It’s that time again – September 15, 2015, is the extended due date for filing those returns.
Pass-through entities such as Partnerships, S-corporations, and fiduciaries (trusts, estates) pass their income, deductions, credits, etc., through to their investors, partners, or beneficiaries, who in turn report the various items on their individual tax returns. Partnerships file Form 1065, S-corps file Form 1120-S, and Fiduciaries file Form 1041, with each partner, shareholder, or beneficiary receiving a Schedule K-1 from the entity that shows their share of the reportable items.
How Much Other Income You Have Can Affect What you Owe
Normally, Social Security benefits that you receive are not taxable. However, that will depend on your total income – the higher the income, the more taxes you’ll have to pay on your benefits.
When The Defense of Marriage Act of 1996 (DOMA) was overturned this past June, legally married same-sex couples are now required to file their federal returns and state results as “married” since all states are now required to recognize and allow same-sex marriage.
Keep in mind, however, that being married for tax purposes is not always beneficial, depending on a number of circumstances.
Did you forget about a deductible expense on your tax return or an expense that would qualify for a tax credit? Did you receive an unexpected or amended K-1 from a partnership, S-corp, trust or estate?
These are just a few examples of overlooked income or deductions that you may have forgotten on your tax return whether it was for the 2014 return or even prior year returns.
If you are considering whether to file an amended return (Form 1040X) or even a state income tax return, we recommend reviewing the following points:
If you’re planning on withdrawing funds from a taxable IRA or other retirement accounts, with some advanced planning, it’s possible to minimize or possibly avoid taxes, as long as you consider some of the following points:
If you have decided to start a new business in 2015, it is important to be knowledgeable of your federal tax responsibilities. The following provides you with tax information regarding the type of business, the importance of keeping good records as well as using consistent accounting methods for your business.
Over 100,000 taxpayers’ tax return information was taken from the IRS data and traced to somewhere in Russia. The criminals used an online tool provided by the IRS through which taxpayers are able to obtain transcripts of their previously filed tax returns. This service is called “Get Transcript” and is available to anyone that has the right information to access an individual’s transcripts. Unfortunately, the information needed to access this service is readily available from other online sources.
Every year the IRS reports around $1 Billion in refunds that are available for individuals who did not file a tax return with half of these refunds are more than $600. Maybe you decided not to file thinking that you don’t itemize and/or your employer is withholding tax so you don’t need to file.
If this is the case, you might want to consider the following reasons to file a return:
It’s nice to receive a large refund from the IRS, however, remember that means you are simply getting your own money back that was over-withheld in the first place. Logically, it would make more sense to put that money in the bank and be able to use it all year long instead of giving the IRS an interest-free loan!
If a company has at least 100 full-time employees as well as full-time-equivalent employees, effective January 1, 2015, the company must offer affordable health coverage that provides minimum value to at least 95% of full-time employees and their dependents or the company may be subject to an employer shared responsibility payment.