What To Take To Get Taxes Done

Best For Experienced Tax Filers: Liberty Tax

• Premium : $64.95, plus state
• State: $39.95 for each state

Supported tax forms: Form 1040, 4562, 8829, 4136, 4684, 4835, 8839, 8853, Schedule A, B, C, E, F, K-1

Free features: Import of past tax returns from competitors, free double-check service

Liberty Tax is another tax preparation service known for its in-person tax help, with over 3,000 locations across the U.S. They also offer online tax software for customers who dont want to DIY their taxes from home.

Liberty Tax has three online offerings Basic, Deluxe and Premium. With a price point of $24.95, you can find much better bargains than Libertys Basic version for simple returns through other companies on this list. If youre an experienced tax filer, though, Liberty Tax is a solid choice.

Theres not a lot of hand-holding with Liberty or extra support features you may find with other top online tax software.

If you know what youre doing, you wont miss those features. Plus, you always have the option to hand off your tax return to your local Liberty Tax branch if you get in a bind.

Libertys website if full of free resources, like withholding and mileage calculators, income tax tables and other helpful tools.

What To Expect From Your Tax Refund In 2023

Changes are coming for the 2022 tax-filing year that could impact the size of tax refunds in 2023.

The news for this tax season surrounds the tax credits and deductions that were not extended into 2022, said Mark Jaeger, vice president of tax development at TaxAct. Legislation passed in the wake of the COVID-19 crisis expanded some tax credits in a bid to provide economic relief for Americans. Many of those changes are expiring for the 2022 tax-filing year.

These are the tax credits and changes that filers should be most aware of, according to experts The Ascent spoke to.

Release Comes After Years

The returns were obtained by the Democratic-run Ways and Means Committee only a few weeks ago after a protracted legal battle that lasted nearly four years. The committee voted last week to release the tax returns, but their release was delayed to redact sensitive personal information like Social Security numbers.

The release of the tax returns follows a pursuit for the documents that had typically been made public voluntarily by past US presidents. Trump and his legal team continuously sought to keep his returns secret, arguing that Congress had never wielded its legislative powers to demand a presidents tax returns, which Trump said could have far-reaching implications.

The Democrats should have never done it, the Supreme Court should have never approved it, and its going to lead to horrible things for so many people, Trump said in a statement following the release.

The Trump tax returns once again show how proudly successful I have been and how I have been able to use depreciation and various other tax deductions as an incentive for creating thousands of jobs and magnificent structures and enterprises.

During the committees closed-door meeting last week, Republicans warned that the release of Trumps tax returns by Democrats could prompt retribution once Republicans control the House next year like going after the taxes of President Joe Bidens son, Hunter Biden.

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Volunteer Income Tax Assistance

VITA is a free program sponsored by the IRS. Yes, thats right, the IRS will actually help you with your taxes free of charge. This program uses free volunteers to help taxpayers complete their taxes. There are eligibility requirements, however, so not everyone can take advantage of this program. You must have a disability, earn less than $54,000 a year or have limited understanding of English.

To find out if VITA is available near you, click here. This online tool will also inform you if you need an appointment or if you can simply walk in any time. You can also call 800-906-9887 for more information.

What Are The Limitations To The Service

United Way is an equal opportunity provider and anyone in Washington State can access United Ways Free Tax Preparation services. However, some returns are too complex for our volunteers. For example, we cannot prepare returns for income earned in other states.

We have partnered with Express Credit Union to process returns with ITINs and will offer free ITIN applications and renewals through Express Credit Union.

Here are services we do NOT provide:

• State returns .
• If you have a 1099-B .
• If you sold your home or if it went into foreclosure.
• If you received rental income.
• If you are self-employed and had expenses above $25,000, had a net loss, or want to deduct the use of your home as a business expense.
• If you are a registered domestic partnership.

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Texas Mega Millions Winners

In 2022, 13 Mega Millions players won second-tier prizes of $1 million or more.

Since Texas started selling Mega Millions tickets in 2003, 13 jackpot winning tickets have been sold in Texas.

“Before we flip the calendar to a new year, were hoping a Texas Lottery player becomes a big Mega Millions jackpot winner,” said Gary Grief, executive director of the Texas Lottery.

Business Expenses Zeroing Out Taxes

Many businesses for which Trump and his wife filed taxes from 2015 through 2020 made no money. Often, they reported only expenses, or they reported income that was almost entirely offset by the reported expenses, effectively zeroing out any taxes owed.

