Category Archives: General Filing

When planning for the next tax year, taxpayers should keep accurate records and receipts of any expenses they plan to deduct. However, if no records exist, the Cohan Rule may benefit the taxpayer in such that it states expenses may be reasonably and credibly estimated. The taxpayer in the next situation benefited from the Cohan […]

If your spouse and children are U.S. citizens, it is easy to claim them on your tax returns. You just provide their name and Social Security numbers. It can be a bit more difficult to claim a non-U.S. citizen spouse or children on your return. But, you’re still able to claim them and take advantage […]

Adjusted Gross Income (AGI)

Adjusted Gross Income can impact the credits and deductions you are able to claim, this can lead to a reduction in the amount of taxable income reported on your tax return. You are probably paying more attention to your taxable income then your adjusted gross income when you are preparing your tax return. You should […]

Innocent Spouse Relief

Married couples who file a joint tax return should be aware that both parties are liable for each other’s tax responsibilities, meaning if there is a balance owed, it doesn’t matter which spouse’s income the tax is owed on – both will be held equally accountable. There are some situations where one spouse may be […]

If you receive Social Security disability benefits, you should be aware that they are taxable. However, many aren’t required to pay on them. Social Security disability benefits are taxed, but those who have very little additional income usually don’t have to pay the tax. Statistically, those who do pay taxes on their Social Security Disability […]

How Quickly Does the IRS Process Returns?

If you electronically file your tax return, you will receive an email within 48 hours. This email will tell you to sign into your account, to see if your return was accepted. If your return was not accepted, you can correct your return resubmit it to IRS at no charge. When your return is accepted […]

The Health Insurance Marketplace sells four different types of plans: bronze, silver, gold, and platinum. These four plans provide varying levels of coverage, and the cost varies, with platinum plans being the most expensive. The Second Lowest Cost Silver Plan (SLCSP) is the silver plan that has the second to least expensive available in the […]

Understanding Adjusted Gross Income

At tax time, you’ll see reference to “adjusted gross income (AGI)” many times throughout your forms. Many credits and deductions apply income thresholds and brackets which are dependent on your AGI, so it’s important to know how to determine your adjusted gross income. First, you’ll have to know your gross income. From that amount, you’ll […]

Using the W-2 Verification Codes

If you’re a tax preparer, you’ve likely heard of the new verification code added to Form W-2s this tax season. The IRS has added this extra level of protection to 50 million W-2s as an experiment to combat fraud and protect businesses and taxpayers from identity theft. The verification code consists of 16 digits, and […]

Your W-2: Six Important Facts

If you work for someone else, as an employee of a business or company, you should expect to receive a Form W-2 in the mail sometime between January and February. The form has a lot of little boxes and numbers on it, and is required to be sent to you by any employer who paid […]