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You are moving because you or your spouse got a new job. It is stressful on entire family. Will they make new friends? Will you like the new job? Will I be successful? Additionally, is there any tax benefit to the move? See here:

Ten Tax Tips for Individuals Who Are Moving This Summer

Summertime is a popular time for people with children to move since school is out. Moving can be expensive, but the IRS offers 10 tax tips on deducting some of those expenses if your move is related to starting a new job or a new job location.

1. Move must be closely related to start of work Generally, you can consider moving expenses incurred within one year from the date you first reported to a new location, as closely related in time to the start of work.
2. Distance Test Your move meets the distance test if your new main job location is at least 50 miles farther from your former home than your previous job location was.
3. Time Test You must work full time for at least 39 weeks during the first 12 months after you arrive in the general area of your new job location, or at least 78 weeks during the first 24 months if you are self-employed. If your income tax return is due before you’ve satisfied this requirement, you can still deduct your allowable moving expenses if you expect to meet the time test in the following years.
4. Travel You can deduct lodging expenses for yourself and household members while moving from your former home to your new home. You can also deduct transportation expenses, including airfare, vehicle mileage, parking fees and tolls you pay to move, but you can only deduct one trip per person.
5. Household goods You can deduct the cost of packing, crating and transporting your household goods and personal property. You may be able to include the cost of storing and insuring these items while in transit.
6. Utilities You can deduct the costs of connecting or disconnecting utilities.
7. Nondeductible expenses You cannot deduct as moving expenses: any part of the purchase price of your new home, car tags, drivers license, costs of buying or selling a home, expenses of entering into or breaking a lease, security deposits and storage charges except those incurred in transit.
8. Form You can deduct only those expenses that are reasonable for the circumstances of your move. To figure the amount of your moving expense deduction use Form 3903, Moving Expenses.
9. Reimbursed expenses If your employer reimburses you for the cost of the move, the reimbursement may have to be included on your income tax return.
10. Update your address When you move, be sure to update your address with the IRS and the U.S. Postal Service to ensure you receive refunds or correspondence from the IRS. Use Form 8822, Change of Address, to notify the IRS.

What if you  didn’t file a tax return because your income was below threshold? What if you filed return but have not heard back from IRS. Did you move from your present address? If so, how can you notify IRS where to re-direct that money?

Follow these steps:

Unclaimed Refunds

Some people earn income and may have taxes withheld from their wages but are not required to file a tax return because they have too little income. In this case, you can claim a refund for the tax that was withheld from your pay. Other workers may not have had any tax withheld but would be eligible for the refundable Earned Income Tax Credit, but must file a return to claim it.

• To collect this money a return must be filed with the IRS no later than three years from the due date of the return.
• If no return is filed to claim the refund within three years, the money becomes the property of the U.S. Treasury.
• There is no penalty assessed by the IRS for filing a late return qualifying for a refund.
• Current and prior year tax forms and instructions are available on the Forms and Publications page of www.irs.gov or by calling 800-TAX-FORM (800-829-3676).
• Information about the Earned Income Tax Credit and how to claim it is also available on www.irs.gov.

Undeliverable Refunds

Were you expecting a refund check but didn’t get it?

• Refund checks are mailed to your last known address. Checks are returned to the IRS if you move without notifying the IRS or the U.S. Postal Service.
• You may be able to update your address with the IRS on the “Where’s My Refund?” feature available on IRS.gov. You will be prompted to provide an updated address if there is an undeliverable check outstanding within the last 12 months.
• You can also ensure the IRS has your correct address by filing Form 8822, Change of Address, which is available on www.irs.gov or can be ordered by calling 800-TAX-FORM (800-829-3676).
• If you do not have access to the Internet and think you may be missing a refund, you should first check your records or contact your tax preparer. If your refund information appears correct, call the IRS toll-free assistance line at 800-829-1040 to check the status of your refund and confirm your address.

Most of us don’t look forward to filing our taxes, but we can always take a bit of comfort in that silver lining: the tax refund.

However, some are finding themselves having to wait longer than expected for their refunds. The IRS warned of one-week delays at the opening of tax season due in part to more stringent identity theft protection measures, according to Accounting Today, but filers are continuing to have issues receiving their refunds within the standard 10 to 21 days.

Even though the IRS has set up the “Where’s My Refund” tool via the official government website, taxpayers have continued to be confused by inaccurate or delayed projections as to when they can expect their refund.

The IRS reminds taxpayers in their FAQs that “the date ‘Where’s My Refund’ provides is the estimated date the IRS will issue the refund, not the date the taxpayer will get the refund.” It can take an additional five days for the refund to be posted.

The IRS also asks that taxpayers avoid calling the IRS directly, unless they are prompted to do so on the website. Changing refund dates do not indicate a problem with the filing or that additional action is needed.

Taxpayers can check the status of their filing 72 hours after they e-file or 4 weeks after mailing their paper returns. To access your refund status, you will need your social security number, filing status and exact refund amount.  Also, keep in mind these tips on how to protect yourself from identity theft.

More answers to frequently asked questions can be found on the IRS website.

If you’d like to speak with a Beaton Accounting tax representative for professional advice on your taxes, call us today for a FREE consultation: 631-921-6894.

Have a question or certain topic you’d like to see addressed in our next blog post? Just leave a comment, or email us at [email protected]

If you are a business located in one of the Credit Reduction states (New York, New Jersey, Connecticut and Rhode Island are included) and also paid unemployment taxes this year, listen up. This applies to you!

As you may have already figured out, the federal government’s recent decision to extend payment of unemployment benefits will affect the tax credit you earn for paying unemployment taxes. More specifically, it will shrink that tax credit — meaning you actually have to pay more.

This is because New York, New Jersey, Connecticut and Rhode Island are among the 20 states who have not repaid the money they borrowed from the federal government to these extended benefits.

So, when it’s finally time, here’s what you need to know.

Your “credit reduction” (a.k.a. the reason you have to PAY MORE) is calculated on Schedule A of the 2011 Form 940, the Employer’s Annual Federal Unemployment (FUTA) Tax Return.

For those filing through QuickBooks®, here’s something you’ll be relieved to hear. QuickBooks® DOES take this credit reduction into account and provides you with correct amount due, but it DOES NOT record an increase to your payroll liability account automatically.

Thankfully, we’ve found an article that shows you how you can this yourself, step-by-step. Click here to read it!

If you would like advanced QuickBooks® training in order to quickly file your own business taxes this year, Beaton Accounting can help. Our QuickBooks® ProAdvisors® are software gurus, and they can help you become one too.

If you’d like to take an even easier route, Beaton Accounting can file all of your business and corporate tax returns on your behalf! All of our tax preparers are experienced tax professionals to ensure the accuracy of your return.

Call us today for a FREE consultation if interested!

631-921-6894

Have a question or certain topic you’d like to see addressed in our next blog post? Just leave a comment, or email us at [email protected].