20 The QUEE NS Courier • FEBRUARY 28, 2013 for breaking news visit www.queenscourier.com Photo courtesy THEWHO.com s tax tips Are Your Social Security Benefits Taxable? BY BARY LISAK Barry Lisak, EA, is an IRS Enrolled Agent who has operated a tax preparation office for over 30 years. Any questions or comments, please contact mrbarrytax@aol.com or 516-829-7283. The Social Security benefits you received in 2012 may be taxable. Each January, you should receive a Form SSA-1099 which will show the total amount of your benefits. The information provided on this statement along with the following facts from the IRS will help you determine whether or not your benefits are taxable. 1. How much, if any, of your Social Security benefits are taxable depends on your total income and marital status. 2. Generally, if Social Security benefits were your only income for 2012, your benefits are not taxable and probably you do not need to file a federal tax return. 3. If you received income from other sources, your benefits will not be taxed unless your modified adjusted gross income (MAGI) is more than the base amount for your filing status. 4. The 2012 base amounts are: $32,000 for married couples filing jointly. $25,000 for the other filing statuses. $0 for married persons filing separately who lived together during the year. 5. You can do the following quick computation to determine whether some of your benefits may be taxable: First, add one-half of the total Social Security benefits you received to all your other income, including any tax-exempt interest. Then, compare this total to the base amount for your filing status. It the total is more than your base amount, some of your benefits may be taxable. 6. The federal taxable portion of your Social Security benefits cannot exceed 85 percent of your total benefits. In New York, all Social Security benefits are exempt from state and city taxes. 7. If you do have to pay federal taxes on your Social Security benefits, you can have the taxes withheld from your benefits. You can choose to have 7 percent, 10 percent, 15 percent, or 25 percent of your total benefit payment withheld. Simply complete Form W-4V, Voluntary Withholding Request, and file it with the Social Security Administration (1-800-SSA-1213). 8. If both you and your child received Social Security benefits, you must use only your own portion (and not your child’s portion) of the benefits in figuring if any part is taxable on your tax return. 9. For additional information on the taxability of Social Security benefits, see IRS Publication 915, Social Security and Equivalent Railroad Retirement Benefits. This publication is available on the IRS website (www.irs.gov) or by calling 800-829-1040. “Two Decades Of Personalized Service” LJC@loucarino.com H&R Block is offering special discount at Main Street Flushing Office. This offer is only valid at 40-13 Main St., Ste 2B, Flushing, NY 11354 • Toll Free: 1-877-282-1133 The type of form filed is determined by your personal tax situation and IRS rules and regulations. Form 1040EZ is generally used by single and married taxpayers who do not have dependents and do not itemize deductions. Taxable income must be less than $100,000 (including wages, salaries, tips, taxable scholarships or fellowship grants and unemployment compensation). Fees and special pricing noted above are valid only at participating U.S. offices and through Block Live for an original 2012 personal income tax return. Additional fees for Earned Income Credit and state tax returns may apply. *Void if sold, purchased or transferred, and where prohibited. Coupon must be presented prior to completion of initial tax office interview or through Block Live and may not be combined with any other offer, discount or special promotion or pricing program. Discount valid only for tax prep fees for an original 2012 personal income tax return for employees of sponsoring company listed above. Current tax year W-2 or other proof acceptable to H&R Block of current employment from the sponsoring company listed above (or its participating subsidiaries) must be presented to be eligible for discount. Expires 4/30/13. ©2012 Allstate Tax and Accounting Inc. is a independent owned “H&R Block” Franchisee. At Gilman Ciocia, you’ll receive 25% OFF* whatever you paid your accountant last year. And that’s only the beginning. We like saving people money on their taxes - and we’d like to help you. With the economy the way it is, there’s never been a better time to take control of your taxes. Call to schedule an appointment Queens Office: 35-30 Francis Lewis Blvd. Flushing, NY 11358 718-304-2035 www.gtax.com Jim Ciocia, Founder and Chairman *$99 minimum tax preparation fee. Please bring your invoice from last years tax preparation fees. Offer available for 2012 tax returns only. Not to be combined with any other offer. Non-negotiable. No cash value. If you had your taxes prepared by Gilman Ciocia in 2012, you do not qualify for this promotion. This discount must be requested at time of service, no credits will be issued after the tax return has been filed. Offer expires March 31, 2013. OR Federal Form 1040EZ FREE Through March 15th only, after March 15th - $25.00 Federal Forms 1040 & 1040A $15 off* tax preparation Coupon Code: 2013001315 TAX INFO CORNER Choose Tax Preparers Wisely By: Javier N. Solis The IRS issued a Tax Tips email urging taxpayers to choose their preparers carefully. “Even if someone else prepares your return, you are legally responsible for what is on it,” the IRS warned. The IRS then offered 10 tips to keep in mind when choosing a tax return preparer: 1. Check the preparer’s qualifications. All paid tax return preparers are required to have a Preparer Tax Identification Number. In addition to making sure they have a PTIN, ask if the preparer belongs to a professional organization and attends continuing education classes. 2. Check on the preparer’s history. Check with the Better Business Bureau to see if the preparer has a questionable history. Also check for any disciplinary actions and for the status of their licenses. For certified public accountants, check with the state boards of accountancy. For attorneys, check with the state bar associations. For enrolled agents, check with the IRS Office of Enrollment. 3. Ask about service fees. Avoid preparers who base their fee on a percentage of your refund or those who claim they can obtain larger refunds than other preparers can. Also, always make sure any refund due is sent to you or deposited into an account in your name. Taxpayers should not deposit their refund into a preparer’s bank account. 4. Ask to e-file your return. Make sure your preparer offers IRS e-file. Any paid preparer who prepares and files more than 10 returns for clients must file the returns electronically, unless the client opts to file a paper return. IRS has safely and securely processed more than one billion individual tax returns since the debut of electronic filing in 1990. 5. Make sure the preparer is accessible. Make sure you will be able to contact the tax preparer after you file your return, even after the April 15 due date. This may be helpful in the event questions arise about your tax return. 6. Provide records and receipts. Reputable preparers will request to see your records and receipts. They will ask you questions to determine your total income and your qualifications for deductions, credits and other items. Do not use a preparer who is willing to e-file your return by using your last pay stub before you receive your Form W-2. This is against IRS e-file rules. 7. Never sign a blank return. Avoid tax preparers that ask you to sign a blank tax form. 8. Review the entire return before signing. Before you sign your tax return, review it and ask questions. Make sure you understand everything and are comfortable with the accuracy of the return before you sign it. 9. Make sure the preparer signs and includes their PTIN. A paid preparer must sign the return and include their PTIN as required by law. The preparer must also give you a copy of the return. 10. Report abusive tax preparers to the IRS. You can report abusive tax preparers and suspected tax fraud to the IRS on Form 14157, Complaint: Tax Return Preparer. If you suspect a return preparer filed or altered a return without your consent, you should also file Form 14157-A, Return Preparer Fraud or Misconduct Affidavit. Download the forms on the IRS.gov website or order them by mail at 800-TAX-FORM (800-829-3676). Javier N. Solis is the President and Founder of Los Taxes Network, the First and Only Latino Network of Tax Preparation in America. You can contact Javier directly at JSolis@LosTaxes.com or 718-645-0690. His main office is located at 2812 Fulton Street, Brooklyn, NY 11207 Advertorial
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