Denver Tax Return Dependents Defined
April 16, 2021
The details of filing a tax return can be extremely complicated. From potential deductions to credits and the ever changing tax laws, knowing what exactly an individual can claim and precisely how to file is far too often like learning a foreign language. However, instead of a mistake resulting in perhaps asking for a soda instead of water, tax failures can result in fines, penalty and interest payments, or worse - prison.
While obviously an extreme measure, jail time is a potential consequence and especially so for those who fail to file their income taxes. Fortunately, there is help available but understanding the intricacies of a return can be problematic. One such detail involves dependents, exactly who qualifies, and the result of claiming certain individuals.
Connection
Many individuals are familiar with parents claiming their own children as dependents but the connection doesn’t have to necessarily be blood related. Foster children, step children, and even in-laws may sometimes be eligible. Other related groupings, including siblings, etc. may also qualify.
Age
A dependent also doesn’t necessarily have to be younger than the individual or couple filing. While this is the case with which most are familiar, people sometimes also claim older siblings, relatives, or parents as dependents.
Residency
A child being claimed as a dependent must have lived with the individual filing for a majority of the year being reported. For example, if filing for 2020, then that is the subject year for this determination.Â
Support
In order to be a dependent, then the taxpayer must have provided a majority of the support necessary for this individual to live. If the dependent is also earning income, then it typically is lower, indicating a need to rely on someone else. Similar to residency, over half of their support must have come from the filing individual or couple on the return for which they are claimed.
Filing Status
So many different scenarios and situations exist revolving around dependents that the IRS also created an online tool to assist.
If you’re ready to file a return and need help determining if dependents may result in credits and/or deductions applying to your given situation, then let the tax professionals at Bloch Rothman and Associates assist you today. In addition to providing answers to your dependent questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing a quality tax service, our group can also complete all types of returns or answer any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service.
If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
Read More...
While obviously an extreme measure, jail time is a potential consequence and especially so for those who fail to file their income taxes. Fortunately, there is help available but understanding the intricacies of a return can be problematic. One such detail involves dependents, exactly who qualifies, and the result of claiming certain individuals.
Connection
Many individuals are familiar with parents claiming their own children as dependents but the connection doesn’t have to necessarily be blood related. Foster children, step children, and even in-laws may sometimes be eligible. Other related groupings, including siblings, etc. may also qualify.
Age
A dependent also doesn’t necessarily have to be younger than the individual or couple filing. While this is the case with which most are familiar, people sometimes also claim older siblings, relatives, or parents as dependents.
Residency
A child being claimed as a dependent must have lived with the individual filing for a majority of the year being reported. For example, if filing for 2020, then that is the subject year for this determination.Â
Support
In order to be a dependent, then the taxpayer must have provided a majority of the support necessary for this individual to live. If the dependent is also earning income, then it typically is lower, indicating a need to rely on someone else. Similar to residency, over half of their support must have come from the filing individual or couple on the return for which they are claimed.
Filing Status
So many different scenarios and situations exist revolving around dependents that the IRS also created an online tool to assist.
If you’re ready to file a return and need help determining if dependents may result in credits and/or deductions applying to your given situation, then let the tax professionals at Bloch Rothman and Associates assist you today. In addition to providing answers to your dependent questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing a quality tax service, our group can also complete all types of returns or answer any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service.
If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
Denver Tax Return Refund: Not Always A Good Thing
April 5, 2021
For many, compiling a tax return can be a stressful time - especially if you’ve had some significant changes in the past year. Selling property, acquiring real estate, earning dividends, getting married, gaining a dependent - all of these situations and more can impact precisely how much tax you owe during the course of a year. As you and your accountant crunch the numbers, waiting to see the results can cause a bit of angst.Â
Hearing that you’ll be getting a refund seems to always be a relief, but did you know that this may not necessarily be a good thing? A refund isn’t additional cash that you’ve magically earned because of your current tax status, but is instead, money that you have paid to the government and are finally getting back - after nearly a year in some instances. For this reason, and others, getting a refund (IRS Tracking Tool) may be a blessing but there may also be ways to benefit more in the future.
Less Income
Getting a bigger refund often indicates you paid too much tax during the course of a year, pulling extra money out of your paycheck. Depending on how you are paid - monthly, weekly, bi-weekly, quarterly, etc. - each check is having too much taken out for taxes if you’re getting a substantial refund come tax time. While some people prefer this, expecting to get a small windfall in the spring, others could definitely use this additional money throughout the year instead of having to wait.
