#IRS tax form delays

[pandor-pandorkful]

Ebay is fighting the tax reporting change (the threshold lowering from $20k to $600) and I guess is partially responsible for helping delay the implementation by a year. They've got an autoform up you can fill out to pester your reps about it in the link above. I filled it out, but my reps are scum so idk how much my input will do.... fingers crossed tho.

[saintmeghanmarkle]

DM EXCLUSIVE Mystery of Harry and Meghan's tax return: Archewell Foundation promised to declare $4MILLION charity donation... but has yet to post latest records publicly by u/Von_und_zu_

DM EXCLUSIVE Mystery of Harry and Meghan's tax return: Archewell Foundation promised to declare $4MILLION charity donation... but has yet to post latest records publicly Hmmm The charity raised eyebrows when MailOnline reported that $4million had not been declared in Archewell's last tax return, which is called a 990 form, with sources close to the Sussexes insisting that it would appear in the following year’s filing.However, while the Mail understands the charity filed the new 990 form to the IRS last week on November 15, there is no sign of the tax return on Archewell's website.Instead, MailOnline understands Archewell has promised it will be publicly released up to three weeks after the IRS's deadline in the week starting with December 2.The decision has been met with surprise. A leading tax expert said that while delaying the release until the IRS has processed the return was 'not uncommon' for many charities, given Archewell's high profile and the publicity over the undeclared $4million, in this case it was puzzling.https://ift.tt/2DAv1K5 post link: https://ift.tt/CUsoKyB author: Von_und_zu_ submitted: November 23, 2024 at 12:51PM via SaintMeghanMarkle on Reddit disclaimer: all views + opinions expressed by the author of this post, as well as any comments and reblogs, are solely the author's own; they do not necessarily reflect the views of the administrator of this Tumblr blog. For entertainment only.

[finn-m-corvex]

The FAFSA has been delayed to the 31st of December and I think it might be quicker to overcome my misery by just bursting into flames.

And the due date hasn't been extended by the colleges so guess whose spending his birthday doing tax forms and hoping to God the IRS doesn't incarcerate me.

[mariacallous]

In their first act of legislative business, the new House Republican majority voted to cut funding for the Internal Revenue Service (IRS). The vote was a symbolic effort to repeal the $80 billion increase in funding the revenue agency received last year as part of the Inflation Reduction Act. Cutting IRS funding is a terrible idea. A well-funded IRS can distribute emergency aid quickly, serve taxpayers efficiently, and help ensure that millionaires have to follow the tax laws just like everyone else. It’s an essential investment in good government.

The IRS has been persistently underfunded for decades, but the years since 2010 have been particularly tough. Tax law expert Chye-Ching Huang notes that the enforcement budget of the IRS dropped by nearly a quarter in less than ten years. In 2017, the IRS employed less than 10,000 revenue agents—the last time that was true was 1953: the Brooklyn Dodgers were in the World Series, the median housing price was about $8,000, and the IRS was handling over 100 million fewer individual income tax returns a year. The IRS is also “overwhelmingly reliant” on antiquated technology, the U.S. Taxpayer Advocate notes, “systems that are at least 25 years old, use obsolete programming languages (e.g., COBOL), or lack vendor support, training, or resources to maintain.”

It is worth noting how much the IRS has managed to achieve despite its perpetually inadequate resources. When COVID struck, for example, only the IRS had the capacity to send millions of emergency checks to keep American households afloat. As my Tax Policy Center colleague Howard Gleckman has said, the IRS “did an extraordinary job in getting these checks out in very difficult circumstances.”

But the budgetary toll of persistent underfunding is unmistakable. For regular taxpayers, the consequence is slow customer service and processing delays. Some politicians have irresponsibly suggested that every new IRS employee will be a gun-toting enforcement agent. Actually, the IRS desperately needs employees to process refunds and answer tax filers’ phone calls. Out of the 282 million phone calls the IRS received in 2021, only 11% or 32 million were actually answered. Nearly half the new IRS money is going to taxpayer services and modernization, which will make the agency more responsive and efficient for taxpayers.

About $45 billion of the $80 billion in new funding is going to enforcement, and that is great news. For the wealthiest and most sophisticated tax filers, a cash-strapped IRS has meant a tax evasion free-for-all. Currently, the tax gap, which is the amount in taxes that are owed but not paid, comes to nearly $7 trillion over a decade. Three fifths of the tax gap is due to underreporting of income by the top 10% of taxpayers, and more than a quarter comes from the top 1%.

But the IRS has been left without the resources to hire and support the kind of tax experts who can catch wealthy tax cheats. The lack of staff was highlighted recently when it was revealed that the audit of former president Donald Trump was staffed by exactly one revenue agent. But Trump wasn’t the only one whose taxes were going without thorough examination. Audits of millionaires have dropped 61% in less than a decade. For those making more than $5 million, the audit rate has dropped 87%.

