Tax News Blog

Do I Need 2013 Tax Forms to File My 2013 Taxes?

Posted by admin on January 15th, 2015
Last modified: January 15, 2015

Need to File 2013 Taxes now? No need to fill out  2013 Tax Forms, PriorTax will do that for you.

If you still need to file 2013 taxes, you’ll be happy to hear you won’t need to track down the 2013 tax forms…Phew.

Instead of wasting time filling out complicated 2013 tax forms, you can file your 2013 taxes online with PriorTax!

How To File 2013 Taxes Now

Although the 2014 Tax Season ended on October 15, 2014 for 2013 Taxes, you’ll still be able to prepare your 2013 Tax Return online with PriorTax. That’s right, absolutely no tax forms necessary!

Follow these steps to (finally) file your late 2013 tax return;

  1. Gather together your 2013 Tax Documents and Information
  2. Create an Account for the 2013 Tax Year on PriorTax
  3. Enter your tax information
  4. Pay and Submit
  5. Once your 2013 Tax Return is available for download, print it out.
  6. Sign and Mail the Tax Return to the IRS
  7. Sit back, relax and wait for Your Refund!

Since the tax season for e-filing 2013 tax returns has ended, you’ll need to paper file your 2013 Tax Return. In other words, don’t stop at step #4. Remember to sign and mail your return!

2013 Tax Tables

Keep in mind that the 2014 Tax Rates won’t apply to your 2013 Tax Return. If you can’t remember what tax bracket you fall into, here’s a 2013 Tax Table to refer to; Read the rest of this entry »

Who Qualifies for the Child Tax Credit 2014?

Posted by admin on January 12th, 2015
Last modified: January 26, 2015

If you meet the requirements to claim the Child Tax Credit 2014, your tax bill may reduce up to $1,000 per child.

Ever since entering the world, your child hasn’t stopped growing and learning. Along with that comes new clothes to buy, weekly visits to the grocery store, the obnoxious costs of summer camp, and of course, the endless dance, karate, and art classes!

As a parent, you understand more than ever before, that every dollar counts. Luckily, the IRS gives a few tax advantages to parents, including the Child Tax Credit.

However, you should note that just because you have a child, it doesn’t mean you qualify to claim the Child Tax Credit. You’ll need to meet the seven requirements. 

Wondering if you make the cut to claim the extra money when filing your 2014 Taxes?  If you meet the seven tests below, you’ll qualify to claim the Child Tax Credit.

1. Age Test

At the end of 2014, your child must have been under the age of 17- so 16 years or younger.

2. Relationship Test

In order to claim the child tax credit, the child must be one of the following;

  • your child
  • your stepchild
  • a foster child placed with you by a court or authorized agency
  • an adopted child (even if the adoption is not final by the end of the tax year)
  • your brother
  • your sister
  • your stepbrother
  • your stepsister
  • your niece
  • your nephew
  • Read the rest of this entry »

What are the IRS Charitable Contribution Limits?

Posted by admin on December 23rd, 2014
Last modified: January 9, 2015

Deductible Charitable Contributions are Limited to 50%, 30% or 20% of your Adjusted Gross Income

If you plan on deducting charitable contributions on your tax return, you’ll want to keep in mind that the IRS places limitations on how much you can write off.

Generally, you’ll be able to deduct charitable contributions up to 50% of your Adjusted Gross Income (AGI). However, this is not always the case.

In fact, depending on the organization you donated to and what you donated could alter this limit to 30% or even 20% of your AGI.

If you want to receive the maximum refund possible, learn the limitations before donating. Then, when it’s time to file your taxes, PriorTax will do the calculations for you!

50% Limit

The total amount of charitable contributions you can deduct on your taxes cannot exceed 50% of your Adjusted Gross Income.

In other words, if you made $80,000 during the year, then you’ll be able to include up to $40,000 in contributions in the deductions section of your tax return.

However, not everything you donate nor every organization you donate to is included in this 50% limit. Before donating to a charity, you may want to ask the organization if they are an IRS Qualified Charity and whether or not they’re considered a “50% Limit Organization”.

If they fall into both categories, you’ll be able to deduct up to 50% of your income in cash contributions you made to the organization. Read the rest of this entry »

Can I Deduct Donations Made to Any Organization? | IRS Qualified Charities

Posted by admin on December 18th, 2014
Last modified: December 18, 2014

Contributions to Tax-Exempt Organizations aka “IRS Qualified Charities” are Tax Deductible

If you itemize your deductions (rather than taking the standard deduction), your donations are tax deductible. Don’t get too excited though, you’ll only be able to deduct contributions made to qualified charities and organizations.

Not sure what organization to donate to this year? We’re here to help clarify what types of charities are IRS qualified to lower your taxable income. Then, once it’s time to report the contributions you made, we’ll guide you through filing your taxes!

How Do I Know if a Organization is Qualified Tax-Exempt?

If you donated (or plan on donating) to a specific organization, you may be unsure if you’ll be able to include the generosity on your tax return.

