Receive an Economic Impact Payment in Error?

Receive an Economic Impact Payment in Error?

If you received an Economic Impact Payment (aka: federal stimulus check) in error, you should return the payment as described below:

If the payment was a paper check:

Write “Void” in the endorsement section on the back of the check.
Mail the voided Treasury check immediately to the appropriate IRS location listed below.
Don’t staple, bend, or paper clip the check.
Include a note stating the reason for returning the check.

If the payment was a paper check and you have cashed it, or if the payment was a direct deposit:

Submit a personal check, money order, etc. immediately to the appropriate IRS location listed below.
Write on […] Read more

Second Quarter Estimated Tax Payments Now Due July 15th

Second Quarter Estimated Tax Payments Now Due July 15th

Late last week the federal government extended the due date for the 2020 second quarter estimated tax payment from June 15 to July 15. This means that individual tax returns, as well as individual first quarter and second quarter estimated tax payments are now all due on July 15.

Additionally, trusts, estates, corporations, and other non-corporate tax filers with filing or payment due dates between April 1 and before July 15 are now also extended to July 15.

When paying individual taxes and estimates, taxpayers have the option to send the IRS a check, or payments also can be made electronically through […] Read more

Economic Impact Checks for Non-Filers: How to Provide Your Current Information to the IRS

Economic Impact Checks for Non-Filers: How to Provide Your Current Information to the IRS

At Nichols & Company, we know many of you are assisting elderly parents or grandparents right now. In an effort to support you, we wanted to share that the IRS has launched a new tool to assist non-filers in registering their current information for their Economic Impact Payment.

The new tool, created in conjunction with FreeFile Alliance, is designed for those who were not required to file a 2018 or 2019 tax return. The Non-Filers: Enter Payment Info tool allows these non-filers to supply the IRS with their current address, number of dependents and direct deposit information.

Distribution of Economic Impact Payments to […] Read more

What’s Up At The IRS?

What’s Up At The IRS?

If you’ve tried contacting the IRS recently, you might have noticed a few things have changed. Here are a few highlights you may wish to be aware of:

1) 70,000+ IRS workers are trying to work remotely. This has resulted in the closure of most local offices, leaving no one to answer the phones for a few weeks. Even the Practitioner Priority Service line and local Taxpayer Assistance Centers are closed for the time being.

2) If you were on a payment plan (ex: for back taxes), your payments are temporarily suspended until July 15th. However if you are interested in establishing a […] Read more

Wondering If You Qualify For The Government’s Upcoming Economic Impact Payments?

Wondering If You Qualify For The Government’s Upcoming Economic Impact Payments?

To help ease the financial effects of the COVID-19 pandemic, the federal government is planning to send stimulus checks to all taxpayers in the coming weeks.

For your planning purposes, we wanted to share with you their guidelines for determining eligibility. It is important to note that children 17 and older who are claimed by their parents or elderly adults claimed as dependents on a tax return are not eligible for the $500 payments.  

Who Qualifies?

Individuals with an adjusted gross income (AGI) up to $75,000 or married couples filing jointly with an AGI up to $150,000 will receive the full payment of […] Read more

An Update of Recent Tax Changes Due to Coronavirus

An Update of Recent Tax Changes Due to Coronavirus

2019 Personal tax returns do not need to be filed until 7/15/20.
2019 taxes due, as well as 1st quarter estimated tax payments, are not due until 7/15/20.
NOTE: 2nd quarter estimated tax payments are still currently due on 6/15/20!
2019 IRA & HSA payments can be made as late as 7/15/20.
The IRS has added a special coronavirus page to its site if you need more information: https://www.irs.gov/coronavirus
For those in Ohio, the Ohio legislature will be meeting today to consider changing the Ohio tax filing date. It currently remains at 4/15/20.

For more CPA “insider information,” you are welcome to check out this article from WesternCPE.com.

[…] Read more

IRS Releases Mileage Rates for 2020

IRS Releases Mileage Rates for 2020

The IRS recently released the mileage rates for 2020. Beginning Jan. 1, the business mileage rate decreased one-half of a cent for business travel driven and three cents for medical and certain moving expenses as compared to the rates for 2019. The charitable rate is set by statute and remains unchanged.

 

2020 mileage rates:

 

57.5 cents per mile driven for business travel

17 cents per mile driven for medical travel

14 cents per mile driven in service of charitable organizations

 

More details can be found here.

[…] Read more

Debt and taxes (and scams)

Debt and taxes (and scams)

Chances are you or someone you know has received a phone call from someone claiming to be with the IRS. If you haven’t first received an actual letter in the mail from the IRS, these calls are fraudulent and should be reported. (Taxpayers can register a complaint at the Treasury Inspector General for Tax Administration. Go to tigta.gov and click “Contact,” or call 1-800-366-4484).

According to Amanda Horowitz, in April 2017, the IRS did begin a new private collections program of certain overdue federal taxes. These outstanding debts were turned over to four collections agencies: the CBE Group, ConServe, Performant Recovery and […] Read more

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