Elite Tax Professionals LLC

01/12/2022

Welcome to the start of Tax Season 2022!! Elite Tax Professionals LLC is pleased to be of service to you again this year. As always, our office hours are BY APPOINTMENT ONLY. This enables us to provide a safe environment, both for your health and the health of your finances. Again this year, we will have Protection Plus included as part of our tax preparation service. Give us a call to schedule your appointment now. Our telephone number is 803.635.6720. If we do not answer, please leave a message so we can get back in touch with you. Return calls are made within 24 hours. The IRS has designated January 24, 2022 as the opening of e-filing and accepting tax returns. Please bring any correspondence you receive from the IRS to your appointment. It will save time and help prevent errors. Additional information can be found on the IRS website:

IR-2022-08, January 10, 2022 — The IRS announced that the nation's tax season will start on Monday, January 24, 2022, when the tax agency will begin accepting and processing 2021 tax year returns.

07/14/2021

Questions about the Advance Child Tax Credit? Maybe some answers can be found here and if you need further assistance, we are a phone call away.

Frequently asked questions about the Advance Child Tax Credit Payments in 2021 — Topic A: General Information

05/30/2021

If you had Unemployment on your SC TAX return, read this article. We are here to help if there are any questions!

04/02/2021

Did your 2020 tax return include the full amount of unemployment you received in 2020? The IRS has ruled that $10,200 of that amount is now non taxable. If you filed prior to the IRS ruling, you could be due an additional refund amount. You are not required to file an amended return to get this refund except for a few circumstances. See the following article from the IRS for additional information and as always, give us a call if there are any questions:

IR-2021-71, March 31, 2021 — To help taxpayers, the Internal Revenue Service announced today that it will take steps to automatically refund money this spring and summer to people who filed their tax return reporting unemployment compensation before the recent changes made by the American Rescue P...

03/12/2021

The new Stimulus Package (EIP3) has been signed and payments will start going out as early as next week. Here is more information. (Long read, but worth it.)

President Biden just signed the American Rescue Plan, and there are some time sensitive things you should understand, as my client.

If you know anyone who needs assistance, we are tracking all of this for our clients and are taking on new clients even now. Feel free to send people our way, and have them use this to get in touch:

803.635.6720, please leave a message if no answer or email [email protected]

This is not a comprehensive email about the bill. This is simply about the components of it that might affect your actions in the next few days and weeks.

Let's dive in...

Stimulus Payments
(and how they might impact your tax paperwork)

The stimulus in this bill are structured differently from previous stimulus programs: This bill offers 1,400 dollars per taxpayer and dependent (with significant income limitations).

Here are the differences:

1) Previously, if you had a child over 16, or an adult dependent, they would not qualify to be included in your payment. In this round, you'll receive a payment for yourself and each dependent -- depending on your income.

2) The income "phase out" for this is significant and steep. In previous rounds, the phase out was much more gradual. The phase out began at the same numbers (75K for individual, 150K for joint-filed return, and 112,500 for HOH), but they were so gradual that it didn't significantly impact filing decisions.

Now, under the ARP -- you will NOT receive these payments if your income is anything over 80K for individuals or 160K for joint.

How This Might Impact You NOW
We want to maximize your stimulus. And once the IRS issues you a stimulus payment, it's yours. TIMING matters, and so might how you file (in certain unusual cases).

TIMING:
If your 2020 income increased versus 2019 ...

If it didn't take you over the phase out thresholds, there is nothing needed for you to think about.

If it brought your AGI above the phaseout thresholds (especially if over the 75K or 160K joint), and you have not filed your return: we will be waiting to file it until after you receive your stimulus.

If for some strange reason you are reading this and you are NOT our client, I urge you NOT to file until you receive payment.

If your increase brought your AGI above these thresholds, and you have already filed ... I am sorry :( The IRS goes by the most recently-filed information for these decisions.

Congratulations on your income increase ... and let's work on other ways to reduce your tax obligations in the future.

If your 2020 income decreased versus 2019 ...

If your income was already under the phaseout thresholds, you will not be affected -- you will receive the stimulus no matter what.

If your income decreased below the thresholds (i.e. your income in 2019 was above 75K or 150K filing joint and now it is below), you do NOT have to rush to get your return in.

The way this bill works is that there are two phases of how these stimulus payments will be distributed. In phase 1, the IRS will take the data it already has and pay out of that. If you didn't file a return in 2019 or 2020, you will not get a stimulus. But fret not ... in phase 2, there will be a second date on which the IRS will calculate stimulus payments. This will be for those who had an income decrease. That date will be the earlier of 90 days after the tax deadline day (whatever it might be -- more on that later), or September 1.

