ASAP: Taxpayers should check withholding

NSTPInternal Revenue Service (IRS), Paycheck Checkup

ASAP: Taxpayers Should Check Withholding

ASAP: Taxpayers should check withholding All taxpayers should check their withholding – also known as doing a Paycheck Checkup – as soon as possible. They should do a checkup even if they did one last year. By checking their withholding, taxpayers can make sure enough is being taken out of their paychecks or other income to cover the tax owed. Here are some things taxpayers should know about withholding and why checking it is important: Taxpayers should check their withholding as early in the year as possible. If someone still has not done a Paycheck Checkup, there’s still time to get their withholding on track. They should do a checkup ASAP. Taxpayers should also check their withholding when life changes occur. These changes include things like: Marriage or divorce Birth or adoption of a child Purchase of a home Retirement Chapter 11 bankruptcy New job or loss of job Some taxable income is not subject to withholding. People with this income who also have income from a job may want to adjust the amount of tax their employer withholds from their paycheck. This includes income from things like: Interest Dividends Capital gains Self-employment and gig economy income IRA distributions, including … Read More

IRS Dispels Five Myths About Tax Refunds

NSTP2019 Tax Season

IRS Dispels Five Myths About Tax Refunds

As the April tax-filing deadline approaches, the Internal Revenue Service understands that taxpayers are anxious to get details about their tax refunds. This has led to a number of common myths about refunds that often circulate on social media. While there’s no secret way for taxpayers to find out when their refund will be issued, there are some key facts that can help people understand the refund process. Taxpayers should keep in mind the IRS issues nine out of 10 tax refunds in less than 21 days. And the easiest way to check on a refund is “ Where’s My Refund?”, an online tool available on IRS.gov and through the IRS2Go app. People can use “Where’s My Refund?” to check on the status of their tax return within 24 hours after the IRS receives an e-filed return or four weeks after a mailed paper return. The “Where’s My Refund?” tool is updated no more than once every 24 hours, usually overnight, so there’s no need to check the status more often. Taxpayers should only call the IRS tax help hotline to talk to a representative if it has been: 21 days or more since their tax return was e-filed, Six … Read More

Identity Theft Victims Waiting for Refunds:

NSTPIdentity Theft, Tax Refund

A recent TIGTA report found that on average, the IRS took 278 days to resolve the tax accounts of identity theft victims due a refund, according to TIGTA’s review of a statistically valid sample of 100 identity theft tax accounts resolved in the Accounts Management function in fiscal year 2013. That represents an improvement, however, compared to the average 312 days it took the IRS to resolve tax accounts of identity theft victims due a refund in FY 2012. TIGTA also continues to find that the information the IRS reports related to the time period for case processing and resolution is misleading. For example, the IRS informs taxpayers who inquire about the status of their identity theft case that cases are resolved within 180 days. TIGTA made the following recommendations: Analyze identity theft case reassignments and revise inventory management processes to reduce case reassignments. Develop a comprehensive identity theft training course to ensure that assistors are capable of handling complex cases. Develop processes and procedures to ensure that case closing actions and adjustments are accurate. Develop processes and procedures to calculate the average time it takes to fully resolve taxpayer accounts affected by identity theft. Develop processes and procedures to accurately … Read More