The IRS has just announced that more than $1 billion in tax refunds for the year 2008 remain unclaimed by a million taxpayers who failed to file a return for that year. The tax law provides a three-year period for claiming a refund when no return is filed. That means these individuals must file a tax return for 2008 no later than Tuesday, April 17, 2012, or their refunds will be lost.
Thursday, March 29, 2012
Tuesday, March 27, 2012
To encourage taxpayers with assets in offshore accounts to bring their tax filing obligations current, the IRS has reopened its "offshore voluntary disclosure program."
Similar programs in 2009 and 2011 resulted in the collection of more than $4.4 billion of taxes owed.
The new program has a few key differences from the previous two, including no deadline for applying and a top penalty increase from 25% to 27.5%. The IRS warns that the terms of the current program could be changed at any time.
If you have foreign accounts and need details or filing assistance, contact our office at (518) 798-3330.
Tuesday, March 20, 2012
If you reached age 70½ last year, April 2, 2012, could be an important deadline. That's the last day you can take your required minimum distribution (RMD) for 2011 from your traditional IRAs. If you miss that deadline, the penalty could be a 50% excise tax on the amount you should have withdrawn.
Thursday, March 15, 2012
If you took certain actions in a prior year, you may now have additional taxes due on your 2011 tax return. Here are the details.
HOME BUYER CREDIT: If you bought a home in 2008 and took the first-time home buyer credit, you have another repayment installment due with your 2011 tax return. The 2008 tax credit was just an interest-free loan that you have to pay back over a 15-year period.
ROTH CONVERSIONS: If you converted a traditional IRA to a Roth IRA in 2010 and opted to split the tax due from the conversion between 2011 and 2012, your first half of the tax` is due on your 2011 tax return.
Monday, March 12, 2012
Are you still dealing with your 2011 tax return? Do you owe a bigger tax bill than you expected? Are you missing a tax break because your adjusted gross income is too high? Would you like a bigger refund? Don't despair. You might still have time to make some changes.
Wednesday, March 7, 2012
March 15 - 2011 calendar-year corporation income tax returns are due. Extensions may be filed to give until September 17, 2012, to file.
March 15 - Deadline for calendar-year corporations to elect S corporation status for 2012.
April 2 - Deadline for payers who file electronically to send copies of 2011 W-2s to the Social Security Administration.
April 2 - Deadline for payers who file electronically to file 2011 information returns (such as 1099s) with the IRS.
Tuesday, March 6, 2012
If you own a small corporation, you have until March 15, 2012, to choose S corporation status for this year. In order to become an S corporation, you'll need the unanimous approval of all shareholders.
Monday, March 5, 2012
If your flex plan at work allows a 2½ month grace period for using the pre-tax dollars you set aside for 2011, be aware that a final deadline is approaching. You have until March 15, 2012, to use the funds you set aside for 2011 or you forfeit any leftover dollars.
Friday, March 2, 2012
Congress passed an extension of the 2% payroll tax cut that had been scheduled to expire at the end of February. The extension means 160 million working Americans will continue to pay social security tax on their wages at a 4.2% rate for the rest of 2012, rather than at a 6.2% rate.