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☆ Over 16 million taxpayers from states like California should hold off on filing their taxes because of extra stimulus checks, the IRS says
▼ + stars: | 2023-02-08 | by ( Juliana Kaplan | ) www.businessinsider.com time to read: +4 min

In 2022, some states opted to give residents checks or tax rebates to offset the cost of inflation. Now, the IRS is looking into those payments and their taxability, and advising taxpayers who received them to wait on filing their federal returns. Now, it's unclear whether those checks might lead to a surprise tax burden, and even the IRS isn't sure. The IRS said that, for filers who aren't sure whether their state payments will be taxed, they recommend waiting until there's more guidance. By the state's accounting, its Middle Class Tax Refund — which ranged from $350 to $1,050 — reached over 31 million taxpayers and dependents.

☆ To get your tax refund as quickly as possible, follow this rule of thumb, says CPA
▼ + stars: | 2023-01-31 | by ( Ryan Ermey | ) www.cnbc.com time to read: +3 min

Employers have until January 31 each year to file tax documents such as Form W-2 with the IRS and furnish employees with copies. You'll get your refund faster … or find out earlier if you oweThe earlier you file, the sooner you'll get your refund. "Taxpayers should prepare to file electronically and choose Direct Deposit for their tax refund — it's the fastest and safest way to file and get a refund," according to recent IRS taxpayer guidance. If you're hit with a surprise tax bill, you're better off knowing as soon as possible, says Vande Guchte. You're less likely to get your tax refund stolen

Insider's experts choose the best products and services to help make smart decisions with your money (here’s how). See Personal Finance Insider's picks for the best tax software »Get the latest tips you need to manage your money — delivered to you biweekly. Do it yourself with tax software or through the IRS website. So, should you prepare taxes yourself or hire someone to help? These all impact your tax filing, and, at least the first time you document them on your taxes, you might want someone to show you how best to do it.

☆ You Might Get a Smaller Tax Refund This Year
▼ + stars: | 2023-01-10 | by ( Ashlea Ebeling | ) www.wsj.com time to read: 1 min

Don’t count on a hefty tax refund this year. Since Congress chose not to extend the tax breaks put in place at the height of the Covid-19 pandemic as part of its year-end budget bill, many taxpayers will get smaller refunds when they file their tax returns for tax year 2022, tax preparers said. And some who received refunds in recent years may now have a balance due.

☆ Tax pros ‘expecting the worst' with Venmo, PayPal tax reporting change. How to handle a 1099-K for personal payments
▼ + stars: | 2022-12-16 | by ( Kate Dore | Cfp | ) www.cnbc.com time to read: +1 min

As the tax season approaches, many Americans are bracing for a new reporting change for third-party payment networks like Venmo or PayPal. Starting in 2022, you'll receive Form 1099-K, which reports income to the IRS, for business payments over $600. But experts say it's possible you'll receive 1099-Ks for personal transfers by mistake. "As tax preparers, we are more or less expecting the worst," said Albert Campo, a certified public accountant and president of AJC Accounting Services in Manalapan, New Jersey. But the American Rescue Plan Act of 2021 dropped the threshold to just $600.

The case could have given the justices, had they decided to hear it, a chance to make it harder for consumers and other plaintiffs to receive class action status. The Reston, Virginia-based company, which produces StarKist Tuna, had asked the Supreme Court to consider whether plaintiffs could still win class action status in cases in which some of the members of the class were not injured by a company's alleged wrongdoing. Class action status allows a few plaintiffs to litigate on behalf of a much larger group rather than forcing individuals to litigate separately. Businesses fight to avoid cases winning class action status, which can expose them to massive potential damages and create pressure to settle. In 2019, a trial judge granted class action status to three separate groups of tuna buyers: direct purchasers such as national retailers and regional grocery stores; commercial food preparers; and individual consumers.

Global regulators have called on the EU and ISSB to make their climate disclosures interoperable to avoid competing norms confusing cross-border investors. An advisory body is due to present technical guidance to the European Commission on how to implement the disclosures. The ISSB hopes the EU could move towards its definition of materiality, which is drawn from accounting norms already being applied by EU companies in financial statements. The U.S. Securities and Exchange Commission, however, is facing pressure to ditch Scope 3 from its draft climate disclosures. It said it will apply the ISSB's climate disclosure standard in its work.

☆ Even as expanded child tax credit helped millions out of poverty, some still haven’t accessed funds
▼ + stars: | 2022-09-27 | by ( Lorie Konish | ) www.cnbc.com time to read: +5 min

Yet many individuals and families eligible for the child tax credit, as well as another called the earned income tax credit, may not have received the money for which they are entitled. The child tax credit and earned income tax credit are aimed at helping low- and moderate-income families. The child tax credit was established for the purpose of helping parents pay for their children's needs. watch nowThe earned income tax credit supplements wages for low- to moderate income workers. Recent data from the U.S. Census Bureau found the expanded child tax credit helped reduce child poverty by more than 40% between 2020 and 2021.

If you own a small business, tax season can get hectic. To find the best online tax software for small business owners, we compared four of the leading online tax preparers — TurboTax, TaxAct, H&R Block, and TaxSlayer — on cost, user experience, and access to experts. How did we choose the best tax software for small businesses? Partnerships, multi-member LLCs, and S-Corporations must file a tax return every year to report income, deductions, profits, and losses for the business. S-Corporations will also need to report income and losses on their personal tax return.

The federal tax deadline, when tax returns and payments are due, will move to May 17. The extension automatically applies to individual federal tax returns and payments for 2020 normally due on April 15. "Under titanic stress and strain, American taxpayers and tax preparers must have more time to file tax returns." The IRS moved the tax deadline back in 2020Last year the IRS moved the tax deadline from April 15 to July 15 to give taxpayers and preparers more time to file and pay during widespread coronavirus shutdowns. After winter storms knocked out power in several states in February, the IRS extended the federal tax deadline for residents and business in Texas, Louisiana, and Oklahoma to June 15.

☆ How to file your taxes this year if you're a freelancer, with best practices from accountants and self-employed professionals
▼ + stars: | 2021-02-24 | by ( Robin Madell | ) www.businessinsider.com time to read: +15 min

Insider found accountants, tax preparers, and self-employed professionals to offer strategies that can take the fear out of freelance tax-paying requirements. "A deduction is allowed for the employer portion to reduce business income," Fishbein said. Instead, keep your own clean records and file taxes based on those. For the tax year, estimated payments are due in April, June, September, and January. The IRS notes that self-employed people are among those who may need to make estimated payments, according to their "The Basics of Estimated Taxes for Individuals."

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