Thread 2 - IRS Website

7/25/2019 Thread 2 - IRS Website

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Topic

Tax Preparation (graded)

IRS Website (graded)

Q & A Forum (not graded)

IRS Website (graded)

Please research a topic on the IRS ebsite that ma! be germane to !our personalcircumstances" and share !our in#ormation ith the class$ Please pic% a topic that!our classmates hae not alread! shared$ A lin% to the IRS ebsite is located in thecourse Webliograph!$

This section lists options that can be used to ie responses$

'ollapse All Print ie Sho ptions

Responses

Responses are listed belo in the #olloing order* response" author and the dateand time the response is posted$

Sort b! Read+,nread Sort b! Response Sorted Ascending" clic% to sortdescending Sort b! Author Sort b! -ate+Time.

(an instructor response)

'ollapse /ar% as ,nread IRS as a resource Pro#essor Rodrigue0 1mail thisAuthor 2+3+4563 65*62*37 A/

We tend to thin% o# the IRS as our adersar! but a 8uic% loo% at the ebsite illsho 9ust ho man! resources are proided to those that loo%$ Which topic isaddressed or hat resource is proided that !ou :nd releant on this ebsite;

'ollapse /ar% as Read R1* IRS as a resource A/


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The IRS is a great resource #or a ariet! o# things$$$ #or m! i#e i used the site toobtain her 1I? number to start a business as ell as it as needed to utili0e #or achec%ing account$


'ollapse /ar% as Read R1* IRS as a resource Pro#essor Rodrigue0 1mailthis Author 2+@+4563 66*>>*6 A/


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http*++$irs$go+pub+irsGpd#+i65=5gi$pd#

'ollapse /ar% as Read R1* IRS as a resource ?icole /c-aniel 1mailthis Author 2++4563 3*6>*3= P/

/egan"

IHm tr!ing to see !our example as numbers*

-eduction expense decreases taxable income tax loered b! less than

deduction

credit reduced tax burden

IHll use round numbers to ma%e it easier$ So" i# someone ma%es E35"555" and thestandard deduction is 3"555 then the taxable income is E=3"555$

E=3"555 . 6J E"735

So" a credit ould be applied to the E"735" correct; A credit o# E355 ould besubtracted #rom E735" right;

E"735 G E355 E"635

;;

When ould !ou receie a credit; I# !ou oerGpaid taxes the !ear be#ore; r is thishere capital losses comes into pla!;


4/41

'ollapse /ar% as Read R1* IRS as a resource /egan Staub 1mail thisAuthor 2+@+4563 3*3=*>2 P/

?icole"

I should hae clari:ed m! ording in m! preious post$ A deduction is an expensethat a taxpa!er is alloed to ta%e on page one o# the 65=5$ The deductions I amre#erring to are listed #rom line 4> to >3 on page one o# IRS #orm 65=5 (IRS$go)$

These deductions" li%e the student loan interest deduction" reduce a taxpa!erBsad9usted gross income" hich is the amount o# income the IRS taxes be#orestandard or itemi0ed deductions$ The credits I as re#erring to are on page to o##orm 65=5$ 'redits are listed #rom line =@ to 3= on page to o# the IRS #orm 65=5(IRS$go)$ These credits reduce the amount o# tax an indiidual oes dollar #ordollar" hich means the! reduce the indiidualBs tax burden #or the amount o# thecredit$ So using !our example" letBs sa! an indiidual ma%es E35"555 per !ear$Also" assume the same indiidual paid E4"355 o# student loan interest and 8uali:ed

to ta%e the #ull E4"355 as a deduction$ This means the taxpa!erBs ad9usted grossincome ould come don to E="355$ I# this indiidualBs tax brac%et as 65J (#orsimplicit! purposes)" the indiidual ould oe E435 less in taxes$ This is becauseE4"355 less o# income times the 65J tax brac%et is E435 (assuming the deductiondidnBt drop the indiidual out o# the 65J tax brac%et)$ ?o letBs assume the sameindiidual gets a child tax credit #or haing to %ids and the credit is orth E4"555$I# the indiidualBs taxable income as E35"555 and their tax rate as 65J" theindiidual ould oe E3"555 be#ore an! deductions or credits$ oeer" hen theE4"555 child tax credit is applied" the indiidual no onl! oes E>"555 in taxes$

This example demonstrates ho deductions reduce taxable income" hich reducestax b! a percentage o# the deduction" hile a credit reduces the amount o# taxes

oed b! an indiidual dollar #or dollar$ Also" %eep in mind that this example is er!simpli:ed and tax rates and brac%ets are not 65J #or an indiidual ho ma%esE35"555 per !earK

http*++$irs$go+pub+irsGpd#+#65=5$pd#

'ollapse /ar% as Read R1* IRS as a resource ?icole /c-aniel 1mailthis Author 2+@+4563 7*>@*=4 P/

/odi:ed*2+@+4563 7*=5 P/

I haenHt done m! on taxes in !ears as m! step #ather is a 'PAL hoeer" he had astro%e a #e months ago so I ill be doing m! on taxes next !ear$


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I did not reali0e !ou could see the tax #orms at an! time o# the !ear on the IRSebsite$ I see no the examples !ou are citing and %no #ull ell that a personho ma%es E35"555 a !ear does not #all into the 65J tax brac%et" no orries$

What I also did not reali0e as that e use a progressie tax structure$ Per ourboo% on page " I calculated m! aerage taxes$ ereHs m! next 8uestion" letHs sa!I ma%e E@5"555 per !ear" but m! ta%e home pa! doesnHt reall! change throughoutthe !ear" does that mean m! compan! is using aerages based on ho much I illma%e oer the entire !ear; Also" our bonus ala!s seems to be taxed more" I seeno h!" itHs due to the progressie tax structure" and since bonuses are 9ust that"the! are not #actored into the MaerageM #or the rest o# the !ear$ Is m!understanding correct;

Source*


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'ollapse /ar% as Read R1* IRS as a resource Shante Strachan 1mailthis Author 2+64+4563 65*>5*4= P/

About a !ear or so ago" I receied a retention bonus hen m! compan! as

ac8uired b! an industr! giant$ The bonus as substantiall! large and bro%en up intomultiple distributions oer the !ear$ # course I sa signi:cantl! less than thecontract amount because o# taxes$ 1ach pa!out as about 6+= less than the amountstated$ When it came time to do m! taxes" I as pushed into a much higher taxbrac%et hich I as uneas! about$ I understand that eer!thing that e earn orreceie can be counted as income but it someho does not seem right to penali0e#or bonuses$

'ollapse /ar% as Read R1* IRS as a resource ?icole /c-aniel 1mailthis Author 2+6>+4563 2*>7*6 A/

It is m! understanding that bonuses are ala!s taxed at a higher rate no matterhat" so IMm not sure ad9usting exemptions or percentages deposited into =56 is asuccess#ul a! to aoid higher taxes" is it;

'ollapse /ar% as Read R1* IRS as a resource Ooann /orales 1mail thisAuthor 2+6>+4563 2*35*6@ P/

There are to a!s bonuses are taxed* percentage method and the aggregatedmethod

In the percentage method" IRS sets #orth a supplement rate o# 43J$ I# !ou receie abonus o# E7555" under the supplemental rate E6355 (7555 x 43J) goes to the IRS$A lot o# companies use the percentage method because it is eas!$

