One component of becoming an e-file provider is getting fingerprinted for a background check. This has traditionally been completed with paper fingerprint cards which were mailed to the IRS and matched to the applicant’s application. However, as of September 25th the IRS will be implementing a new electronic fingerprinting process which will require an applicant […]
The corporate offices of Federal Direct Tax Services will be closed on Friday, 5/27/2022 through Monday, 5/30/2022 in observation of Memorial Day. The office will reopen on Tuesday, May 31st, 2022 at 9 am eastern time.
The IRS is currently in works to migrate all of the following e-services products and applications to an online portal serviced by ID.me (an IRS trusted technology provider): • Affordable Care Act (ACA) for Transmitter Control Code (TCC) • Application Program Interface (API) Client ID Application • e-File Application • Information Returns (IR) for TCC […]
Current Federal Direct Discounts: *30% off all Tax Partnerships through July 4th, 2022 *Federal Direct 10% Military Discount on all partnerships *Professional courtesy discount available to EAs, CPAs and Attorneys with current license is $1,000 discount on Platinum, $400 discount on Gold *All 2020 Gold & Platinum partnerships include Tax Messenger and Electronic Signature utilities […]
Hot off the presses! IRS HUB Testing to start tomorrow, January 18th and continue through Friday January 21st. Tax returns intended for early processing can be submitted now! What is IRS HUB Testing? -This is when the IRS pulls and processes returns that have been submitted as part of a controlled test launch of the e-file […]
The IRS is at it again… Since they were shut down on their authority to mandate all tax preparers get continuing education and take a competency test, they have now developed a “voluntary certification” that preparers can opt into. The program is called the Annual Federal Tax Refresher Course; and yes, successful completion of the […]
Just as quickly as we update our ITIN materials and guidelines the ITIN policy office within the IRS has changed their stance yet again! Just released: ITINs (Individual Taxpayer Identification Numbers) will expire after 5 consecutive years of non-filing use. This is a change from the services’ previously stated policy of automatically expiring ITINs after […]
The IRS has been alerted to a new email phishing scam. The emails appear to be from the IRS and include a link to a bogus web site intended to mirror the official IRS web site. These emails contain the direction “you are to update your IRS e-file immediately.” The emails mention USA.gov and IRSgov, […]
A bill recently passed by the Senate taxwriters includes a provision that would revive and expand the use of private debt collectors, requiring the service to hand over to private firms nearly all the inactive tax receivables. The way the bill reads, that would include unpaid fines for not having health coverage, a penalty that […]
The Internal Revenue Service is giving the Mega Millions jackpot some serious competition, with tax refunds totaling $760 million ready to be handed over to an estimated 918,600 taxpayers who did not file a federal income tax return for 2010.
In past tax seasons, returns filed with an ITIN (Individual Taxpayer Identification Number) reporting wages paid had to have the ITIN listed on the wage statement to be eligible for electronic filing. Due to programming changes the IRS’ e-file system, That is no longer required. The taxpayer’s correct ITIN should be used as the identifying […]
The IRS is now accepting returns with Itemized deductions, First Time Home Buyer Credits, Educator Expenses, etc, that were previously being delayed. Be sure to make sure that the returns you have been waiting to submit are being sent in for processing. If you have any questions, be sure to contact the support center at […]
The Internal Revenue Service today issued the 2011 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes. Be aware, these figures are for the coming year, not for taxes being filed next month! Rates for 2010 were $.50/mile for business purposes. Beginning on […]
Offices preparing returns that have had the Earned Income Tax Credit denied will be receiving compliance letters stressing the importance of operating with Due Dilligence in the future. Earned Income Tax Credit is one of the most fraudulently used tools in individual tax preparation. As a preparer you should be aware of the EITC due diligence requirements as well […]
When reviewing your clients’ prior year tax returns be sure to check to see if they claimed any college expenses, and if they did, they should have used the American Opportunity Credit. This credit has a refundable aspect to it, similar to the Earned Income Credit, and is available for the first 4 years of […]