Integrity Tax and Business Solutions - Dorothy Joyner

04/23/2020

Our physical office location has changed. We are no longer located on Remount Road. You can continue to reach us using our email and phone numbers.

04/16/2020

Are you looking for your Federal Stimulus Payment?

The IRS has just created a link on their website where you may check on the status of your stimulus payment and/or enter your direct deposit information.

If you didn't use your banking information when you filed your return this year, the IRS won't be able to direct deposit the stimulus payment into your bank. They will mail you a check instead, but it will be slower than direct deposit.

Steps to Enter Your Banking Information:

Go to irs.gov and follow the link to the "Economic Stimulus Payments" page.
Click on the blue link, "Get My Payment."
Click on the blue link, "Get My Payment" again.
Click "OK."
Enter your SSN, Date of Birth, Street Address, and ZIP code.
Click "Continue"
Then you will need the amount of your 2019 Adjusted Gross Income (Found on line 8b of your Form 1040), and the amount of your 2019 refund or amount due.

Then wait...

After you get it, "Don't spend it all in one place" as they say. :-)

09/05/2019

Do you know what we noticed? The new tax laws created problems with withholdings. Some people didn't have enough withheld in 2017 under the new laws and they owed more than they expected. But you also don't want to have too large of a refund because that means the IRS kept too much of your money for an entire year!

Are you interested in checking out how you are doing for this year while you still have time to fix it? Read on for an article below from the IRS then!

--Taxpayers can use 2018 tax return to estimate 2019 withholding amount--

Millions of people have filed their 2018 tax return, making this a prime time to consider whether their tax situation came out as expected. If not, taxpayers can use their finished 2018 return and the Tax Withholding Estimator to do a Paycheck Checkup ASAP and, if needed, adjust their withholding. Having their 2018 return handy can make it easier for taxpayers to estimate deductions, credits and other amounts for 2019. Performing a Paycheck Checkup is a good idea for anyone who:

Adjusted their withholding in 2018, especially those who did so later in the year.
Owed additional tax when they filed their tax return this year.
Had a refund that was larger or smaller than expected.
Had life changes such as marriage, childbirth, adoption, buying a home or income changes.
Since most people are affected by the Tax Cuts and Jobs Act all taxpayers should check their withholding. They should do a checkup even if they did one in 2018. This especially includes taxpayers who:

Have children and claim credits such as the Child Tax Credit.
Have older dependents, including children age 17 or older.
Experienced changes to itemized deductions this year.
Itemized deductions in the past.
Are a two-income family.
Have two or more jobs at the same time.
Only work part of the year.
Have high income or a complex tax return.
This Tax Withholding Estimator works for most taxpayers. Those with more complex situations may need to use Publication 505, Tax Withholding and Estimated Tax, instead of the Tax Withholding Estimator. This includes taxpayers who owe alternative minimum tax or certain other taxes, and people with long-term capital gains or qualified dividends.

Taxpayers can use the results from the Tax Withholding Estimator to see if they need to complete a new Form W-4, Employee’s Withholding Allowance Certificate, and submit it to their employer. In some instances, the calculator may recommend they have an additional flat-dollar amount withheld each pay period. Taxpayers give this form to their employer and do not send this form to the IRS.

More information:
Tax withholding: How to get it right
Publication 5307, Tax Reform Basics for Individuals and Families
Form 1040-ES, Estimated Taxes for Individuals

08/16/2019

Here’s how individual taxpayers can view their tax account info

Taxpayers with questions about their federal tax accounts can hop over to IRS.gov for answers. Individual taxpayers can login to the View Your Account Information page to view specific details about their federal tax account information.

Taxpayers can view:

Their payoff amount, which is updated for the current day.
The balance for each tax year for which they owe taxes.
Their payment history.
Key information from the their most current tax return as originally filed.
After viewing their information, a taxpayer can:

Select an electronic payment option.
Set up an online payment agreement.
Go directly to Get Transcript.

08/13/2019

Tax Planning? Don't forget your deductions and credits! The IRS article is below.

Year-round tax planning includes reviewing eligibility for credits and deductions

Tax credits and deductions can mean more money in a taxpayer’s pocket. Most people only think about this when they file their tax return. However, thinking about it now can help make filing easier next year.

