The IRS and your employer expects you to change your form to reflect your filing status and consider any annual tax deductions, i.e., Child Tax Credit or Educations Credits that lower your tax liability.
Category Archives: Tax Laws
IRS – Tax Updates May – 2021
Filing Date for Tax Year 2020 is May 17, 2020, unless filing for an extension.
Forms 1099-NEC and 1099-MISC
Form 1099-NEC is a new form for tax year 2020 for nonemployee compensation of $600 or more to a payee
Schedule D
If you file a Schedule D with a Form 1040; you will need to file a Form 8949, Sales and Other Dispositions of Capital Assets.
Charitable Cash Donations
Form 1040 If you are not able to Itemize this tax year 2020, you are allowed to write off up to $300 in cash donations. Input your Charitable Cash donations amount on line 10b for 1040 and 1040 SR tax forms. See yellow line below.
IRS Delays Filing Date to February 12, 2021
Years ago, I began this blog to relay IRS tax law changes. This past year has seen numerous tax law changes due to Covid-19. The most recent change is to begin processing tax returns on February, 12, 2021, for tax year 2020. This is due to the lack of staff, tax forms are changing, andContinue reading “IRS Delays Filing Date to February 12, 2021”
Identity Protection Pin
IP PIN is a six-digit number that prevents someone else from filing a tax return using your Social Security number.
How IRS Protects Taxpayers from Identity Theft
The IRS announced beginning, December 13, 2020, it will be masking sensitive data from business tax transcripts. This announcement provides 30 days for stakeholders to make changes.
IRS and Small Business Week
Sharing information posted from Internal Revenue Service (IRS) for small businesses
Tax Form W-2 Versus 1099 Misc Box 7
A W-2 taxpayer pays 50% and the employer contributes 50% of the taxes. This detail has an impact on the taxpayer tax liability. I highly recommend reading the IRS governance on self-employment, gig economy, freelance, or other earned income
