Free File Alliance

IRS Free File Alliance
TaxACT (interview style). Adjusted Gross Income: $51,000 or less, and. Age: between 18 and 57, and. Live in any state or U.S. Citizens and resident aliens with foreign addresses. Free Extensions. 1040NOW.NET. You live in one of the following states:. AL, AR, AZ, CA, GA, IA, ID, IN, KY, MI, MN, MO, MS, NC, ND, NY, OK, OR, RI, SC, VA, VT or WV. or. You live in one of the following states, and you are 60 or younger:. CO, CT, DC, DE, HI, IL, KS, LA, MA, MD, ME, MT, NE, NJ, NM, OH, PA, UT or WI. Free File. Tax preparation. IRS e-file. Income tax in the United States. http://www.freefilealliance.org/. https://www.irs.gov/FreeFile. free_file_agreement - irs.gov.

H&R Block

H&R Block, Inc.HR BlockTaxCut
By 1986, Block was handling more than 10 million tax returns annually and had opened offices in Canada and Australia. That year, the company worked with the Internal Revenue Service to introduce electronic filing. H&R Block acquired MECA Software, the company that created the TaxCut software, in 1993. In 1995, H&R Block sold MECA, but retained TaxCut. The company began to expand in the 1990s into the financial services arena, offering mortgage loans, banking and business services. H&R Block purchased Olde Discount Stockbrokers in 1999 and operated as a full-service securities broker-dealer under the name H&R Block Financial Advisors.

TaxSlayer

TaxSlayer is now one of the largest online tax preparation services and a direct competitor to Intuit's TurboTax. In 2017, the company reported record growth in tax e-files with more than 10 million state and federal returns for the year, representing a 200% increase over the past three years. TaxSlayer produces software for several different market segments: consumers, professional tax preparers and the IRS VITA (Volunteer Income Tax Assistance) and TCE (Tax Counseling for the Elderly) program volunteers. TaxSlayer’s consumer products allow taxpayers to electronically file their taxes online each year.

Intuit

Intuit Inc.Intuit, Inc.Intuit Inc
In 2007, Intuit lobbied to make sure taxpayers cannot electronically file their tax returns directly to the IRS by negotiating a deal preventing the IRS from setting up its own web portal for e-filing. In 2009, the Los Angeles Times reported that Intuit spent nearly $2 million in political contributions to eliminate free online state tax filing for low income residents in California. According to the New York Times, from2009-2014, Intuit spent nearly $13 million lobbying, as reported by Open Secrets, as much as Apple.

TurboTax

Intuit "opposes IRS government tax preparation," particularly allowing taxpayers to file pre-filled returns for free, in a system similar to the established ReadyReturn service in California. The company also lobbied on bills in 2007 and 2011 that would have barred the Treasury Department, which includes the IRS, from initiating return-free filing. An Intuit spokeswoman said in early 2013 that "Like many other companies, Intuit actively participates in the political process." She said that return-free filing had "implications for accuracy and fairness in taxation." This led journalist Dylan Matthews to propose a boycott of the company in 2017.

IRS tax forms

Form 990tax formsIRS Form 990
Internal Revenue Service (IRS) tax forms are forms used for taxpayers and tax-exempt organizations to report financial information to the Internal Revenue Service of the United States. They are used to report income, calculate taxes to be paid to the federal government, and disclose other information as required by the Internal Revenue Code (IRC). There are over 800 various forms and schedules. Other tax forms in the United States are filed with state and local governments. Form 1040, U.S.

H&R Block Tax Software

Either the online or software versions will prepare and file one's federal and state income tax returns with the IRS with the option of electronically filing (e-filing) and direct depositing an applicable tax refund into a specified bank account. Competitors for H&R Block software include: TurboTax and TaxAct https://www.hrblock.com/online-tax-filing/. https://www.hrblock.com/tax-software/. https://www.nytimes.com/2017/02/17/business/yourtaxes/best-tax-software-reviews.html?_r=0.

Taxation in the United States

taxestaxationtax
The Internal Revenue Service administers all U.S. federal tax laws on domestic activities, except those taxes administered by TTB. IRS functions include: The IRS maintains several Service Centers at which tax returns are processed. Taxpayers generally file most types of tax returns by mail with these Service Centers, or file electronically. The IRS also maintains a National Office in Washington, DC, and numerous local offices providing taxpayer services and administering tax examinations. Tax returns filed with the IRS are subject to examination and adjustment, commonly called an IRS audit.