This tip is one in a series about tax planning. These tips focus on steps taxpayers can take now to help them down the road.

Taxpayers should be prepared to claim tax credits and deductions. So, here are a few facts about credits and deductions that can help a taxpayer with their year-round tax planning:

Taxable income is what’s left over after someone subtracts any eligible deductions from their adjusted gross income. This includes the standard deduction. In fact, most individual taxpayers take the standard deduction. On the other hand, some taxpayers may choose to itemize their deductions because it could lower their AGI even more.
The Tax Cuts and Jobs Act made changes to itemized deductions. Many individuals who formerly itemized may find it more beneficial to take the standard deduction.
As a general rule, if a taxpayer’s itemized deductions are larger than their standard deduction, they should itemize. Also, in some cases, taxpayers may even be required to itemize.
Taxpayers can use the Interactive Tax Assistant to see what expenses they may be able to itemize.
Taxpayers can subtract tax credits from the total amount of tax they owe. To claim a credit, taxpayers should keep records that show their eligibility for it.
Here are a few examples of taxpayers who can benefit from certain credits:
Parents may qualify for credits like the child tax credit and child and dependent care credit.
Families with students may qualify for the American opportunity credit or lifetime learning credit.
Low to moderate income taxpayers may qualify for the earned income tax credit.
Properly claiming these tax credits can reduce taxes owed and boost refunds. Taxpayers can check now see if they qualify to claim it next year on their tax return. Some tax credits, like the EITC, are even refundable, which means a taxpayer can get money refunded to them even if they don’t owe any taxes.

06/06/2019

Trigger Warning: You may owe the IRS some money soon if you pay estimated taxes. See below to see if this applies to you!

IRS reminder: June 17 is next deadline for those who pay estimated taxes
Upcoming quarterly deadlines include September 16 and Jan. 15, 2020

WASHINGTON – The Internal Revenue Service today reminded taxpayers who pay estimated taxes that Monday, June 17, is the deadline for the second estimated tax payment for 2019.
Examples of those who often need to pay quarterly estimated taxes are self-employed individuals, retirees, investors, and some individuals involved in the sharing economy, among others.
The Tax Cuts and Jobs Act (TCJA), enacted in December 2017, changed the way tax is calculated for most taxpayers, including those with substantial income not subject to withholding. Most TCJA changes took effect in 2018. As a result, many taxpayers ended up receiving 2018 refunds that were larger or smaller than expected, while others unexpectedly owed additional tax when they filed earlier this year. Because of this, taxpayers should consider whether they need to adjust the amount of tax they pay each quarter through estimated tax payments.
Form 1040-ES, available on IRS.gov, is designed to help taxpayers figure these payments simply and accurately. The estimated tax package includes a quick rundown of key tax changes, income tax rate schedules for 2019 and a useful worksheet for figuring the right amount to pay.
A companion publication, Publication 505, Tax Withholding and Estimated Tax, has additional details, including worksheets and examples, which can help taxpayers determine whether they should pay estimated tax. This includes those who have dividend or capital gain income, owe alternative minimum tax or have other special situations.
Who needs to pay quarterly?
Most often, self-employed people, including some individuals involved in the sharing economy, need to pay quarterly installments of estimated tax. Similarly, investors, retirees and others – a substantial portion of whose income is not subject to withholding – often need to make these payments as well. Other income generally not subject to withholding includes interest, dividends, capital gains, rental income and some alimony.
Because the U.S. tax system operates on a pay-as-you-go basis, taxpayers are required by law to pay most of their tax liability during the year. For 2019, this means that an estimated tax penalty will normally apply to any party that pays too little tax, usually less than 90 percent, during the year through withholding, estimated tax payments or a combination of the two.
Exceptions to the penalty and special rules apply to some groups of taxpayers, such as farmers, fishermen, casualty and disaster victims, those who recently became disabled, recent retirees, and those who receive income unevenly during the year. In addition, there’s an exception to the penalty for those who base their payments of estimated tax on last year’s tax. Generally, taxpayers won’t have an estimated tax penalty if they make payments equal to the lesser of 90 percent of the tax to be shown on their 2019 return or 100 percent of the tax shown on their 2018 return (110 percent if their income was more than $150,000). See Form 2210 and its instructions for more information.
Employees have a choice
Many employees who also receive income from other sources may be able to forgo making estimated tax payments and instead increase the amount of income tax withheld from their pay. One way they can do this is by first completing the Deductions, Adjustments, and Additional Income Worksheet in the W-4 instructions and then claiming fewer withholding allowances on the Form W-4 they give to their employer. Alternatively, they can ask their employer to withhold an additional flat-dollar amount each pay period on their Form W-4.

