The Internal Revenue Service has quietly been studying the impact of refund anticipation loans (RALs) on both lower income taxpayers and on government revenues. The results of their study suggest that the IRS will close the loophole that allows tax outlets to offer refund anticipation loans. (more…)
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Archive for the ‘Taxes’ Category
IRS Stimulus Payment Schedule
The Internal Revenue Service has announced that stimulus payments will be mailed based on the last two digits of your social security number. They have released this schedule so that you may anticipate your stimulus payment. (more…)
Free Tax Prep Service Also Provides Credit Scores
The volunteer income tax assistance (VITA) program has been popular with low and moderate income taxpayers for years. One firm has changed the rules by matching eligible taxpayers with asset-building programs.
Instead of simply filing a free tax return, taxpayers are also treated to two of their credit scores. They can find out if they meet lending guidelines for homeownership. The best part is that since the program is funded by Freddie Mac, the service is free. (more…)
Stimulus Payment Schedule
If you are anticipating a stimulus payment this year, the Internal Revenue Service has announced they will follow the following schedule for sending notices and rebate payments. (more…)
Stimulus Payments–Fillable Form
If you are not normally required to file a tax return, you should file Form 1040A in order to become eligible for the stimulus plan payment. This form can be filled in online, printed out and mailed to the Internal Revenue Service.
Stimulus payments will likely not be made until May or June. Here is the form: Form 1040A–Fillable Form
Nonfilers Should File Form 1040A to Receive Stimulus Payments
Low income families that are not required to file tax returns should file Form 1040A in order to receive stimulus payments this year. Otherwise, they may not receive any payments.
Stimulus payments will be available to those who file Form 1040A (or other tax forms) who earned at least $3,000 during 2007. This may include those receiving social security or other payments.
Many people who receive social security benefits also earn some supplemental income through part-time jobs, sale of crafts or other similar means of financial support. Those earning at least $3,000 can file a tax return through volunteers for free, thereby making themselves eligible for the $300 stimulus payment.
IRS Rebates Focus of Scammers
Scammers have been contacting taxpayers while posing as Internal Revenue Service employees. The goal is to get valuable personal information, including your social security number in order to commit fraud and identity theft. (more…)
Tax Rebates Will Have Limited Impact on Recession
Republicans and Democrats hailed the newly announced income tax rebates as a preventative measure to ward off recession. The rebates amounting to $600 for individual taxpayers and $1,200 for joint tax filers are supposed to ratchet up consumer spending. Even those earning $3,000 or more would get $300 back, even though they do not pay income taxes.
The goal of this is to provide a boost to an ailing economy that is by some accounts already falling into recession. However, these rebates will not have the intended effects. (more…)
IRS Proposes Restrictions to Refund Anticipation Loans
The Internal Revenue Service announced on Thursday that it is examining whether to restrict tax preparers from offering refund anticipation loans. No decision has been made, but already investors are selling off stocks of H&R Block Inc. and Jackson Hewitt Tax Service Inc. (more…)