At the same time, responding to a push from Congress, the IRS has focused instead on a much cheaper form of audit, targeting recipients of the Earned Income Tax Credit—i.e. low-income, working families. As a result, the EITC recipients are audited at the same rate as the top 1% of earners. As law professor Dorothy Brown explains, the consequence of high levels of EITC audits is a serious racial disparity in tax policing.

Treasury Secretary Janet Yellen has insisted that the new funding not be used to increase audit rates on those earning less than $400,000 a year. So, the new funding will help rebuild the capacity of the IRS to audit the wealthy, making the tax system far fairer. And, of course, closing the tax gap raises revenues—it’s a policy that more than pays for itself. The IRS investments are expected to raise $124 billion.

The Republican effort to repeal the IRS’s $80 billion funding increase will not move forward in the Democrat-controlled Senate. But the IRS might yet see its funding decline, if the House Republicans negotiate a cut in the budget fights later this year. If that happens, it is bad news for the millions of American households who pay their taxes honestly, and great news for the country’s richest tax evaders. Funding the IRS will shore up an essential government service, making tax filing easier and tax enforcement fairer.

[parasite-core]

My Pathfinder group took a week off so instead some of us hung out with some other friends and played a Lasers and Feelings hack called the Fight Before Christmas (we rolled dice to decide what we’d play and it landed on that so yay Christmas in June 😂)

Our characters were two priests—one a millionaire tv evangelist and one an alcoholic barely scraping by—and two thieves—an androgynous hacker e-boy and an elf sent to jail for breaking and entering who murdered 3 men while in the slammer before breaking out. The evangelist, Nick, wanted to take down Santa for tainting the true meaning of Christmas and turning people away from The Lord, the e-boy, Blitzen, wanted to free Santa’s reindeer from their oppression, the jail elf, Sticky-fingers, wanted to murder Santa for revenge for getting him sent to jail in the first place, and the drunken priest, Frank, just came to the bar we were all at because he was offered a free drink to attend.

We were contacted by the Major from Phineas and Ferb, who informed us that Santa had taken over Anchorage, Alaska and was holed up in a radio station there, guarded by his elite squad of gingerbread ninjas and the IRS, who were legally given the right to weaponize by the 49th president and were the second most dangerous organization in the United States after the military. The IRS was after all of us for various forms of tax evasion and fraud, so they had teamed up with Santa to try to take us down. The Major told us that if we succeeded in taking down the big man in red, we would be pardoned of all crimes including the aforementioned tax evasion and it would be wiped from our records.

Nick told the Major we had a ride to Anchorage, and then led us to his private jet, The Arc. While we entered, Nick tried to catch up with Frank, who was trying to slip away and wanted nothing to do with this. Nick put an arm over his shoulder and steered him into the jet, saying he’d be doing the Lord’s work. Frank seemed to be of the opinion that Nick was more out for himself than for the good Lord, and that he was deceiving his flock. Nick was of the opinion that his flock simply cared for his well-being, and were generous souls who gave in the name of the Lord. Frank deeply judged Nick for using church money for himself instead of for the church, while Nick judged Frank for his alcoholism.

While those two were….getting to know each other…Sticky-fingers scouted out the most expensive drink available at Nick’s personal bar, while Blitzen went to the bathroom and started stealing the solid gold soap plates and parts of the sink.

As they neared Anchorage, the pilot/butler informed us that there were anti-aircraft missiles coming our way. Nick told the pilot/butler to deploy the turrets to counter them. Nick took control of one of the turrets personally. Blitzen hacked the missiles’ navigation system and made most of them return to sender, while Nick took out the last one with the turret. While this was happening, Sticky-fingers stole the most expensive alcohol at the bar, and found an unmanned drone under the bar which he also shoved into his bag. Frank had a panic attack at us nearly dying.

We landed in Anchorage—with no regard for if it was a legal spot to park a jet, because if it got towed Nick could just buy another jet.

We had an elf on the inside who ran an escape room, so we went to talk to him to get some intel. Frank drunkenly solved the escape room puzzle and revealed the door to meet with Elfo. Sticky-fingers greeted Elfo as an old friend, but Frank stopped him, noting that something was wrong. Elfo was standing on a bomb! It turned out that Santa’s goons had gotten to Elfo first, and if he gave us any information on Santa’s operation…boom. We asked Blitzen if he could disable the bomb, as the tech guy. Blitzen determined that he could delay the timer enough for us to switch out Elfo for something else of equal weight (Elfo told us he weighted 30-70 elf pounds, which Sticky-fingers confirmed was a very average elf weight). Blitzen hacked the bomb’s timer and we swapped Elfo for a weight, and the bomb didn’t go off. Elfo told us about how anyone who spoke out against Santa in town got sent to Holly Jolly Jail, which Sticky-fingers warned was a terrible place to go—those who come back from it never come back the same. He also warned us about Santa’s eldritch power, which would throw presents around the room. And he had a bio-mechanical suit which made him invulnerable, and which was unhackable.

We decided the best action would be to try to seduce him out of the suit, which would be Blitzen’s job.

