The perfect portion of tax news and information.
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Choose Your Return Preparer Carefully
September 14, 2021
**Friendly Reminder** If you choose to pay someone else to prepare and file your taxes, be sure to choose your preparer wisely. You are ultimately responsible for the information reported on your return, regardless of who prepares it. Use the IRS Preparer Credentials Check directory (available on MTR's Tax Tools & Quick Links page) to verify a return preparer's credentials. And make sure you receive a copy of your filed return and an itemized breakdown of the preparation fees.
Taxpayers can now fill out digital authorizations for their representatives
July 24, 2021
The Internal Revenue Service launched a new feature that will give taxpayers digital control over who can represent them or view their tax records, a groundbreaking step in the agency's expansion of electronic options for taxpayers and tax professionals.
Check your eligibility for the special Child Tax Credit advance payments
July 14, 2021
The IRS urges families to use the Child Tax Credit Eligibility Assistant tool to help determine whether they qualify for the special monthly advance payments of the credit that begin tomorrow, July 15th. Eligible families will receive $300 a month per qualifying child under the age of 6, and $250 a moth per qualifying child between the ages of 6 and 17.
The 2021 tax filing deadline is now May 17th
March 19, 2021
The IRS recently announced that the 2021 tax filing deadline will be automatically extended from April 15th to May 17th. The decision affords the tax preparation industry time to ensure services conform with the recent changes to federal tax laws that occurred with passage of the Consolidated Appropriations Act, which was signed into law on December 27, 2020.
IRS begins delivering third round of stimulus payments
March 14, 2021
The IRS announced yesterday that the third round of Economic Impact Payments will begin reaching Americans over the next week. No action is needed by most taxpayers; the payments will be automatic and, in many cases, similar to how people received the first and second round of Economic Impact Payments in 2020. People can check the Get My Payment tool on IRS.gov on Monday to see the payment status of the third stimulus payment.
Claiming the Recovery Rebate Credit on 2020 return
February 19, 2021
If you were eligible to receive the first or second round stimulus payment and did not receive one or both (or you did not receive the full amount), you may claim the Recovery Rebate Credit on this year's tax return to receive the payment(s).
IRS provides tax inflation adjustments for tax year 2021
February 16, 2021
The Internal Revenue Service today announced the tax year 2021 annual inflation adjustments for more than 60 tax provisions, including the tax rate schedules and other tax changes. Revenue Procedure 2020-45 provides details about these annual adjustments.
IRS begins accepting returns Friday, Feb. 12th
February 16, 2021
The IRS began accepting and processing 2020 tax year returns Friday, February 12, 2021. People who are ready to begin filing their returns should strongly consider using one of the free tax assistance services to do so, which includes the Free File program and MilTax. Choosing direct deposit is the quickest and safest way for individuals to receive their refunds.
BIG NEWS FOR BUSINESSES!
January 6, 2021
The IRS and Treasury Department issued guidance today that allows a business to deduct eligible expenses paid for with Paycheck Protection Program (PPP) loan funds, regardless of whether the business's PPP loan is ultimately forgiven. The new guidance---a big win for small businesses---reflects the changes in the COVID-related Tax Relief Act of 2020, enacted into law on December 27, 2020.
IRS approves temporary use of e-signatures for certain forms
December 23, 2020
The IRS announced it will temporarily allow the use of digital signatures on certain forms that cannot be filed electronically, including Form 8453 series, Form 8878 series, and Form 8879 series regarding IRS e-file Signature Authorization Forms.
Charitable contribution deduction available to all in 2020
November 16, 2020
Under the CARES Act (enacted earlier this year in response to the COVID-19 pandemic), taxpayers may now deduct up to $300 for cash contributions made to qualifying organizations in 2020. Taxpayers may claim the deduction even if they take the standard deduction (normally this option is only available to those who itemize deductions).
New filing requirements to report nonemployee compensation
November 16, 2020
Do you own a business and pay or receive nonemployee compensation? Beginning January 1, 2020, taxpayers must complete Form 1099-NEC (Nonemployee Compensation) to report any payment of $600 or more made to a person in the course of their trade or business. Generally, payers must also file all Forms 1099-NEC with the IRS by January 31st.