So as long as we get your taxes filed on time, you WILL get it. You do not have to FILE YOUR TAXES RIGHT NOW.

I repeat, you do NOT need to panic to file your taxes in the next few days. If your 2020 income qualifies you for the stimulus, but your 2019 did not, you WILL (eventually) receive the stimulus.

Here is where you can check your status: https://www.irs.gov/coronavirus/get-my-payment

"When Will I Get My Stimulus?"

Unclear, but likely these will begin by the end of this month for those who already are under the thresholds and qualify.

For the rest, it will be after the second phase that I already mentioned.

Unemployment Now (Partially) Non-Taxable (for most)
This is another significant change: the first 10,200 of unemployment benefits are now nontaxable -- but only for those whose income is below 150K.

This is a very real benefit for many, probably meaning about 1,500 in savings. But the timing on this will take some time because the IRS will have to issue guidance.

If you know anyone who has unemployment who has already filed their return, it is likely that they might have to amend ... but not necessarily.

There are (obviously) many more elements to this bill, and this email is not comprehensive.

There are changes to child tax credits, earned income credits, and more. All of these changes will be integrated into your future return preparations with us.

In the meantime ... know that we are in your corner.

Use Get My Payment to get information about your payment status and payment type.

02/10/2021

Woohoo!!! Some IRS acknowledgements are coming through today!! We have already received some in our office!!!

02/08/2021

Does your PAID tax professional sign your return too? If not, there could be a lot of problems!! If you pay someone to prepare your tax return, be sure they sign the return too! Pay attention to the Taxpayer Signature section. If you see "SELF PREPARED" or some other wording and NO INFORMATION about your tax professional, this could be the start of problems. DO NOT PAY the preparer if they refuse to sign your return!!! If you have any questions about this, call us and we will answer them for you. It is YOUR financial life, be sure you are taking good care of it.

IR-2021-30, February 5, 2021 — The Internal Revenue Service reminds taxpayers to avoid “ghost” tax return preparers whose refusal to sign returns can cause a frightening array of problems.

01/15/2021

For those wondering when the IRS will start accepting tax returns: Feb 12, 2021 is when the IRS will open efile.

IR-2021-16, January 15, 2021 — The Internal Revenue Service announced that the nation's tax season will start on Friday, February 12, 2021, when the tax agency will begin accepting and processing 2020 tax year returns.

01/14/2021

Are you dabbling in Virtual Currency? Are you into "mining" for it? Do you use your Webull account to trade it? Whatever you are doing with your virtual currency, the IRS wants to know about it. Be sure to have that information for your Tax Professional. The following article from the IRS website will give a little more insight. If you have any questions, please give us a call. Remember, ALL of our hours are BY APPOINTMENT ONLY and MASKS ARE REQUIRED. This is for privacy of your information and also for your health and ours. Appointments give us time to sanitize between visits. Thank you for your understanding.

IR-2014-36, March. 25, 2014 — Virtual currency is treated as property for U.S. Federal tax purposes; general rules for property transactions apply.

11/20/2020

Good morning everyone!! I just wanted to update and let everyone know that we are gearing up for Tax Season. Year 2020 has been a crazy year and we expect no less with the filing of tax returns. Our fees this year will start at $85. This will include a simple Federal tax return with one W2, single state and electronic filing. Dependents of clients can have their returns prepared for $60. All prices increase based on complexity of return.

This year, Elite Tax Professionals is pleased to announce that we will include with ALL tax preparation, an additional service called Protection Plus. This service has been offered for separate purchase in the past for $80. This year, it is included FREE with your tax preparation. This service includes audit assistance with reimbursement of up to $2500 in additional taxes, penalties and interest. It also includes Identity Theft Protection. Details will be available in the office and also included with your tax return. I will post a copy of the flyer as soon as I receive the ones for tax season 2020.

Thank you all for your confidence in our service in past years. We will continue to provide you with personalized, professional service at reasonable prices. Your appointment time is your time. We make sure it is dedicated to you.

All services are BY APPOINTMENT ONLY to give you the best service possible and to protect your sensitive information. Appointments also put us in compliance with COVID guidelines. Only taxpayer and spouse will be allowed in the office. Masks will be required. Disinfection of office equipment between clients.

04/05/2020

Do you need more information on the Small Business Loans? Check out the SBA website:

We’re here to help you overcome the challenges created by this health crisis. We offer multiple funding options for those seeking relief. Read more below.