We knew that Santa’s first line of defense were the gingerbread ninjas, so we made a plan to buy a ton of milk from the local convenience store and soak them with it so they’d crumble apart.

At the store we split up. Nick went to buy milk as planned—and went to speak to the manager to buy every single milk product in the store plus a truck to carry it all with. Blitzen went to the firearms wall, and stole as many guns and as much ammo as he could shove into his bag. Sticky-fingers stole a large bottle of “milk”. As he went to leave he ran into the head of the Gingerbread Ninjas, who went to attack him, but he slipped on some milk on the floor and crumpled to pieces. Sticky-fingers snapped off his head and started munching on it as he left the store. Frank grabbed a six pack of beer to buy, then realized he had no cash on him. He begged the cashier to let him just take one can, and he was so pathetic looking that the cashier let him take the entire six pack because she figured he needed it.

We met outside the store, and Nick told us to get into the truck. We drove towards the radio station. On our first pass, Blitzen took the “milk” from Sticky-fingers and filled a high powered water gun with it. For an unknown reason the tip started steaming. As we passed the gingerbread ninjas, Blitzen sprayed the “milk” on them, which turned out to be a highly reactive acid, which burned through five gingerbread ninjas.

Nick planned to topple the truck to drown the last three gingerbread ninjas in milk, but Frank begged him to let him talk to them first and try to resolve this peacefully. Nick argued that the gingerbread ninjas were merely golems with no souls made by Santa and wouldn’t go to heaven, so there was no need to extend mercy to them. Frank was horrified by this, asking if Nick would kick a puppy just because it wasn’t a person. Sticky-fingers argued that the Gingerbread ninjas were Santa’s loyal subjects and would likely kill Frank on sight. Frank told them to just let him try. Nick told Frank he had ten minutes, if he hadn’t convinced them by then, Nick was driving the truck over them whether Frank was out of the way or not.

Frank went to the three remaining Gingerbread Ninjas, and tried to convince them that he just wanted to talk to Santa, and that they could all come together and find a peaceful solution to this. No more Gingerbread blood had to be spilled this day.

The Gingerbread Ninjas saw the light of god and repented, laying down their arms and going with Frank to leave the Radio Tower behind.

The door opened, revealing the IRS, armed to the teeth. Sticky-fingers told Nick to floor it. He had a plan. As they approached the building, he pulled out the expensive liquor and made it into a Molotov Cocktail. With a yell of “forgive me fathers for I am about to sin” he hurled the Molotov at the IRS. They burned, then melted into a silver puddle—because all members of the IRS are terminators.

Nick continued hurtling towards the radio tower in the milk truck, and he told Sticky-fingers and Blitzen to get out. After the leapt to safety, he purposely tipped the truck over then leapt out himself. The truck crashed, the milk spilling across the fire Sticky-fingers had started, dousing the flames.

All that was left was to face the big man in red himself.

We entered the final room, with big letters above it that said ‘boss fight ahead save now’. Inside was an absolutely ripped man with a bald head and white beard. He laughed his holly jolly laugh and asked who was about to be on his naughty list. Blitzen volunteered eagerly, then showed off his feet, which he’d put into clear high heels. Because our intel suggested that Santa was into feet.

Sticky-fingers used the drone to shine a light on Blitzen and his feet, drawing all attention on him. Frank knelt down and washed one of Blitzen’s feet with ‘holy water’ (vodka), and Nick gave Blitzen a vial of oil to oil their feet up and make them shine.

The children who Santa was originally going to use as meat shields began to come forward with his biomechanical suit, but Santa stopped them and said that, perhaps, this could be solved without violence.

The scene faded to black, and three months later Nick, Frank, and Sticky-fingers are attending Santa and Blitzen’s wedding. Santa pulled his men out of Anchorage, no longer occupying the town, so we completed the Major’s request and our criminal records have all been wiped clean. And Santa gave each of us a gift. For Sticky-fingers—who is very confused how he got here since his goal was to kill Santa not help his new friend shack up with him—he received a state of the art rocket launcher. For Frank, he received a few thousand dollars and an extension on his rent. For Nick, he received a letter from his estranged wife, looking to attempt to reconcile. And for Blitzen, he received a double ended dildo.

Nick would never tell anyone, especially not Frank, but he had to admit that maybe Frank had been right all along.

And as Santa and Blitzen flew off into the sunset in Santa’s sleigh, the sound of a rocket launcher locking on could be heard.