,nder the aggregated method" pa!roll ill add !our bonus to !our recent pa!chec%$The! ill determine the ithholding based on the IRS ithholding table and subtracthat the! ithheld #rom !our last pa!chec% and ithhold the rest #rom !our bonus$

The problem ith this method is that !ou are taxed a higher tax rate because o# thecombined amounts$


8/41

http*++$irs$go+irb+4557G>IR+ar52$html

'ollapse /ar% as Read R1* IRS as a resource Stacie Tuc%er 1mail thisAuthor 2+7+4563 *3@*>> P/

I as able to use the IRS ebsite to obtain in#ormation to set up 1G:ling o# #ederaltaxes #or m! husbandHs businessL he is a contractor at F1-1U$ We hae toemplo!ees in addition to himsel# and e ma%e monthl! #ederal 2=6 tax depositsthru 1G:le$ There is a ealth o# in#ormation #or small business oners and sel#emplo!ed businesses* hat tax returns are !ou responsible #or :ling and hen" hoto pa! and hat manner in hich !ou should pa! (!ou cannot ala!s 9ust rite a

chec% an!more" !ou must ma%e some pa!ments electronicall!)$ All #ederalemplo!ment deposits hae to be made using the 1FTPS s!stem (the Federal1lectronic Funds Trans#er s!stem)$

http*++$irs$go+Filing+Sel#G1mplo!edG&GSmallGusinesses

'ollapse /ar% as Read R1* IRS as a resource Andre Pla0a 1mail thisAuthor 2+65+4563 @*37*4@ P/

ThatHs aesome Stacie" I actuall! helped a #riend o# mine do the same exact thing a#e !ears bac%$ /! #riend as also a contractor ith Fed1x and he actuall! had a#e more emplo!ees$ e as ma%ing er! good mone! at a !oung age$ e hasala!s been one o# m! inspirations$


9/41

There hae been man! topics that I #ound 8uite bene:cial on the IRS ebsite"especiall! the #orms needed to actuall! :le taxes$ I especiall! #ound this bene:cialhen I had to get m! sister caught up on actuall! :ling her taxes$ At one point intime" prior to us moing in together" she had not :led her taxes #or at least 3!ears$$$8uite ama0ing to sa! the least$ At one point" the IRS actuall! completed her

taxes and sent her a noti:cation o# ho much she oed$ I as actuall! able to goto the IRS ebsite and :nd all the #orms necessar! to get her caught up ith :ling$Another #eature that I :nd er! help#ul each !ear is the HWhereHs m! re#undH" hich Ita%e adantage o# each !ear$ This lin% actuall! allos !ou to monitor the status o#!our re#und" i# receiing one" and it in#orms !ou hen !our taxes ere receied"accepted and hen to expect !our re#und$

http*++$irs$go+Re#unds

'ollapse /ar% as Read R1* IRS as a resource


10/41

'ollapse /ar% as Read R1* IRS as a resource Angela Williams 1mailthis Author 2+@+4563 7*4*44 P/

Pro#essor" !es" m! sister is operating as a WG4 emplo!ee and I can honestl! sa! thatI hae absolutel! no idea ho she as able to go so long ithout :ling her incometaxes$ 1er! time I ould as% her ho she managed to pull that o" she 9ust shrugsher shoulders ith the same repl!* I donHt %no$ I# I ouldnHt hae actuall! used thesel#Ghelp tax serices" such as Turbo Tax" I ouldnHt hae belieed it either$?onetheless" it as true" she 9ust completel! ignored that #act that she had to :le$ Ibeliee that her primar! reason #or not being a candidate to receie a re#und asbecause she receied seeral sources o# income and didnHt hae enough taxes

ithheld$ For instance" hen her husband died" she began receiing S1RS surialbene:ts$ When I reieed her in#ormation" I noticed that she didnHt hae an! taxesithheld #rom that income and not enough being ithheld #rom her emplo!eeages$ We noticed a signi:cant dierence hen I suggested that she hae acertain amount ithheld #rom her monthl! S1RS bene:ts$ Things are slol! loo%ingup #or her but ill ta%e some time to get her out o# the mess she as in" but she iscurrentl! :ling on a regular basis$

'ollapse /ar% as Read R1* IRS as a resource Ooann /orales 1mail thisAuthor 2+64+4563 65*==*>3 P/

I hae used the MWhereHs m! re#undM #eature eer! !ear$ What I li%e about this#eature is that the process becomes aailable ithin 4= hours a#ter the! receie!our e:le and+or = ee%s a#ter the! receie !our paper return$ The IRS ebsite isbecoming more user #riendl! and conenient to use$

'ollapse /ar% as ,nread R1* IRS as a resource Fausto /elara 1mail thisAuthor 2++4563 *33*= P/

I personall! li%e to research the ne tax las that ill come out that aect smallbusinesses$ ,suall! hen I read those las it gies me a headache ith all the legal

9argon$ ,suall! IHll as% the 'PA hat it all means$ -oes it aect m! business and ho


11/41

can it be utili0ed to help us$ ther things I li%e to loo% #or are the lin%s to help !ourbusiness ith programs that can help businesses ith tax brea%s$ Its all aboutma%ing the most mone! ithout being taxed a hole lot$ /aximi0e pro:ts

'ollapse /ar% as Read R1* IRS as a resource 'arrah urton 1mail thisAuthor 2++4563 @*62*36 P/

A#ter brosing the eb site I #ound the lin%s #or the dierent re8uired documentsand help identi#!ing hich document is appropriate #or the man! t!pes o# :lers" asell as in#ormation about re#unds$ What I didnHt %no existed as the Interactie

Tax Assistant (ITA)$ This allos !ou to anser a series o# 8uestions and theautomated interactie tax assistant ill help !ou anser 8uestions about :ling$ Thisis a great resource #or the public and helps ith the adersarial perception Pro#essor

Rodrigue0 brings up$ These are trul! resources that can help$

Retrieed 2++63 #rom* http*++$irs$go+uac+InteractieGTaxGAssistantGJ4@ITAJ42G6

'ollapse /ar% as Read R1* IRS as a resource ?ic% ron 1mail thisAuthor 2+@+4563 66*36*=3 P/

'arrah great post$ When I actuall! loo%ed at the IRS ebsite the :rst time I did notactuall! see the interactie tax assistant$ ut ama0ing ho !our post clearl!explains its #unctions and ho bene:cial it actuall! is$ I isited the ebsite againand as able to use the ITA and ho help#ul it actuall! as$ It al%s !ou through aseries o# 8uestions about common tax 8uestions and helps !ou :nd the ansers!ouHre loo%ing #or$

From interacting ith the ITA I as able to get in#ormatie in#ormation about the

eligibilit! o# the premium tax credit and ansers to the Aordable 'are Act$ What Ithought as er! help#ul as it seriousl! had a series o# 8uestions to helpdetermine i# one is eligible #or it$

er! in#ormatieK


12/41

'ollapse /ar% as ,nread R1* IRS as a resource A/

ne lin% on the IRS ebsite I hae #ound use#ul is


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I agree" this is a good lin% to be aare o# and use on the IRS ebsite$ ou can use itto help !ou prepare #or #uture tax returns and amend prior !ear returns$ I need toin#orm m! #riend about this lin% because he is tr!ing to appl! #or a loan to bu! ahome" but he doesnBt %no here preious returns are located$ With this #orm hecan 9ust :ll out the re8uired #orms and hae the in#ormation that he needs in a #e

da!s$ This ill reall! help$ Also" I need to use this lin% because li%e !ou I lost some o#m! past taxes and I anted to use them as a re#erence to %eep up ith m!increase+decrease in returns$