Luckily, the IRS has a search tool on their website, allowing you to enter the organization’s name and location to find out whether their considered an “exempt organization” and tax deductible.

In order to deduct a contribution, the organization will either need to;

How To Deduct Donations: Charitable Contribution Tax Tips

Posted by admin on December 15th, 2014
Last modified: January 9, 2015

Plan on Deducting Donations on Your Tax Return? Here’s a few Tax Tips to Keep in Mind

What’s better than getting a larger tax refund from your tax return? Giving to a good cause.

In fact, in WebMD.com’s article “The Science of Good Deeds”, explains that giving to others not only gives something called a ‘helper’s high’, it also leads to a longer, healthier life.

What’s better than giving to others while also receiving a larger tax refund? Not much.

Before you start spreading some donation love, you’ll want to first make sure you’re going about contributing the right way. Not everything you donate is tax deductible.

Tax Tip #1: You’ll have to Itemize Your Deductions to Deduct Contributions

If you’re debating between taking the standard deduction or itemizing your deductions, if planning to deduct your charitable contributions you’ll have to pick the ladder.

Luckily, you won’t have to do the calculations on Schedule A yourself. The RapidTax do all the hard work for you.

Tax Tip #2: You Must Donate to a Qualified Charity

If you planned on giving your mom a car for Christmas and counting it as a deduction on your taxes, you’ll have to reconsider your plan. In order to deduct a gift, you’ll have to donate to a qualified charity. Read the rest of this entry »

What You Need to Know about Working Remotely Taxes

Posted by admin on December 9th, 2014
Last modified: December 9, 2014

Working remotely taxes can be confusing, especially if you live in one state and work for a company located in another state.

For most, working remotely from home is much more convenient than commuting to a job. There’s no train rides, sitting in traffic or obnoxious co-workers to sit next to.

However, trading in your commute to the office for working from the comfort of your own home can come with a price, especially when it comes to filing taxes.

If you work remotely for a company that’s located in a different state than your resident state, you may be forced to file multiple state tax returns. Sound confusing? We’re here to help!

Tax-Free States

If you work remotely for a company in another state than where you live, you may forced to file both a resident tax return and a non-resident return.

However, some states are income tax-free, meaning you’re off the hook from filing state taxes. The 9 states without an income tax are as follows;

  1. Alaska
  2. Florida
  3. Nevada
  4. New Hampshire
  5. South Dakota
  6. Tennessee
  7. Texas
  8. Washington
  9. Wyoming

File a Return to Each States Listed on Your W-2

If both the state you live in and the state your company is located in falls within the list above of income-tax-free states, then you won’t need to file any state tax returns. Lucky you!

However, chances are the company you work for and/or your home is located in a state with income taxes. In this case you will have to file at the least, a resident tax return. Read the rest of this entry »

What Is The 2014 Standard Mileage Rate?

Posted by admin on December 2nd, 2014
Last modified: January 22, 2015

The price of gas has gone down in 2014, and so has the Standard Mileage Rate!

Tax Season 2015 is here. Before filing your 2014 taxes, you’ll want to organize any receipts related to the costs of your vehicle if used for business, medical, charity or moving reasons.

It pays to stay organized; the more expenses you end up reporting, the larger your refund check will be.

Standard Mileage Rate 2014

Small business owners, employees, self employed individuals and other taxpayers, can use the standard mileage rate to calculate their tax deductible vehicle costs. These costs must be related to business, charity, medical or moving purposes.

According to the IRS, the standard mileage rate for the use of a cars, vans, pickups, and panel trucks are as follows;

  • 56 cents per mile for business miles driven

  • 23.5 cents per mile driven for medical or moving purposes

  • 14 cents per mile driven in service of charitable organizations

The 2014 mileage rates for business, medical and moving expenses have decreased one-half cent per mile from the 2013 standard mileage rates.

However, the standard mileage rate for charitable expenses hasn’t changed since the Clinton era. In fact, this rate is fixed and can only be changed by Congress.

Keep in mind, there are a few rules of who can and cannot use the standard business mileage rates;

AMT Calculator 2014

Posted by admin on November 25th, 2014
Last modified: January 22, 2015

No need to use an AMT Calculator 2014, the PriorTax application will do the Alternative Minimum Tax Calculations For You!

Trying to figure out your AMT? There’s Alternative Minimum Tax Calculators out there to help you figure out your AMT total, or you can do the AMT calculations yourself.

Be honest though- do you really want to take the time out of your day to calculate your Alternative Minimum Tax? No way.

Rather than finding a 2014 AMT calculator, or doing the work yourself, use the PriorTax tax application to file your taxes and your AMT will be calculated for you.

What is the Alternative Minimum Tax?

The Alternative Minimum Tax is an additional tax calculated separately from regular tax. Individuals with a higher income are often subject to the Alternative Minimum Tax. The AMT sets a limit to the number of benefits someone can claim to reduce their tax total.