[eyashadow]

This tax season, freelancers and side hustlers may receive an unfamiliar form in the mail -- IRS tax form 1099-K. After two years of delays, the IRS is finally implementing a tax reporting change, which requires third-party payment apps like PayPal, Venmo and Cash App to issue a 1099-K for anyone who earns self-employment income over a certain amount through these apps each year. For last year, if you earned $5,000 or more on a third-party app, you can expect to receive this tax form. This story is part of Taxes 2025, CNET's coverage of the best tax software, tax tips and everything else you need to file your return and track your refund. If you own your own business, freelance or have a side hustle, you're likely no stranger to 1099 tax forms. You may have received a 1099-NEC (the IRS's nonemployee compensation form) from companies you've previously worked with. A 1099-K is similar, but instead of the company you work with issuing the form, you'll receive a tax form from the payment platform.This isn't a new tax rule-you're required to report your freelance or self-employment income whether you receive a tax form or not. It's a tax reporting change that switches the reporting requirement to payment apps so the IRS can keep better tabs on income earnings that might otherwise go unreported."The taxation and tax treatment requirements for taxpayers has not changed," said Mark Steber, chief tax information officer for Jackson Hewitt. "This taxable income has always been considered by the IRS to be taxable and should be reported on a tax return." CNETAlthough the IRS will be able to keep a closer eye on freelance earnings, the tax agency isn't interested in the money you're sending to your family and friends. If you pay your roommate your portion of rent through Venmo, for example, these transactions are not considered taxable.Here's everything you need to know about the new 1099-K tax reporting change.Read more: Updated IRS Federal Tax Brackets Could Boost Your Paycheck Next Year. Here's WhyWhat is a 1099-K?A 1099-K is a tax form that reports income received via a third-party payment platform from a non-permanent job, such as a side hustle, freelance agreement or contractor position where taxes are not withheld. The IRS currently requires any third-party payment apps like Cash App and Venmo to send a 1099-K to the IRS and individuals if they earned more than $20,000 in commercial payments across more than 200 transactions. If you regularly make over $20,000 in freelance income, are paid through Venmo, and receive more than 200 transactions in payments, you may have received a 1099-K tax form before.What is the IRS's new 1099-K rule?Under new reporting requirements first announced in the American Rescue Plan, third-party payment apps will eventually be required to report earnings over $600 to the IRS. "Prior to 2024, the earnings threshold was $20,000 and 200 transactions to receive a 1099-K tax document," said Steber.For your 2024 taxes (which you'll file in 2025), the IRS is planning a phased rollout, requiring payment apps to report freelancer and business owner earnings over $5,000 instead of $600. The hope is that raising the threshold will reduce the risk of inaccuracies while also giving the agency and payment apps more time to work toward the eventual $600 minimum.Why was the third-party payment app tax rule delayed?Originally set to kick off at the beginning of 2022, the IRS planned to implement a new reporting rule that would require third-party payment apps, like PayPal, Venmo or Cash App to report income of over $600 or more per year to the tax agency. The IRS delayed this new reporting requirement in 2022 and again in 2023.Why? Distinguishing between taxable and nontaxable transactions through third-party apps isn't always easy. For example, money your roommate sends you through Venmo for dinner is not taxable, but money received for a graphic design project might be. The delayed rollout gave payment platforms more time to prepare."We spent many months gathering feedback from third-party groups and others, and it became increasingly clear we need additional time to effectively implement the new reporting requirements," said IRS Commissioner Danny Werfel in a November 2023 statement.Which payment apps are required to send 1099-Ks? All third-party payment apps where freelancers and business owners receive income are required to begin reporting transactions involving you to the IRS in 2024. Some popular payment apps include PayPal, Venmo and Cash App. Other platforms freelancers may use, such as Fivver or Upwork, are also on the hook to begin reporting payments that freelancers receive throughout the year. If you earn income through payment apps, it's a good idea to set up separate PayPal, Cash App or Venmo accounts for your professional transactions. This could prevent nontaxable charges -- money sent from family or friends -- from being included on your 1099-K in error.Zelle users will not receive a 1099-KThere's one popular payment app that's exempt from the 1099-K rule. Payment transfer service Zelle will not be issuing 1099-Ks, regardless of whether you receive business funds through the service or not. That's because Zelle doesn't hold your funds in an account, like PayPal, Venmo or Cash App do, and instead is used as a way to transfer money between bank accounts. If you are paid for your freelance or small business services through Zelle, it's your responsibility to report all income on Schedule C of your tax return.Is the IRS taxing money you send to family or friends?No. Rumors have circulated that the IRS was cracking down on money sent to family and friends through third-party payment apps, but that isn't true. Personal transactions involving gifts, favors or reimbursements are not considered taxable. Some examples of nontaxable transactions include: Money received from a family member as a holiday or birthday giftMoney received from a friend covering their portion of a restaurant billMoney received from your roommate or partner for their share of the rent and utilitiesPayments that will be reported on a 1099-K must be flagged as payments for goods or services from the vendor. When you select "sending money to family or friends," it won't appear on your tax form. In other words, that money from your roommate for her half of the restaurant bill is safe."This is only for self-employment income," said Steber. "You should not receive a 1099-K for personal transactions but be aware that some platforms could accidentally include personal transactions in the 1099-K and that will need to be corrected on the users tax return."Read more: Election 2024: Where Each Presidential Candidate Stands on the Child Tax CreditWill you owe taxes if you sell items on Facebook Marketplace or Poshmark?If you sell personal items for less than you paid for them and collect the money via third-party payment apps, these changes won't affect you. For example, if you buy a couch for your home for $500 and later sell it on Facebook Marketplace for $200, you won't owe taxes on the sale because it's a personal item you've sold at a loss. You may be required to show documentation of the original purchase to prove that you sold the item at a loss.If you have a side hustle where you buy items and resell them for a profit via PayPal or another digital payment app, then earnings over $5,000 will be considered taxable and reported to the IRS in 2024. Make sure to keep a good record of your purchases and online transactions to avoid paying taxes on any nontaxable income -- and when in doubt, contact a tax professional for help.What should you do to prepare for this reporting change?Any payment apps you use may ask you to confirm your tax information, such as your employer identification number, individual tax identification number or Social Security number. If you own a business, you most likely have an EIN, but if you're a sole proprietor, individual freelancer or gig worker, you'll provide an ITIN or SSN. In some cases, receiving a 1099-K may take some of the manual work out of filing your self-employment taxes.Once this rule takes effect, you may still receive individual 1099-NEC forms if you were paid through direct deposit, check or cash. If you have multiple clients who pay you through PayPal, Venmo, Upwork or other third-party payment apps and you earn more than $5,000, you'll receive one 1099-K instead of multiple 1099-NECs. To avoid any reporting confusion, make sure you're tracking your earnings manually or with accounting software such as Quickbooks. More money advice !function(f,b,e,v,n,t,s) if(f.fbq)return;n=f.fbq=function()n.callMethod? n.callMethod.apply(n,arguments):n.queue.push(arguments); if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.version='2.0'; n.queue=[];t=b.createElement(e);t.async=!0; t.src=v;s=b.getElementsByTagName(e)[0]; s.parentNode.insertBefore(t,s)(window, document,'script', 'https://connect.facebook.net/en_US/fbevents.js'); fbq('set', 'autoConfig', false, '789754228632403'); fbq('init', '789754228632403'); https://www.cnet.com/a/img/resize/bfda3f238f922bdc7464d29e6cf2ad43483abe3b/hub/2022/12/20/671072fc-04be-498f-a270-b972a8585965/1099k.png?auto=webp&fit=crop&height=675&width=1200 2025-01-01 16:00:03

