Hometown Tax & Recordkeeping

05/08/2026

We are proud to announce that Janea Widmann has graduated with honors from Iowa Central. We know that her future will be bright !

02/24/2026

For all my Minister people, the amount that you paid for Weddings and Funeral are considered "Tips" for the new credit. Tips can be claimed by many different people, not just wait staff. Doordash drivers are also included in this.

02/23/2026

The March 2 deadline nears for many in the fishing business to file and pay taxes due to avoid making estimated tax payments. Take a look at: https://www.irs.gov/taxtopics/tc416

02/18/2026

It has come to our attention that IRS will not be sending checks anymore. Direct deposit only !

01/28/2026

For those that really want a check instead of direct deposit, IRS is phasing them out. 6 weeks to get a check this year, at least!

01/28/2026

IRS has announce that anyone with Earned Income Credit or Additional Child Tax credit ( lines 27A or 28) refunds will not be release before March 2nd. This is to try and prevent fraud and has been happening for several years.

01/27/2026

One advantage to the overtime deduction is that it helps on Iowa too ! Added bonus !

01/26/2026

E FILE has began and is going GREAT ! LET THE TAX SEASON BEGIN !

01/16/2026

In case you were wondering !

Well, it is that time of the year already... Tax Time.

This year there are some changes that could be helpful. Here is what you need to know to get ready for taxes.
1. Social Security - For anyone that gets Social Security this seems like a great deduction and it can be.
A . You must be 65 or older to receive this credit.
B. The credit is $6000 per taxpayer that is 65 or older.
C. The credit is UP TO $6000 of TAXABLE Social Security. IF your taxable Social Security is only $5000, then you will only get $5000.
2.Tips - Tips in box 5 of a W-2 can be claimed as a deduction up to $25,000. All tips that you want for the deduction must be claimed.
Box 5 on the W-2’s are not new, so this will be easily tracked for those jobs that get tips.
3. Overtime - This sounds like wonderful break for those that work overtime. It is only the amount above what you would have been paid if no overtime was available. For Example, you work 10 hours overtime at a rate of $22.50, with your normal rate at $15.00/ hour. The amount that can be deducted is $7.50/ hour (the rate difference between overtime and normal time) times 10 hrs = $75.00. It isn’t quite as nice as it sounded, but it is still a deduction.The $12,500 per person should be a great help ! The biggest challenge this year is that Overtime has never been tracked on a W-2 before. It is not required to report it in 2025, but it will be on the 2026 W-2. I highly recommend that you locate your last paystub for these totals.
4. Vehicle Interest -There is a credit for Vehicle Interest that can be claimed for the first time in a very long time. Of course, it isn’t that simple. It can be claimed without having to itemize at all. BUT... It has to be a NEW personal use vehicle, purchased in 2025 that was assembled in the USA. The vehicle (motorcycles are included), have to be under 14,000 lbs. You will have to provide the VIN to assure that it does qualify. The credit is up to $10,000, so a nice credit.
5. Child Tax Credit - The Child tax credit got a little bump to $2200 per child under that age of 17. $1700 of it can be refundable if you have at least $2500 in Earned Income Credit.
All of these credits have income restrictions. All in All, this could be a good year for the general public !

01/15/2026

There is a credit for a select few that bought a brand new vehicle last year. This can include motorcycles too. The vehicle must weigh less than 14,000 lbs. It also must be built in the US and for personal use. The interest is a new credit up to $10,000 !

01/09/2026

Let's talk overtime ! There is a great provision for a deduction for the amount that you are paid on overtime, up to $12,500. Sounds great, right ? Back up the truck a little. It is for the amount that is above your normal pay. What does that mean ? If you have 20 hours of overtime and you are paid $10 per hour regular and $15 for overtime, you will take the 20 hours times $5.00 (the difference between overtime and regular time). So the deduction is $100. It is still a deduction, just not everything that most were lead to believe by the media.