Tax Help

Many people will be receiving (or have already received) a tax refund in the near future. Most people that I know plan to blow it on something that will not provide a benefit for their lives. Instead of wasting your refund and regretting your decision, try one of these 8 tips! What To Do With [...]

For many people, meeting the IRS’s April 18th tax return deadline for filing and paying the 2010 taxes will prove impossible. Unfortunately, the IRS did not automatically extend the deadline because of the tax filing delay! Fortunately, the IRS allows taxpayers to file for an extension of the deadline to October 17th. The process for [...]

The IRS has more than $1.1 Billion in unclaimed refunds for nearly 1.1 million people who did not file an income tax return for 2007. Many taxpayers may have chosen not to file a return because they did not earn enough income to require filing an income tax return, even though they had taxes withheld from [...]

Normally, when we talk about tax deductions, we immediately think of IRA contribution limits, the standard mileage rate, or self employment tax. However, with so many people being out of work or working part-time hours, the job market is being flooded with applicants. This is why it is important to look at the tax deductions [...]

Some tax laws and guidelines affect every person who may have to file a return – this includes rules governing tax exemptions and dependents. Ever since I became involved in preparing taxes, I have noticed a lot of confusion regarding exemptions and dependents. Apparently, so has the IRS. Therefore, they have released a bulletin outlining [...]

Since tax filing season is upon us (after waiting for the tax filing delay to be over), many people will have questions regarding which filing status to use when completing a tax return. Because of that, the IRS has given use several tips/facts that can help us to choose the proper status: Tax Filing Status [...]

Even though employers had until January 31st to get all of their Forms W2 mailed out to their employees, there are still many people who haven’t received one as of yet. If you are missing one of more of your forms W-2, the IRS has procedures in place to assist you. What Information Is Included [...]

H&R Block was kind enough to provide us with several free copies of their H&R Block AT Home Tax Preparation software. Free Tax Software You Can Trust Many of you already know that H&R Block provides professional tax preparation all across the country. However, like TurboTax, they also provide software with which, you can prepare [...]

In discussing which of the free tax forms you should use, we mentioned that the IRS has stopped mailing out paper tax packages. Because of this, tracking down Internal Revenue Service tax forms can be a bit of a chore. Thankfully, the Internal Revenue Service tax forms and publications can be found in a number [...]

Many people are confused by the different free tax forms available to use. Of course, if you come to KNS Financial for tax preparation, then you won’t have to worry about finding free tax forms! Choose The Simplest Free Tax Forms For Your Situation In order to file a tax return, you will have to [...]

In a previous article, we discussed the fact that many people are not required to file an income tax return. However, there are some instances when you may want to file a tax return even though you are not required to do so. Why You Should File A Tax Return: Recently, the IRS gave seven [...]

By this time, most people should have received all of the necessary tax forms in order to prepare their income tax return. Many people have questions about various deductions, credits, and exemptions. However, there are a large number of people who never get that far, because they have one major question: Do I need to [...]

There were a lot of last-minute changes to the tax code for 2011, including the payroll tax holiday. This not only means a lot of changes for individual tax payers, but also for those who pay self employment tax. How The Payroll Tax Holiday Affects Self Employment Tax Normally, the self employment tax would include [...]

Earlier on this site, we made the following announcement, “According to an IRS bulletin, about 50 million taxpayers will face an income tax filing delay this year. If you itemize your tax deductions, then you will have to wait until mid to late February in order to file your tax return.” Now the IRS has [...]

Many people will receive (or have already received) their first paycheck of 2011, and notice something different. Thanks to the Payroll Tax Holiday, there will be a reduction in the amount of payroll taxes taken out of our paychecks in 2011! What Is The Payroll Tax Holiday? As part of the Tax Relief, Unemployment Insurance [...]

The Income Tax Rates for 2011 haven’t changed much from 2010. This is because the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 was signed into law on December 17, 2010 (Click here if you would like to read the full bill). This Act included a last minute extension of the Bush-era tax [...]