[third-new]

If you've earned money through PayPal, Venmo, or the Cash App in 2024, brace yourself for this IRS tax change

This tax season, freelancers and side hustlers may receive an unknown form in the mail — IRS Tax Form 1099-K. After two years of delays, the IRS is finally here implementing a change in tax reportingwhich requires third-party payment applications like PayPalVenmo and Cash App for issuing 1099-K for every earner income from self-employment through a certain amount through these applications every…

[newtras]

If you've earned money through PayPal, Venmo, or the Cash App in 2024, brace yourself for this IRS tax change

This tax season, freelancers and side hustlers may receive an unknown form in the mail — IRS Tax Form 1099-K. After two years of delays, the IRS is finally here implementing a change in tax reportingwhich requires third-party payment applications like PayPalVenmo and Cash App for issuing 1099-K for every earner income from self-employment through a certain amount through these applications every…

[newbizz]

If you've earned money through PayPal, Venmo, or the Cash App in 2024, brace yourself for this IRS tax change

This tax season, freelancers and side hustlers may receive an unknown form in the mail — IRS Tax Form 1099-K. After two years of delays, the IRS is finally here implementing a change in tax reportingwhich requires third-party payment applications like PayPalVenmo and Cash App for issuing 1099-K for every earner income from self-employment through a certain amount through these applications every…

[satrthere]

If you've earned money through PayPal, Venmo, or the Cash App in 2024, brace yourself for this IRS tax change

This tax season, freelancers and side hustlers may receive an unknown form in the mail — IRS Tax Form 1099-K. After two years of delays, the IRS is finally here implementing a change in tax reportingwhich requires third-party payment applications like PayPalVenmo and Cash App for issuing 1099-K for every earner income from self-employment through a certain amount through these applications every…

[whitesandstax]

Renewing Your ITINs in Venice, FL: What You Need to Know

When tax season comes, you need to be organized and ready to file, but then you learn your ITIN has expired. Panic sets in, right? You’re not alone. Many residents face this challenge every year.

An ITIN, or Individual Taxpayer Identification Number, is vital for anyone who must file U.S. taxes but doesn’t qualify for a Social Security Number. Whether you’re filing to claim a refund or meet legal obligations, your ITIN ensures the process runs smoothly. This guide provides everything you need to know about renewing ITINs in Venice, FL, so you can avoid filing delays, penalties, or lost benefits. Let’s dive in.

Understanding Your ITIN

What is an ITIN?

An ITIN (Individual Taxpayer Identification Number) is a nine-digit number issued by the IRS to individuals who can’t obtain a Social Security Number but need to comply with tax laws.

Who Needs an ITIN?

You need an ITIN if:

You’re a foreign national or nonresident alien with U.S. tax obligations.

You’re a dependent or spouse of a U.S. resident without a Social Security Number.

You require it to report income or claim refunds.

Why ITINs are Important

ITINs are essential for:

Filing accurate tax returns.