Adjust Withholdings
One way to adjust the amount being taken from your paycheck is to change the withholdings. Even if you are comfortable with the refund currently being received, a professional analysis can help you evaluate current withholdings and the impact of any potential changes to your return in a coming year. Just because you commonly receive a refund doesn’t indicate that a change may be beneficial.
Government Loan
Often refunds are viewed as loans being provided to the government on your behalf. Instead of collecting the money owed to you throughout the year, a refund has been stowed within the government’s bank collecting interest prior to being distributed once you file a return. Instead of “loaning†the government additional money, consider making a change to receive your cash earlier instead of following a tax return.
Once you’re ready to file a return, if you need help determining exactly which withholdings to select, or have any other tax related questions, then let the professionals at Bloch Rothman and Associates assist you today. In addition to providing answers for your questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing a top quality tax service, our group can also complete all types of returns and get answers to any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service.
If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
Read More...
Hearing that you’ll be getting a refund seems to always be a relief, but did you know that this may not necessarily be a good thing? A refund isn’t additional cash that you’ve magically earned because of your current tax status, but is instead, money that you have paid to the government and are finally getting back - after nearly a year in some instances. For this reason, and others, getting a refund (IRS Tracking Tool) may be a blessing but there may also be ways to benefit more in the future.
Less Income
Getting a bigger refund often indicates you paid too much tax during the course of a year, pulling extra money out of your paycheck. Depending on how you are paid - monthly, weekly, bi-weekly, quarterly, etc. - each check is having too much taken out for taxes if you’re getting a substantial refund come tax time. While some people prefer this, expecting to get a small windfall in the spring, others could definitely use this additional money throughout the year instead of having to wait.
Adjust Withholdings
One way to adjust the amount being taken from your paycheck is to change the withholdings. Even if you are comfortable with the refund currently being received, a professional analysis can help you evaluate current withholdings and the impact of any potential changes to your return in a coming year. Just because you commonly receive a refund doesn’t indicate that a change may be beneficial.
Government Loan
Often refunds are viewed as loans being provided to the government on your behalf. Instead of collecting the money owed to you throughout the year, a refund has been stowed within the government’s bank collecting interest prior to being distributed once you file a return. Instead of “loaning†the government additional money, consider making a change to receive your cash earlier instead of following a tax return.
Once you’re ready to file a return, if you need help determining exactly which withholdings to select, or have any other tax related questions, then let the professionals at Bloch Rothman and Associates assist you today. In addition to providing answers for your questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing a top quality tax service, our group can also complete all types of returns and get answers to any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service.
If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
Denver Accountant: Forgotten Payroll Service Benefits
March 17, 2021
The bottom line of any business is to be profitable. If not, decisions to quit, file bankruptcy, downsize, or other extreme action will quickly find their way into the conversation. Being responsible for the financial decisions of any organization or project can be an extremely pressured position but leading it toward success can also be one of the best feelings in the world. When faced with these situations, taking a hard look at necessary expenditures and what is in the best interest of the company, is critical and will likely influence any determination.
One such issue an individual or group may have to make is the implementation of utilizing an outside payroll service. While there are advantages to hiring a payroll service company, the benefits do not end with simply saving time. In fact, there are a number of other hidden positives of choosing to outsource your payroll operations.
Tax Liabilities
Keeping your focus on the production and success of a company, instead of having to calculate tax liabilities is an important aspect of selecting a payroll service but these extra benefits also make the conclusion easier. Depending on the type of organization you are running, the taxes owed and respective due dates can differ dramatically. An outside group will have individuals tasked with not only advising on these dates and the respective taxes owed, but to also assist in incorporating plans which ensure each deadline is met throughout the week, month, or year.
Direct Deposit
Choosing to direct deposit employees’ checks electronically and distribute stubs via an online service or email can help to cut down on paperwork and associated expenses. This method is often preferred by employees because their earnings are immediately distributed to a bank account each pay period and saves them the hassle of depositing a paper check. A payroll service would have familiarity with this process and could enforce these actions once authorized.
Withholdings
Depending on the number of employees your company has, keeping up with required withholdings can be a difficult task to manage. From child support payments, to tax garnishments, and retirement accounts, or other measures, employees may have money deducted from their pay for a variety of different reasons. Being able to simply pass these on to the service provider instead of adding more to your plate can help to alleviate additional stress for each and every individual situation.
Forms
At the end of a year there are many financial forms which must be completed for your employees and others with ties to your business. From W-2s, 1099s, K1s, and more, depending on your specific requirements, these can be difficult to process and are often forgotten about when deciding exactly how to handle payroll services. Instead of being shocked by these due dates at the end of a year, rest easy knowing your outside payroll service company will have them completed and distributed in a timely manner.
