Saving Money With The Child Tax Credit

Saving Money With The Child Tax Credit

A lot of Canadians have no idea they qualify for the Child Tax Credit or what it is. They think it is for low income families, or they have altogether never heard of this credit. Even if you are okay without the rebate, Turbo Tax 2013 encourages you to make a claim.

English: Pic for WikiProject Political parties...
English: Pic for WikiProject Political parties and politicians in Canada (Photo credit: Wikipedia)

The tax assessor’s office should be aware of any children in your household born before the end of 2012. For every child born into a Canadian household during the fiscal year (even late in December), it is possible to enjoy a rebate on taxes. When you fill out your Turbo Tax 2013 forms, make sure this section is completed thoroughly. For every child in your home you could be receiving a Child Tax Credit which amounts to a hundred or a few hundred dollars every month.

The Child Tax Credit was implemented to help families earning under a certain amount annually. It is not specific to locations: if you live in an area where cost of living is high, meaning wages are also high, this is not part of the calculation.

The Canadian government is simply looking at how much money a single individual earns or the joint income of a family. They automatically decide whether or not to grant a parent or parents this credit based on income. If your earnings have decreased recently, you could see your first tax rebate soon. Keep this in mind if you are currently filling out your Turbo Tax 2013 forms and expect a refund in the mail.

Do Your Taxes Online This Year

Do Your Taxes Online This Year

When you do your taxes, do you usually get all of the paperwork and fill it out manually? Instead of doing this, perhaps you go to a local CPA and pay them to do your taxes for you, cutting into your return dramatically. If you have been using either one of these two tactics, you need to know that there is a better way with online programs like TurboTax 2013.

Death & Taxes (film)
Death & Taxes (film) (Photo credit: Wikipedia)

Many of the online programs are actually free, so you just have to create an account in order to work on your taxes. This allows you to save your information to the server. If you need to log in later to finish the job, it is easy to do so. You do not have to worry about security when you do your taxes since programs like TurboTax 2013 and the various free programs use encryption software to protect you.

The programs make life easy for you while you do your taxes by walking you through the process. Systems like TurboTax 2013 will ask you questions that you can answer, rather than just giving you a box and a sentence of legal writing to tell you what to do. These questions are straightforward and easy to understand. The program then takes the information and puts it into the correct boxes so that you do not have to do the work of figuring out what goes where.

When filling in information from W2s or 1099s while you do your taxes with TurboTax 2013 or a free program, the program may just tell you to fill in the numbers from the corresponding boxes. You do not need to know exactly what the box means or what all of the other, empty boxes are for. The program will simply tell you what information that it needs. You will write it down, and then you will move on to the next step. This makes it possible to do your taxes on your own even if you have never studied tax law or accounting.

One of the best things about deciding to do your taxes with an online program like TurboTax 2013 is that you can often e-file when you get done. You do not have to print anything out, though it is a good idea to save PDF files for your records. You do not have to write any checks, buy any stamps, or put anything in the mail. You just have to provide the information for your bank account, including the bank account number and the routing number, and then your return will be sent to you automatically. This all means that you can instantly and easily file your taxes, even at the last minute.

Tax Return Forms And Filing IRS Taxes

Tax Return Forms And Filing IRS Taxes

Tax time can be an incredibly hectic time for every individual of taxing age in the United States and other countries. There are forms aplenty for every type of deduction, job, withholding, and pay out and understanding some of the basics is the best way to get your taxes off to the right start. Using a system like TurboTax 2013 can be helpful, but a working knowledge of what tax return forms to fill out is still necessary to get the maximum refund.

Paying taxes is required for both citizens and...
Paying taxes is required for both citizens and non-citizens. (Photo credit: Wikipedia)

The first and most common forms are the 1040 and the 1040 EZ. The 1040 is the basic form that most tax payers use to complete their income taxes. These forms cover anything from income, taxes withheld, charitable donations, scholarships and grants, life insurance, gambling proceeds, child support, and more. This form was designed to be the blanket form for most tax payers to help speed up and simplify the process. This is the form that most are going to be working from when filing taxes and as such it is important to be well versed in the 1040. The 1040 EZ is a simplified version of the 1040 that is often used by workers that are either under the age of 18 or that do not have any dependents or households to claim. This form has basic information like income, taxes withheld, and any untaxed income that workers may have gotten over the course of the year.