'ollapse /ar% as ,nread R1* IRS as a resource


14/41

used deductie reasoning in that I had lied in a condo ith 9ust m! son and m!sel##or oer hal# the !ear prior to moing in ith m! bo!#riend so" I #elt as though that8uali:ed me #or head o# household$


'ollapse /ar% as Read R1* IRS as a resource Pro#essor Rodrigue0 1mailthis Author 2+2+4563 2*>*53 A/

eather" un#ortunatel! deductie reasoning is necessar! at times$ With a ="555page tax code it seems nearl! impossible to hae a complete understanding$ In #actthis ="555 pages is onl! applicable to personal :lings so !ou can 8uic%l! see h! Ican see h! deductie reasoning is re8uired$

'ollapse /ar% as Read R1* IRS as a resource eather 1lliott 1mail thisAuthor 2+65+4563 7*46*5 A/

I agree$ I een ent so #ar as to call and the! re#erred me bac% to their ebsite$ Ient out o# m! a! to tr! to see% clari:cation" I #elt li%e since I am an accountant"the! ma! sa!" M!ou should %noKM$ At the end o# the da!" I #elt prett! con:dent thatith it being so gre! and the #act that I spent more o# the !ear on m! on thanliing ith m! bo!#riend that i# I did or do get audited" I ill be o%$ I learned in m!tax class that I too% !ears ago" there are man! gre! areas" it is up to us to proide aburden o# proo# that can easil! sa! the IRS to understand our logic behind doing or:ling a certain a! so" I #eel li%e I should be o%$

'ollapse /ar% as ,nread R1* IRS as a resource Oacinda Smith 1mail thisAuthor 2+2+4563 *5@*45 P/

Well I ill sa! I hae not thought to loo% on the IRS ebsite be#ore #or resourcein#ormation$ I hae #ound it to be er! use#ul$ I too% a loo% at the credits anddeductions section$ I on m! on business and am also a contract or%er as a


15/41

:tness instructor so I need to :gure out the hole deducting expenses #or these tobusinesses$

'ollapse /ar% as ,nread R1* IRS as a resource Alice 'ontreras 1mail thisAuthor 2+2+4563 @*>=*32 P/

With the Aordable 'are Act no in eect" there is good in#ormation on ho it illaect this !earHs tax preparations$ oth #or Indiiduals and 1mplo!ers$ I %no thishas been a con#using topic #or man! people G once tax time rolls around" thecon#usion ill start all oer againK

'ollapse /ar% as ,nread R1* IRS as a resource Abdul Raheem/ohammed 1mail this Author 2+65+4563 66*5=*4> P/

/odi:ed*2+6>+4563 2*=6 P/

I personall! li%e to research the ne tax las that ill come out that aect smallbusinesses$ ,suall! hen I read those las it gies me a headache ith all the legal

9argon$ ,suall! IHll as% the 'PA hat it all means$ -oes it aect m! business and hocan it be utili0ed to help us$ ther things I li%e to loo% #or are the lin%s to help !our

business ith programs that can help businesses ith tax brea%s$ Its all aboutma%ing the most mone! ithout being taxed a hole lot$ /aximi0e pro:ts$

'ollapse /ar% as ,nread Releant IRS Website In#ormation ?ic% ron1mail this Author 2++4563 *4>*6> P/

rosing through the IRS ebsite there are man! success#ul tools that one coulduse hen anting to obtain in#ormation about taxes" the IRS" pa!ments" re#undsand so much more$ A#ter loo%ing through the ebsite the part I anted to share asthe help#ul lin% o# Where is /! Re#und; This lin% allos !ou to atch a help#ul ideoas ell as allos !ou to put in !our tax in#ormation to chec% on the status o# !ourincome tax re#und$


16/41

I recall a #e !ears bac% using google to search #or a a! to chec% the status o# m!re#und and hen this popped up in the search in8uir! and I actuall! seen that it asproided b! the IRS" I thought hat a great and ama0ing tool to hae that allos #orpeople to conenientl! chec% the status o# there re#und$ I bet it saes the IRS man!calls a da! that the! actuall! hae this online ebGtool aailable$ All !ou simpl!

need is !our SS?" :ling status" and re#und amount$

'ollapse /ar% as Read R1* Releant IRS Website In#ormation *5@ A/

The iRS ebsite ill een assist ith 8uestions about earned income creditsbrosing the ebsite this in#ormation is use#ul #or those that are applicable$

The 1arned Income Tax 'redit and the 'hild and -ependent 'are 'redit helpmillions o# #amilies eer! !ear$ There are also a number o# credits #or small andlarge businesses$ ou ma! hae ta%en deductions hen !ou prepared !our annualtax return$ In addition to the standard deduction #or indiiduals" common deductionsinclude home mortgage interest" state and local tax" and charitable contributions$/an! business expenses are deductible as ell$

http*++$irs$go+'reditsG&G-eductions

'ollapse /ar% as Read R1* Releant IRS Website In#ormation /ichaelFa%eh 1mail this Author 2+@+4563 6*44*57 P/

For me" itHs the time no to start searching ho to :le m! on tax ithout going totax oces" as a#ter reading a lot i #ound that IRS proide #ree so#tare to use it to

:le !our on tax$

last !ear i paid E3 #or :lling m! tax hile a#ter i studied the #ederal tax last class" i#ound itHs not dicult to start do it b! m! sel#$ all hat i need a minimum guide itheas! or simple so#tare$

http*++$irs$go+uac+?esroom+ResourcesGtoGelpGouGPrepareGourGTaxGReturnGandGResoleGTaxG-isputes


17/41

'ollapse /ar% as Read R1* Releant IRS Website In#ormation Ra!nell

/iller 1mail this Author 2+2+4563 64*=4*>5 A/

/odi:ed*2+2+4563 64*=4 A/

i /ichael"

Filing taxes seem so tedious and intimidating to international persons li%e m!sel# sohats o to !ou #or ta%ing that step in :ling !our on taxes$ I hae a 8uestion" basedon !our prior experience ith :ling taxes" ho ensures that the in#ormationproided is correct; -oes the IRS do their on calculations or do the! rel! on thein#ormation proided;

'ollapse /ar% as Read R1* Releant IRS Website In#ormation Alice'ontreras 1mail this Author 2+2+4563 @*>@*52 P/

The! do their on calculations but it is based on the income in#ormation" etc$$$ that

!ou proided in !our submission$ It is basicall! a double chec% o# !our math and!our results$

'ollapse /ar% as Read R1* Releant IRS Website In#ormation StacieTuc%er 1mail this Author 2+2+4563 2*=@*43 P/

In addition to hat Alice said" the! also receie income in#ormation #rom companiesso that the! can eri#! that !ou are using the correct W4 and income in#ormation$Programs li%e Turbo Tax that do the calculations #or !ou ma%es completing !ourtaxes much easier$


18/41

'ollapse /ar% as Read R1* Releant IRS Website In#ormation Ra!nell/iller 1mail this Author 2+65+4563 7*>5*4> P/

Than% !ou #or !our responses$

It is good to %no that there are so#tare programs that can be used to login#ormation throughout the !ear$

'ollapse /ar% as Read R1* Releant IRS Website In#ormation /ichaelFa%eh 1mail this Author 2+65+4563 7*32*3> P/

i Ra!nell"

