The Stafford Act

The Stafford Act is a federal law that was devised to bring a calm and regulated means of federal natural disaster and emergency assistance for state and local governments in carrying out their responsibilities to aid citizens.
The Stafford Act was enacted in 1988

The extended filing and payment deadline was extended from April 15, 2020 to July 15, 2020 without penalty and interest. This is an automatic extension, taxpayers and filers do not have to file a form 4868 for the extension. Included are Individual filers, Corporations, Trusts and Estates, Non-Corporate tax filers, and those who pay Self-employment tax.

The extension to file and deferment has been ordered based on the global crisis caused by the Covid-19 virus pandemic.


Read more: IRS Newswire...issue number IR-2020-58...March 21, 2020

Tax Filing Relief For America Act

There has been changes since I first wrote this post yesterday.


From the Secretary of Treasury, Steve Mnuchin:
The 2019 tax filing deadline has been extended from April 15, 2020 to July 15, 2020

On Thursday, March 19, 2020, I wrote that : Bipartisan legislation was presented by a group of Senators, M. Thune, Mr. Daines, Mr. King and Mr. Burr called The Tax Filing Relief For America Act. This legislation if passed would allow taxpayers and their preparers extra time to file their 2019 tax returns without requesting an extension. The passage would extend the filing deadline from April 15, 2020 to July 15, 2020 without penalty. The payment deadline has been extended as well to those same dates. 

Taxpayers may still file on time, especially if they are to receive a refund.

irs.gov for more information...look for the Corona Virus box

Wanda

In This Trying Time, Don't Be Afraid

Blessings be upon us all in this most trying and difficult time. I pray that you all are safe and secure. I beg that you find peace and be strong standing warriors. 

Many states, if not all have offered extensions for time to file your state tax returns. You have to check and make sure that your state is one of  them that has offered such. This was a message on the California Franchise Tax Boards official website:

Sacramento: The Franchise Tax Board announced special tax relief for California taxpayers affected by the COVID-19 pandemic. Affected taxpayers are granted an extension to file 2019 California tax returns and make certain payments to June 15, 2020, for all tax filings and payments due between March 15,2020 through June 15, 2020.

For California, this included/includes business and personal returns.

You can find information about your state by going to irs.gov
find State Government Websites, find your state and click on it.

Feel free to reach out if you have a question or need tax preparation. I work all year, all states and past year return preparation is never a problem.
https://wandaegreen.webs.com


Wanda

Delay in Processing for Some

Heads Up
For those taxpayers who will be claiming the Education Credits (form 8863)...that's the American Opportunity Tax Credit or the Lifetime Learning Credit, your returns will not be processed until mid February (you can still file, but there will be a delay in processing). Please don't confuse this with the Tuition and Fees deduction...those taxpayers will be processed normally.
http://wandaegreen.webs.com

How much of my mortgage interest will I be able to deduct ?

The Question
 How can I guesstimate how much mortgage interest I will get back?

The Answer
You are going to receive an official end of year statement probably in two weeks or less. However, you can go to your November statement (if you didn't get a December statement yet), and look at your principal paid and then the interest paid (year to date). It may be on the back of your statement...and then of course, you can always call to get a verbal account. 
Great question Joyce...Thanks

Based on some limitations, not all interest will be 100% deductable.  Please check with your tax professional for a full answer to your tax scenario.

Money is tight for ya, ain't it ?

Have you built a repoir with your tax practitioner ?  Trust , we know that it's tough out there for you.  You want to have your tax return prepared as soon as you receive your W2(s), but you just don't have the funds.  Speak up !  Talk to your tax professional about financing, partial payments, credit card payments, and even a barter agreement....Look, I'll take quarters if that's all that you have. 
The quickest way to get a little money is to prepare your taxes and to get your refund.  Don't miss your filing deadline because you didn't have all the money at one time to prepare your taxes.

Always accurate and affordable tax preparation...always free efile and direct deposit.
Wanda

wandaegreen@yahoo.com

818.934.1580

Visit my other blog...Los Angeles Daily Photo...http://dailyphotosofla.blogspot.com


                                                                 

Do you know that you have to report the tips that you receive ?

Do you know that all employees who receive tips have to report their tips to the IRS.  Tips are also considered to be income.  If in any month you receive more than $20 in tips from customers, tips added to credit cards, and any tips you receive under a tip splitting arrangement,  you must report your tips to your employer so your employer can withhold the proper federal income tax, social security tax, and Medicare tax.  Let me clarify something here.  If you make over $20 in tips, you must report it to your employer, however all tips must be reported to the IRS.


You must keep a daily log of all tips received. You employer is automatically going to allot tips received to all employees based on their income received.  If you turn in your figures for tips received, your employer will withhold the taxes and it will be reported on your W2.  When it's time to file your taxes, you will report your figures (in gross income) and not your employer's tip figures.


Keeping a daily log is important.  This shows due diligence in the event of an audit.  


Contact me for clarification on this topic or to ask any tax questions.
Now is the time to start your daily log for tax year 2011, if you haven't already.


Always accurate and affordable tax preparation.
Wanda E Green
818.934.1580