Author - SFS Tax & Accounting

Don't fall for the scam! - Image of man on phone holding credit card

Telephone Tax Scams Increase

A sophisticated phone scam targeting taxpayers, including recent immigrants is on the rise throughout the country. Victims are told they owe money to the IRS and it must be paid promptly through a pre-loaded debit card or wire transfer. If the victim refuses to cooperate, they are then threatened with arrest, deportation or suspension of a business or driver’s license. In many cases, the caller becomes hostile and insulting. “This scam has hit taxpayers in nearly every state in the country.  We...

January 1, 2014Read more...
IRS Recognizes Same Sex Marriages for Tax Purposes - Image of same sex marriage

Same-Sex Marriages Will Be Recognized

Treasury and IRS Announce That All Legal Same-Sex Marriages Will Be Recognized For Federal Tax Purposes The U.S. Department of the Treasury and the Internal Revenue Service (IRS) ruled that same-sex couples, legally married in jurisdictions that recognize their marriages, will be treated as married for federal tax purposes. The ruling applies regardless of whether the couple lives in a jurisdiction that recognizes same-sex marriage or a jurisdiction that does not recognize same-sex marriage. The ruling implements federal tax aspects of the...

October 1, 2013Read more...

The Premium Tax Credit

Here's an overview.

Basic Information

Starting in 2014, if you get your health insurance coverage through the Health Insurance Marketplace, you may be eligible for the Premium Tax Credit. This tax credit can help make purchasing health insurance coverage more affordable for people with moderate incomes. The open enrollment period to purchase health insurance coverage for 2014 through the Marketplace runs from Oct. 1, 2013, through March 31, 2014. The Department of Health and Human Services administers the requirements for the Marketplace and...

October 1, 2013Read more...

Q&A : Individual Shared Responsibility Provision

Questions and Answers on the Individual Shared Responsibility Provision

Basic Information

1. What is the individual shared responsibility provision? Under the Affordable Care Act, the federal government, state governments, insurers, employers and individuals are given shared responsibility to reform and improve the availability, quality and affordability of health insurance coverage in the United States. Starting in 2014, the individual shared responsibility provision calls for each individual to have minimum essential health coverage (known as minimum essential coverage) for each month, qualify for an...

October 1, 2013Read more...

Give Withholding and Payments a Check-up

Give Withholding and Payments a Check-up to Avoid a Tax Surprise Some people are surprised to learn they’re due a large federal income tax refund when they file their taxes. Others are surprised that they owe more taxes than they expected. When this happens, it’s a good idea to check your federal tax withholding or payments. Doing so now can help avoid a tax surprise when you file your 2013 tax return next year. Here are some tips to help you bring...

October 1, 2013Read more...

Prepare for Hurricanes, Disasters by Safeguarding Tax Records

Prepare for Hurricanes, Disasters by Safeguarding Tax Records With the early start of this year’s hurricane season, the Internal Revenue Service encourages individuals and businesses to safeguard themselves against natural disasters by taking a few simple steps. Create a Backup Set of Records Electronically Taxpayers should keep a set of backup records in a safe place. The backup should be stored away from the original set. Keeping a backup set of records –– including, for example, bank statements, tax returns, insurance policies, etc. ––...

October 1, 2012Read more...

Automated IRS System Helps College-Bound Students

Automated IRS System Helps College-Bound Students with Financial Aid Application Process College-bound students and their parents typically want to make every dollar and every minute of the college experience count including money spent on tuition and time spent on the college financial aid application process. The Internal Revenue Service is helping minimize the time spent on the completion of the Free Application for Federal Student Aid (FAFSA) form by automating access to federal tax returns with the IRS Data Retrieval Tool....

October 1, 2012Read more...

Job Search Expenses Can be Tax Deductible

Job Search Expenses Can be Tax Deductible If you are looking for a new job that is in the same line of work, you may be able to deduct some of your job hunting expenses on your federal income tax return. Here are seven things about deducting costs related to your job search: To qualify for a deduction, your expenses must be spent on a job search in your current occupation. You may not deduct expenses you incur while looking for a...

October 1, 2012Read more...

FAQ: Deductions

FAQ: Deductions Question: Can I deduct separate maintenance paid to my spouse or alimony paid to my former spouse? Answer: If you are separated or divorced, you may generally deduct payments of separate maintenance or alimony paid in cash (including check or money order payable on demand) to, or on behalf of, your spouse or former spouse. Question: Am I eligible to claim both my job-related education expenses (minus 2% of AGI) and the Lifetime Learning Credit on my tax return? Answer: If you are eligible to...

October 1, 2012Read more...

New Flexible Offer-in-Compromise Terms

IRS Announces More Flexible Offer-in-Compromise Terms The Internal Revenue Service announced another expansion of its “Fresh Start” initiative by offering more flexible terms to its Offer in Compromise (OIC) program that will enable some of the most financially distressed taxpayers to clear up their tax problems and in many cases more quickly than in the past. “This phase of Fresh Start will assist some taxpayers who have faced the most financial hardship in recent years,” said IRS Commissioner Doug Shulman. “It is...

July 1, 2012Read more...