you must report all capital gains, you may subtract only your capital losses on investment property, not personal property. |
| Tax Tip 2001-63 |
April 3, 2000 |
| Ten Ways to Avoid Problems at Tax Time |
| Looking for ways to avoid the last-minute rush for doing your taxes? The IRS offers these tips: |
| Tax Tip 2001-62 |
March 31, 2000 |
| Offer in Compromise May Help with Tax Bills |
| If you cannot pay your tax debt in full or you dispute what is owed, you may be able to resolve the tax matter with the IRS Offer in Compromise program. Offer in Compromise allows you to propose settling tax debts for the maximum amount that you can afford to pay, even if it is less than the amount you owe. The program allows the IRS to negotiate a settlement with you if you are unable to pay your entire tax bill. |
| Tax Tip 2001-61 |
March 30, 2000 |
| Haven’t Filed Last Year’s Tax Return? -- What to Do |
| The IRS hears many reasons from taxpayers for not filing a tax return. You may not have known whether you were required to file. Whatever the reason, it´s best to file your return as soon as you can. If you need help, even with a late return, the IRS is ready to assist you. |
| Tax Tip 2001-60 |
March 29, 2000 |
| Ensuring Proper Credit of Payments |
| When the bottom line of your tax return says, "Amount You Owe," the IRS reminds you to be sure to make your check or money order payable to the "United States Treasury." Do not mail cash with your tax return. Whether you are filing your current year´s return, a prior year´s return or an amended return, always provide your correct name, address, Social Security number, daytime telephone number, tax year, and form number on the front of your check or money order. Enclose your payment with your return, but do not staple it to the form. |
| Tax Tip 2001-59 |
March 28, 2000 |
| Extensions of Time to File your Tax Return |
| If you can't meet the April deadline to file your tax return you can get a four-month extension of time from the IRS. The extension will give you extra time to get the paperwork in to the IRS, but it does not extend the time you have to pay any tax due. You will owe interest on any amounts not paid by the April deadline, plus a late payment penalty if you have paid less than 90 percent of your total tax by that date. |
| Tax Tip 2001-58 |
March 28, 2000 |
| Where to File Your Return |
| Once you complete your 2000 federal tax return, you can either file it electronically or mail it to the IRS. If you choose to mail your return, be sure to read your tax instruction booklet carefully to find the address of the IRS center for your area. |
| Tax Tip 2001-57 |
March 24, 2000 |
| Forms & Publications – How to Order |
| The Internal Revenue Service has many forms and free publications on a wide variety of topics to help you understand and meet your tax filing requirements. These forms and publications are available on the Internet, on CD-ROM, through fax on demand, over the telephone, through the mail, at local IRS offices, at some banks, post offices, and libraries, and even at some grocery stores, copy centers and office supply stores. |
| Tax Tip 2001-56 |
March 24, 2000 |
| Need a Copy of Your Tax Return Information? Call the IRS |
| There are times when you may need a copy of your prior year federal tax return, a transcript of a return or tax account information. A phone call to the IRS at 1-800-829-1040 or a visit to the IRS Web site may easily solve your problem. |
| Tax Tip 2001-55 |
March 22, 2000 |
| Education IRAs Can Make College Costs Less Taxing |
| The Education IRA is an incentive to help parents and students save for higher education. Up to $500 may be contributed to a child’s Education IRA each year, according to the IRS. Earnings on contributions will be distributed tax free provided that they are used to pay the beneficiary’s post-secondary education expenses. |
| Tax Tip 2001-54 |
March 21, 2000 |
| Roth IRAs |
| Confused about whether you can contribute to a Roth IRA? The IRS suggests checking these simple rules: |
| Tax Tip 2001-53 |
March 20, 2000 |
| IRA Contributions Can Be Made Until Tax Filing Deadline |
