IRS reminder to many retirees: April 1 is last day to start taking money out of IRAs and 401(k)s
Monday, 28 March 2022
WASHINGTON — The Internal Revenue Service today reminded retirees who turned 72 during the last half of 2021 that, in most cases, Friday, April 1, 2022, is the last day to begin receiving payments from Individual Retirement Arrangements (IRAs), 401(k)s and similar workplace retirement plans. The payments, called required minimum distributions (RMDs), are normally made by the
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Reasons why some tax refunds filed electronically take longer than 21 days
Monday, 28 March 2022
WASHINGTON – Even though the Internal Revenue Service issues most refunds in less than 21 days for taxpayers who filed electronically and chose direct deposit, some refunds may take longer. Many different factors can affect the timing of a refund after the IRS receives a return. A manual review may be necessary when a return
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Valuable tax benefits for members of the military
Monday, 28 March 2022
Members of the military may qualify for tax benefits not available to civilians. For example, they don’t have to pay taxes on some types of income. Special rules may lower the tax they owe or allow them more time to file and pay their federal taxes. Here are some of these special tax benefits: Combat
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Two tax credits that can help cover the cost of higher education
Monday, 14 March 2022
Higher education is important to many people and it’s often expensive. Whether it’s specialized job training or an advanced degree, there are a lot of costs associated with higher education. There are two education tax credits designed to help offset these costs – the American opportunity tax credit and the lifetime learning credit. Taxpayers who
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Understanding the child and dependent care credit
Tuesday, 08 March 2022
Taxpayers who are paying someone to take care of their children or another member of household while they work, may qualify for child and dependent care credit regardless of their income. For tax year 2021, the maximum eligible expense for this credit is $8,000 for one child and $16,000 for two or more. Depending on
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IRS reminds taxpayers their Social Security benefits may be taxable
Tuesday, 22 February 2022
A new tax season has arrived. The IRS reminds taxpayers receiving Social Security benefits that they may have to pay federal income tax on a portion of those benefits. Social Security benefits include monthly retirement, survivor and disability benefits. They don’t include supplemental security income payments, which aren’t taxable. The portion of benefits that are
Check the status of a refund in just a few clicks using the Where’s My Refund tool
Tuesday, 22 February 2022
Tracking the status of a tax refund is easy with the Where’s My Refund? tool. It’s available anytime on IRS.gov or through the IRS2Go App. Taxpayers can start checking their refund status within 24 hours after an e-filed return is received. Refund timing Where’s My Refund provides a personalized date after the return is processed and a
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IRS ADVANCE CHILD TAX CREDIT PAYMENTS
Thursday, 20 January 2022
If you have received advances of your 2021 child tax credit, you will have to reconcile the amount you received to the amount you were due when you file your income tax return. In January 2022, the IRS will be mailing you Letter 6419 to provide you with the total amount of advance Child Tax
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IRS OPENS THE 2022 TAX FILING SEASON
Thursday, 20 January 2022
The IRS will begin to accept electronically filed individual income tax returns for 2021 beginning on January 24, 2022. This year, your Form 1040 is due on April 18, 2022 (not April 15th). This is because of the Emancipation Day holiday. If you cannot file by April 18th, you can request an extension of time
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Changes to the Premium Tax Credit with the American Rescue Plan
Monday, 20 December 2021
Anyone who gets their Health Insurance through the government Healthcare Exchange may want to take note of some changes for 2021 and 2022: ARP made changes to the healthcare income limits for the subsidy. It has changed, but unfortunately there is no magic table to look at anymore. The reason is because they have eliminated
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