A 1040 Schedule A is an individual tax return that has a list for itemized deductions. These deductions can be any range of things from medical bills, to work expenses, to charitable donations, and many more. If filers are at all unsure of what deductions they can count it is important that they check with a tax professional. Schedule B is a form that covers the interest on bank accounts and ordinary dividends. This form is generally only needed for those that have investments. Schedule C is profit or loss from businesses that are personally owned and will likely not be needed for all of those individuals filing. Schedule D is capital gains and losses in any investing or financial ventures that filers have partaken in over the course of the year. This form is again not necessary for every individual filing. The Last Schedule is Schedule E, this is for supplemental income or loss that was incurred through the course of the year. Most tax services will include Schedules A through E in the typical filing.

Form 1099 is for income from an employer that was not taxed at the time of payment, a 2848 is for those that are using their power of attorney to file for another individual, form 2553 is for those that are filing for a small business or corporation, and form 1065 is for married or partnered couples that are filing a joint return. A complete list of forms is available on the IRS website with brief descriptions of the function of each. If at any time it becomes difficult to complete your tax return or to understand what is being filled out, it may be necessary to talk to a tax professional.

Beware Of Identity Theft

Beware Of Identity Theft

Couple accused of stealing identities in order to receive over one million in tax refunds.

Authorities state that a couple are accused of stealing over five hundred and fifty identities from people in order to acquire one and a third million dollars in tax refunds in 2011.

Samantha Towns, 30, and Roma Sims, 34, have been arrested and will have hearings today in the United States District Court. The couple are being charged with identity theft, wire fraud and conspiracy.

Multiple victims are from the state of Kentucky and many claim their income from disability or other government assistance, according to LIsa DiSalvo an IRS agent investigating the case.

DiSalvo stated the theft had been identified as a criminal complaint through the IRS Scheme Detection Center. This department seeks out fraud through identification of numerous refunds deposited into individual bank accounts, multiple tax refunds filed through one Internet address, discovery of deductions on tax returns and unverifiable incomes.

Sims from 1253 Flagstone Square in Westerville and Towns from 2681 John Steven Way in Reynoldsburg, operated their plan posing as X-Press Taxes and Accounting Services and Express Tax & Accounting according to the IRS.

Pros And Cons Of Filing Your Taxes With TurboTax

Filing Your Taxes With TurboTax

Filing your taxes with TurboTax or another online tax program is something that people often loathe doing, therefore they try to procrastinate or push it off for later hoping that they would be excused and the year would pass by. However, it is not that easy to evade your taxes and that is why most people end up paying a heavy penalty when they do fail to file. Thus, why take the risk? Why not just use an online tax preparation software program like TurboTax or TaxAct in order to file your taxes on-time?

One of the biggest pros concerning the use of TurboTax or TaxAct or any other automated software program like H&R Block and so on is that they are very user-friendly and convenient to navigate through a return. Moreover, you don’t even need to have sharp math skills for calculating your taxes, all you need to do is to fill-in a couple of blanks and the rest will be taken care of by the software application. Another advantage of using TaxAct or TurboTax is that it relieves all the tax anxiety and worries you might be feeling.

TurboTax, H&R Block and TaxAct are the most popular tax filing software programs available today. They provide accurate results as they are familiar with the latest changes in tax law including the most recent Fiscal Cliff and ObamaCare rules. While TaxAct or TurboTax may be offering a lot of benefits, they do have their own cons too. One of the top disadvantages associated with these programs is that they can be pricey to use in comparison to getting one’s tax preparation complete the conventional way.

The Proposed Tax Changes

The Proposed 2013 Tax Changes Are Only Weeks Away

(SXXW28G5BWN3) The powers that be are still trying to work out how they can forestall the fiscal cliff but everyone should be prepared for the consequences.

English: President Barack Obama speaks to a jo...
English: President Barack Obama speaks to a joint session of Congress regarding health care reform (Photo credit: Wikipedia)

The Congress and President Obama are wondering how they can ward off the impending fiscal cliff, in a matter of days the tax cuts that were implemented by Bush will come to an end and spending will be slashed as the year comes to an end, no one knows what this round of cuts will bring.

J.D. Foster a senior fellow at the Heritage Foundation feels that the proposed changes will affect everyone, income tax rates will rise, payroll tax will shoot up and capital gains and dividend taxes will be higher. The proposed changes are going to have an impact on child tax credit too; so many families are going to be badly hit.

Taxation experts feel that the proposed tax changes could be delayed if the powers that be do not come to an agreement in the next month. Under normal circumstances tax filing starts at the beginning of the year but as things stand the IRS and tax-prep companies cannot complete tax forms.

This has an impact on employers who may need to make adjustments to payroll taxes when the proposed 2013 tax changes are implemented. In short this could mean that tax preparers will struggle to be ready in time. The government will find that their revenue is delayed and taxpayers may find that refunds are paid out far later.