Below you will find the standard mileage rate for business, medical, and charitable use of your vehicle during tax year 2011. These rates will be in effect as of January 1, 2011, as announced by the IRS. Standard Mileage Rate (Expressed as cents per mile) As you can see, there was a small increase in [...]

The IRS recently announced that the tax return deadline has been extended. New Tax Return Deadline The tax filing deadline for 2010 tax returns will not be on April 15th this year, but will instead be pushed back to April 18th. The Internal Revenue Service today opened the 2011 tax filing season by announcing that taxpayers [...]

Find Out If You’re One Of Them!According to an IRS bulletin, about 50 million taxpayers will face an income tax filing delay this year. If you itemize your tax deductions, then you will have to wait until mid to late February in order to file your tax return. The Reason For The Income Tax Filing [...]

Below you will find the IRA Contribution Limits for both 2011 and 2012. The IRS recently announced their cost of living adjustments (COLA) for pension plans and other accounts for tax year 2012. Unfortunately, there were no adjustments made from the 2011 contribution limits of IRAs, 401 (k)’s, or 403 (b)’s. Therefore, Roth IRA contribution [...]

Below you will find the 401k Contribution Limits for employees, employers, and participants who are at least 50 years old by the end of the calendar year. You should also consult the other 2011 contribution limits before completing your retirement plan. As you can see, there were no cost of living adjustments from 2010, meaning [...]

Recently, we looked at 5 ways you can still increase your 2010 tax return! You’ll notice that using up your entire flexible spending account was listed under additional tips – that is because of the way in which an FSA is structured. For those who have a Flexible Spending Account, you have a limited amount [...]

The IRS recently announced their cost of living adjustments (COLA) for pension plans and other retirement accounts for tax year 2011. Unfortunately, there were no adjustments made for the 2011 contribution limits of IRAs, 401 (k)’s, or 403 (b)’s. Therefore, Roth IRA contribution limits, Traditional IRA contribution limits, 401k contribution limits, and 403b contribution limits will [...]

photo by JD Hancock The end of 2010 is fast approaching, but there are still moves that you can make now that will decrease your 2010 tax liability. This hopefully means a larger 2010 tax return (or a smaller check for you to write out in April)! Here are five things that you can still [...]

[ad#Google Adsense - Large Rectangle] A few months ago we wrote about how many non-profits were set to lose their tax-exempt status on May 17th. That date has come and gone with thousands of non-profits still failing to file the necessary returns. Because of this the IRS has initiated a relief program. Here is part [...]

Those of you who have been following my recent CVS shopping trips know that I have a flexible spending account. However, the list of Flexible Spending Account Eligible Expenses will see some major changes for 2011! How a Flexible Spending Account normally works – before the changes to the list of Flexible Spending Account Eligible [...]

If you are in the military, you already have a lot of important things to worry about and keep track of. You don’t need to go through the year and realize that you haven’t taken full advantage of opportunities that the government has given you. Especially when it comes to taxes. Yes I know, it [...]

Back in early February, I noticed that many people had questions about the Making Work Pay tax credit. So I decided to write an article explaining the basics. That turned out to be one of my more popular tax-related articles. Since the tax credit is in effect for tax year 2010 as well, the IRS [...]

Over the last month, I have written about a couple of CVS shopping trips in which I saved a good deal of money by using Extra Care Bucks (ECBs) , CVS coupons & deals, and manufacturer coupons. In that article I also mentioned that we purchased over-the-counter medicine through our Flexible Spending Account (FSA), in [...]

A lesson for State LegislatorsI have to admit that I didn’t care what team Lebron James decided to sign with last night – my teams (Phoenix and Detroit) weren’t in the running. However, I was correct in my assumption that he was going to sign with Miami. Here is the official announcement: Of course I [...]

