It has now been made official. The IRS will NOT accept Federal Tax Returns that do not answer the questions about health coverage under the Affordable Care Act. This change in policy will go into effect next year, for the upcoming Tax Season. This is a significant move on the part of the IRS. In the past, this requirement had been something of a gray area. Due to a variety of factors, the IRS has been processing Tax Returns where individuals have not shown that they have health coverage. However, they would still apply a penalty to these Taxpayers. Even so, in these situations a Tax Refund would still be issued, a little later than most. That will no longer be the case. As it stands, the ACA is still in place, and the IRS will apply its obligations under the law to all Taxpayers. Even if it means suspending or rejecting the processing of a Tax Return until it gets an answer. Be sure to ask your Qualified Tax Professional what this means for you.
Showing posts from October, 2017
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Every year, there are many Taxpayers who ask for a 6-month extension to file their Federal Tax Return. This year, that deadline is fast approaching on October 16 . For those who are filing a Tax Return this month, here are a few points to keep in mind. It may seem to be very obvious, but make sure your Tax Return is filed on time . If one files late, after being given an extension, there are penalties and fines that will result. These can be avoided by simply filing on time. For those who know that they will owe, they should pay as much as possible to avoid more penalties and interest. A Qualified Tax Professional can help you to see how much you will owe and go over your payment options. Those who have an extension, and have been effected by disasters like earthquakes and hurricanes, will normally have more time to file. When filing, it is considered wise to keep the Tax Return and supporting documents for at least 3 years . In the event of any IR