Foreign-Source Income

Chapter 11 Bankruptcy Cases

Community Property States

Rounding Off to Whole Dollars

Line 1: Wages, Salaries, Tips, etc.

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Single

Married filing jointly

Married filing separately

Head of household

Qualifying widow(er)

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Form 1040-SR

Fewer numbered schedules

IRA and pension reporting

Capital gain or (loss) is now reported on Line 6

Health care coverage shared responsibility payment

Standard deduction amount increased

Qualified business income deduction

Alternative Minimum Tax (AMT) exemption amount increased

Qualified opportunity investment

Virtual currency

Email address

Medicaid waiver payments

Extended tax provisions

Disaster tax relief

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The Internal Revenue Service announced today the overwhelming acceptance of a time-limited settlement offer made to certain taxpayers under audit who participated in abusive micro-captive insurance transactions.

Nearly 80% of taxpayers who received offer letters elected to accept the settlement terms. In addition, the IRS is establishing 12 new examination teams that are expected to open audits related to thousands of taxpayers in coming months.

"The overwhelming acceptance rate of the private settlement offer is a reflection of the success of the government's work to stop this abuse," said IRS Commissioner Chuck Rettig. "Taxpayers who elected to accept the IRS' terms have done the right thing by coming into compliance with their federal tax obligations and putting this behind them. Putting an end to abusive schemes is a high priority for the IRS."

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Taxpayers may qualify for significant tax benefit

The Internal Revenue Service and its partners nationwide remind taxpayers about the Earned Income Tax Credit on January 31, "EITC Awareness Day." This is the 14th year of the EITC awareness campaign that alerts millions of workers to this significant tax credit.

Workers who can claim the EITC

Workers at risk for overlooking this important credit can include taxpayers:

How to claim the EITC

Refunds

Avoid Errors

Beware of scams

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The Internal Revenue Service wants tax-exempt organizations to know about recent tax law changes that might affect them. The Taxpayer Certainty and Disaster Tax Relief Act, passed on December 20, 2019, includes several provisions that may apply to tax-exempt organizations' current and previous tax years.

2.  Tax simplification for private foundations

3.  Exclusion of certain government grants by exempt utility co-ops

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Qualified individuals get as much as a 20% deduction from their income from pass-through entities such as LLCs and partnerships.

There are income limitations and complex ways of determining the deductible amount for taxpayers.

Examples of pass-through entities include:

LLCs,

S-corporations,

partnerships, and

sole proprietorships.

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Charitable contributions

Retirement savings

The pass-through deduction

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WASHINGTON — The Internal Revenue Service has provided relief to financial institutions that were expected to provide required minimum distribution (RMD) statements to IRA owners by January 31, 2020.

Notice 2020-6 (PDF) clarifies that if an RMD statement is provided for 2020 to an IRA owner who will turn age 70½ in 2020, the IRS will not consider the statement to be incorrect, but only if the financial institution notifies the IRA owner no later than April 15, 2020, that no RMD is due for 2020.

The Setting Every Community Up for Retirement Enhancement Act of 2019 (SECURE Act) changed the age for which an RMD is first required from age 70½ to 72. Under prior law, financial institutions would have needed to notify IRA owners who attained age 70½ in 2020 about their 2020 RMDs by January 31, 2020.

The IRS encourages all financial institutions, in communicating these RMD changes, to remind IRA owners who reached age 70½ in 2019, and have not yet taken their 2019 RMDs, that they are still required to take those distributions by April 1, 2020.

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COMMON IRS WHERE’S MY REFUND QUESTIONS AND ERRORS

What Does Tax Topic 151 Mean?

What Does Tax Topic 152 Mean?

Why Does It Give Me A Direct Deposit Date, And Then Say Call If Not Received By Another Date?

Are You Sure I Had To Verify My ID?

But The IRS Told Me To Wait 6 or 9 Weeks? Is That True?

What Does Return Received vs. Refund Approved Mean?

I'm Getting An Error Code, What Does It Mean?

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