20 The QUEE NS Courier • march 7, 2013 for breaking news visit www.queenscourier.com tax tips Beware of Tax-Time Errors on Returns BY BARY LISAK Barry Lisak, EA, is an IRS Enrolled Agent who has operated a tax preparation Photo courtesy THEWHO.com s office for over 30 years. Any questions or comments, please contact [email protected] or 516-829-7283. Mistakes on tax returns mean they take longer to process, which in turn, may cause your refund to arrive later. The IRS cautions against these common errors so your refund is timely: 1. Incorrect and missing Social Security Numbers. When entering SSNs for anyone listed on your tax return, be sure to enter them exactly as they appear on the Social security cards. The IRS will automatically reject your tax credits and deductions if your Social Security number is wrong. 2. Incorrect or misspelling of dependent’s last name. When entering a dependent’s last name on your tax return, ensure they are entered exactly as they appear on the Social Security card. 3. Filing status errors. Make sure you choose the correct filing status for your situation. Check only one filing status on the tax return and check the appropriate exemption boxes. Claiming the wrong status could negate your ability to claim the child tax credit, the earned-income credit, and dependent exemptions. There are five filing statuses: Single, Married Filing Jointly, Married Filing Separately, Head of Household, and Qualifying Widow(er) with Dependent Child. 4. Using the wrong tax table. If you use the IRS tax tables, make sure you use the correct column for your filing status. 5. Report all income. The IRS can easily check how much income you received based on your SSN and 1099 forms financial institutions are required to submit. 6. Failure to take tax credits and deductions. Each year the IRS collects millions of dollars thanks to taxpayers who don’t claim all the deductions and tax credits available to them whether they itemize or not. Such tax credits and deductions include child and dependent care, student loan interest, moving expenses, alimony paid and tuition and fee expenses. 7. Incorrect bank-account numbers for Direct Deposit. If you are due a refund and requested direct deposit, review the routing and account numbers for your financial institution. 8. Forgetting to sign and date the return. An unsigned tax return is invalid. Remember, on joint returns both taxpayers must sign the return. If you file electronically, you must sign using a Personal Identification Number. 9. Sending the IRS your only copy. Be sure to make a copy of your return and all documentation for your records in case you are audited by the IRS. “Two Decades Of Personalized Service” [email protected] 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 Homeowners and Deductions By: Javier N. Solis Tax season is here and several people have purchased and refinanced their homes in 2012. It is important to know what deductions are allowed by the IRS. Unfortunately, there are a lot of tax return preparers, who are not familiar with the IRS regulations and many of these taxpayers find themselves in huge problems with the IRS because of these fictitious deductions the IRS will reject. There a big difference between a one family dwelling and a two or more family dwelling. The deductions are different and the taxpayer should be aware of what deductions can be included in the return. These are the deductions allowed for a one family dwelling: P Property taxes; P Mortgage Interest; and, P Points paid in connection with the mortgage. For a two, three and four family dwellings, the deductions are permitted to the extend of the percentage used by the rental units within the dwelling. For example: a two family dwelling can deduct 50% of the following expenses: P Property taxes; P Utilities such as: gas, electricity, P Mortgage Interest and Points; water and sewer; P Legal and Professional Fees: P Heating Oil; P Maintenance Fees; P Pest Control & Exterminator; P Property Repairs; P Depreciation and Insurance. Be aware that these expenses are permitted to the extend of the rental income received. For example, if a homeowner has received $12,000 in rental income, the 50% of all expenses used as deductions should not be over the rental income unless the addition of the property taxes, mortgage interest, points, legal and professionals fees and maintenance fees are above the rental income received. It is very important you choose the Right Tax Professional. If you heard of a tax preparer with a reputation of getting a large refund, be careful because the IRS takes three years to audit a taxpayer’s return. 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 [email protected] or 718-645-0690. His main office is located at 2812 Fulton Street, Brooklyn, NY 11207 Advertorial
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