3 tax prep firms shared 'extraordinarily sensitive' data about taxpayers with Meta, lawmakers say
Some congressional Democrats say three large tax preparation firms sent โextraordinarily sensitiveโ information on tens of millions of taxpayers to Facebook parent company Meta over at least two years.
2 San Antonio residents charged in sophisticated stolen identity tax refund fraud scheme seeking $111 million from IRS
A man and a woman from San Antonio are among seven people charged in a conspiracy to claim $111 million in hundreds of fraudulent tax refunds by using the stolen identities of accountants and taxpayers, federal officials said.
EXPLAINER: What's the debate over releasing Trump's taxes?
Now that the Democratic-controlled House Ways and Means Committee has voted to release former President Donald Trumpโs tax returns, there's the potential of additional revelations in the coming days related to the finances of the longtime businessman.
Man, wife sentenced after stealing over $1M in restaurant investment fraud scheme, officials say
A San Antonio couple was federally sentenced to prison for failing to report their income to the IRS and scheming to defraud business investors of over a million dollars, according to the Department of Justice.
Feds launch website for claiming part 2 of child tax credit
The White House and Treasury Department launched a revamped Child Tax Credit website meant to help people who were eligible for the expanded tax credit under last yearโs pandemic relief bill claim the second half of the payment they were due.
Advance child tax credit payments from IRS might not be available for parents of kids who were born in 2021
Another round of child tax credit payments from the Internal Revenue Service is set to hit accounts of qualifying families on Monday but for people who had a baby in 2021, there might not be any advance payments at all.
Leak of billionaires' tax data draws GOP outcry over privacy
Republicans in Congress are alarmed by the leak of confidential IRS data to ProPublica that has enabled the investigative news organization to reveal that famous billionaires including Warren Buffett, Bill Gates and Mark Zuckerberg paid little in U.S. income tax at times.
Need some extra time to file your taxes? You got it
The Internal Revenue Service says itโs delaying the traditional tax filing deadline from April 15 until May 17. The new deadline does not apply to estimated tax payments that are due on April 15; those remain due by that day. The pandemic hit in the middle of last yearโs tax filing season, setting the agency back in terms of processing. A number of lawmakers and professionals from the tax community have urged the tax filing season be extended to accommodate for these pressures. Rettig is expected to speak to the committee tomorrow about how the IRS is managing this filing season and the need for this extension.
Before you file taxes online, hereโs how to do it securely
SAN ANTONIO โ Like most Americans, Matthew Starcez is filing his tax return online. โWeโve been doing our taxes online for the last seven years,โ he said. Even if someone steals your password, multi-factor or two-factor authentication could still stop them from getting into your account. But before you even file, security experts say itโs a good idea to make sure your sensitive online financial accounts and router are secure with strong passwords. Itโs also available for Mac and Windows computers, but you may need to enable it in the security settings.
Millions of taxpayers still waiting for 2019 refunds to arrive, report says
As people get ready to either file their tax returns or receive refunds from returns already filed for 2020, the IRS is still dealing with a big problem. In mid-February and based on data through Jan. 30, the IRS said it hadnโt yet processed 6.7 million individual income tax returns for 2019. The issue is so serious that the House Ways and Means Committee is asking the IRS to return the deadline for 2020 returns beyond April 15. AdIt remains unclear how much longer those anticipating their refunds from 2019 will have to wait, or if this yearโs deadline will be extended. But for the IRS, it could be difficult to focus completely on 2020 in the coming months with millions of 2019 returns still not processed.
Texan taxpayers affected by winter storms have two extra months to file their returns this year, IRS says
SAN ANTONIO โ The Internal Revenue Service is extending tax season deadlines for Texans affected by last weekโs winter storms. Individuals and businesses included in the Federal Emergency Management Agencyโs recent disaster declaration now have until June 15, 2021, to file their tax returns and pay anything they owe to the IRS. For example, individual tax returns and quarterly estimated income tax payments -- typically due on April 15 -- are now due on June 15. Affected taxpayers can deduct personal property losses not covered by their insurance or through other reimbursements, according to the IRS. For more information on the IRSโs changes for those affected by the winter storms, click here.
Eligible educators can deduct out-of-pocket expenses for COVID-19 protective items used in classroom, IRS says
SAN ANTONIO โ If youโre an educator filing a tax return this year, you may be eligible to deduct unreimbursed expenses for COVID-19 protective items used in the classroom. The educator expense deduction applies to eligible educators for unreimbursed expenses paid or incurred after March 12, 2020, for the COVID-19 protective items. The IRS says eligible educators include any individual who is a kindergarten through 12th grade teacher, instructor, counselor, principal or aide in a school for at least 900 hours during a school year. The IRS will allow educators to deduct up to $250 of qualifying expenses per year. AdThe IRS says the deduction applies to expenses paid or incurred only during the tax year.
