Internal Revenue Service

IRSinternal revenueBureau of Internal Revenue
In 1954 the filing deadline was moved from March 15 to April 15. The Tax Reform Act of 1969 created the Alternative Minimum Tax. By 1986, limited electronic filing of tax returns was possible. The Internal Revenue Service Restructuring and Reform Act of 1998 ("RRA 98") changed the organization from geographically oriented to an organization based on four operating divisions. It added "10 deadly sins" that require immediate termination of IRS employees found to have committed certain misconduct. Enforcement activities declined.


Between 2001 and 2010, Intuit Inc., maker of the tax-preparation software TurboTax, spent more than $1.7 million on lobbying in an attempt to kill ReadyReturn. Proposed statewide rollout of the ReadyReturn program was defeated in the California legislature in 2006. The FTB revived it on their own for the 2007 tax year, expanding it to cover one million Californians. In 2012, more than 80,000 California taxpayers used the system. Ninety-eight percent of users who filled out a survey said they would use it again. The state's tax agency said that returns filed with that system were cheaper to process than paper returns. ReadyReturn is now defunct.

Form 1040

Schedule Cestimated taxesincome tax return
Individual Income Tax Return") is one of three IRS tax forms (see variants section for explanations of each) used for personal (individual) federal income tax returns filed with the Internal Revenue Service (IRS) by United States residents for tax purposes. Income tax returns for individual calendar year taxpayers are due by Tax Day, which is usually April 15 of the next year, except when April 15 falls on a Saturday, Sunday, or a legal holiday. In those circumstances, the returns are due on the next business day. An automatic extension until October 15 to file Form 1040 can be obtained by filing Form 4868. Form 1040 consists of two full pages (79 lines in total) not counting attachments.


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.

Form 1099-MISC

There are several use cases of Form 1099-MISC. Whether an income is taxable and whether it should be reported on Form 1099-MISC are distinct questions. There may be other forms, such as Form W-2 (for wages) or Form 1099-K (for payments made with a credit card) that must be filed instead. One common use of Form 1099-MISC is to report payments by a business to US resident independent contractors. For the purpose of this form, "business" includes nonprofits and other organizations. In this case Form 1099-MISC needs to be issued only when the total amount paid during the tax year is at least $600, though the Form may still be issued at lower amounts.

Income tax in the United States

federal income taxincome taxIndividual income tax
Due dates and extension provisions for state and local income tax returns vary. Income tax returns generally consist of the basic form with attached forms and schedules. Several forms are available for individuals and corporations, depending on complexity and nature of the taxpayer's affairs. Many individuals are able to use the one page Form 1040-EZ, which requires no attachments except wage statements from employers ( Forms W-2). Individuals claiming itemized deductions must complete Schedule A. Similar schedules apply for interest (B), dividends (B), business income (C), capital gains (D), farm income (F), and self-employment tax (SE).

Form 1096

Form 1096 is due by the end of February each year when used for Forms 1097, 1098, 1099, 3921, 3922 or W-2G, and is due by the end of May when used for Forms 5498. For Form W-2, Form W-3 is used instead of Form 1096.

Republic, Lost

Republic, Lost: How Money Corrupts Congress – and a Plan to Stop ItRepublic, Lost: How Money Corrupts Congress—and a Plan to Stop It
The Internal Revenue Service (IRS) gets most of the information needed to complete an income tax return for most citizens and could send taxpayers a draft return. Taxpayers could either accept the IRS bill as is, submit it with modifications (similar to how consumers challenge charges on a credit card they didn't make), or create a new one completely from scratch. Intuit, the developer of tax preparation software TurboTax, spent over $1.7 million to kill a program like this in California (ReadyReturn).

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

Taxation in the United States

Each employer is required to provide each employee an annual report on IRS Form W-2 of wages paid and federal, state and local taxes withheld, with a copy sent to the IRS and the taxation authority of the state. These are due by January 31 and February 28 (March 31 if filed electronically), respectively, following the calendar year in which wages are paid. The Form W-2 constitutes proof of payment of tax for the employee. Employers are required to pay payroll taxes to the taxing jurisdiction under varying rules, in many cases within 1 banking day.

Form 1099-R

1099-R1099-R form
IRS Tax Forms. Taxation in the United States. Form 1099-R 2016. Instructions for Form 1099-R.


TaxAct is a member of the Free File Alliance, a free federal tax preparation and electronic filing program for eligible individual taxpayers developed through a partnership between the IRS and a group of private sector tax software companies. TaxAct offers two product formats: TaxACT Online which is web-based tax preparation, and TaxACT Desktop. There are also free mobile app called TaxACT Express which was released on January 17, 2014. The app is available for iOS and Android. There are four online plans: Free, Premium, Freelancer and Pro. TaxAct offers a Free version for basic returns using the 1040EZ and 1040A forms.

Form 1042

Form 1042-S1042-S
IRS tax forms. Taxation in the United States.