| If you haven´t put any money into an Individual Retirement Arrangement (IRA) for tax year 2000, or if you´ve put in less than the maximum allowed, you still have time, according to the IRS. You can contribute to either a traditional or Roth IRA until the April due date of your tax return. |
| Tax Tip 2001-52 |
March 20, 2000 |
| Amended Returns |
| Oops! You´ve discovered an error after your tax return has been filed. What should you do? You may need to amend your return. |
| Tax Tip 2001-51 |
March 20, 2000 |
| Volunteer Income Tax Assistance (VITA) |
| Are you puzzled by the tax law and which credits and deductions you can take? If so, then why not take advantage of the IRS Volunteer Income Tax Assistance (VITA) Program and the Tax Counseling for the Elderly (TCE) Program, both of which offer free tax help. VITA and TCE sites are located at convenient community locations. These sites provide free basic income tax return preparation to individuals with low to moderate incomes, individuals with disabilities, non-English speaking taxpayers, and the elderly. |
| Tax Tip 2001-50 |
March 15, 2000 |
| Changing Your Address? Notify the IRS |
| Have you changed your home or business address? If so, you may want to notify the Internal Revenue Service to ensure that you receive any IRS refunds or correspondence. The IRS is now using the Postal Service´s change of address files to update taxpayer addresses, but you may want to notify the IRS directly. |
| Tax Tip 2001-49 |
March 14, 2000 |
| IRS Has Free Publications on Every Topic You Need |
| From aardvark to zyzzyva, the IRS has a publication that covers it — free for the asking. The IRS has numerous publications on a variety of tax-related topics available by phone, fax, or the Internet at www.irs.gov. |
| Tax Tip 2001-48 |
March 14, 2000 |
| Refunds -- How Long Should They Take? |
| Are you expecting a tax refund from the IRS this year? If you file a complete and accurate paper tax return, your refund should be issued in about six to eight weeks from the date IRS receives your return. If you file your return electronically, your refund should be issued in less than three weeks, even faster when you choose direct deposit. |
| Tax Tip 2001-47 |
March 10, 2000 |
| Form W-4 -- The Key to Tax Withholding |
| When you start a new job, you must complete Form W-4, “Employee´s Withholding Allowance Certificate,” so your employer can withhold the correct federal income tax from your pay. Detailed instructions on the form and its worksheet can help you figure your correct withholding amount, according to the IRS. If your tax situation changes, you can change your withholding and submit a new Form W-4 to your employer. |
| Tax Tip 2001-46 |
March 9, 2000 |
| Tax Changes for Business Owners |
| At tax time, many business owners want to make sure they are aware of the latest changes that could affect their taxes. If you are one of these owners, a good source of information is IRS Publication 334, “Tax Guide for Small Business.” It includes a listing of tax changes for 2000 returns, plus explanations of the changes. It also includes some of the changes for 2001. You can find this publication on the IRS Web site at www.irs.gov. |
| Tax Tip 2001-45 |
March 8, 2000 |
| Tax Materials & Assistance in Spanish Ayuda en Español |
| If you need federal tax information in Spanish, you can find it in the form of recorded tax topics, free tax publications and toll-free telephone assistance from the Internal Revenue Service. |
| Tax Tip 2001-44 |
March 5, 2000 |
| Notices -- What To Do |
| It's a moment any taxpayer dreads. A letter arrives from the IRS and it's not a refund check. But don't panic. Many of these letters can be dealt with simply and painlessly. |
| Tax Tip 2001-43 |
March 5, 2000 |
| What’s New For 2000 Taxes? |
| Want to learn about the principal tax law changes that could affect your 2000 tax return? |
| Tax Tip 2001-42 |
March 5, 2000 |
| Do You Have a Deductible Home Office? |
| Whether you are self-employed or an employee, if you use a portion of your home for business purposes, you may be able to take a home office deduction. |
| Tax Tip 2001-41 |
March 2, 2000 |
| Selling Your Home |
| If you sold your main home, you may be able to exclude up to $250,000 of gain ($500,000 for married taxpayers filing a joint return), according to the IRS. This exclusion is allowed each time that you sell your main home, but generally no more frequently than once every two years. |