Perform a Paycheck Checkup
With many key tax changes now in their second year, the IRS urges all employees, including those with other sources of income, to perform a Paycheck Checkup now. Doing so now will help avoid an unexpected year-end tax bill and possibly a penalty. The easiest way to do this is to use the Withholding Calculator available on IRS.gov.

To use the Withholding Calculator most effectively, users should have a copy of last year’s tax return and recent paystub. After filling out the Withholding Calculator, the tool will recommend the number of allowances the employee should claim on their Form W-4.

Though primarily designed for employees who receive wages, the Withholding Calculator can also be helpful to some recipients of pension and annuity income.

If the Withholding Calculator suggests a change, the employee should fill out a new Form W-4 and submit it to their employer as soon as possible. Similarly, recipients of pensions and annuities can make a change by filling out Form W-4P and giving it to their payer.

Employees who expect to receive long term capital gains or qualified dividends, or employees who owe self-employment tax, alternative minimum tax, or tax on unearned income of minors should use the instructions in Publication 505 to check whether they should change their withholding or pay estimated tax.

How and when to pay
The IRS provides two free electronic payment options, where taxpayers can schedule their estimated and other federal tax payments up to 30 days in advance, with Direct Pay (bank account) or up to 365 days in advance, with the Electronic Federal Tax Payment System (EFTPS). They can also visit IRS.gov/payments to explore options to pay online, by phone or with their mobile device and the IRS2go app. Taxpayers paying by check or money order must make it payable to the “United States Treasury.”

Taxpayers can pay their 2019 estimated tax payments any time before the end of the tax year. Most taxpayers make estimated tax payments in equal amounts by the four established due dates. The three remaining due dates for tax year 2019 estimated taxes are June 17, September 16, and the final payment is due Jan. 15, 2020.

Taxpayers due a refund on their 2018 federal income tax return may be able to reduce or even skip one or more of these payments by choosing to apply their 2018 refund to their 2019 estimated tax. See Form 1040 and its instructions for more information.

Pay your taxes, view your account, or apply for a payment plan with the IRS.

05/03/2019

April 15th has come and gone, but we are still here to serve you!
We are open on Tuesday and Thursday afternoons for our off-season hours, but we are available at other times by appointment.
Our office building has strengthened its security, so you will have to call us to get past the lobby. (Think Fort Knox.)

03/12/2019

Save your 2018 tax return now by checking your withholdings early in this year.

Why would you need to intervene? Because if you owed a lot this year, you might need to withhold more so you don't have that problem next year. If you got a huge refund, you might have withheld too much and the IRS took too much of your money and kept it for a year without paying you any interest.

Here is the same message direct from the IRS:

WASHINGTON - Doing a Paycheck Checkup can help taxpayers avoid having too little or too much tax withheld from their paychecks. The IRS reminds taxpayers that they can generally control the size of their refund by adjusting their tax withholding.

This news release is part of a series called the Tax Time Guide, a resource to help taxpayers file an accurate tax return. Additional help is available in Publication 17, Your Federal Income Tax, and the tax reform information page.

Withholding
The federal income tax is a pay-as-you-go tax. Taxpayers pay the tax as they earn or receive income during the year. Employers generally use withholding tables to determine how much tax to withhold from their employees’ paychecks and then pay it to the IRS. Workers who are not subject to withholding, such as those working in the gig or shared economy, should make quarterly estimated tax payments to pay their tax during the year.

When to check withholding
Taxpayers should check their withholding each year and when life changes occur, such as marriage, childbirth, adoption or buying a home.

For 2019, it’s important to review withholding and do a Paycheck Checkup. This is especially true for taxpayers who adjusted their withholdings in 2018 – specifically in the middle or later parts of the year. And it’s also important for taxpayers who received a tax bill when they filed this year or want to adjust the size of their refund for next year.

