The adventures & musings of an Enrolled Agent representing clients in Tax Controversy cases at the Neighborhood Christian legal clinic - Low Income Taxpayer Clinic.

Indianapolis, Indiana

Certain veterans may be due a tax credit or refund

Certain veterans may be due a tax credit or refund

Certain veterans may be due a credit or refund. This is a result of the Combat-Injured Veterans Tax Fairness Act passed in 2016. It affects veterans who received disability severance payments after January 17, 1991, and included that payment as income. Here is what these veterans should know: Veterans who included their disability severance paymentsRead more about Certain veterans may be due a tax credit or refund[…]

Avoid a surprise tax bill: get enough tax taken out of pension payments

Avoid a surprise tax bill: get enough tax taken out of pension payments

With tax reform bringing major changes for the year ahead, the Internal Revenue Service urges retirees to make sure they are paying in enough tax during the year by using the Withholding Calculator, available on IRS.gov. The Tax Cuts and Jobs Act, enacted in December 2017, changed the way tax is calculated for most taxpayers includingRead more about Avoid a surprise tax bill: get enough tax taken out of pension payments[…]

Steps to Take Now to Get a Jump on Next Year’s Taxes

Steps to Take Now to Get a Jump on Next Year’s Taxes

What’s New for 2018 You may need a paycheck checkup. Following tax law changes, you should do a paycheck checkup using the IRS’s Withholding Calculator and, if necessary, complete a new  W-4 form. The calculator helps determine the right amount of withholding. You should check your withholding if you: Are a two-income family. Have two or more jobs atRead more about Steps to Take Now to Get a Jump on Next Year’s Taxes[…]

The Sharing Economy and Income Taxes: What You Need To Know

The Sharing Economy and Income Taxes: What You Need To Know

If you use one of the many online platforms available to rent a spare bedroom, provide car rides, or to connect and provide a number of other goods or services, you’re involved in what is sometimes called the sharing economy. An emerging area of activity in the past few years, the sharing economy has changedRead more about The Sharing Economy and Income Taxes: What You Need To Know[…]

What taxpayers should know about amending a tax return

What taxpayers should know about amending a tax return

Taxpayers who discover they made a mistake on their tax returns after filing can file an amended tax return to correct it. This includes things like changing the filing status, and correcting income, credits or deductions. Here are some tips for taxpayers who need to amend a tax return. Complete and mail the paper Form 1040X,Read more about What taxpayers should know about amending a tax return[…]

Can’t Pay the IRS? You May Qualify for Currently Not Collectible Status

Can’t Pay the IRS? You May Qualify for Currently Not Collectible Status

There are times where you agree you owe the IRS, but you can’t pay due to your current financial situation. If the IRS agrees you can’t both pay your taxes and your reasonable living expenses, it may place your account in Currently Not Collectible (CNC) status. While your account is in CNC status, the IRS generally won’t tryRead more about Can’t Pay the IRS? You May Qualify for Currently Not Collectible Status[…]

Taxpayers Have the Right to Retain Representation

Taxpayers Have the Right to Retain Representation

Representation Taxpayers have the right to retain an authorized representative of their choice to represent them in their dealings with the IRS. Taxpayers have the right to be told that if they cannot afford to hire a representative they may be eligible for assistance from a Low Income Taxpayer Clinic. What This Means for YouRead more about Taxpayers Have the Right to Retain Representation[…]