| Tax Tip 2001-40 |
March 1, 2000 |
| Faster Refunds Through Direct Deposit |
| Want a faster refund? More taxpayers are choosing direct deposit as the way to get their tax refunds. The payment is more secure --there is no check to get lost. And, it´s more convenient -- no special trip to the bank to deposit a check. To request direct deposit, follow the instructions for “Refund” on your tax return. |
| Tax Tip 2001-39 |
March 1, 2000 |
| Toll-Free Telephone Service |
| Free tax help from the IRS is just a phone call away. The IRS provides various services through its toll-free telephone numbers. You can order forms, listen to prerecorded tax information, check on the status of your refund, ask questions about your tax return or inquire about a letter or notice you may have received. Many of these services are available 24 hours a day, seven days a week. |
| Tax Tip 2001-38 |
March 1, 2000 |
| Don't Be Taken In By Tax Scams |
| The IRS reminds taxpayers not to fall victim to a variety of tax scams. These schemes take several shapes, ranging from promises of special tax refunds to illegal ways of “untaxing” yourself. If people think something may be unscrupulous, they can report suspected tax fraud to the IRS at 1-800-829-0433. |
| Tax Tip 2001-35 |
Feb. 21, 2000 |
| Deductible Taxes |
| Did you know that you may be able to deduct certain taxes on your federal income tax return? You can if you file IRS Form 1040 and itemize deductions on Schedule A. There are three types of deductible non-business taxes: |
| Tax Tip 2001-34 |
Feb. 21, 2000 |
| What to Do if You Can’t Pay Your Taxes |
| If this year's tax filing deadline will be a "pay" day for you and you cannot pay the full amount that you owe, you should still file your return by the due date and pay as much as you can. The IRS may allow you to pay any remaining balance over time in monthly installments through an Installment Agreement or possibly even settle for less than the full amount owed through its Offer in Compromise program. |
| Tax Tip 2001-33 |
Feb. 17, 2000 |
| Education IRAs Can Make College Costs Less Taxing |
| The Education IRA is an incentive to help parents and students save for higher education. Up to $500 may be contributed to a child's Education IRA each year. Earnings on contributions will be distributed tax free provided that they are used to pay the beneficiary's postsecondary education expenses. |
| Tax Tip 2001-32 |
Feb. 16, 2000 |
| Tax Assistance For Individuals With Disabilities & The Hearing-Impaired |
| If you are unable to complete your income tax return because of a physical disability or hearing impairment, you may get help from the IRS through its Volunteer Income Tax Assistance/Tax Counseling for the Elderly (VITA/TCE) programs, or through a special TDD phone number that is available in both English and Spanish. |
| Tax Tip 2001-31 |
Feb. 16, 2000 |
| Gift Giving |
| If you give any one person gifts valued at more than $10,000 in a year, it is necessary to report the total gift to the Internal Revenue Service. You may even have to pay tax on the gift. |
| Tax Tip 2001-30 |
Feb. 14, 2000 |
| How to Prepare Your Tax Return for Mailing |
| Your tax return is complete and ready to be mailed. Before sealing that envelope, take a few minutes to make certain that all information is complete and accurate. Avoid mistakes that may delay your refund or result in correspondence with the IRS. |
| Tax Tip 2001-29 |
Feb. 14, 2000 |
| Taxpayer Rights a Priority for IRS |
| The law that required the IRS to reorganize also required the tax agency to include the protection of taxpayer rights as one of its most important values. In its day-to-day operations, the IRS and its employees make taxpayer rights a top priority. This includes explaining those rights to taxpayers, keeping taxpayer information private and confidential and being professional and courteous. |
| Tax Tip 2001-28 |
Feb. 12, 2000 |
| Foreign Income |
| With more and more U.S. citizens earning money from foreign sources, the IRS reminds people that they must report all such income on their tax return, unless it is exempt under federal law. |
| Tax Tip 2001-27 |
Feb. 12, 2000 |
| Should I Itemize? |