A withholding table shows payroll service providers and employers how much tax to withhold from employee paychecks, given each employee’s wages, marital status, and the number of withholding allowances they claim.

The IRS makes annual updates to the withholding tables for inflation, tax rates, tax tables and cost of living adjustments. This annual withholding guidance helps employers make changes to their payroll systems. However, the withholding tables can’t fully factor in all changes for all taxpayers, and only employees know other variables that can affect the tax they owe, such as other household income, credits and deductions that might reduce tax. As a result, some taxpayers could have paid too much tax last year and will get a refund, or too little tax if they did not increase their withholding or pay more estimated tax in 2018.

IRS Withholding Calculator
The IRS Withholding Calculator can help taxpayers get their tax withholding right. Checking withholding can protect against having too little tax withheld and then facing an unexpected tax bill or penalty at tax time next year. A taxpayer may prefer to have less tax withheld upfront and receive more in their paycheck. And, some people may choose to have their employer withhold more money from their paycheck. Others may choose to make higher or more tax payments than required and receive the overpayment – or refund – when they file their tax return. This is an individual taxpayer choice.

When using the calculator, it’s helpful to have a completed 2018 tax return available. For more details see Tax withholding: How to get it right.

Change withholding by submitting a new Form W-4
Taxpayers can use the results from the IRS Withholding Calculator to determine if they should complete a new Form W-4, Employee’s Withholding Allowance Certificate. The calculator will recommend the number of allowances to claim on this form and, if needed, the amount of additional federal income tax to have withheld each pay period. Employees submit the completed Form W-4 to their employer, not the IRS.

Those who need to adjust their withholding should do so as soon as possible. Workers whose income is not subject to tax withholding should also plan to pay tax throughout the year. See Form 1040-ES to find out more.

Tax Cuts and Jobs Act
When taxpayers file their 2018 tax return, they may notice significant changes from the Tax Cuts and Jobs Act (TCJA) including lowered tax rates, increased standard deductions, suspension of personal exemptions, increased Child Tax Credit and limited or discontinued deductions.

02/15/2019

Do you think you will owe after doing your taxes this year? Have no fear - the IRS is here to tell you what options are available.

Washington - As the 2019 tax filing season gets into full swing, the Internal Revenue Service reminds taxpayers who owe of the many easy payment options.

The IRS anticipates that most taxpayers will be affected by major tax law changes. While most will get a tax refund, others may find that they owe taxes, many of whom may qualify for a waiver of the estimated tax penalty that normally applies. See Form 2210, Underpayment of Estimated Tax by Individuals, Estates and Trusts, and its instructions for details.

“The IRS understands there were many changes that affected people last year, and the new penalty waiver will help taxpayers who inadvertently had too little tax withheld,” said IRS Commissioner Chuck Rettig. “We encourage people to check their withholding again this year to make sure they have the right amount of tax withheld for 2019.”

The IRS urges people with a filing requirement and a balance due to file by the April 15 deadline even if they cannot pay in full. Taxpayers in this situation should pay what they can and consider a payment plan for the remaining balance.

Taxpayers who owe taxes can choose among the following payment options:

IRS Direct Pay allows payment directly from a checking or savings account. This service is free.
Electronic Federal Tax Payment System, or EFTPS. Pay by phone or online. This service is free.
Debit or credit card payment. This service is free, but the processing company may charge a fee. Fees vary by company.
Check or money order made payable to the United States Treasury (or U.S. Treasury) either in person or through the mail.
Cash payments at some IRS offices or at a participating PayNearMe location. Some restrictions apply. Taxpayers should not send cash through the mail.
Taxpayers who are unable to pay their taxes in full should act quickly. Several payment options are available including:

