IRS Free File

The IRS is again partnering with Free File to offer millions of taxpayers online access to file their taxes at no cost. Want to know if you qualify and how to use this service? Visit IRS.gov/freefile and follow these instructions, listed on the IRS Website.

To find the right IRS Free File product, taxpayers can:

  1. Go to IRS.gov/freefile,
  2. Click on Explore Free Guided Tax Software button. Then select the Find Your Trusted Partner tool for help in finding the right product, or
  3. Use the Browse All Trusted Partners tool to review each offer,
  4. Select the desired product , and
  5. Follow the links to the trusted partner’s website to begin their tax return.
No computer? No problem. IRS Free File products support mobile phone access. Taxpayers can do their taxes on their smart phone or tablet.

Don’t Miss Out on Tax Refunds

Low to middle income families who are not required to file returns may not be aware they are entitled to certain individual tax credits as well as refunds based on tax withholdings by their employer. Other people who may benefit include, those experiencing homelessness, students new to the work force who may have worked part time, and parents (child tax credit). Learn more here: Not required to file doesn’t mean shouldn’t file

Gig Economy Tax Questions?

Many who have jobs as part of the gig economy do not realize that all the money they earn is taxable. Even without the official tax forms issued to them. Want to know more and better understand how your side-hustles or part time work, paid in any way, are taxable? Visit the IRS Gig Economy Tax Center and find answers to all of your tax related questions.

Small Business Owner, Have Tax Questions?

Are you a small business owner with tax questions? The IRS offers a great resource to answer all of your inquires and help take the confusion out of starting a business, filing your taxes, adding employees, and much more. They even offer webinars on a variety of business related topics. Check it out today here: Small Business and Self-Employed Tax Center

Gig Economy Tax Need to Know

What is the definition of gig economy work?
“The term “gig” is a slang word for a job that lasts a specified period of time.” Even though your income is from many smaller jobs, this work is taxable and you should be aware of what you owe at tax time. For more information, reference this article from the IRS website, Gig Economy Tax Center.

Tax Planning Year Round

In this blog post, the IRS recommends ways to keep up with your taxes throughout the year so that when tax time approaches you’ll be prepared and not stressed. A few of the suggestions include, organizing tax records, adjusting check withholding, and saving for retirement. Read more here and start planning for next year’s tax season today. Tax planning doesn’t stop after a taxpayer files a tax return

Financial Challenges of Unmarried Couples

Unmarried and living together? Erik Carter for Forbes walks through the various financial realities of residing with a partner vs. a spouse. From basic money management to estate planning, employee benefits, and tax implications for unmarried couples living in the same home. He compares the monetary pros and cons of domestic partnership and marriage. Unmarried And Living Together? Be Aware Of These Financial Challenges.

Another Look at the IRS

Tax season is fast approaching and tax payers are finding that the IRS customer service is lacking. Michael Hiltzik for the Los Angeles Times suggests that the blame may not be on the organization itself but on the federal government who has repeatedly cut funding for the agency. In the last thirty years the tax payer base has grown from 254 million people, collecting $1.1 trillion in revenue to 330 million people now dealing with over $3.5 trillion. During this time, the staff at the IRS has been cut by almost 30,000 and over the last decade, “the agency’s budget has declined by 20% in inflation-adjusted terms.” According to  statistics published by the IRS National Taxpayer Advocate, last year only 11% of calls to the agency were answered. What does this mean for the IRS and the general taxpayer? Read more here: Don’t blame the IRS for its lousy service. Blame Congress

Handling Tax Season Stress

Start Early
Break It Up
Know Your Options
Think Ahead

Sounds simple, right? A large percentage of tax payers wait until the last minute which leads to increased stress and lack of time to adequately review tax documents. If you need help, you should always ask a professional. We are here for you at Newby CPA. Call us today! 512 484 8016

Checkout more tips for a smooth tax season here:
Tips to Tackle Tax Season Costs and Stress

Tax Return Questions? We’ve Got Answers!

2020 was a wild year. Many collected unemployment, received government stimulus checks, and worked from home, which brings a multitude of questions as tax filing season approaches. Tara Siegel Barnard for the New York Times offers answers to the most pressing tax inquiries and shares tips on how to save money. From teachers to retirees to charitable giving and student loans, she covers the bulk of current issues when filing your return. How the Pandemic Has Changed Your Taxes Need more help? Contact Debra at 512 484 8016.