| Whether to itemize deductions on your tax return depends on how much you spent on certain expenses last year. Money paid for medical care, mortgage interest, taxes, contributions, casualty losses, and miscellaneous deductions can reduce your taxes. |
| Tax Tip 2001-26 |
Feb. 8, 2000 |
| Tips and Taxes |
| Do you work at a hair salon, barber shop, casino, golf course, hotel, restaurant or drive a taxi cab? The tip income you receive as an employee from those services is taxable income, according to the IRS. |
| Tax Tip 2001-25 |
Feb. 7, 2000 |
| Free Help from the IRS |
| Sometimes when you are preparing your federal tax return, you need a little help. The IRS offers free assistance by computer, telephone, fax, and in person. The IRS can assist you with obtaining forms, publications and answers to a wide range of tax questions. If you qualify, IRS can even help you find free tax preparation. |
| Tax Tip 2001-24 |
Feb. 6, 2000 |
| Short Form Users May be Able to Report Mutual Funds Distributions |
| Some taxpayers with capital gains may now use the shorter Form 1040A. If your only capital gains or losses are capital gains distributions from mutual funds, and you are otherwise eligible to use Form 1040A, you may report these gains on line 10. |
| Tax Tip 2001-23 |
Feb. 3, 2000 |
| What Is Your Filing Status? |
| Your filing status on your tax return is a category that identifies you, based on your marital and family situation. It is an important factor in determining whether you must file a return, the amount of your standard deduction and your correct amount of tax. |
| Tax Tip 2001-22 |
Jan. 3, 2000 |
| Which Form - 1040, 1040A, or 1040EZ? |
| If you are filing a tax return on paper, you should use the simplest form for which you qualify. The simpler the form, the less chance for an error that may cost you money or delay the processing of your return. |
| Tax Tip 2001-21 |
Jan. 31, 2000 |
| Who Must File a Tax Return |
| There are some instances where you may not be required to file a tax return. But the IRS reminds you to keep a few things in mind. First, over 70 percent of all individual filers of federal income tax returns are due a tax refund, and it may be to your advantage to file, even if you are not required to. |
| Tax Tip 2001-20 |
Jan. 31, 2000 |
| What to do if You Haven’t Received a Form 1099 |
| If you received certain types of income, you may receive a Form 1099 for use with your tax return. You should receive these forms from the payer by early February, according to the IRS. Payers have until Jan. 31 to mail these to you. |
| Tax Tip 2001-19 |
Jan. 31, 2000 |
| What to do if You Haven’t Received a Form W-2 |
| Employers must provide employees with a Form W-2 by January 31, 2001 for use in preparing tax returns, according to the IRS. You should receive a separate W-2 for each employer you worked for. Since employers can mail the W-2s as late as Jan. 31, you should allow a few days for a mailed form to arrive. |
| Tax Tip 2001-18 |
Jan. 27, 2000 |
| Dependents |
| So your daughter is off to college and you''re wondering if you can still claim her as a dependent? Well, a person who would be claimed as your dependent must meet five tests: |
| Tax Tip 2001-17 |
Jan. 26, 2000 |
| Gambling Income & Expenses |
| Hit a big one lately? With more and more gambling establishments, the IRS reminds people that they must report all gambling winnings as income on their tax return. |
| Tax Tip 2001-16 |
Feb. 1, 2000 |
| Record Keeping |
| You can avoid headaches at tax time by keeping track of your receipts and other records throughout the year. Good record keeping will help you remember the various transactions you made during the year, which may help you out on your taxes. |
| Tax Tip 2001-15 |
Jan. 24, 2000 |
| Taxable Or Nontaxable? |
| Generally, most income you receive is taxable. But there are some areas where certain types of income are partially taxed or not taxed at all. A complete list is available in IRS Publication 525, "Taxable and Nontaxable Income", at www.irs.gov. |
| Tax Tip 2001-14 |
Jan. 24, 2000 |
| Common Errors to Avoid |
| The IRS recommends reviewing your entire tax return to be sure it is accurate and complete. Even a simple mistake can cause problems with your tax return, which might lead to delays in processing your return and receiving your refund. |
