If you are eligible for the Recovery Rebate Credit this tax season, you will do so through either Form 1040 or Form 1040-SR. Tax returns for 2020 will include a worksheet for taxpayers to fill out to see if they are eligible to claim this tax credit. To fill in the worksheet you will need to know about any stimulus payments you have already received. Under the terms of the Recovery Rebate Credit, the stimulus amount phases out if your income exceeds $75,000 if you are a single taxpayer, or $150,000 if married and filing jointly. The phase-out limit is … Continue reading Completing the Recovery Rebate Credit Worksheet
If you received each stimulus check in full, you have already received the government support you are entitled to. If, however, you have yet to receive the corona virus stimulus check you were entitled to, you may still be able to claim the Recovery Rebate Credit through Form 1040/1040-SR when you file your tax returns during the 2021 tax season. The IRS provides a Recovery Rebate Credit Worksheet on its website and with Form 1040/1040-SR to help you work out whether you are eligible to claim this tax credit. Taxpayers who are eligible to claim this tax credit must have … Continue reading Can I Claim the Recovery Rebate Credit?
Are you someone who has complex tax affairs? It may be time to submit your tax return using the help of a professional CPA. A professional can guarantee that you claim every credit and dependent exemption available to you. Most professionals will, additionally, provide you with an estimated date for your tax refund. All professionals will recommend electronic filing, when w2s come out. Continue reading Why You May Want to Consider Hiring a Professional Tax Person
In most years, the tax season will begin sometime in late January. The start of the tax season is defined by the date the IRS officially starts accepting tax returns. During the last few years, the tax season hasn’t started until February, as a result of new tax laws passed by Congress. As of this writing, you should expect the tax season to start in late January as the number of changes passed have been minimal. However, that could still change. The main point you need to know about is that if you’re claiming either the Child Tax Credit (ACTC) … Continue reading When Does Tax Season Officially Begin?
The Earned Income Tax Credit (EITC) is one of the most valuable tax credits available to lower- and middle-income families. A huge number of families are eligible to claim this credit every year because of their income and the number … Continue reading Earned Income Credit Table Amounts 2020, 2021
Did you spend any money on childcare expenses this year? You can get some of that back by claiming the Child and Dependent Care Tax Credit. You can also use the child and dependents tax credit calculator to see how … Continue reading Child & Dependent Care Tax Credit & Calculator (2020, 2021)
Residential energy tax credits give you the chance to upgrade your home with renewable energy improvements and get help with the cost through a tax credit. As of now, the credits are good through 2019. They come in the form … Continue reading Residential Energy Tax Credits
The Earned Income Tax Credit (EITC) is one of the most valuable tax breaks available to low- and middle-income American taxpayers. It has the potential to lower a person’s tax bill beyond $0, so they could get a refund from … Continue reading How the EITC Supports Low- and Middle-Income Americans
The child tax credit is one of the most common types of tax credits around for American families. But the credit has changed because of the recent Tax Cuts and Jobs Act (TCJA). These changes apply for 2018 and future … Continue reading The Child Tax Credit 2020 is Worth Double
The world of tax refunds is complicated. What’s the difference between a refundable tax credit and a tax deduction? Which credits am I eligible for? The lack of knowledge surrounding the potential tax refunds on the table means that so … Continue reading Are You Eligible for a Tax Refund This Year?