First than%s but i hae to ta%e that step$ let me anser !our 8uestions$

at the end o# the !ear !ou should hae the W 4 #orm hich shos !our income anddeductions the hole !ear" and !ou donHt :ll it b! !our hand hile the emplo!ergies it to !ou$ and as per !our status !ou :le !our tax and !ou ill :nd ansers toall !our 8uestions hen !ou do it $

but at the end donHt orr! IRS %nos er! ell ho to get in#ormation and ho to

aoid an! #raud$

'ollapse /ar% as ,nread R1* Releant IRS Website In#ormation elli Toth1mail this Author 2+2+4563 >*>6*3@ P/

I agree" I hae done m! on taxes #or !ears$ I hired a pro#essional 4 !ears sincebeing married$ In those 4 !ears e has unusual things I didnHt ant to mess up$ The:rst as hen I got married e has a lot o# expenses and #ees due to gettingmarried to someone #rom outside the ,S" bu!ing a house" and other items and thesecond is hen e relocated #rom /innesota to Florida #or a 9ob$ The selling o# ourold house" trael+moe expense and the compan! paid a lot o# the expense b!putting it on m! pa! chec% as income$ This caused us to oe a lot o# mone! sincethe compan! paid ell oer 655"555 all in #or moing expenses$ It as cra0! and IdidnHt ant to mess taxes up$


19/41

'ollapse /ar% as Read R1* Releant IRS Website In#ormation /ichaelFa%eh 1mail this Author 2+64+4563 >*3=*6@ P/

!es elli" /ore income " more taxes" but itHs so strange that the compan! did thisunder !our income$

the! should at least as% !ou :rst or as% the accountant be#ore put all this expensesin !our pa!chec% $

'ollapse /ar% as ,nread R1* Releant IRS Website In#ormation Abdul

Raheem /ohammed 1mail this Author 2+6>+4563 2*=4*46 P/

rosing through the IRS ebsite there are man! success#ul tools that one coulduse hen anting to obtain in#ormation about taxes" the IRS" pa!ments" re#undsand so much more$ A#ter loo%ing through the ebsite the part I anted to share asthe help#ul lin% o# Where is /! Re#und; This lin% allos !ou to atch a help#ul ideoas ell as allos !ou to put in !our tax in#ormation to chec% on the status o# !ourincome tax re#und$

'ollapse /ar% as Read IRS Website Stacie Tuc%er 1mail this Author2+@+4563 2*3=*>5 P/

-id !ou %no that !ou could claim some adoption expenses incurred on an eligiblechild; Apparentl!" !ou can deduct up to E6>"625 in 456=" court costs and attorne!#ees" and some trael costs incurred during the adoption process$ I 9ust learned thistoda! as I as reading another article on the IRS ebsite$ I thin% that is a onder#uladded bene:t to that processK

http*++$irs$go+taxtopics+tc75$html


20/41


'ollapse /ar% as Read R1* IRS Website Pro#essor Rodrigue0 1mail thisAuthor 2+2+4563 2*=7*=@ A/

Stacie" I %no that stats sho the cost o# adoption ranges #rom E65G>5"555 but the

#amilies I %no seem to ala!s push this upper limit o# E>5"555$ I reall! do li%e thatthe cost can be claimed but I do not li%e that e hae a set limit since it can easil!cost double this and this doesnHt ta%e into account that the aerage cost to raise achild is another E435"555$

'ollapse /ar% as Read R1* IRS Website elli Toth 1mail this Author2+2+4563 >*43*>3 P/

!es" it is nice the IRS lets people deduct expense li%e adoption on taxes but therealit! is the cost is much more than the IRS allos$ I beliee these amounts need toincrease ith the realit! o# the actual cost$

ne example I #ound is child care tax credit$ The maximum amount per child isE>555$ ne important #act is the amount is >3J o# !our total cost and does depend

on income$ For sure da!care cost a! more than E>555 a !ear$

IRS ebsite #or child care credit* http*++$irs$go+uac+?esroom+-ontGerloo%GtheG'hildGandG-ependentG'areGTaxG'redit

'ollapse /ar% as Read R1* IRS Website Rachel HRour%e 1mail thisAuthor 2+2+4563 =*35*66 P/

I agree that the amount alloed per child is #ar less then hat e actuall! spend onthat child through out the !ear$ 1speciall! hen tal%ing about da!care$ The part I


21/41

#ound interesting regarding child care expenses and deductions is that the maxamount alloed #or 4 or more 8uali#!ing indiiduals is E7555$ So #orm m!understanding een i# !ou hae > or = %ids !our max is ala!s set at E7555 hich iseen less compared to a home ith one or 4 children$


'ollapse /ar% as Read R1* IRS Website Pro#essor Rodrigue0 1mail thisAuthor 2+65+4563 6*3@*6@ P/

elli and Rachel" e hae actuall! seen seeral proposals to increase the child creditsince our population replacement ratio is not high enough$ In other ords e arenot haing enough children and it has been noted that this ma! be a a! to

increase the birth rate$ ?o the next 8uestion ould be hether !ou ant adeduction to be a motiating #actor to hae children$$$

'ollapse /ar% as Read R1* IRS Website /egan Staub 1mail this Author2+65+4563 *>2*6 P/

I beliee that the child tax credit should be increased to help #amilies out because

children are er! expensie$ I do not hae an! children" but some o# m! #riendshae children and I can see ho expensie a child is and ill be during theirli#etime$ With this being said" there are man! other deductions and credits thattaxpa!ers can tax adantage o# hen :ling their taxes" as long as the situationpresents itsel#$ There are credits #or #amilies" education" homeoners" andsaings+retirement accounts (IRS$go)$ Also there are deductions #or or% relatedexpenses" educational expenses" medical and dental expenses" and man! otherexpenses that man! taxpa!ers pa! on a regular basis$ I beliee these credits anddeductions are ital #or ma%ing taxes less o# a burden on aerage Americans andcan reall! eect a taxpa!erBs :nancial situation i# used appropriatel!$ ncedeductions that I hae used eer! !ear since graduating #rom college as thestudent loan interest deduction$ Indiiduals ho do not phase out o# this deductionsare alloed to deduct up to E4"355 o# student loan interest paid during the tax !ear$

This credit has saed me mone! eer! !ear b! loering m! taxable income andalleiating m! tax burden$ I tr! to do a 8uic% reie o# tax credits and deductionseach !ear so I can tax adantage o# an!thing that ma! bene:t m! tax situation$

http*++$irs$go+'reditsG&G-eductions+Indiiduals


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'ollapse /ar% as Read R1* IRS Website elli Toth 1mail this Author2+66+4563 65*44*=6 A/

This is a great 8uestion$ I am not sure een i# the! did increase the deduction+creditamount it ould help to decide to hae another child$ This is 9ust me personall! I amnot sure the credit could eer be enough$ Raising a child is er! expense and in a 4parent household ith us both or%ing haing more %ids ould not allo us tospend time ith the ones e hae$ It is not 9ust mone! #or me$

In ma! a!s increasing this credit ma! help #amilies ho ant more but canHt :ndthe #unds to decide to expand their #amil!$ It is an interesting point$ I mean #amiliesare much smaller than be#ore$ It is becoming less and less common to see #amiliesith lots o# children$