| Tax Tip 2001-13 |
Jan. 24, 2000 |
| Appeal Rights |
| Are you in the middle of a disagreement with the IRS? One of the guaranteed rights for all taxpayers is the right to appeal. If you disagree with the IRS about the amount of your tax liability or about proposed collection actions, you have the right to ask the IRS Appeals Office to review your case. |
| Tax Tip 2001-13 |
Jan. 23, 2000 |
| Need a Copy of Your Tax Return Information? Call the IRS |
| There may be times when you need a copy of your prior year federal tax return, a transcript of a return or tax account information. A phone call to the IRS or a visit to the IRS Web site may easily solve your problem. |
| Tax Tip 2001-12 |
Jan. 19, 2000 |
| Charitable Contributions |
| When preparing to file your 2000 federal tax return, don´t forget your contributions to charitable organizations. Your donations can add up to a nice tax deduction if you itemize on IRS Form 1040, Schedule A. |
| Tax Tip 2001-11 |
Jan. 19, 2000 |
| Point and Click Your Way to A Trouble-Free Tax Season |
| Need a tax form? Have a question about changes to tax law? Want to find the nearest IRS walk-in site? Now anyone with a personal computer and Internet access can point and click their way to trouble-free tax filing at www.irs.gov. |
| Tax Tip 2001-10 |
Jan. 17, 2000 |
| New 1040 Checkbox Improves Communications,
Reduces IRS Notices |
| A new checkbox feature on this year´s tax forms will give taxpayers the option of allowing their paid preparers to directly answer tax processing questions. This change will improve communication and reduce the number of IRS letters to taxpayers. |
| Tax Tip 2001-09 |
Jan. 13, 2000 |
| Education Credits Can Help at Tax Time |
| Are you footing the costs of higher education for yourself or your family? Education tax credits can help offset those costs. The Hope Credit and the Lifetime Learning Credit are education credits which you can subtract in full from your federal income tax, not just deduct from your taxable income. |
| Tax Tip 2001-08 |
Jan. 19, 2000 |
| Taxability of Social Security Benefits |
| Whether your Social Security benefits are taxable depends on your total income and marital status. Form SSA-1099, which Social Security recipients receive by January 31, shows your total benefits, but determining your taxable benefits requires putting pencil to paper. |
| Tax Tip 2001-07 |
Jan. 11, 2000 |
| Alimony Payments Have Tax Implications |
| When the end of matrimony leads to the start of alimony, how does it affect your taxes? Alimony payments you receive are taxable to you in the year received. |
| Tax Tip 2001-06 |
Jan. 19, 2000 |
| Don’t Overlook Home Mortgage Points |
| Did you buy or build a new home in 2000? Many new homeowners don´t know they can deduct points paid on home mortgage loans. The IRS reminds homeowners this can really pay off because some home mortgage points are fully deductible in the year they are paid. |
| Tax Tip 2001-05 |
Jan. 19, 2000 |
| Publication 17 -- One Stop for Tax Help |
| Facing a lot of different tax questions this year? IRS experts have pulled together an overview of common tax issues in one convenient place – Publication 17. “ Your Federal Income Tax,” available at www.irs.gov, contains avast array of helpful information in one guide. |
| Tax Tip 2001-04 |
Jan. 6, 2000 |
| Thousands Still Missing Last Year’s Refund Check |
| Tens of thousands of taxpayers still haven´t received tax refund checks from last year worth millions of dollars. The IRS wants to get these refund checks back to where they belong. |
| Tax Tip 2001-02 |
Jan. 4, 2000 |
| Where to Find Out about Taxpayer Rights |
| The Internal Revenue Service has created a special Web section for taxpayers seeking information about their rights when dealing with the nation´s tax agency. The “Taxpayer Rights Corner” can be found at www.irs.gov under the “Tax Info for You” section. |
| Tax Tip 2001-01 |
Jan. 6, 2000 |
| Avoid Headaches, Prepare Taxes Early |
| Earlier is better when it comes to working on your taxes. The IRS encourages people to get a head start on tax preparation. Not only do you avoid the last-minute rush, early filers also get a faster refund. |