Accessing tax credits (e.g., Child Tax Credit).

Claiming refunds.

Meeting IRS requirements.

When and Why ITINs Expire

ITINs typically expire after five years of inactivity or as part of IRS renewal policies. If issued before 2013, your ITIN may need renewal regardless of recent use.

Why They Expire: To maintain accurate tax records.

Importance of Renewal: An expired ITIN can delay filings, refunds, and access to benefits.

Consequences of an Expired ITIN

Allowing your ITIN to expire can lead to several challenges:

1. Tax Filing Issues

You won’t be able to file federal or state taxes without a valid ITIN.

Filing delays could result in penalties or interest on taxes owed.

Refunds may be delayed until your ITIN is renewed.

2. Other Problems

Losing access to certain government benefits tied to tax filings.

Issues with financial institutions requiring a valid ITIN for identification.

The ITIN Renewal Process in Venice, FL

Renewing ITINs in Venice, FL, is straightforward if you follow these steps:

Step 1: Gather Required Documents

You’ll need:

Form W-7: The IRS application for renewing your ITIN.

Original or Certified ID Copies: Such as a passport, national ID, or visa.

Proof of Residency: A utility bill, rental agreement, or bank statement.

Tips for Document Preparation

Ensure all documents are legible and accurate.

Use certified translations for non-English documents.

Step 2: Choose How to Submit

By Mail: Send your completed Form W-7 and documents to the IRS ITIN Operations Unit. Use a secure mailing service with tracking.

In-Person Help: Visit a Certifying Acceptance Agent (CAA) in Venice, FL, for personalized assistance.

Step 3: Track Your Application

Once submitted, you can check your renewal status by calling the IRS or visiting their website. Processing typically takes 7-11 weeks, so start early.

Fees Associated with ITIN Renewal

The ITIN renewal process is free, but there may be costs if you use third-party services for preparation or translation. Always verify fees with your provider or check the IRS website for the latest updates.

Application preparation fees by tax professionals or Certified Acceptance Agents (CAAs) typically range from $50 to $150, while document translation services can cost $20 to $75 per document. Additional expenses may include postage for mailed applications or travel to IRS centers. 

Tips for a Smooth ITIN Renewal

Follow these best practices to ensure a stress-free renewal experience:

1. Start EarlyBegin the renewal process months before your ITIN expires to avoid last-minute complications.

2. Double-Check Your InformationEnsure all forms are filled out correctly, and all names and details match your documents. Errors can delay processing.

3. Keep Copies of Everything Make copies of your application and supporting documents for your personal records.

Conclusion

Renewing your ITIN on time ensures you stay compliant with U.S. tax laws and avoid unnecessary stress during tax season. At White Sands Tax, we specialize in helping residents renew their ITINs in Venice, FL, with ease. If your ITIN has expired or is close to expiring, don’t wait. Start the renewal process today to avoid delays, penalties, or disruptions to your financial goals. 

Disclaimer: This content is for general informational purposes only. Always consult a qualified tax professional for personalized advice.

[top4allo]

Have you made $5,000 or more via PayPal, Venmo or Cash App? The IRS has to find out

After back-to-back delays, the IRS will move forward with a new tax reporting rule for freelancers who are paid for third-party applications. If you have made $5,000 or more through PayPalVenmo, Cash App or a similar platform, the IRS now requires these companies to issue tax form 1099-K detailing your earnings. This is not a new tax rule; it’s a tax report change If you earn freelance or…

[donationforcharity]

Donate Car to Charity California: Your Step-by-Step Process for Success

Donating a car to charity in California is not only a generous act but also a simple process that can yield tax benefits and help the community. However, if you’ve never donated a car before, the process may seem a bit overwhelming. Don’t worry—this guide will walk you through the entire process, step by step, ensuring your donation is successful and hassle-free. Whether your vehicle is running or not, donating a car can make a positive impact.

Step 1: Choose the Right Charity for Your Car Donation

Find a Legitimate and Reputable Charity

The first step in donating your car to charity in California is choosing the right organization. It’s important to select a reputable charity that aligns with your values and ensures that your donation will be used effectively. Many charities accept car donations, but you’ll want to make sure the one you choose is trustworthy.

Look for a charity that is IRS-approved, meaning it is a 501(c)(3) organization. This will allow you to claim a tax deduction for your donation. Additionally, choose a charity that is transparent about how they use the funds raised from car donations. For example, Donate for Charity California is a well-known, trusted charity that efficiently manages car donations and provides all necessary documentation for tax deductions.

Step 2: Gather Necessary Documentation

Ensure You Have the Required Paperwork

Before you donate your car, make sure you have all the necessary paperwork. This will typically include the vehicle title, which proves you own the car. If you’ve misplaced the title, most California charities can help you navigate the process of obtaining a duplicate. Some charities may also require additional forms, such as proof of insurance or registration.

When you donate your car to a charity like Donate for Charity California, they will often provide you with the required forms to complete the donation. Having everything in order ahead of time can speed up the process and ensure your donation is processed without delay.

