Many people find it necessary to take out money early from their IRA or retirement plan. Doing so, however, can trigger an additional tax on top of income tax taxpayers may have to pay. Here are a few key points to know about taking an early distribution: Early Withdrawals An early withdrawal normally is taking…

Matthew Pankey, Chief Technology Officer at Citizens Bank & Trust Matthew was in the office tonight for his tax filing appointment. Afterwards, he reviewed our Information Technology Department policies and found approximately $800 per month potential cost savings for us! We invited him back, to give a talk on cyber-security next Thursday at a staff luncheon…

Targeting Schools, Restaurants and Hospitals The Internal Revenue Service, state tax agencies and the tax industry issued an urgent alert today to all employers that the Form W-2 email phishing scam has evolved beyond the corporate world and is spreading to other sectors, including school districts, tribal organizations and nonprofits. In a related development, the…

Remain on the IRS “Dirty Dozen” List of Tax Scams for 2017 Aggressive and threatening phone calls by criminals impersonating IRS agents remain a major threat to taxpayers, remain on the annual “Dirty Dozen” list of tax scams for the 2017 filing season. During filing season, the IRS generally sees a surge in scam phone…

Withdrawals from SIMPLE IRAs Generally, you have to pay income tax on any amount you withdraw from your SIMPLE IRA. You may also have to pay an additional tax of 10 percent or 25 percent on the amount you withdraw, unless you are at least age 59½ or you qualify for another exception. Additional Taxes…

You may be able to save money with higher education credits. Higher education costs paid in 2016 can mean tax savings in 2017. If you, your spouse or your dependents took post-high school coursework last year, you may be eligible for a tax credit or deduction. Here are some facts about key tax breaks for…

When taxpayers file their tax return, it’s important they use the right filing status because it can affect the amount of tax they owe for the year. It may even determine if they must file a tax return at all. Taxpayers should keep in mind that their marital status on Dec. 31 is their status…

Most taxpayers can claim an exemption for themselves and reduce their taxable income on their tax return. They may also be able to claim an exemption for each of their dependents. Each exemption normally allows them to deduct $4,050 on their 2016 tax return. Here are five key points to keep in mind on dependents…

The IRS announced today the release of an updated Form 990-EZ, Short Form Return of Organization Exempt From Income Tax, that will help tax-exempt organizations avoid common mistakes when filing their annual return. The updated Form 990-EZ includes 29 “help” icons describing key information needed to complete many of the fields within the form. The…