'ollapse /ar% as Read R1* IRS Website Rachel HRour%e 1mail this

Author 2+66+4563 65*=5*= A/

er! interesting 8uestion$ I donBt #eel increasing the child credit ill necessaril! be amotiating #actor to ma%e people hae children" hoeer I do beliee it ill ma%e iteasier #or those that do ant children$ The biggest issue ith coupleBs anting toraise a #amil! is mone!$ The amount it cost to raise a child can certainl! put a strainon #amil! :nances$ The aerage cost o# raising a child is roughl! E64"@55 G E6="25per child per !ear #or a toGparent #amil! ith a median annual income beteenE76"3>5 and E657"3=5 (according to the latest annual M'ost o# Raising A 'hildMreport #rom the ,$S$ -epartment o# Agriculture)$ Those :gures are reason enough

#or a #amil! to put their bab! ma%ing dreams on hold$ So I do agree that thereshould be larger child credits #or #amilies ith children$ I do not beliee e can beinXuenced to hae children e do not ant" but b! increasing the tax credit it canhelp to hae the children e do ant$

http*++$hungtonpost$com+456=+5@+6@+costGo#GraisingGaGchildn37@@62$html


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'ollapse /ar% as Read R1* IRS Website Stacie Tuc%er 1mail this Author2+2+4563 2*4*4= P/

The IRS probabl! needs to loo% into that to see i# the! need to increase thededuction amount i# the aerage spent is that highK I onder hen the last timethat amount as increased" I ill hae to research that$ It is sad that an adoptioncosts that much mone!" I did not %no that$ It ould also be nice i# all da!carecosts ere deductible and not 9ust a portion$

'ollapse /ar% as Read R1* IRS Website eather 1lliott 1mail this Author2+66+4563 7*6*45 A/

Stacie" haing gone through the adoption process m!sel#" I %no the adoption taxcredit exists and !ou can receie it bac%$ I %no this section er! ell$ There are a#e things to point out ith this section" an adopted child is not considered eligibleuntil the adoption is :nali0ed$ aing adopted m! son #rom S$ orea 3 !ears ago"the a! it or%ed #or us as our adoption as not considered completed until a!ear a#ter haing our son home" e had to hae > more home isits #rom our social

or%er in order #or it be completed$ Although this as a pain" I #elt it as a goodthing" she had to come shortl! a#ter e arried home" 7 months and then again at 2months or 64 months I beliee$ So" e had to be er! meticulous ith our receiptsthat e %ept in a shoebox #or 4 !ears$ I made copies o# receipts that ere on thethermoheat receipts because I %ne the! had a tendenc! to #ade a#ter 7 months orso$ I had to %eep receipts o# agenc! #ees" airline #ees" an!thing that had to do iththe trael portion o# our trip" hotel" #ood" transportation" la!er #ees (#or the:nali0ation o# adoption)" :ngerprinting #ees" bac%ground chec% #ees" an!thing andeer!thing to do ith the adoption$ I %ept receipts o# an!thing that had to beoernighted or sent priorit! mail to the agenc! (I ala!s made them sign #or stu soI had a record the! receied it)$ When I :nall! go to :le #or the credit" e ere at

E=3 #or the adoption" the best mone! I eer spent$ I had someone help me :le andshe as aesome$ We bro%e it don b! categories and stapled the receipts behindeach tall! sheet (I also made a second cop! #or m!sel#)" I am so grate#ul she asli%e this and an!thing she #elt e could not support" e did not claim$ Than%#ull!"she made me do this because the IRS made us turn oer all the receipts and thetall! sheet be#ore the! ould gie us the chec% #or the credit$ We ere able to getthe maximum amount hich I beliee as about E64$3 at that time$ ,n#ortunatel!m! ex %ept most o# it in our diorce" that is a hole other stor! but I ould hae put


24/41

at least 6+4 in saings #or m! sonHs education$ The point is" this is a onder#ul taxcredit and I hae signed man! a petition to %eep this as a credit #or #uture adoptieparents$ It is tedious to %eep up ith all the receipts but i# !ou do it right and aremeticulous" it is real and !ou can earn it$


'ollapse /ar% as Read R1* IRS Website Pro#essor Rodrigue0 1mail thisAuthor 2+64+4563 *=>*32 A/

eather" than% !ou #or the detail$ I didnHt %no man! o# those details$ Is there an!particular reason h! !ou hit the =3"555 mar%; I %no onl! one other couple thathit that amount and it as because the! traeled the countr! on man! occasions

thin%ing the! ere getting a child onl! to :nd out last minute the! did not$ I thin% it:nall! or%ed out on the #ourth trip$

'ollapse /ar% as Read R1* IRS Website eather 1lliott 1mail this Author2+6>+4563 2*>=*5= A/

/odi:ed*2+6>+4563 2*>2 A/

With our adoption" li%e probabl! man! adoptions" e got our trael call and ereexpected to be in the countr! ithin the next 65 da!s$ So" this causes tic%et pricesto be a little higher than i# !ou could plan in adance$ We did not X! :rst class oran!thing li%e that but e did re8uest the bul% head on the a! bac% as e antedthe extra #oot room and the bassinet #or our ne son$ The other issue e had ase or%ed ith an agenc! out o# ?e or% but the! had to or% ith an agenc! inFN in order to get our home stud! and eer!thing done so" e did hae higheragenc! #ees as e had to use in a sense 4 agencies$ I ill sa! I am so happ! eor%ed ith the agenc! in ? as e got our son a lot 8uic%er than had e used theagenc! in FN and b! that I mean a !ear 8uic%er$ I did m! research" I used an agenc!that had been doing orean adoptions #or oer >5 !ears and had been doing

adoptions in general #or somehere close to @2 !ears I beliee it as at the time$When !ou are adopting" !ou hae to research" research" research" emotions arehigh and !ou ant an agenc! that !ou can #eel are in !our corner and arecom#ortable ith$ The other thing e #aced as the FN agenc! as moing aa!#rom orean adoptions in FN right a#ter e got home ith our son so" luc%il! I had asocial or%er that I alread! %ne and as able to get her to pic% up here the otheragenc! le#t o and this also added more to our costs$ Then e had the :nali0ationso" e had to pa! #or a la!er and also the court costs #or the 9udge$ We did not


25/41

hae to ph!sicall! be there" I ould hae loed to o# done but I had 9ust started ane 9ob and as not able to ta%e the da! o to trael to Tallahassee but e ereable to do it ia phone and luc%il! there as a notar! here I or%ed and she asable to itness our signatures and eer!thing else$ I honestl! ould not change onedetail about our adoption$ The son I hae as the son I as meant to hae and he is

such a beauti#ul and loing soul$ I am sure the adoptions #or orea ma! hae goneup in price as no it is re8uired to do to trips but is no :nali0ed in orea so" li%e'hina" once !ou hit American soil" !ou are a citi0en$ I ill sa! I did not :nd humor inthe elcome e receied once e hit Atlanta" (e had to X! #rom FN to ATN andthen nonstop to orea and the reerse coming home" oh e opted to X! orean Airbecause o# the customer serice I %ne e ould receie on the plane) The gu!thought he as #unn! b! loo%ing at m! son and sa!ing elcome to America" no:nd a 9ob$ NetHs 9ust sa!" I did not ant to get arrested" I did hoeer sa!" soundsli%e !ou need to be retrained on ho to do !ours$ (momma bear as in #ull eect)We also made sure to tour our sonHs countr! and learn as much as possible$ We#ound out some er! interesting #acts about orea and also isited the -/V$ As egot closer" it ent #rom a Msa#e tripM to a Msomehat sa#e tripM and ere told to loo%out #or the orange upside don triangles as the! represent landmines are presentand in the ords o# our guide" Mthe! onHt %ill !ou but !ou ma! lose an an%leM$ Thetrip to the -/V as er! similar to hat !ou see in a ideo game" the! had items inplace in case the enem! came %noc%ing" !ou could not drie straight on some o# theroads closest to the -/V" it as 8uite an experience$ I am loo%ing #orard to ta%ingm! son bac% hen he is about 64 to isit his homeland and see here he came#rom$