If you’re ready to utilize an outside payroll service company for your business, file taxes, or have questions about what is needed, then let the tax professionals at Bloch Rothman and Associates assist you today. In addition to providing quality services and answers for all of your tax related questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Our group can also complete all types of returns or answer any other factors associated with financial issues or concerns you may have.
Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
Denver Tax Return Information for Filing
March 11, 2021
Tax season is in full swing as the Internal Revenue Service (IRS) began accepting returns for the 2020 calendar year earlier in February. For many, getting their information filed in a timely manner is an important task for a variety of different reasons. Not only do most individuals prefer to have this requirement put behind them, but many filers are also going to be credited with a refund and could use the extra money in their pocket as soon as possible.Â
Last year, the coronavirus pandemic forced a similar situation and voluntary extension of the April 15 deadline for three additional months. While nothing of that nature has been declared for 2021, lawmakers have urged the IRS to extend tax filing season again this year. The move could help to eliminate strain on both those filing and the IRS, as they continue to deal with a backlog of returns. Regardless of when you choose to file, provided it is before the established deadline, there is some important information to gather in order to make the process move quickly and without a lot of undue stress.
Personal Information
Having all pertinent information - legal names (in the event of a marriage or change), social security numbers, addresses, and a bank account number for any refunds - for everyone included on the return is critical. For those filing and dependents, this information assures that you have filed and that no one else is attempting to scam the system or steal your identity.Â
Income and Investments
All of the documentation individuals begin to receive through the first month of a year - W2 forms, 1099-DIV, 1099-INT, etc. - will be necessary to report your income and other earning figures. These show how much was made over the course of a year, in addition to investment calculations and capital gains/losses.
Business, Partnership, Self-Employed Info
For those who are self-employed or receive a 1099, these forms will be required to show their earnings during the past year. Partnership returns and K-1s are also necessary for those who qualify. The nature of your business and official designation will determine precisely what forms are needed and how, if at all, a personal return may be tied to the process.
Deduction Information (Itemized Returns)
The increased standard deduction amounts allow most filers to utilize this method without having to account for itemized expenses. However, in certain situations involving excessive unreimbursed medical expenses or costs associated with long-term care facilities, individuals or married filers may be able to benefit from itemization. If so, keeping solid records and providing the backup for any figures will be warranted.
Other
Real estate sales, rental properties, gifts, inheritance, and other issues may also impact your current return. If any of these events apply for the prior year then reporting them on the tax return may be necessary.
If you’re ready to file or have questions about what is needed, then let the tax professionals at Bloch Rothman and Associates assist you today. In addition to providing answers for all of your tax related questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing quality tax and payroll services, our group can also complete all types of returns or answer any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
Read More...
Last year, the coronavirus pandemic forced a similar situation and voluntary extension of the April 15 deadline for three additional months. While nothing of that nature has been declared for 2021, lawmakers have urged the IRS to extend tax filing season again this year. The move could help to eliminate strain on both those filing and the IRS, as they continue to deal with a backlog of returns. Regardless of when you choose to file, provided it is before the established deadline, there is some important information to gather in order to make the process move quickly and without a lot of undue stress.
Personal Information
Having all pertinent information - legal names (in the event of a marriage or change), social security numbers, addresses, and a bank account number for any refunds - for everyone included on the return is critical. For those filing and dependents, this information assures that you have filed and that no one else is attempting to scam the system or steal your identity.Â
Income and Investments
All of the documentation individuals begin to receive through the first month of a year - W2 forms, 1099-DIV, 1099-INT, etc. - will be necessary to report your income and other earning figures. These show how much was made over the course of a year, in addition to investment calculations and capital gains/losses.
Business, Partnership, Self-Employed Info
For those who are self-employed or receive a 1099, these forms will be required to show their earnings during the past year. Partnership returns and K-1s are also necessary for those who qualify. The nature of your business and official designation will determine precisely what forms are needed and how, if at all, a personal return may be tied to the process.
Deduction Information (Itemized Returns)
The increased standard deduction amounts allow most filers to utilize this method without having to account for itemized expenses. However, in certain situations involving excessive unreimbursed medical expenses or costs associated with long-term care facilities, individuals or married filers may be able to benefit from itemization. If so, keeping solid records and providing the backup for any figures will be warranted.
Other
Real estate sales, rental properties, gifts, inheritance, and other issues may also impact your current return. If any of these events apply for the prior year then reporting them on the tax return may be necessary.
