by Jean Miller | Accounting News, Uncategorized
IRS Launches the IRS2Go App for iPhone, Android; Taxpayers Can Check Refunds, Get Tax Information
Video: IRS2Go: English | ASL
IR-2011-8, Jan. 24, 2011
WASHINGTON — The Internal Revenue Service today unveiled IRS2Go, its first smartphone application that lets taxpayers check on their status of their tax refund and obtain helpful tax information.
“This new smart phone app reflects our commitment to modernizing the agency and engaging taxpayers where they want when they want it,” said IRS Commissioner Doug Shulman. “As technology evolves and younger taxpayers get their information in new ways, we will keep innovating to make it easy for all taxpayers to access helpful information.”
The IRS2Go phone app gives people a convenient way of checking on their federal refund. It also gives people a quick way of obtaining easy-to-understand tax tips.
Apple users can download the free IRS2Go application by visiting the Apple App Store. Android users can visit the Android Marketplace to download the free IRS2Go app.
“This phone app is a first step for us,” Shulman said. “We will look for additional ways to expand and refine our use of smartphones and other new technologies to help meet the needs of taxpayers.”
The mobile app, among a handful in the federal government, offers a number of safe and secure ways to help taxpayers. Features of the first release of the IRS2Go app include:
Get Your Refund Status
Taxpayers can check the status of their federal refund through the new phone app with a few basic pieces of information. First, taxpayers enter a Social Security number, which is masked and encrypted for security purposes. Next, taxpayers pick the filing status they used on their tax return. Finally, taxpayers enter the amount of the refund they expect from their 2010 tax return.
For people who e-file, the refund function of the phone app will work within about 72 hours after taxpayers receive an e-mail acknowledgement saying the IRS received their tax return.
For people filing paper tax returns, longer processing times mean they will need to wait three to four weeks before they can check their refund status.
About 70 percent of the 142 million individual tax returns were filed electronically last year.
Get Tax Updates
Phone app users enter their e-mail address to automatically get daily tax tips. Tax Tips are simple, straightforward tips and reminders to help with tax planning and preparation. Tax Tips are issued daily during the tax filing season and periodically during the rest of the year. The plain English updates cover topics such as free tax help, child tax credits, the Earned Income Tax Credit, education credits and other topics.
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by Jean Miller | Accounting News, Uncategorized
I just had to post something about the benefits of working remotely! I have all of my “work stuff” spread out around my computer at home and needed to get some information from a client. Turns out that she is also working from home today! Because she has her company file hosted remotely, she is able to process invoices, payroll, and other daily tasks from the comfort of her home while the ice and snow pile up outside. Our firm also employs remote technology that enables us to access our workpapers and other documents so that when the weather (or creeping crud) prevents us from getting to the office, we can still be productive. There are so many applications available that are not only paperless, but integrate with QuickBooks and other accounting software. Many of these applications save time and money in the long run because they reduce data entry and redundancy.
If you are interested in learning more about hosted data services, or any other methods for working from multiple locations, give us a call. We would be happy to go over your options.Â
As a side note, if your QuickBooks file is sluggish or just getting unwieldy, we can help you get it in shape! And unlike having QuickBooks join Weight Watchers, you can normally see results in 24-48 hours!
by Jean Miller | Accounting News, Uncategorized
Here are a few quick thoughts on financial aid for college educations:
A parent’s income is usually the biggest factor in the calculation of a student’s expected family contribution (EFC). EFC is the minimum amount that the student and/or their family is expected to contribute toward the cost of college. The most common adjustments against income in the EFC formula are: federal taxes paid, state taxes paid, FICA taxes, and something called the “income protection allowance.” This is one time where paying more federal and state tax is actually a good thing! Unfortunately, most tax planning is focused toward paying LESS tax, not more.
Also affecting the calculation of the EFC are things like the amount of retirement plan contributions, how assets are listed as far as ownership, and what types of accounts the assets are held in. The reason that calculating the EFC is so critical is that this number is a part of what is called Financial Need Analysis. The formula for Financial Need Analysis is:
                                 Cost of Attending the College – EFC = Financial Need
The selection of a college (and its cost of attendance) is what will drive the financial need of your child. Because the calculated EFC is constant (it doesn’t change with the tuition because it is based on your income with the adjustments discussed previously), the financial need of the student can change. The financial need of a student with an EFC = $20,000 is much different if the cost of attending College #1 is $52,000 and the cost of attending College #2 is $15,000.
A couple of other things to keep in mind:
If you are unemployed, you may be considered a “dislocated worker” for financial aid purposes. This may increase your child’s need-based financial aid eligibility under the federal financial aid rules.
Think the FAFSA is hard? Well, some colleges require both the FAFSA and the CSS Profile! Fortunately, both of these applications can be completed online.
Many of the favorable tax credits, deductions and rates have been extended for another couple of years. Make sure that your tax preparer is taking advantage and making the most of these tax changes.
And finally, good luck!
by Jean Miller | Accounting News, Uncategorized
It can be a little tricky if you are using QuickBooks with Enhanced payroll and want to electronically file your Indiana copies of the W-2’s.
Give one of our three Quickbooks ProAdvisor’s a call.
Cindy, Sheryl, or Jean will be able to walk you through the steps to electronically file these Indiana state forms. Indiana is requiring these W-2’s to be submitted electronically if you have over 25.
by Jean Miller | Accounting News, Uncategorized
Special Outreach Efforts to Unemployed
The IRS is working and coordinating with state departments of revenue and state workforce agencies to help taxpayers who are having problems meeting their tax liabilities because of unemployment or other financial problems.
These coordinated efforts may include opportunities for taxpayers to make payment arrangements and resolve both federal and state tax issues in one place.
Special Section of IRS.gov
Taxpayers who are unemployed or struggling financially can find information on a special page on the IRS Web site, IRS.gov. This online tax center has numerous resources including links to information on tax assistance and relief to help struggling taxpayers
Other Options Available for Taxpayers
The IRS will continue to offer other help to taxpayers, including:
• Assistance of the Taxpayer Advocate Service for those taxpayers experiencing economic harm, who are seeking help in resolving tax problems that have not been resolved through normal channels.
• Postponement of collection actions in certain hardship cases.
• Added flexibility for missed payments on installment agreements and offers in compromise for previously compliant individuals having difficulty paying.
• Additional review of home values for offers in compromise in cases where real-estate valuations may not be accurate.
• Accelerated levy releases for taxpayers facing economic hardship.
In addition, the IRS will accelerate lien relief for homeowners if a taxpayer cannot refinance or sell a home because of a tax lien. As previously announced, a taxpayer seeking to refinance or sell a home may request the IRS make a tax lien secondary to the lien by the lending institution that is refinancing or restructuring a loan. The taxpayer may also request the IRS discharge its claim if the home is being sold for less than the amount of the mortgage lien under certain circumstances.