'ollapse /ar% as Read IRS ebsite Fausto /elara 1mail this Author2+@+4563 65*52*=5 P/

ne thing I loo%ed up the IRS ebsite as hen I as going to school #or m!undergrad$ While going to school I as or%ing as a hoc%e! re#eree$ 1er! !er I asreceiing a 6522 hich as a bit #rustrating because I as neer getting m! taxesta%en out o# m! chec% at the time it as great but b! the end o# the !ear" I asgetting hit ith a huge tax liabilit!$ I loo%ed on the ebsite and #ound all sorts o#in#ormation about deductions taxable income and school bene:ts$ This as about6> !ears go" the IRS ebsite has improed more oer the !ears but I thought it as

er! help#ul

'ollapse /ar% as Read R1* IRS ebsite Ra!nell /iller 1mail this Author2+2+4563 64*>*=2 A/


26/41

/odi:ed*2+2+4563 64*>@ A/

aing explored the ebsite I #ound it help#ul to hae in#ormation bro%en don #orsmall businesses & sel# emplo!ed" corporations" charities & non pro:ts" goernmententities" tax pros & partners" excise taxes and estate and gi#t taxes$ I chose toresearch gi#t taxes because Americans in m! opinion are er! generous hen the!

gie$ I read that the tax applies hether the donor intends to trans#er the gi#t ornot$ The gi#t applies to the trans#er o# an! propert! hether it is mone!" use o# orincome #rom propert! ithout expecting to receie something o# e8ual alue inreturn$

http*++$irs$go+usinesses+SmallGusinessesG&GSel#G1mplo!ed++4563 @*56*6> P/

Than% !ou #or this in#ormation Pro#essor" I am surprised there is a li#etime max$

'ollapse /ar% as Read Small usiness & Independent 'ontractor/ichael White 1mail this Author 2+2+4563 6*62*63 P/


27/41

/an! small business cannot aord to hire emplo!ees to support the compan!ob9ecties$ usiness ill contract or% out to indiiduals to assist in their operationand support the ob9ecties$ As a preious oner o# a tax" accounting and consultingpractice I needed a secretar!+oce manager to assist ith calling client and :lingdocument$ I needed to %no ho to report pa!ment to the IRS #or the persona as

an independent contractor and the #orms to :le$ The IRS eb site as help#ul inproiding the reporting o# pa!ments to the contractor$ I as able to use the smallbusiness and sel#Gemplo!ed section to research the issue$


'ollapse /ar% as Read R1* Small usiness & Independent 'ontractorPro#essor Rodrigue0 1mail this Author 2+65+4563 4*5>*6> P/

/ichael" the classi:cation o# an independent contractor or emplo!ee is o#ten notblac% and hite$ 1en ith all o# m! research I am still not 655J certain that thosethat report to me are independent contractors hich is ho I hae classi:ed them$

This is a big deal gien the reporting re8uirements necessar! #or an emplo!ee$

'ollapse /ar% as Read R1* Small usiness & Independent 'ontractorAlice'ontreras 1mail this Author 2+66+4563 6*>*46 P/

Pro#essor"

-o !ou hae to ithhold #ed+state taxes #rom their pa! and report their earnings ; i#the! are independent contractors" ouldnHt the! hae ta%e care o# that on their onsomeho;



28/41

'ollapse /ar% as Read R1* Small usiness & Independent 'ontractorPro#essor Rodrigue0 1mail this Author 2+64+4563 *=*> A/

Alice" !ou are correct$ I do not do an! o# this since the! are contractors$ /! issueas that I am their primar! income source and struggled tr!ing to ma%e sure that Icould maintain their status as contractors$

'ollapse /ar% as Read R1* Small usiness & Independent 'ontractor'arrah urton 1mail this Author 2+6>+4563 @*5*34 A/

The class I too% prior to this through eller as Negal 1nironment o# usiness ande discussed independent contractors s$ emplo!ee" especiall! ith regards tolegal liabilit! o# the emplo!er #or both$ The textboo% #rom that class states*

MWhen called on to distinguish beteen an emplo!ee and an independentcontractor" courts scrutini0e the degree o# control the emplo!er has oer the agent$'ourts also consider #actors such as (6) hether the hired persons had a distinctoccupation or pro#ession" (4) hether the! supplied their on tools and e8uipment"(>) hether the! ere emplo!ed onl! #or a speci:c time period" (=) hether the!ere paid hourl! or on completion o# a 9ob" and (3) hat degree o# s%ill as re8uiredto do the 9ob$ (ubase% >2)

Since the courts ill hae to use these 3 dierent techni8ues o# 9udgement" itcon:rms our discussion that it is not ala!s clear ho to categori0e indiidualsreporting to !ou #or dierent 9obs and ho to tax them$ ere is the site on the IRSeb site that tries to help clari#! and guide on the issue*http*++$irs$go+usinesses+SmallGusinessesG&GSel#G1mplo!ed+IndependentG'ontractorGSel#G1mplo!edGorG1mplo!ee

ubase%" ?anc! $" artle! rennan" /$ rone$ The Negal 1nironment o# usiness"th 1dition$ Pearson Nearning Solutions" 64+456>$ italoo% :le$

'ollapse /ar% as Read R1* Small usiness & Independent 'ontractorAlice'ontreras 1mail this Author 2+6>+4563 65*>>*=> A/


29/41

Wa! to bring out the boo%s !ou neer thought to use again *)

'ollapse /ar% as Read IRS Website Andre Pla0a 1mail this Author2+2+4563 3*>5*=4 P/

I used the IRS ebsite to help me ith a 6522 some !ears bac%$ At that time I asinto multiGleel mar%eting businesses$ It de:nitel! too% me some time$ I# I eer hadto do another one I ould probabl! hire an accountant and chec% it oer m!sel#$

'ollapse /ar% as Read IRS Website


30/41

lo and behold all the in#o that I #ound on the internet and got hile spea%ing iththe IRS rep as there in its on FAQs section$ I# I ould hae chec%ed there :rst Iguess I might not hae had a mini panic attac%K

So 9ust so !ou all %no -er!+eller :ll out box 4 o# the 65@2GT not box 6" 9ust incasean! o# !ou also get a loel! 'P4555 in the mailK


'ollapse /ar% as Read R1* IRS Website Pro#essor Rodrigue0 1mail this

Author 2+64+4563 *34*34 A/


31/41

The topic I pic%ed on IRS ebsite is ,nderstanding !our IRS ?otice or letter$ A #e!ears ago I attempted to do m! on taxes ithout help #rom outside pro#essionals$A #e ee%s later I receied a thic% letter in the mail stating that there as errorith m! #orm and I oed some additional mone!$ I ent to the IRS ebsite and ent

to the ,nderstanding IRS ?otice or letter section$ It gae me a brea%don on h!the! ould send me a letter$ Some examples include* haing a balance due" hainga 8uestion about m! tax return" and changing m! return$ It turns out that the reason#or the letter as that I completed the rong 65=5 #orm hen per#orming m! taxesand the! ere riting to in#orm me o# error$ I sent in the #ull amount that as oed$