The Homebuyer Tax Credit that was set to expire on June 30, 2010 has been extended to September 30, 2010. According to an article by Kay Bell from Don’t Mess With Taxes, the credit was extended by the Senate on Wednesday night: With the tax credit’s settlement deadline ticking down, the Senate late Wednesday approved [...]

To help fund the massive healthcare legislation passed earlier this year, our government has been forced to come up with some pretty unusual measures. One of the most controversial has been the 10% tax on most indoor tanning. This tanning tax is expected to raise $2.7 billion over the next 10 years. The 10% excise [...]

A closer look at God’s commands regarding taxes and government.This is a continuation of our series on giving. At first we asked the question: “What Does the Old Testament Teach About Tithing?” What we found is that the various tithes required of the Israelites served as taxes to fund the government and the national religious [...]

This article is part of a larger series on giving. We are starting by examining what the bible teaches about tithing – which is by far the most popular form of giving taught in the church today. Then we will look at voluntary, sacrificial giving and ultimately determine what God’s will truly is for His [...]

Understanding your organization’s obligation to complete Form 990On May 18th at 12:01 am, many non-profit organizations will lose their tax-exempt status. This is because May 17th represents a critical deadline for many tax-exempt organizations that are required to file Form 990. According to the IRS: The Pension Protection Act of 2006 mandates that all non-profit organizations, [...]

The IRS is holding an Open House on Saturday, May 15th to address any tax related questions that you may have. For more information, see the IRS bulletin below: The Internal Revenue Service will host a special nationwide Open House on Saturday May 15 to help small businesses and individuals solve tax problems. Approximately 200 [...]

This will be the first installment on a series on giving. I pray that we all will be blessed by what the Word of God’s teaches us about giving. First we need to take a look at a few concepts before taking a deeper look. The first thing we will discuss is tithing. Because tithing [...]

A list of our most read tax articles this yearSince today is the deadline for both filing and paying your 2009 taxes, I figured it would be a good time to look recap some of the more popular topics that we have written about this year. So, here we go: First, you need to determine [...]

Understanding the Mortgage Forgiveness Debt Relief ActNormally, if a creditor (bank, mortgage company, credit card issuer) dismisses all or part of your debt, it is considered taxable income. However, if your mortgage debt is partly or entirely forgiven during tax years 2007 through 2012, you may be able to claim special tax relief and exclude [...]

The IRS announced today that members of the military and certain civilians who provided earthquake relief in Haiti will have additional time to file their 2009 income tax returns (the deadline for making payments was also extended)! Below are some of the important details from that announcement: Deadlines for taking care of a variety of [...]

Now that you have completed your tax return, you realize that you owe the IRS more money! This can be a very frustrating and intimidating experience. There are many questions that come up: What are your options? Can you send a check or cash? Can you pay by credit card – and is this a [...]

The Alternative Minimum Tax (AMT) has become one of the more controversial tax topics in recent memory. The original intent of the AMT was to ensure that taxpayers who benefit from certain tax advantages pay at least a minimum amount of tax. Sounds like a noble idea, right? I mean, you wouldn’t like the idea [...]

Many taxpayers experience a delay in the processing of their tax return due to simple, common errors that can be avoided with a little double checking. According to the IRS, here are nine of the most common errors that can unnecessarily delay your tax return: Incorrect or missing Social Security Numbers – When entering SSNs [...]

According to the IRS, many of the victims of the severe storms, flooding, mudslides and landslides that began on March 12 in New Jersey will qualify for tax relief. According to the IRS press release, “The President has declared Atlantic, Bergen, Cape May, Essex, Gloucester, Mercer, Middlesex, Monmouth, Morris, Passaic, Somerset, and Union counties federal [...]

Will the recently signed HIRE Act help our economy?On March 18, 2010 president Obama signed the Hiring Incentives to Restore Employment ( or HIRE) Act into law. The HIRE Act provides two new tax benefits to employers who hire and retain unemployed workers. According to the IRS, “employers who hire unemployed workers this year (after [...]