If you’re ready to file or have questions about what is needed, then let the tax professionals at Bloch Rothman and Associates assist you today. In addition to providing answers for all of your tax related questions, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing quality tax and payroll services, our group can also complete all types of returns or answer any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us today. Available for all of your tax needs, there are also a number of bookkeeping services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!
Denver Tax Return: Upcoming Deadlines
March 3, 2021
Tax filing season is in full swing and although the coronavirus pandemic continues, expectations are the Internal Revenue Service (IRS) will be sticking with the traditional filing deadlines this year. In 2020, initial submission dates were automatically extended from mid-April until July in response to the virus and uncertainty about the immediate future. These automatic extensions were put in place for individuals without the need to file a request.
As millions of returns are filed each season, the IRS’s ability to process, collect, and submit refunds in a somewhat timely manner is rather impressive - especially as deadlines approach. However, when filing your return, missing the cutoff date could cost you money. For this reason, marking your calendar now and planning ahead is the best way to ensure that your refund is filed on time this year.
S-Corp and Partnerships
Those filing S-Corp and Partnership returns have their first deadline fast approaching. One month before the well recognized date of April 15 for individual taxpayers - these returns must be submitted on or before March 15, 2021. Extension requests must also be filed by this date allowing for six additional months (September 15, 2021) to submit paperwork if accepted.
C-Corp
Businesses recognized as C-Corporations now have until April 15 in order to submit their returns. Understanding the filing category and type of your business is critical as this is not the case for S-Corp counterparts whose returns are due a month earlier.
Individual/Married/Head of Household
The infamous April 15 deadline returns for a vast majority of filers this season. After a brief reprieve last year, taxpayers must return to a more normalized schedule for processing their 2020 returns. Make plans to gather all necessary information, set appointments, and avoid any potential issues which could cause a last minute delay.
Extension
In the event you’re unable to file a return on time or do not wish to be rushed, extensions do exist and are available. However, please note that these are not extensions to pay, only to submit a return. If you know some amount will be owed once the return is complete, a payment must accompany the extension request. If not, penalties and interest on the amount, once determined, could be applied.
If you are in need of filing assistance for your business or personal returns then let the tax and accounting experts at Bloch Rothman and Associates assist you today. In addition, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits from other entities besides the IRS, or any other personal or corporate wealth management issues. Along with providing a quality tax service, our group can also complete tax returns or answer any other factors associated with financial issues or concerns you may have. Serving in Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate or any other filings, don’t hesitate to contact us today. Available for all of your tax needs and filings, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and serving whatever your needs may be soon!
Read More...
As millions of returns are filed each season, the IRS’s ability to process, collect, and submit refunds in a somewhat timely manner is rather impressive - especially as deadlines approach. However, when filing your return, missing the cutoff date could cost you money. For this reason, marking your calendar now and planning ahead is the best way to ensure that your refund is filed on time this year.
S-Corp and Partnerships
Those filing S-Corp and Partnership returns have their first deadline fast approaching. One month before the well recognized date of April 15 for individual taxpayers - these returns must be submitted on or before March 15, 2021. Extension requests must also be filed by this date allowing for six additional months (September 15, 2021) to submit paperwork if accepted.
C-Corp
Businesses recognized as C-Corporations now have until April 15 in order to submit their returns. Understanding the filing category and type of your business is critical as this is not the case for S-Corp counterparts whose returns are due a month earlier.
Individual/Married/Head of Household
The infamous April 15 deadline returns for a vast majority of filers this season. After a brief reprieve last year, taxpayers must return to a more normalized schedule for processing their 2020 returns. Make plans to gather all necessary information, set appointments, and avoid any potential issues which could cause a last minute delay.
Extension
In the event you’re unable to file a return on time or do not wish to be rushed, extensions do exist and are available. However, please note that these are not extensions to pay, only to submit a return. If you know some amount will be owed once the return is complete, a payment must accompany the extension request. If not, penalties and interest on the amount, once determined, could be applied.
If you are in need of filing assistance for your business or personal returns then let the tax and accounting experts at Bloch Rothman and Associates assist you today. In addition, they can also take care of multiple other issues dealing with paying or owing back taxes, required audits from other entities besides the IRS, or any other personal or corporate wealth management issues. Along with providing a quality tax service, our group can also complete tax returns or answer any other factors associated with financial issues or concerns you may have. Serving in Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate or any other filings, don’t hesitate to contact us today. Available for all of your tax needs and filings, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and serving whatever your needs may be soon!