This section reall! helped me because I as con#used about the letter but m!8uestions as ansered on the ebsite$

http*++$irs$go+Indiiduals+,nderstandingGourGIRSG?oticeGorGNetter


'ollapse /ar% as Read R1* IRS Website (graded) Pro#essor Rodrigue0 1mailthis Author 2+65+4563 4*53*6= P/

Oason" that is a great resource$ /an! ould 9ust be a#raid that the! receied

an!thing #rom the IRS so %noing that e can :nd resources li%e this is good to%no$

'ollapse /ar% as Read R1* IRS Website (graded) Ra!nell /iller 1mail thisAuthor 2+65+4563 *64*5 P/

Is the IRS eer rong;

Through research there are numerous a!s in hich the IRS can be rong$

Wrong social securit! numberG a data cler% can mist!pe a number or ma! beassigned more than one number$


32/41

Wrong incomeG income can be earned mista%enl! b! someone else other than!oursel#$

Nost returnG In some cases the IRS or ,S Postal Serice loses !our return andpa!ment" electronic :ling is recommended$

/isapplied pa!mentsG pa!ments are sometimes posted to the rong !ear or therong tax t!pe$

http*++$idgl$org+pages+cGtaxtrouble+commonmista%es$html

'ollapse /ar% as Read R1* IRS Website (graded) Stacie Tuc%er 1mail this

Author 2+65+4563 @*>6*6> P/

ou are correct" the IRS can be rong at times and so can state tax #acilitators$ Inm! or% experience" IHe had to deal ith misapplied pa!ments and incorrect datadue to clerical error on the agenc!Hs side$ In each case" it as not dicult to dealith and hae the mista%es corrected b! #olloing the instructions that the! outlinein their lettersL hoeer" the initial notice does tend to rattle !our neres a little$

It is also er! important that !our in#ormation on :le ith !our pa!roll departmentand hae an! errors corrected prior to !ear end be#ore W4 are produced$ ou

should loo% at !our social securit! number" address" name" pa!roll amounts"an!thing that ill be reported to the IRS to ma%e sure its correct$

'ollapse /ar% as Read R1* IRS Website (graded) Angela Williams 1mailthis Author 2+6>+4563 66*56*5= A/

I ould li%e to thin% that the IRS is rong on man! occasions but the! are the IRSand unless it can be proen in blac% and hite" the! ill be right most o# the times$

The IRS is basicall! comprised o# human beings trained to do a speci:c 9ob$ I %noa gentleman ho recentl! retired #rom the IRS that in#ormed me o# man! mista%esthat the IRS ma%es on a regular basis$ ?aturall! he ouldnHt go into detail o# thesemista%es but he 9ust told me to ma%e sure that I should %eep copies o# eer!thingand be certain that I contact the IRS i# I notice an!thing incorrect$ As I mentionedpreiousl! regarding m! sisterHs taxes" hen her school credit as not included on


33/41

her taxes" I had to send seeral documents #or eri:cation$ Although the processtoo% seeral months" the mista%e (oersight) as corrected and her re#und asissued$

'ollapse /ar% as Read R1* IRS Website (graded) Oason -onald 1mail thisAuthor 2+66+4563 2*=6*>= A/

Oason" that is a great resource$ /an! ould 9ust be a#raid that the! receiedan!thing #rom the IRS so %noing that e can :nd resources li%e this is good to%no$

I agree that this a great resource to hae #or people hen needed" but in thebeginning a#ter receiing the letter I as er! a#raid because o# the un%non o#hat it meant #or me$ For one I as a#raid that it might be serious conse8uences(9ail time" court) because o# the seriousness o# the letter$ The :rst thing I did aschec% m! completed #orms to see i# I made an! mista%es (1x$ 'omputations orrong SS?) because that hat !ou thin% about hen !ou in this situation$ It too%me a #e hours ith the letter to 9ust go to ebsite and see i# I could :nd an!in#ormation that could assist me in resoling this problem$ A#ter reading thein#ormation the orr! decreased because it as m! mista%e that the rong #ormas done$ All that needed to be done as to pa! the balance that as oed andthere ould be no other punishment$

'ollapse /ar% as Read R1* IRS Website (graded) Shante Strachan 1mailthis Author 2+66+4563 4*=7*5 P/

Than% !ou Oason$ /! !oungest brother 9ust receied a letter #rom the IRS that stateshe as oerGre#unded and oes mone!$ Well the letter is in regards to his 456>

taxes and he had a pro#essional prepare them$ e is !oung and not er! :nanciall!literate so this ma! help him be#ore he goes bac% to the pro#essional to hae herreie the letter$ I ill probabl! loo% at it ith him but either a! itHs good to haesome understanding$


34/41

'ollapse /ar% as Read R1* IRS Website (graded) eather 1lliott 1mail thisAuthor 2+64+4563 *>7*>= A/

I hae gotten letters be#ore and been able to easil! :gure them out b! loo%ing attheir ebsite too$ ItHs li%e an!thing in li#e I thin%" !ou get a little #rea%ed out at :rstbecause it is something !ou hae neer dealt ith be#ore" it is #rom the goernment

and it can be con#using$ ItHs usuall! a #orm t!pe letter the! use and !ou hae to loo%and see here the MxM is to tell !ou hat is rong$ ItHs hard to thin% straight at :rstbecause !ou get in a MpanicM oer it$ I hae also #ound that man! times i# !ou call"the! can loo% it up and explain it oer the phone too" 9ust atch !our attitude hen!ou call$ ItHs li%e customer serice an!here" !ou come ith an attitude" the! illhae one right bac%KK ill Hem ith %indness and using bu00 phrases li%e Mcan !ouhelp clari#! something #or me please;M" MI am not 8uite sure hat I am loo%ing at;M"and Mcould !ou please help me understand hat I need to do;M hae ala!s or%ed#or meKK

'ollapse /ar% as Read IRS Website Shandanee Sha 1mail this Author2+2+4563 2*3@*47 P/

At the IRS Web site !ou can donload tax #orms" instructions" IRS publications" andregulations$ nce there" !ou can also clic% on C/ore nline ToolsD to access the IRSithholding calculatorY!ou can use it to ma%e sure !ou arenBt haing too much ortoo little ithheld #rom !our pa!chec%$ (


35/41

Than% !ou #or sharing$ I did not %no this as on their ebsiteK This ouldHe beener! help#ul about a !ear ago hen I started a ne 9ob and as tr!ing to :gure outho much I needed ithheld in taxes$ I ill need to remember this in case I need toupdate m! in#ormation a#ter I do taxes this coming spring$

'ollapse /ar% as Read IRS Website Shandanee Sha 1mail this Author2+2+4563 65*4>*52 P/

ne great tool #rom the IRS is in#ormation on Audits$ I as audited a #e times$nce as #or a credit card I had$ Since I did a settlement" the credit card compan!$ Idid not %no the! reported the rest as income$ For that I as audited$ ?eer moreill that happen$

ere is ho Audits occur*

Audit Selection

Selecting a return #or audit does not ala!s suggest that an error has been made$Returns are selected using a ariet! o# methods" including*

Random selection and computer screening G sometimes returns are selected basedsolel! on a statistical #ormula$

-ocument matching G hen pa!or records" such as Forms WG4 or Form 6522" donHtmatch the in#ormation reported$

Related examinations G returns ma! be selected #or audit hen the! inole issuesor transactions ith other taxpa!ers" such as business partners or inestors" hosereturns ere selected #or audit$