AMT tax rates differ from regular taxable income. The AMT Rates are as following;

Single, Married Filing Jointly, Qualifying Widower:

  • 26% for alternative minimum taxable income (AMTI) of $182,500 or less
  • 28% for AMTI over $182,500

Married Filing Separately:

  • 26% for AMTI of $91,250 or less
  • 28% for AMTI over $91,250

Read the rest of this entry »

How To File 2013 Taxes Late If You Missed October 15 Deadline

Posted by admin on November 20th, 2014
Last modified: January 22, 2015

You can File 2013 Taxes Late with PriorTax.

If you planned on filing your 2013 taxes by the October 15, 2014 deadline but never got around to it, don’t panic.

You can no longer e-file a 2013 tax return, but you’ll still be able to  file 2013 taxes late with PriorTax. Thanks to the 2013 tax software, you won’t waste hours doing taxes.

File your late 2013 taxes sooner rather than later. The IRS late fees increase by the day.

The longer you wait to file your 2013 taxes, the more you’ll end up handing over to the IRS in late penalties.

You’ll Have To Paper File Your Late Tax Return

As of October 15, the IRS shut down the e-file system to prepare for the upcoming tax season. You missed your chance to electronically file and will need to mail your late taxes.

Luckily, you won’t need to prepare your tax return completely by yourself. PriorTax is one of the only 2013 tax software services available for late tax preparation. Read the rest of this entry »

Need Help Filing 2013 Taxes Late?

Posted by admin on November 19th, 2014
Last modified: January 22, 2015

If you need help filing 2013 taxes late, PriorTax is here.

Have you been putting off filing your 2013 taxes and still need to gather your 2013 tax forms?

Maybe you haven’t yet filed your 2013 tax return because you’re unsure of how to fill out a 2013 tax form 1040.

Whatever the case may be, we understand that completing a 2013 tax return may seem overwhelming. However, as much of a headache taxes may appear to be, it’s best to get your 2013 tax return out of the way sooner rather than later.

The good news is that PriorTax makes completing a 2013 tax return easy. In fact,  while other online tax services no longer offer 2013 tax software, you can prepare your 2013 taxes online with PriorTax!

Before, getting started, here’s a few 2013 tax return tips to keep in mind.

 #1: Late Fees Increase As Time Passes

If you’re getting a refund, there’s no need to freak out. You won’t face late fees for filing late. However, if you have tax due on your 2013 taxes, then the longer wait to file and pay your tax bill, the worse the penalties become.

There’s two late penalties; a late-filing penalty and late-payment penalty. Here’s what you need to know;

  • Late-filing Penalty: 5% of the additional taxes owed amount for every month (or fraction) your return is late, with a maximum penalty of 25%.                                                             Keep in mind, if you file more than 60 days after the due date, then you’ll be fined at the very least, a minimum penalty of $135.
  • Late-payment Penalty: 0.5% (1/2 of 1%) of the additional tax owed amount for every month (or fraction) your tax remains unpaid, up to a maximum of 25%                                         For any month that you receive both a late-payment and late-filing penalty, then the 0.5% late-payment penalty is waived.

#2: File Your Return As Soon As You Can, Even if You Can’t Pay Your Tax Bill

The late-filing penalty can be 10 times higher than the late-payment penalty, so it’s best to file your return as soon as you can, even if you can’t pay your tax bill right away.

Not to mention, the IRS is willing to work with you to set up a payment plan to pay your tax due.If you think you can pay off your outstanding tax bill, call the IRS at 1-800-829-1040.

 #3: You have until April 15, 2017 to Collect a 2013 Refund

If you’re expecting to receive a refund from your 2013 taxes, you should file as soon as possible to receive the money you’re entitled to. There’s a three year IRS statute of limitations, meaning after April 15, 2017, you won’t be able to collect your 2013 refund.

 #4: Use 2013 Tax Software to Prepare your Taxes

In order to prepare your 2013 tax return, there’s three options to get the job done. You can either;

  1. complete a 2013 tax form on your own
  2. pay an expensive accountant to do it for you 
  3. use tax software site to do the work for you without charging you a large fee

If you have common sense, you’ll know right away that #3 is your best option. Doing your taxes yourself will cost you time and aggravation while having an accountant do it for you, will cost you a fortune. Save your time and money by entering your tax information on PriorTax and will do the hard work for you.

If you have questions along the way, you’ll be able to call, chat or email the PriorTax team!

 #5: Don’t Forget To Mail Your 2013 Tax Return to the IRS

Whether you use an online tax software or do your taxes yourself, you’ll need to paper file your 2013 taxes to the IRS. Unfortunately, as of October 15th, you’re no longer able to e-file (electronically file) your 2013 taxes.

That means, you’ll need to print, sign and mail your 2013 taxes to the IRS (and if applicable, your state).

Don’t Wait- File Your 2013 Taxes Today with PriorTax

Whatever you do, don’t wait any longer to file your 2013 tax return. The late penalties add up!

To get started on your 2013 tax return, create an account on PriorTax. In no time, you’ll have your 2013 taxes finally done with!

Photo via Toby Jagmohan on Flickr