Tax Tips
Please check below to see if your question is answered here before calling our offices.
Everyone should set up their own secure IRS account. There are a few different options but the one I would recommend is the EFTPS system. Click on the link and select the Enrollment tab, then select Individual. DO NOT select “Business” even if you have a business that you run as a sole proprietor. If you are an S Corporation, then you can set up a separate one for your business. Follow the screens to enter your personal information and then submit. The IRS will mail you a 4 digit pin in about a week. You can complete your account once you receive that pin. https://www.eftps.gov/eftps/login/loginInitial
Yes. Everyone should set up their own secure MassTax Connect account. Click on the link and fill out the information and you will receive a username and password immediately. Click on “, register a new taxpayer”, and then “register an individual”. https://mtc.dor.state.ma.us/mtc/_/
As of 2021, I have incorporated a portal feature that allows you to scan your documents to a pdf and upload to your personal portal. This is a great option for clients that don’t have the time to come in and have a live appointment, as well as a way to keep all your documents and completed tax returns in one secure place. With the portal feature, you can even e-sign your forms, right from your cell phone. If you have used them in the past, you can just sign back in with your user name and password that you originally created. If you would like to begin using them, just send me an email and I will send you the link. Easy.
If you are not sure what they are asking you to do, you can scan me a copy as a pdf and I will take a look and let you know. However, in order for me to understand exactly what the letter says, I will need you to scan me a clear copy of the letter, all pages, front and back. I will NOT be able to print pictures, so if you cannot scan to a pdf, you can drop off or mail me a complete copy.
You can download and print all of my input forms and checklist by clicking the forms link. Email me for the link to my forms.
You are able to claim your child as a dependent until age 23, as long as they were in school for at least the half the year. If they graduated from college in May, and started working for 1/2 the year, they can either claim themselves, or you can claim them for this final year. If they are over age 18 and did not work (or made less than $4,500), and lived with you, you can still claim them.
If you were at least a part time student at an accredited college or university, for at least 5 months, you may qualify for an Education Credit. You will need a Form 1098-T in order to determine if you qualify. This form is available in your school portal, most likely under financials. There are also income limits that may limit your credit.
More common tax questions answered
Did you know that if you are 65 or over and own your own home and pay real estate taxes, that you could receive a tax credit up to $1,200 from the state of Mass, even if you don’t have to file a tax return? If you or a family member fits this criteria, let them know that they could be missing out!
If you have a dependent that is a college student under the age of 24, be sure to include their for 1098-T in order to receive up to a $2,500 tuition tax credit. Most will qualify even if all tuition was paid by loans. There are income limits in order to qualify.
Please only include 1-2 clear copies of your W-2s. In the event you need them for financial aid, mortgage applications, rent applications, etc, you will have copies of your W-2s. I only need one legible copy.
If you are someone who tends to owe each year, there are many things you can do to avoid this. You can increase your withholdings with your employer by filling out a new W-4, you can increase your 401K, 403B or IRA contributions or you can make estimated payments via the EFTPS and Mass Tax Connect websites. I would encourage this in an effort to avoid underpayment penalties and interest.
The IRS will charge you interest on the balance you owe when you file your taxes. Typically if you owe the IRS more than $1,000 or owe the state more than $500, they will charge you interest on what you owe, and it goes back as of Dec 31 of the tax year. This is why it is a good idea to make estimated payments during the year via EFTPS or the ID.Me on the IRS website.
If you sell anything in the Crypto or regular Stock Market, be sure to include your Form 1099 B from your investment company (Robinhood, Morgan Stanley, Ameriprise, etc). I will need all pages of this report in order to properly report your gain or loss.
If you are anticipating a refund and would like a direct deposit, please include account information (bank name, routing number, account number, and type-checking or savings). Please update this information each year, as I have no way of knowing if you still have the same account as in the previous years.
If you have a business, and would like access to my forms and resources page, email me for the link to download the input sheets you need, based on your industry. These forms have proved to be beneficial to determine which types of expenses can be used as business expenses.
The Residential Energy Credits have been extended and expanded. If you have made any energy efficient improvements to your home or installed solar panels in 2023, you are eligible for these credits. Click here to see the types of items that are included. Residential Energy Credits
Did you know that if you have an iphone, you have a scanning app that comes standard with your phone? Click on notes, then click on the camera icon, then select the “Scan Documents” from the options. Next position your document, click on the white circle, if the copy is clear, click “keep scan” (if not, click “retake”), save. Now just select your share button and you can “save to file” on your phone or send as an email.
Don’t Forget to make your final estimated payments by Jan 15th 2024. If you normally owe or expect to owe, you should try to make a payment by the Jan 15th due date, in order to avoid under-withholding penalties and interest. Filing an extension, does NOT allow you more time to pay. You are still expected to pay an estimated amount by the April 15th due date.
If you need any of my input sheets or checklist, let me know and I will email you a link to access and download them.
Please be sure to let me know if anything in your tax situation has changed. If you had a new baby, got married, got divorced, moved, have a child in college, had a child graduate and is no longer a dependent, etc. It is important for me to know of any changes that may affect your taxes, before I complete them.
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