Craig Carlini, CPA
ccarlini@rubino.com

Dave Albert, CPA   dalbert@rubino.com

Robert Tempchin, CPA  rtempchin@rubino.com

Lisa Hahn, CPA  lhahn@rubino.com

Vikita Shah, EA  vshah@rubino.com

Call us
301.564.3636

Federal Tax Updates June 2023

Post 2023 Tax Season, What Next?

IRS Online tool to track a refund.

Taxpayers can check the status of their refunds on the IRS website or with the IRS2Go app. The IRS normally issues most refunds in fewer than 21 days.

2nd Quarter Estimated Tax Payment due date approaching.

The deadline for the second quarter Federal estimated tax payment for tax year 2023 is June 15, 2023.

Due to recent disasters, eligible taxpayers in certain states including California, Alabama and Georgia, have received extensions of the time for making their 2023 estimated tax payments. Review this IRS website link for more information.

Did you file your tax return on time?

If taxpayers missed the April 18th deadline, they should file their tax returns as soon as possible. If taxes are due, interest and late payment penalties can be assessed until the date of filing of the return and making payment of the amount owed. If a valid extension was not filed by the due date and amounts are owed, a late filing penalty may also be assessed.

Certain taxpayers may qualify for extra time to file and pay taxes including:

  • Members of the military who are currently serving in a combat zone.
  • Taxpayers living outside of the US.
  • Taxpayers affected by disaster situations.

Review this IRS website link for more information.

Did you receive a notice/letter from the IRS?

Do not panic. If the IRS sends you a notice, it may be a request additional information to verify your identity. If the IRS office make changes to your return. The notice generally mentions the reason for the changes and includes the necessary steps the taxpayer must take by the date specified in the notice. The taxpayers should do the following:

  • Review the letter carefully.
  • Act promptly.
  • Reply only if instructed.
  • Dispute the notice if you disagree.
  • Watch for scams.

Contact us if you have any questions regarding notices you may have received.

IRS – Offer in Compromise Program

Taxpayers can utilize the IRS’s Offer in Compromise program  if they are unable to pay the full amount of tax due or if making the tax payment would cause a financial hardship. It is a process whereby the IRS approves (subject to conditions) settlement of the tax due for the less than the full amount owed by the taxpayer. The taxpayer is only eligible for this program if it:

  • Has filed all required tax returns and made all required estimated payments.
  • Is not in an open bankruptcy proceeding.
  • Has a valid extension for a current year return (if applying for the current year)

Where the taxpayer is an employer, in addition to meeting the above eligibility requirements, it must have made tax deposits for the current and past two quarters before the application.

The application can be made on Form 656 and includes a $205 fee. Individuals that meet the low-income certification guidelines are excepted from paying this fee.

Small Business Week – IRS lists resources available

Each year, the US Small Business Administration celebrates National Small Business Week. This year’s celebration was held April 30th to May 6th. In conjunction with this event, the IRS established a page on its website containing information it believes would be useful to small business owners.

The link provides planning and tax savings opportunities available for tax year 2023 as well as various resources available to businesses to navigate their tax reporting and filing obligations.

Tax benefits available for making business more accessible to individuals with disabilities.

The IRS provides the following tax benefits to businesses to encourage them to hire qualified people with disabilities and to make their business accessible to customers with disabilities.

  • The Disabled Access Credit, which can be claimed on Form 8826, provides a 50% credit for eligible expenditures incurred in providing access to people with disabilities. This credit is non-refundable and is available to small business that have gross receipts of $1 million or less or had no more than 30 full-time employees in the previous year.
  • Businesses can deduct up to $15,000 a year for qualified expenses to remove architectural and transportation barriers that help people with disabilities to get around safely and easily. This deduction can be used along with the Disabled Access Credit if the requirements for both are met.

Related Postings

© 2024 Rubino All Rights Reserved