Tax Tips

Tax Tips for Individuals

• Check your refund status
  You may check the status of your refund at: https://sa1.www4.irs.gov/irfof/lang/en/irfofgetstatus.jsp
  
  
• Early Preparation
  Get started early gathering your documents for tax preparation. Your tax preparer is less rushed and you will get your refund faster.
  
  
• Adjust your W-4
  Did you owe tax with your previous year's tax return? You may want to adjust your W-4 with your employer to have them withhold additional tax.
  
  
• Filing an Extension
  The IRS allows you an automatic six month extension, by filing form 4868 by April 15. This gives you extra time to get all of your paperwork together, but not extra time to pay any tax due. You will owe interest on the unpaid tax, but no late payment penalty if at least 90% of the total tax due by April 15. The IRS has several payment options available.
  
  
• Amended Returns
  If you discovered a mistake on your return after you filed it, or if you have left something off of your return, you might need to file an amended return.
  
  
• Deductions
  Don't forget your charitable contributions. If you itemize your deductions on schedule A, your donations could add up to a nice deduction.
  
  Some costs associated with refinancing your home may be deductible.
  
  State sales tax is deductible for taxpayers living in states without state income tax, such as Texas.
  
  
• Income
  All income is taxable to United States citizens, even income earned in a foreign country.
  
  Check with your tax preparer prior to taking a distribution from an IRA or pension. Most distributions are considered taxable income and some distributions may have a penalty.
  
  
• Name and Social Security Number
  If you have recently married or divorced or had a new baby, be sure and check that your name and social security number matches what is on file at the Social Security Administration. Any errors can cause your return to be sent back to you or can delay or reduce your refund.
  
  

Tax Tips for Businesses

• Filing Deadline and Payments
  If you are running out of time to file your return, you can get an extension of time to file using form 7004. There is no extension of time to pay your taxes, but the IRS offers several options, such as credit cards and installment agreements.
  
  
• IRS Notices
  Do not ever ignore an IRS notice! Most IRS notices can be dealt with simply.
  
  
• Rights of Appeal
  If you disagree with the IRS about the amount of your tax liability, you have the right to ask the IRS Appeals Section to review your case. All taxpayers have a guaranteed right to appeal.
  
  
• Charitable Contributions
  Businesses as well as individuals have the right to deduct charitable contributions. Your donations can add up to a nice deduction for your corporation.