Online Payment Agreement — Individuals who owe $50,000 or less in combined income tax, penalties and interest and businesses that owe $25,000 or less in payroll tax and have filed all tax returns may qualify for an Online Payment Agreement. Most taxpayers qualify for this option, and an agreement can usually be set up in a matter of minutes. Online applications to establish tax payment plans, like online payment agreements and installment agreements, are available Monday – Friday, 6 a.m. to 12:30 a.m.; Saturday, 6 a.m. to 10 p.m.; Sunday, 6 p.m. to midnight. All times are Eastern time.
Installment Agreement — Installment agreements paid by direct deposit from a bank account or a payroll deduction will help taxpayers avoid default on their agreements. It also reduces the burden of mailing payments and saves postage costs. Even taxpayers who don’t qualify for a payment agreement may still pay by installment. Certain fees apply.
Delaying Collection — If the IRS determines a taxpayer is unable to pay, it may delay collection until the taxpayer's financial condition improves.
Offer in Compromise — Certain taxpayers qualify to settle their tax bill for less than the amount they owe by submitting an offer in compromise. To help determine eligibility, use the Offer in Compromise Pre-Qualifier tool.
In addition, taxpayers can consider other options for payment, including getting a loan to pay the amount due. In many cases, loan costs may be lower than the combination of interest and penalties the IRS must charge under federal law.

Check tax withholding

The IRS urges all taxpayers to check their withholding for 2019, especially those who made withholding adjustments in 2018 or had a major life change. Those most at risk of having too little tax withheld from their pay include taxpayers who itemized in the past but now take the increased standard deduction as well as two-wage-earner households, employees with non-wage sources of income, and those with complex tax situations.

To help taxpayers allocate the appropriate withholding to their paychecks throughout the year in 2019, an updated version of the agency’s online Withholding Calculator is now available on IRS.gov. It’s never too early to check your withholding. While it’s a good idea any year, starting early in 2019 is particularly important as most tax filers adjust to the revised tax rates, deductions and credits.

Online tools

The IRS urges taxpayers to take advantage of the many tools and other resources available on IRS.gov. Taxpayers have a variety of options to get help filing and preparing their tax returns on IRS.gov, the official IRS website. Taxpayers can also find answers to their tax questions and resolve tax issues online. The Let Us Help You page answers most tax questions, and Publication 5136, IRS Services Guide, links to these and other IRS services.

Taxpayers can go to IRS.gov/account to securely access information about their federal tax account. They can view the amount they owe, pay online or set up an online payment agreement; access their tax records online; review the past 18 months of payment history; and view key tax return information for the current year as filed. Visit IRS.gov/secureaccess to review the required identity authentication process.

Instructions on how to view your tax account information.

08/14/2018

The IRS always has your best interest in mind, so they are urging taxpayers to check their withholdings now at the mid-year point.

The old normals have shifted with the new tax laws, so you might be surprised at your tax bill or refund if you don't check on what changes you need to make in your withholdings.

Here is what they said:

With the year more than halfway over, the Internal Revenue Service urges taxpayers who haven’t yet done a “Paycheck Checkup” to take a few minutes to see if they are having the right amount of tax withholding following major changes in the tax law.

A summertime check on tax withholding is critical for millions of taxpayers who haven't reviewed their tax situation. Recent reports note that many taxpayers could see their refund amounts change when they file their 2018 taxes in early 2019.

To help raise awareness for these taxpayers, the IRS is conducting a second “Paycheck Checkup” effort beginning the week of Aug. 13. During this week, the IRS is spotlighting a variety of tools – including the online Withholding Calculator – to help taxpayers learn if they need to make changes soon to avoid an unwelcome surprise come tax time.

The Tax Cuts and Jobs Act, passed in December 2017, made significant changes, which will affect 2018 tax returns that people file in 2019. These changes make checking withholding amounts even more important. These tax law changes include:

Increased standard deduction
Eliminated personal exemptions
Increased Child Tax Credit
Limited or discontinued certain deductions
Changed the tax rates and brackets
Checking and adjusting withholding now can prevent an unexpected tax bill and penalties next year at tax time. It can also help taxpayers avoid a large refund if they’d prefer to have their money in their paychecks throughout the year. The IRS Withholding Calculator and Publication 505, Tax Withholding and Estimated Tax, can help.

Special Alert: Taxpayers who should check their withholding include those who:

Are a two-income family.
Have two or more jobs at the same time or only work part of the year.
Claim credits like the Child Tax Credit.
Have dependents age 17 or older.
Itemized deductions in 2017.
Have high income or a complex tax return.
Had a large tax refund or tax bill for 2017.