Working from home? Donโt expect a tax break
โUnfortunately, if you are an employee only, that is not something you can deduct,โ said Jose Garcia, CPA and owner of Mission Tax and Financial. The Tax Cuts and Jobs Act eliminated home office deductions and replaced them with a fatter standard deduction. But some people can write off their home office expenses. Those who are self-employed, independent contractors or working in the gig economy can deduct qualified expenses. โWhat I suggest is try to negotiate something with your employer and see what options they provide to you,โ Garcia said.
Filing a tax return? Hereโs what you need to know this year.
SAN ANTONIO โ Tax season is right around the corner, and youโll want to be prepared for some of the changes coming this year before you file. The IRS will use the time before tax season to test its systems due to some tax law changes last year. IRS Free File opened on Jan. 15, so youโre able to begin filing your return now if you have all the documents you need. The IRS says tax preparation software should help you determine what youโre due if you are eligible. RELATED STORIES:San Antonio tax services preparing for season amid pandemicDo you have to pay taxes on unemployment compensation?
Do you have to pay taxes on unemployment compensation? Yes, you do.
All unemployment compensation received in 2019 must be reported on 2020 federal tax returns. Haywood also told KSAT that people who received unemployment benefits will not be eligible for the child credit. โYour state will send you Form 1099-G, which will show the amount of unemployment compensation paid to you during the year. If you repaid a portion of the benefits received, you can reduce the benefits received by the amount repaid,โ according to H&R Block. While unemployment income is subject to federal and state taxes, Texas is one of 15 states that does not tax unemployment income because Texas does not have a state income tax.
IRS gets more relief payments out after delays
The IRS said that after initial problems, it is getting more of the second round of relief payments to taxpayers. (AP Photo/Eric Gay)The IRS said that after initial problems, it is getting more of the second round of relief payments to taxpayers. A number of tax preparation companies said that they were able to resolve the issues. The IRS said Tuesday that it worked over the weekend to help a smaller set of impacted taxpayers and is reissuing payments for eligible taxpayers whose accounts may have been closed. No action is needed for most eligible taxpayers to get the payment.
Stimulus checks on the way for TurboTax customers after snafu that sent money to wrong bank accounts
A number of taxpayers who use tax preparation services, such as H&R Block and TurboTax, say their second relief payments were sent to the incorrect bank account. The IRS and the Treasury Department began issuing the Economic Impact Payments last week of Jan. 1, 2021. The delay in the direct deposits came after a number of taxpayers who used TurboTax said their second relief payments were sent to the incorrect bank account. You could be eligible to receive a Recovery Rebate Credit on your 2020 taxes if you did not receive the full amount of the economic stimulus payments. Read also: Didnโt get your relief payment yet?
Didn't get your relief payment yet? You aren't alone
The U.S. Treasury and IRS have sent out the bulk of the second economic impact payments, which are intended to provide some relief to Americans. However, frustration is high among millions of people who did not receive payments yet and must wait for the mail or file their taxes before they receive it. If you are eligible, check the IRS Get My Payment tool on its website to find out the status of you payment. However, some people may find that they get their payment in a different form this time than last. If you get the โPayment Status #2 โ Not Availableโ message, then you will not receive the payment and instead need to claim it on your tax return.
Some taxpayers find relief payments sent to wrong account
A number of taxpayers who use tax preparation services, such as H&R Block and TurboTax, say their second relief payments were sent to the incorrect bank account. The IRS and the Treasury Department began issuing the Economic Impact Payments last week of Jan. 1, 2021. (AP Photo/Eric Gay, File)A number of taxpayers who use tax preparation services, such as H&R Block and TurboTax, say their second relief payments were sent to the incorrect bank account, forcing them to wait longer for their money. However, many people said that they checked the IRS site and found their payments were sent to an account they did not recognize. The IRS has said that there is no action required by eligible individuals to receive this second payment.
Are your unemployment benefits or stimulus checks taxable income?
SAN ANTONIO - โ The coronavirus pandemic has triggered record unemployment levels, meaning many people are receiving government assistance for the first time. Several KSAT viewers have sent in questions recently, asking if unemployment benefits and stimulus checks are taxed. He wants people to know unemployment benefits are taxable income. The good news is that the government stimulus checks and direct deposits will not be taxed. Rucker is pointing people to the IRS website, where they can find information about those tax credit programs and incentives.
New stimulus plan: Who will get a second payment and when will it be received?
Treasury Secretary Steven Mnuchin said $600 payments were expected to be deposited as early as Tuesday night. The agreement includes a second round of stimulus payments and will provide financial assistance to those that are unemployed and businesses, schools, and more that are affected by the coronavirus pandemic. Exact income criteria and timing for the second stimulus package, as well as other details of the plan, have yet to be released as of noon on Dec. 21. Stimulus checks were sent to people based on federal tax returns from 2018 or 2019. Similar to the first round of stimulus checks, payments are expected to start phasing out for individuals who earn more than $75,000 annually.