IRS warns of new twist to old phone scams

So scammers aren't taking any time off, they are working overtime and here's what they are up to now, this article from Forbes talks about a new twist to the old phone scams.

 

Free DIY Tax Services ?

So, tax time is here.  This year there are increasing numbers of organizations that are offering to do your taxes for free.  FREE can be good.  This may be a way for you to save some funds.   There are a couple of things however, that you may want to

Be Aware! Tax Information Phone Scams have increased.

Hello Nation,


The IRS has indicated that the number of phone scams trying to get at your personal tax information has increased.  Scammers are calling taxpayers on the phone and indicating that they are IRS employees needing to verify your personal information.  The scammers seek to have you confirm the personal information they already have and get you to supply other personal information, the information they need, to do you significant damage.   The IRS again indicates that they do NOT call individuals for that type of information.  


The caller who already has some of your personal information aims to

2013 Year-End Tax Planning Tips

So, as you put the final touches on your financial planning for the year, here are 9 links to year-end tax planning information you may want to review, that could impact your bottom line, from MSN Money, About.com, Morgan Stanley, Charles Schwab, CNBC, 360 Degree's of Financial Literacy, Wall Street Journal's Market Watch and Turbo Tax.    

1. MSN Money’s 8 Year- end tax moves to make now
2. About.com 's 2013 Year End Tax Planning by Income and Age
3. Morgan Stanley's 2013 Year End Tax Planning Checklist
4. Charles Schwab's Year-end Tax Tips
5. CNBC's Year End Tax Planning Info
6. 360 Degree's of Financial Literacy's 2013 Year End Planning Considerations
7. CNBC's Five Tips for Year-end Tax Planning
8. The Wall Street Journal's Market Watch - Year-end Tax Planning Ideas for U.S. Individual Taxpayers, Tax Planners, and Tax Preparer's
9. Turbo Tax’s  Start Tax Planning Early: 8 Great Year-End Tax Tips

Please review this information with your own tax advisor or financial advisor to determine how it applies to your own financial situation.

 

Recently Married? Here are some Tax Tips

 

So you got married this year, and you are probably wondering how will your taxes be affected, or what steps you may need to take to be ready for tax season.   Here are a few tips:

1. Make sure that the Social Security Administration (SSA) has your new name.  The name and social security number recorded with the SSA must match your tax return. If you need to apply for a new card, call 800-772-1213 or apply here.  This short video gives you some more information.

Year End Tax Saving Tips for Tax Year 2011

So folks, we are down to the wire, we are 2 weeks from the end of the year, and maybe saving on your income taxes is not foremost on your mind, there are probably thoughts of family, holiday dinners, gift giving - as it should be, but you may also want to devote some time to make sure that you have taken steps to reduce your tax liability as much as you can, of course, legally.  As a reader of this personal finance blog over the years, you are familiar with the year-end reminders to do all you can to legally reduce your tax liability.   This year I am going to point you to a number of columns with that information. 

Sandra Block in a USA Today column talks about - weatherization, college tuition credits, deferring income, accelerating deductions, charitable contributions and taking advantage of sales tax particularly if you are in a state with no state income tax.

To see which consumer energy efficiency credits apply for the tax year 2011, click here.

Here is an article on CBS Money Watch which talks about the mortgage insurance deduction, enhanced adoption credits, educator expenses adjustment, plus 9 other tax tips.

"The TaxLady" blog has some tax tips on vehicles here.

Bill Lynott, freelance writer, gives some additional advice on saving on your taxes here and there is also a link to Part 1 of his post.

The Small Business Administration (SBA) has these tax saving tips for small businesses, and YAHOO Finance also has these small business tips.

If you are a small business owner and thinking of starting a 401K for your business, Stuart Robertson in a Forbes article has some ideas here. 

Rande Spiegelman, Vice President of Financial Planning, Schwab Center for Financial Research has a host of tips that could apply to you here, from double checking your income records,  tax-preferred education savings programs, to ways to gift without incurring the gift tax.

I quote directly from Rande here, because it is also my belief and practice, " After you decide what to do this year, resolve to make financial planning a year-round exercise going forward (you've probably got better things to do around the holidays). That way, it'll be easier to check your progress, update your plan and, if necessary, take action long before the ball falls in Times Square on New Year's Eve."

And remember as you locate your documentation to support your tax deductions, start cleaning out and archiving your 2011 information and set up your folders for 2012 - this way you will start the year off right, yep, I know, you say you will every year, this year you are actually going to do it, yeah!!!  

Season's Greetings and a Prosperous New Year to everyone. 

Didn't file an income tax return because you can't find your tax information?

If you still didn't file an income tax return by yesterday (April 18th) the extended filing deadline, because you've moved recently and can't find your documents, or just can't find your tax documents because they are probably hiding under that pile of papers on your desk, why wait any longer - start contacting the companies that report your income (your job, unemployment agencies, brokerage houses etc.) to send you out another copy.   It will take some time, so take action.

Tax Tip: Late filing penalty

Did you know that the penalty for filing late is usually 5 percent of the unpaid taxes for each month or part of a month that a return is late. This penalty will not exceed 25 percent of your unpaid taxes.   Filing an extension by the due date (this year April 18th) avoids this late filing penalty.   Remember though, the extension to file is not an extension to pay.

No need to pay that penalty if you can avoid it by filing an extension for free.