Internal Revenue Code

U.S. tax codetax codeU.S. Internal Revenue Code
The Internal Revenue Code (IRC), formally the Internal Revenue Code of 1986, is the domestic portion of federal statutory tax law in the United States, published in various volumes of the United States Statutes at Large, and separately as Title 26 of the United States Code (USC). It is organized topically, into subtitles and sections, covering income tax (see Income tax in the United States), payroll taxes, estate taxes, gift taxes, and excise taxes; as well as procedure and administration. Its implementing agency is the Internal Revenue Service. Prior to 1874, U.S. statutes (whether in tax law or other subjects) were not codified.

Modernized e-File

Modernized e-File (MeF) is an electronic system for filing tax returns with the Internal Revenue Service (IRS) of the United States. The MeF system describes tax forms in terms of XML and supports web-based filing. Modernized e-File was originally introduced in 2004, exclusively for corporate tax returns. Initially, there was only support for Form 1120 and related forms, but each year additional corporate tax forms were supported. Beginning with tax year 2009, the IRS will extend the Modernized e-File program to cover the 1040 series of forms for income tax returns filed by individuals. The IRS expects to accept the first MeF-based individual income tax filings in 2010.

Nina E. Olson

Olson is the United States Taxpayer Advocate, and head of the Office of the Taxpayer Advocate, a government office dedicated to helping taxpayers solve their problems with the Internal Revenue Service. From 1975 to 1991, she was a tax preparer in Chapel Hill, North Carolina. Olson is the only Internal Revenue Service (IRS) employee authorized to make legislative proposals directly to the United States Congress. Twice a year, she identifies the top problems taxpayers face to the IRS and Congress, and analyses how the IRS can ameliorate those problems.

Tax Day

April 15accepted tax formsincome tax
If April 15 falls on a Friday then Emancipation Day is celebrated on the same day and tax returns are instead due the following Monday, April 18. When April 15 falls on a Saturday or Sunday then Emancipation Day is celebrated on the following Monday and tax returns are instead due on Tuesday. In 2007 a powerful storm and flooding affected the eastern coast, and certain states were granted additional time to file. In some cases, the deadline was extended to as late as June 25. * Tax Freedom Day "Tax Day April 15, 1913" at AmericasLibrary.gov. Tax Return deadlines at eFile.com (IRS electronic filing site).

Certified Public Accountant

CPAcertified public accountantscertified public accounting
CPAs also have a niche within the income tax return preparation industry. Many small to mid-sized firms have both a tax and an auditing department. Along with attorneys and Enrolled Agents, CPAs may represent taxpayers in matters before the Internal Revenue Service (IRS). Although the IRS regulates the practice of tax representation, it has no authority to regulate tax return preparers. Many states also allow unlicensed accountants to work as public accountants. For example, California allows unlicensed accountants to work as public accountants if they work under the control and supervision of a CPA.

Enrolled agent

enrolled agentsenrolled
Internal Revenue Service. Enrollment overview. Retrieved January 30, 2006. National Association of Enrolled Agents NAEA. Understanding Tax Return Preparer Credentials (irs.gov).

Corporate tax in the United States

Corporate income taxcorporate taxcorporate taxes
Some state corporate tax returns have significant imbedded or attached schedules related to features of the state's tax system that differ from the federal system. Preparation of non-simple corporate tax returns can be time consuming. For example, the U.S. Internal Revenue Service states that the average time needed to complete Form 1120-S, for privately held companies electing flow through status, is over 56 hours, not including recordkeeping time. Federal corporate tax returns for most types of corporations are due by the 15th day of the third month following the tax year (March 15 for calendar year).

Federal Insurance Contributions Act tax

FICASocial Security and Medicare taxespayroll tax
Income tax. Medicare (United States). National Insurance contribution (NIC), a somewhat similar tax in the United Kingdom. Social Security (United States). Trust Fund Recovery Penalty, the personal liability of employers who fail to pay the tax. Annual maximum taxable earnings and contribution rates, 1937-2006, from the Social Security Administration. Summary of Social Security Amendments of 1983, from the Social Security Administration. Student Exception to FICA Tax, from the Internal Revenue Service. Go Ahead and Lift the Cap, discussing 2008 US presidential campaign plans regarding payroll taxes, from Dollars & Sense magazine.