I as able to reie their publications on m! rights" m! steps i# I accept the audits"and i# I disagree ith the audits$

I as able to recti#! one o# the audits ith these guidelines

Retrieed on September 2" 4563 #rom http*++$irs$go+usinesses+SmallGusinessesG&GSel#G1mplo!ed+IRSGAudits


36/41


'ollapse /ar% as Read R1* IRS Website Pro#essor Rodrigue0 1mail thisAuthor 2+66+4563 66*=6*4 A/

Shandanee" did !ou represent !oursel# or did !ou use an agent; It is seldomrecommended to represent !oursel# so I am curious i# !ou ere able to handle itithout help$

'ollapse /ar% as ,nread R1* IRS Website Shandanee Sha 1mail thisAuthor 2+64+4563 >*6>*>6 P/

Actuall!" I represented m!sel#$ I as%ed hat the! ere loo%ing #or in regards #or meto submit as supporting documentations$ I as able to gie the additionalin#ormation needed$ 1en though the IRS audited me" the! ere able at the sametime help me recti#! the situation or ma!be the customer serice rep as nice thatda!$ I as able to proide the documents that ere needed to help support the

:ndings the! ere loo%ing #or$ I also consulted ith m! accountant ho as%ed methe 8uestions and i# there as something I #orgot to enter or gae hile the! erecompleting m! taxes$

'ollapse /ar% as ,nread R1* IRS Website Fausto /elara 1mail this Author2+66+4563 6*65*6> P/

Something else I #ound interesting on the IRS ebsite" Is that the IRS is ta%ing largesecurit! precautions and educating the public on ho to protect themseles #rom I-the#t$ With technolog! groing at at tremendous rate there is ala!s room #orthieer! and manipulation$ IRS ebsite goes to great lengths in shoing ho tosa#eguard !oursel# hich I #elt that is er! help#ul$


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'ollapse /ar% as ,nread R1* IRS Website Ra!nell /iller 1mail this Author

2+66+4563 6*=>*6> P/

Than%s Fausto #or !our insight$

I loo%ed at the in#ormation on identit! the#t and #ound some in#ormation on ho !ouould %no that !ou are a ictim o# identit! the#t$

When !ou oe additional tax" !ou hae a re#und oset or hae had collectionactions ta%en against !ou #or a !ear in hich !ou did not :le$

ouHe receied ages #rom an un%non emplo!er$

'ollapse /ar% as ,nread R1* IRS Website Andre Pla0a 1mail this Author2+6>+4563 4*32*67 A/

I actuall! dealt ith I- the#t too Fausto$ I neer reerted to the IRS ebsite bac%then" but I ould no$ People thin% the ebsites that as% #or !our card in#ormationare the s%eptics but itHs cra0! ho much those ebsites spend on ma%ing surepeopleHs identi:cation are not stolen$ ThatHs something I didnHt learn to recentl!$

'ollapse /ar% as ,nread R1* IRS Website ?ic% ron 1mail this Author2+6>+4563 >*57*43 A/

Fausto great post$ Seriousl! the IRS ebsite is er! use#ul and in#ormatie$ I ent

bac% on the site and #ound as !ou mentioned a hole section on identit! the#t andpreention$ I een noticed dierent lin%s on hat the IRS is doing to combat identit!the#t$ With dierent en#orcement eorts and steps on IRS criminal inestigation$?eer ould hae thought that the IRS ebsite ould be so use#ul$


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'ollapse /ar% as ,nread R1* IRS Website Abdul Raheem /ohammed1mail this Author 2+2+4563 66*53*5> P/

/odi:ed*2+6>+4563 2*=6 P/

the IRS ebsite is er! use#ul and in#ormatie$ I ent bac% on the site and #ound as!ou mentioned a hole section on identit! the#t and preention$ I een noticeddierent lin%s on hat the IRS is doing to combat identit! the#t$ With dierenten#orcement eorts and steps on IRS criminal inestigation$ ?eer ould haethought that the IRS ebsite ould be so use#ul$

'ollapse /ar% as Read IRS Website Ooann /orales 1mail this Author2+65+4563 @*>@*65 P/

/! husband and I use the the site to chec% the status o# our re#und and since nohe is no sel# emplo!ed$ We hae been going to the Sel#G1mplo!ed Indiidual Tax'enter section to learn hat are his obligations$ n their site" I learned that the!hae an app called IRS4


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There are other credits aailable as ell" the AT'$ The AT' does a hae a = !earbene:t limit" meaning !ou can onl! use it = !ears totall! and then !ou are no longereligible to receie it$ The! do not hae to be consecutie !ears$

The Ni#etime Nearning 'redit o# up to E4"555 per tax return is aailable #or bothgraduate and undergraduate students$ ,nli%e the American pportunit! Tax 'redit"the limit on the Ni#etime Nearning 'redit applies to each tax return" rather than toeach student$ Also" the Ni#etime Nearning 'redit does not proide a bene:t to peopleho oe no tax$

Though the hal#Gtime student re8uirement does not appl! to the li#etime learningcredit" the course o# stud! must be either part o# a postGsecondar! degree programor ta%en b! the student to maintain or improe 9ob s%ills$ ther #eatures o# thecredit include*

Tuition and #ees re8uired #or enrollment or attendance 8uali#! as do other #eesre8uired #or the course$ Additional expenses do not$

The credit e8uals 45 percent o# the amount spent on eligible expenses across allstudents on the return$ That means the #ull E4"555 credit is onl! aailable to ataxpa!er ho pa!s E65"555 or more in 8uali#!ing tuition and #ees and has sucienttax liabilit!$

Income limits are loer than under the American pportunit! Tax 'redit$ For 4563"the #ull credit can be claimed b! taxpa!ers hose /A


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means that the credit ma! be used #or partGtime stud!" not 9ust students enrolled atleast hal#Gtime in a degree program$

Quali:ed higher education expenses include tuition and #ees$ ?onacademic #ees

such as student actiit! #ees" athletic #ees and insurance are excluded$ Theexpenses must be related to the studentHs academic course o# instruction$ 1xpensesrelated to sports" games or hobbies are excluded unless the! are part o# thestudentHs degree program$

The expenses must hae been paid b! the taxpa!er or b! the student" and thetaxpa!er must list the student as an exemption on their income tax return$ (An!8uali:ed tuition and related expenses paid b! the dependent are treated as thoughthe! ere paid b! the taxpa!er" per 47 'FR 43A(g)(>)$)

Taxpa!ers ho are married cannot claim the tax credit i# the! are :ling separatereturns$

Scholarships and :nancial aid do not count as 8uali:ed tuition and related expensespaid b! the taxpa!er$ nl! outGo#Gpoc%et expenses count$ " 4563 #romhttp*++$:naid$org+otheraid+li#etimelearning$phtml

'ollapse /ar% as Read R1* Ni#etime Nearning Tax 'redit Oacinda Smith1mail this Author 2+6>+4563 65*==*=2 P/

Alice"

This is an aesome ealth o# in#ormationK Than% !ou #or sharingK I ill hae to sa! I%no in times past I hae used the Nie#time Nearning 'redit be#ore$ I am not sureho man! times I hae used it and I %no I didnHt use it last !ear hen I :led ith

Turbo Tax$ I ill hae to see ho things go this spring hen I go bac% to m! #amil!


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tax person$ I ill hae to loo% into the American pportunit! tax credit" I am not#amiliar ith that one$

. Times are displa!ed in (

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Thread 2 - IRS Website