Understanding the Retirement Savings Contributions CreditFor taxpayers who make eligible contributions to an employer-sponsored retirement plan or to an individual retirement arrangement (IRA), you may be eligible for a tax credit.  Here are several things you should know about the Savers Credit: The Savers Credit, formally known as the Retirement Savings Contributions Credit, applies to [...]

Due to the state of the economy, many taxpayers may have taken early distributions from retirement plans last year. In most cases, there is a negative tax impact that arises from these early distributions. Because of this, the IRS has released some facts about early distributions. Here are some of the highlights: Payments you receive [...]

Why you should usually file a return even when you aren’t required to do soThe IRS reports that it has over $1.3 billion in unclaimed refunds for tax year 2006 alone! These refunds are owed to nearly 1.4 million people who neglected to file a 2006 tax return. The IRS estimates that the median unclaimed [...]

How to be sure you can deduct your donation on your 2009 tax returnFebruary 28th (this upcoming Sunday) marks the last day that you can make a charitable donation to support the Haitian earthquake relief efforts and be able to claim the deduction on your 2009 tax return. The eligible dates for this special tax [...]

The current economic conditions in have put many Americans in a tough position. On the one hand, it is a fact that difficult times usually lead to an increase in the number of people pursuing degrees – or looking to gain various certifications. However, in a recession colleges and universities are often scrambling to find [...]

A common tax question that we hear is whether certain income is taxable. Generally, most income that you receive will be considered taxable; however, there are a few types of income that are only partially taxable or not taxed at all.  To ensure that taxpayers understand the difference between taxable and non-taxable income, the IRS released a [...]

The IRS estimates that up to 25% of taxpayers who are eligible for the Earned Income Tax Credit (EITC) don’t claim it because they don’t realize that they qualify. In fact, many of our clients who are eligible to claim this credit have either never heard of it, or they do not believe that they [...]

Making sense of Schedule MThe Making Work Pay tax credit is worth up to $400 for individuals and $800 for married couples filing jointly. It is a temporary credit that will only be in effect for tax years 2009 and 2010. For 2009, the IRS implemented this credit by making an adjustment to the federal [...]

Why filing a tax return may be beneficial even if you aren’t required to do so.There are various factors which determine if you are required to file a Federal tax return. These include filing status, gross income, age and whether or not you are a dependent (see IRS Publication 501 for details). Even if you [...]

If you need your tax return information from a previous year, you can request it from the IRS.  Taxpayers have the option of requesting either a tax return transcript or a tax account transcript. Here are a few guidelines from the IRS for determining which one you will need, and the procedures for requesting it: [...]

The American Opportunity Credit (part of the American Recovery and Reinvestment Act) allows more parents and students to qualify for a tax credit for college expenses. To this end, the IRS has developed a brief fact sheet to assist you in completing your 2009 tax return. Here are a few highlights: The American Opportunity Credit [...]

Find out how this new bill enhances your ability to help the earthquake victims.A new bill has been passed that will allow taxpayers who make donations for the Haitian Earthquake Relief Efforts to claim the deduction on their 2009 taxes. Normally, donors would have to wait until they file their 2010 tax returns in order [...]

In addition to having your tax return directly deposited into your bank account, the IRS also gives you the option to purchase US Savings Bonds (up to $5,000). Here are a few things they want you to know regarding this option: You may use a portion of your refund to purchase up to $5,000 in [...]

The IRS recently sent out this handy guide for taxpayers with children. Find out how they impact your tax situation and what Publications to read for further information. Dependents In most cases, a child can be claimed as a dependent in the year they were born. For more information see IRS Publication 501, Exemptions, Standard [...]

The IRS reports that well over 60% of all tax returns was filed electronically. While there are still a few situations that will require a paper return, the vast majority of taxpayers are able to file electronic returns. The IRS actually encourages all taxpayers who are eligible to file electronically to do so. Here are [...]