Step 3: Schedule a Pick-Up or Drop-Off

Convenient and Free Towing Services

Once you’ve chosen a charity and gathered the required documents, the next step is arranging for your car to be picked up or dropped off. Many charitable organizations in California, such as Donate for Charity California, offer free towing services, making it easy to donate even if your car is no longer running.

Simply contact the charity and schedule a pick-up time. Most organizations are flexible and will work with your schedule. Whether your car is located in a busy city like Los Angeles or a rural area of Northern California, towing services are usually available across the state at no additional cost.

Step 4: Make Sure Your Car is Ready for Donation

Prepare Your Vehicle for Donation

While your car doesn’t have to be in perfect condition, it’s important to prepare it for donation. If your car is running, you can drive it to the charity’s location or arrange for it to be towed. If it’s not running, the charity will still accept it in most cases, as they can sell it for parts or recycle it.

Before the tow truck arrives, make sure you remove all personal belongings from the vehicle. Check the glove compartment, trunk, and other compartments for any items that may have been left behind. This ensures you don’t accidentally donate something valuable or important. Additionally, it’s a good idea to remove the license plates, as the charity will typically not need them.

Step 5: Complete the Donation Process

Sign Over Ownership and Get Your Receipt

After your vehicle has been picked up or dropped off, the next step is to complete the donation process. This typically involves signing over the ownership of the car to the charity. The charity will provide you with a donation receipt, which you’ll need for tax purposes.

Make sure to get a copy of the receipt before the tow truck leaves, as it’s important for claiming your tax deduction. The receipt should include details about the car, such as its make, model, and condition. If the charity plans to sell the vehicle, they will also include the sale price. You can claim a tax deduction for the fair market value or the sale price, depending on the charity’s use of the car.

Step 6: Claim Your Tax Deduction

Maximize Your Tax Benefits

One of the most appealing reasons to donate your car to charity in California is the potential tax deduction. To claim your deduction, you’ll need to have the donation receipt from the charity. The IRS allows you to deduct the fair market value of your car or the amount the charity received when it sold the vehicle.

If the car is worth more than $500, the charity will typically provide you with additional documentation, such as IRS Form 1098-C, to help you calculate your deduction. Be sure to keep all relevant paperwork when filing your taxes. Working with a tax professional can help ensure you’re maximizing your deduction and following the IRS rules.

Step 7: Track the Impact of Your Donation

Follow Up and See How Your Car Is Used

Once your car has been donated, take a moment to follow up with the charity. Some organizations provide updates on how donations are used, so you can see the impact of your contribution. For example, Donate for Charity California often shares success stories and how car donations are directly helping their programs.

Whether your car is sold to raise funds for medical research, environmental causes, or education, knowing that your vehicle made a difference can give you peace of mind.

Conclusion: Donating Your Car to Charity in California Is a Win-Win

Donating a car to charity in California is a great way to give back to your community while also receiving potential tax benefits. By following the step-by-step process outlined above, you can ensure that your car donation is smooth, easy, and successful.

Whether your car is running or not, choosing a trusted charity like Donate for Charity California allows you to help a cause you care about while freeing up space in your driveway or garage. So, take the first step today, and make a lasting impact with your car donation.

[dayeslawfirm]

All About Penalty Abatement and Tax Resolution

The team at Dayes Law Firm can help clients settle tax debts and assist with many other settlement services. One fundamental element of tax resolution service is penalty abatement, and it might be a good option for you if you need tax relief assistance. But what is penalty abatement and how does it work when it comes to tax resolution?

Penalty Abatement: What is It?

Failing to make a payment or failing to file your taxes on time can result in penalties from the IRS. Fortunately, when it comes to tax resolution, most clients will be eligible for first penalty abatements (subject to their compliance history). 

Penalty abatement involves requesting a reduction or removal of penalties and interest charged on unpaid taxes for cause or as part of a settlement arrangement.

According to the IRS, “You may qualify for penalty relief if you tried to comply with tax laws but were unable due to circumstances beyond your control.” Reasonable causes for for failing to file or pay on time may include:

Fires, natural disasters, or civil disturbances

Inability to get necessary records

Death, serious illness, or unavoidable absence of the taxpayer or their immediate family

System issues that delayed a punctual electronic filing or payment

The agency notes that you might qualify for penalty relief if you show that you “exercised ordinary care and prudence and were nevertheless unable to file your return or pay your taxes on time.”

Penalty abatements aren’t just given out without some work on your part and without cause. But if you believe you might qualify based on your circumstances, a tax relief attorney may be able to help you pursue the process. 

How to Get Penalty Abatement

You may be able to have some of your tax penalties reduced or removed over the phone. If you can’t resolve the situation that way, it may be possible to request relief in writing with Form 843, Claim for Refund and Request for Abatement.

But first, you’ll want to be sure that seeking penalty abatement is the best option for you. There may be several tax resolution solutions available to you, and a tax attorney specializing in back tax resolution and compliance matters can walk you through your choices and help you determine which course of action may be appropriate for your situation. 