Earned income tax credit

earned incomeearned income creditEITC
RALs (Refund Anticipation Loans) are short term loans on the security of an expected tax refund, and RACs (Refund Anticipation Checks) are temporary accounts specifically to wait to receive tax refunds, which are then paid by a check or debit card from the bank less fees. The combination of Earned Income Credit, RALs, and RACs has created a major market for the storefront tax preparation industry. A 2002 Brookings Institution study of Cleveland taxpayers found that 47 percent of filers claiming EIC purchased RALs, as compared to 10 percent of those not claiming EIC.

Tax

taxationtaxeslevy
Under the German system, there are 118 laws, 185 forms, and 96,000 regulations, spending €3.7 billion to collect the income tax. In the United States, the IRS has about 1,177 forms and instructions, 28.4111 megabytes of Internal Revenue Code which contained 3.8 million words as of 1 February 2010, numerous tax regulations in the Code of Federal Regulations, and suppmentary material in the Internal Revenue Bulletin. Today, governments in more advanced economies (i.e. Europe and North America) tend to rely more on direct taxes, while developing economies (i.e. India and several African countries) rely more on indirect taxes.

Predicted effects of the FairTax

Border adjustabilityPromotion of economic growthTax burden visibility
The Fair Tax Act is a bill in the United States Congress for changing tax laws to replace the Internal Revenue Service (IRS) and all federal income taxes (including Alternative Minimum Tax), payroll taxes (including Social Security and Medicare taxes), corporate taxes, capital gains taxes, gift taxes, and estate taxes with a national retail sales tax, to be levied once at the point of purchase on all new goods and services. The proposal also calls for a monthly payment to households of citizens and legal resident aliens (based on family size) as an advance rebate of tax on purchases up to the poverty level.

501(c) organization

501(c)(3)501(c)(4)501(c)
Tax exemption does not excuse an organization from maintaining proper records and filing any required annual or special-purpose tax returns, e.g., and. Prior to 2008, an annual return was not generally required from an exempt organization accruing less than $25,000 in gross income yearly. Since 2008, most organizations whose annual gross receipts are less than $50,000 must file an annual information return known as Form 990-N. Form 990-N must be submitted electronically using an authorized IRS e-file provider. Form 990, Form 990-EZ, and Form 990-PF may be filed either by mail or electronically through an authorized e-file provider.

Taxpayer Identification Number

tax identification numberTINIdentification Number
A TIN may be assigned by the Social Security Administration or by the Internal Revenue Service (IRS). A Taxpayer Identification Number is not itself given out under that name, but instead is the term used to describe any of the governmentally provided numbers that can be used in the US as a unique identifier when interacting with the IRS. A TIN may be: SSNs are used by individuals who have (or had) the right to work in the United States. ITNs are used by aliens who may or may not have the right to work in the US, such as aliens on temporary visas and non-resident aliens with US income.

Income tax

income taxesincometaxes
The US Supreme Court ruled the income tax unconstitutional, the 10th amendment forbidding any powers not expressed in the US Constitution, and there being no power to impose any other than a direct tax by apportionment. In 1913, the Sixteenth Amendment to the United States Constitution made the income tax a permanent fixture in the U.S. tax system. In fiscal year 1918, annual internal revenue collections for the first time passed the billion-dollar mark, rising to $5.4 billion by 1920. The amount of income collected via income tax has varied dramatically, from 1% in the early days of US income tax to taxation rates of over 90% during WW2.

Davis v. United States (1990)

Davis v. United StatesDavis v. United States'' (1990)
In their 1984 amended federal income tax returns for the years 1980 and 1981, the parents claimed these amounts as deductible charitable contributions. The Internal Revenue Service disallowed the claims. The parents sued for refund of the claimed amounts pursuant to § 170 of the Internal Revenue Code (which allows a deduction for a charitable contribution or gift "to or for the use of" a qualified organization) or as unreimbursed expenditures made incident to the rendition of services to a charitable organization under Treas. Reg. § 1.170A-1(g) (1989).

Preparer Tax Identification Number

PTIN
However, the agency said it would contact those tax return preparers and urge them to comply with the PTIN mandate. The use of the PTIN predated by many years the launching of the IRS Registered Tax Return Preparer Program in 2010. Thus, the requirement that a tax return preparer use either a social security number or a PTIN when engaged in the business of preparing federal tax returns pre-dated the requirements that had been imposed by the Internal Revenue Service in its Registered Tax Return Preparer program. On January 18, 2013, in a decision in Loving v. Internal Revenue Service, Judge James E. Boasberg of the U.S.