Form 1099-OID

1099-OID1099-OID Forms
In the United States, a Form 1099-OID is a tax form intended to be submitted to the Internal Revenue Service by the holder of debt instruments (such as bonds, notes, or certificates) which were discounted at purchase to report the taxable difference between the instruments' actual value and the discounted purchase price. Like other 1099 forms, it is normally filled out by a payer of income (such as an employer) and sent both to tax authorities and the recipient of the income. 1099-OID fraud consists in filing Form 1099-OID with a false withholding information to reduce taxable income.

Form 1099-K

Unlike Form 1099-MISC, Form 1099-K is sent not only to individuals, but also corporations and tax-exempt entities. IRS Tax Forms. Tax evasion in the United States. Taxation in the United States. Form 1099-K 2016. Instructions for Form 1099-K.

Tax withholding in the United States

withholdingwithholdautomatically withheld
Form 1099 series for backup withholding. Income tax in the United States. IRS penalties. Medicare (United States). Social Security (United States). United States v. Gotcher.

Affordable Care Act tax provisions

additional implications
-person-status by filing Form 8840 no later than June 15 of the year the tax return must be filed. Being a U.S. person may have damaging tax effects on Canadians, because they must file U.S. tax returns on their world-wide income (even if none of the income is derived in the United States). Even those who owe no tax may be faced with large costs associated with filing complicated tax returns in both Canada and the United States, including such forms such as [[Department of the Treasury Form 90-22.1 Report of Foreign Bank and Financial Accounts|FBAR]] and form 8965.

Free File Alliance

IRS Free File Alliance
Filers with state income tax returns may still pay additional fees of $10 to $30 to electronically file those returns. In 2007, Alliance members agreed to remove controversial ancillary offerings such as refund anticipation loans (RAL) from the program. The free services often limit their software's ability to handle complex tax situations. Some of the Free File Alliance tax sites and their limitations are: CompleteTax (interview style):. No RALs or other add-on products. FreeTaxUSA (interview style):. No Form 8615 - Tax for children with more than $2,100 in investment income. No Form 8824. TurboTax Freedom Edition (interview style). No 1099-B forms - sale of stock, mutual funds, etc.

Tax compliance software

Some popular tax preparation software include: * Streamlined Sales Tax Project H&R Block Tax Software. TaxACT. TaxCut. TurboTax. CompleteTax.

Tax information reporting

There are currently more than 30 types of tax information returns required by the federal government, and they provide the primary cross-checking measure the IRS has to verify accuracy of tax returns filed by individual taxpayers. The tax information return most familiar to the greatest number of people is the Form W-2, which reports wages and other forms of compensation paid to employees. There are also many forms used to report non-wage income, and to report transactions that may entitle a taxpayer to take a credit on an individual tax return.

Mortgage underwriting in the United States

Mortgage underwritersUnderwriting
Hourly wage earners who have the lowest risks usually need to supply paystubs and W-2 statements. However, self-employed, commissioned and those who collect rent are required to provide tax returns (Schedule C, Schedule E and K-1). Retired individuals are required to prove they are eligible for social security and document the receipt of payments, while those who receive income via cash investments must provide statements and determine the continuance of the income from those payments. In short, the underwriter must determine and document that the income and employment is stable enough to pay the mortgage in years to come.

Independent contractor

contractorindependent contractorscontractors
In the United States, an Internal Revenue Service computer algorithm matches individuals with Form 1099s to the company that pays them. If an independent contractor reports more than $10,000 of earnings, or majority of income from a single source, the IRS is likely to question the independence of the worker, and investigate the company that issued the Form 1099. Employer misclassification of employees as independent contractors either inadvertently or to avoid taxation and regulation, is widespread. Additionally, contractorization has been used as an indirect form of union-busting.

Humpty Dumpty

Crumpty-Bumptyall the king's horses and all the king's mennursery rhyme character
The Australian children’s television programme Play School, in the song Oomba Baroomba, says: TurboTax, a U.S. tax preparation software firm owned by Intuit, ran a Humpty Dumpty-inspired television commercial during Super Bowl LI. The ad depicted Humpty Dumpty in a hospital using a smartphone application to ask whether he could claim a tax deduction for medical expenses. Humpty Dumpty has been used to demonstrate the second law of thermodynamics. The law describes a process known as entropy, a measure of the number of specific ways in which a system may be arranged, often taken to be a measure of "disorder". The higher the entropy, the higher the disorder.

Jeff Jones (executive)

Jones took his first chief executive post when became president and CEO of H&R Block, a Kansas City, Missouri-based tax preparer, on October 9, 2017. He replaced Tom Gerke, who was interim CEO following the retirement of former CEO Bill Cobb. Jones is responsible for growing the company to better compete with TurboTax by Intuit and other online tax preparers. He has said he sees H&R Block as a financial services company and a retail company, and aims to grow the company by diversifying its services. He sits on H&R Block's board of directors. Jones is a former member of the board of directors of the Association of National Advertisers and an advisor to Zoove Corp.