You could potentially save quite a bit of money by pursuing penalty abatement or another tax resolution opportunity. Working with a law firm that offers customized, inventive, and affordable tax resolution solutions for each client is likely in your best interest to come out of a tax debt situation in compliance with the IRS. 

Please contact Dayes Law Firm today for a free, no-obligation consultation to learn more. Our team is standing by to discuss penalty abatement or another tax resolution option with you. Call 866-875-1005 now to find out more!

[joshhamilton11]

How a Trucking Tax Specialist Can Help You Avoid Costly Mistakes?

As an owner-operator or trucking business owner, navigating the complex world of taxes can be challenging. The trucking industry has its own set of tax rules and regulations, and even minor mistakes can lead to costly penalties or missed deductions. A trucking tax specialist can be a valuable resource in ensuring your taxes are filed correctly, maximizing deductions, and helping you avoid costly mistakes. Here’s how a specialist can assist you in managing your taxes more effectively.

Expertise in Industry-Specific Deductions

The trucking industry offers a variety of tax deductions that can significantly reduce taxable income, but many truckers miss out on these opportunities due to a lack of knowledge or oversight. A trucking tax specialist is familiar with all the deductions available to truckers, including:

Vehicle expenses: Depreciation of trucks, maintenance, fuel, insurance, and repairs are all deductible.

Per diem allowances: Truck drivers can claim deductions for meals and lodging when traveling away from home.

Office expenses: If you operate from home, a tax specialist can guide you on deducting a portion of home expenses like utilities, rent, and internet.

Licensing and permits: Costs for necessary licenses and permits can be deducted as business expenses.

A tax specialist ensures that no deductions are overlooked and that you are claiming all eligible business-related expenses. This helps lower your taxable income, reducing the amount you owe at tax time.

Accurate Classification of Expenses

One of the most common mistakes trucking businesses make is incorrectly classifying expenses, leading to disallowed deductions or overpayment of taxes. For example, if personal expenses are mixed with business expenses, the IRS may audit your return and disallow the deductions for the personal items.

A trucking tax specialist can help you correctly classify expenses, ensuring that only business-related costs are deducted. They can also advise on how to allocate mixed-use expenses, like fuel or phone bills, between personal and business use. Accurate classification is crucial for avoiding audits and penalties.

Navigating Self-Employment Taxes

As an owner-operator or small trucking business owner, you are considered self-employed, which means you're responsible for paying both the employer and employee portions of Social Security and Medicare taxes. This is referred to as self-employment tax. Many truckers fail to account for this, leading to an underpayment of taxes and a surprise bill at the end of the year.

A trucking tax specialist will ensure that you’re aware of the self-employment tax and help you calculate and pay it correctly. They will also assist in making quarterly estimated tax payments to avoid underpayment penalties.

Preventing Misfiling and Delays

Filing taxes as an independent contractor or business owner involves additional paperwork that many truckers find confusing. Incorrectly filling out forms, such as Schedule C or Form 4562 for depreciation, can lead to delays, audits, or penalties. Additionally, missing tax deadlines can result in late fees or interest charges.

A tax specialist is well-versed in the forms and schedules specific to trucking businesses. They will ensure that your tax return is accurately filed and submitted on time, preventing delays and unnecessary penalties.

Handling Multi-State Filings

Many truckers drive across state lines, which means they may be required to file taxes in multiple states. Each state has different rules regarding income taxes, fuel taxes, and other business-related taxes. Failure to file correctly in all applicable states can result in hefty fines and interest charges.

A trucking tax specialist understands the complexities of multi-state tax filing and can help ensure you meet all state-specific requirements. Whether you're working in one state or several, they’ll guide you through the process of filing the correct forms and paying the appropriate taxes.

Offering Year-Round Tax Planning

A trucking tax specialist doesn't just help at tax season—they provide ongoing tax planning throughout the year. They can help you manage your finances by advising on estimated tax payments, suggesting tax-saving strategies, and identifying potential issues before they become major problems.

For example, if you are planning to purchase new equipment, a tax specialist can advise you on how to take advantage of tax incentives such as Section 179 deductions. This proactive approach can prevent you from making costly mistakes come tax time.

Minimizing Audit Risk

Tax audits can be costly, time-consuming, and stressful. A specialist in trucking taxes knows what the IRS looks for in trucking-related audits and can help you avoid red flags that might trigger one. They will ensure your deductions are backed by proper documentation and help you keep records that comply with IRS guidelines, reducing the risk of an audit.

Conclusion

A trucking tax specialist can be an invaluable asset for owner-operators and trucking businesses. By providing expert knowledge on industry-specific deductions, accurate expense classification, self-employment taxes, multi-state filings, and proactive tax planning, a tax specialist ensures that your taxes are filed correctly and on time. With their help, you can avoid costly mistakes, reduce your tax liability, and maintain compliance with IRS regulations. Investing in a specialist’s services can save you time, money, and stress, allowing you to focus on growing your trucking business.