The filings raise questions about whether these were valid trade or business activities or costs derived from personal activities or hobbies, the committee experts wrote. The returns show:

• Donald J. Trumps speaking business reported income of $50,000 in 2015 and travel expenses of $46,162.
• In 2016, DT Endeavor I LLC — Trumps private aviation company — reported income of $680,886 and expenses of $680,886. The same for DJT Aerospace LLC, another aviation company, which reported gross income of $376,493 and total expenses of $376,493 in 2016.
• In 2019, a business filing for Melania Trump’s modeling work reported gross income of $3,848 and expenses of $3,438.
• In 2020, another filing reported as Management Services under Donald J. Trump reported gross income of $87,442 and expenses of $87,442.

Some filings also reported losses with large discrepancies between gross income and expenses. For example, in 2018, DJT Endeavor I reported gross income of $38,392 and expenses of $312,773, meaning the company operated at a net loss of $274,381. In 2019, another aviation company, DJT Operations II LLC reported no gross income at all while there were expenses of $7,382.

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They Charge A Set Fee For Each Tax Form Or Schedule

No ifs, ands or buts about it! They have one flat fee per form or schedule. If youre wondering what the average costs for filing common forms are, heres the breakdown:

• $323 for a Form 1040 with a Schedule A and state return
• $220 for a Form 1040 and state return
• $192 for Schedule C
• $118 for Schedule D
• $145 for Schedule E
• $200 for Schedule F 5

Turbotax Is Best For Business Owners

Im a freelancer, but not a typical one. I run my business as an S-Corporation. While this costs a bit more to set up and takes more work to maintain, there are some big tax benefits for S-Corps and LLCs taxed as an S-Corp.

But I found in testing for my 2018 taxes that not all tax prep programs handled my pass-through business correctly. In fact, one missed out on a deduction worth thousands of dollars to me. Thats why I ended up at TurboTax. It isnt the cheapest, but you get what you pay for. Thats good customer service, intuitive forms and interfaces, and confidence that you got an accurate tax return with the maximum cash in your pocket.

Note, however, that if you have a simple tax filing situation, TurboTax does offer $0 federal and state filing with no income limits for W-2 earners. The fees kick in when your filing situation becomes more complex.

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Tax Rebates: Frequently Asked Questions

Idaho is giving eligible taxpayers two rebates in 2022:

• 2022 Special Session rebate: On September 1, 2022, a Special Session of the Idaho Legislature passed and Governor Brad Little signed House Bill 1 authorizing a tax rebate to full-year residents of Idaho.
• 2022 rebate: On February 4, 2022, Governor Little signed House Bill 436 that provided a tax rebate to full-year residents of Idaho.

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Choose The Right Free Tax Clinic For You

A free tax clinic is a place where eligible people can get their tax returns done for free by volunteers. These tax clinics are hosted by community organizations across Canada through the Community Volunteer Income Tax Program and the Income Tax Assistance â Volunteer Program in Quebec.

There are different types of free tax clinics.

Walk-in: Show up during advertised hours and a volunteer will do your tax return for you on a first-come, first-served basis.

Drop-off and pick-up: Show up during advertised hours and drop off your documents. A volunteer will do your return, and you will pick it up at a later time.

You will have to prove your identity when you pick up your return and documents.

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Can I Use Digital Payments To Pay For Tax Preparation Services

Before you hire a tax professional, visit their business profile to see how they handle payments. Many CPAs and tax experts accept digital payments through Venmo, PayPal, Square Cash, Zelle and other online platforms. More businesses may be changing their payment methods to accommodate social distancing. Check with your tax preparer to see how they handle payments.

How To Get Copies Of Tax Returns

Even though tax transcripts are free of charge and can be delivered much more quickly than copies of your tax return, there may be times when youll want the full return rather than just the transcript. While lenders will accept the transcript, you may prefer having a full copy of your previous returns for your own records.

• If so, you can request a copy of your tax return using IRS Form 4506, Request for a Copy of Tax Return.
• You can obtain copies of your tax returns for the current year and up to the six previous years. However, unlike tax transcripts, obtaining copies of your tax returns comes with a fee of $43 for each year requested.
• If youre filing the request by mail and plan to send a check, youll need to make your check payable to the United States Treasury. However, if youre impacted by a federally declared disaster, the IRS will waive the fee if the copies are needed to apply for disaster relief benefits or to file amended returns claiming disaster-related losses.
• For jointly filed returns, either spouse can request a copy. The signature for only the requesting spouse will be required on Form 4506.
• Heres a major reason why you should request tax transcripts, rather than copies of tax returns, if you can possibly avoid it: It can take the IRS, up to 75 days to provide copies of tax returns.
• If you need your tax information in less time, transcripts will arrive in only a fraction of the time.

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I Dont Know My 2019 Agi What Should I Do

You can find it on line 7 of your 2019 return if you still have a copy of your return. If you filed your taxes at a United Way of King County Free Tax Prep location last year, email and include your phone number so we can provide you with a copy of last years return. If you did not file with us last year, IRS.gov/get-transcript can help you retrieve a copy of last years tax return.

