The IRS Audit Blog

Question: IRS Child & Dependant Care Expense Form 2441?

Does anyone know if the credit reduces your taxes to 0, or if you receive the difference if it goes into the red?

Answer: 2441 in the credits section is a non-refundable credit. It can reduce your federal income tax to zero but then any surplus just goes “poof” and vanishes; same with the energy credit and most of the others. You can get back leftover CTC and a portion of education credits, but they are the exceptions to the otherwise confusing rules in place.

Goodwill Industries volunteers to offer tax preparation help

As tax season begins, Goodwill Industries volunteers will be on hand to prepare tax forms for area residents free of cost.

Question: Home buyer tax credit?

Does anyone know the address to mail the homebuyer tax credit form? For the IRS. it’s the $8k thing. Thanks.

Answer: you will file a form 5405 with your 1040 by April 15 of 2010, unless you want to amend your 2008 return
the address is where you sent your last one, assuming you still live in the same state
you must have the purchase over, done, fini by Nov.30, 2009 to qualify

New changes for tax time

This year, April 18th is Tax Day.  And tax advisors say there are some changes you should be aware of people you file.

Tips from the IRS – Money in your pocket with first-time homebuyer credit

Question: Where to get an EIN?

I have seen the actual form SS-4 on the IRS site and I know for a fact I will make a lot of mistakes. So I need a company or just someone who can fill it out, and obtain it for me, I have seen several sites online such as Legal Zoom and Mycorporation and their prices to do such simple task are outrageous! Hope someone can recommend something. Many points!

Answer: First off, are you sure you really need an EIN? Read IRS “Do you need an EIN” to determine if you need it or not http://www.irs.gov/businesses/small/article/0,,id=97872,00.html

Try to set up an appointment with SCORE or SBDC in your area. But don’t ask for an appointment merely to help fill out the form. Request for strategic consultation with your business, and then mention the EIN to them.

Tips On Applying For A Tax ID Number

Earl Ofari Hutchinson: Progressives and Liberal Democrats are Blowing Hot Air Over Obama’s Tax Cut Deal

*Progressives and liberal Democrats are blowing hot air on President Obama’s tax cut deal. They include saber rattling of a Senate filibuster, screams for everyone from defeated Wisconsin Senator Russ Feingold to Hillary Clinton to challenge Obama in the Democratic primary, polls on left blogs and websites running heavily against him seeking re-election, and mountains [...]

Florida State Bar Association

Question: In California what would it cost to prepare an ’08 Form 990-EZ?

Just taking the numbers off the trial balance and putting them onto the right lines and making everything balance? This is for fiscal 08/09 so the deadline is 11/15/09. We are looking for an EA or CPA. Probably should mention the cost for the state return too.
Could someone give me a guesstimate please? Ballpark is fine.
Is the IRS estimate of 15 hours to prepare and assemble a reasonable time frame? (Seems pretty long to me.)
Thanks Judy, but I was looking for a hard number or at least a range that it might cost. Does anyone do and charge for preparation of the 990-EZ Not for Profit Corporation return?

Answer: I think the other responder who says 20 minutes is thinking of a 1040-EZ and has probably never been involved with a 990, EZ or otherwise.

I’ve done all versions of 1040, 990, and 990-EZ this year since who can file one rather than the full 990 has changed for a couple years. A fairly straightforward 990-EZ, when I’d done the 990′s for that organization for several years, probably took somewhere in that 15 hour vicinity, maybe a little less.

So getting it done won’t be cheap, unless you can find an EA or CPA who is interested in your non-profit and cuts you a break on cost.

IRS Steps Up Scrutiny of Nonprofits

The Internal Revenue Service says it plans greater scrutiny of a wide range of charity activities in the next year, including loans nonprofits make to top officials and whether they paid sufficient employment taxes.

PART (2) 20 MILLION DOLLAR COVER-UP IN PRINCE GEORGE COUNTY IN MARYLAND