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Can I File My Taxes Online For Free

In Canada, TurboTax makes it simple for anyone with any tax situation to file their taxes for free. These are just a few of the tax situations you could have and use TurboTax Free to file your taxes with the CRA:

• Youre working for an employer and/or are self employed
• Youre a student looking to claim tuition, education, and textbook amounts
• You were unemployed for part or all of 2020, including if you claimed CERB
• Your tax situation was impacted by COVID-19, including if you had to work from home and want to claim related expenses
• You have dependants and want to ensure you claim all related credits and deductions
• Youre retired and receive a pension
• You have medical expenses to claim, including amounts related to COVID-19
• Its your first time filing your taxes in Canada

There are a few situations where youll need to print and mail your return instead of filing online using NETFILE. Dont worry though, you can still enter all your tax info online and well guide you through the process of mailing your return to the CRA.

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Find Free Tax Help In Maryland

Some community groups, like the Montgomery County Community Action Agency, are offering free, virtual tax preparation assistance for those who qualify. Schedule a virtual appointment now, if you live in Montgomery County and make less than $57,000 per year.

The CASH Campaign of Maryland is another popular tax assistance program. You can get help with your taxes if you made $57,000 or less in 2020. Call 410-234-8008 for a virtual appointment. Theres also a drop-off option for 2021

You can also find free tax assistance through MyFreeTaxes. You can choose if you want to prepare you return by yourself or with assistance.

There are income qualifications for free, in-person tax prep programs. The income guidelines are $57,000 per year but check with the individual provider.

If you want to do your own taxes for free, the IRS also offers Free File which links you to partner sites for free federal tax filing. State taxes are free with some offers. Its available for those making $72,000 and below. There are free fillable forms if you make more income every year, but free state filing is not included. Learn more about the IRSs Free File program.

• Find an American Association of Retired Persons Tax-Aid site near you. This service is available to taxpayers over age 50 with low to moderate income.

How Do I Protect Myself From Fraud

Unfortunately, scams can be common during tax seasonbut preparing yourself to recognize them and take certain steps can reduce your risk. The website WalletHub compiled a helpful list of tips, starting with the two they deem most important: 1) File as early as possible every year, even if you dont expect to owe any taxes or receive a refund and 2) Take commonsense steps to safeguard your personal information, such as signing up for free 24/7 credit monitoring.

Read on for their other tips, such as ordering your tax transcript and improving your ability to recognize webpages that may not be secure or safe: Tax Scams & Tips for Avoiding Them.

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So Can You Tell Me How To Get An Efin

Its a 3-step process. Heres the process to obtain an EFIN:

1. Create an IRS e-Services account on the IRS website.

2. Complete and submit your application to become an authorized IRS e-file provider. It can take up to 45 days for the IRS to approve an e-file application, so plan accordingly. All applicants must provide the following:

• Identification information for your firm
• Information about each Principal and Responsible Official in your organization
• Your e-file provider option

If the Principal or Responsible Official is a certified or licensed professional, such as an attorney, CPA, or enrolled agent, they must provide their current professional status information.

All other applicants must provide a fingerprint card, which can be arranged by calling the IRS toll-free at 866-255-0654. If you need to be fingerprinted, work with a trained professional. There are commercial services, but your local police station will likely provide this service for a modest fee. Then mail the signed and completed card to the IRS.

3. Pass a suitability check. After you submit your application and related documents, the IRS will conduct a suitability check on the firm and each person listed on your application as either a Principal or Responsible Official. This may include: a credit check a tax compliance check a criminal background check and a check for prior non-compliance with IRS e-file requirements. Once approved, you will receive an acceptance letter from the IRS with your EFIN.

The Three Ways To Tackle Your Taxes

No matter how creative you are with FI optimization hacks, there are only three ways to approach your taxes. Depending on your personal financial situation, complexity, and proclivity to bootstrap your way towards optimizations, you can choose a way to get your taxes done that suits your needs:

1. D.I.Y Tax Software 2. Chain Tax Preparation Services 3. Public Accountants or Traditional Agents

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Getting Ready To Do Your Taxes

If even thinking about filing your taxes has you breaking out in a sweat, youre not alone. Our tax code is lengthy and confusing, so its very common for people to dread doing their taxes. But just getting started can feel empowering, and theres no need to stress.

This year, start by getting a folder and collecting anything you think you might need. Also, review last years tax return. This will give you, or your CPA, an idea of what this years taxes will probably look like and will help you get ideas about the information you will need.

Once you know the forms and documentation you will need for this years taxes, commit to keeping track of these things in 2022. Being organized will make doing your taxes next year less stressful. For example, if you find out this year you need all your medical receipts from 2019, create a system for keeping track of those throughout 2022. That way you dont have to go digging next year.