​Spotlight: Alternative Tax Prep Options Page Live!
In light of the many VITA/TCE site closures, the Taxpayer Opportunity Network created the Alternative Tax Prep Options page to help create a single hub of tools and resources to help expand your program service beyond face-to-face interaction. This living resource page includes topics such as drop-off, facilitated self-assistance, and virtual options including virtual intake and presentations from our field experts. These resources also include implementation guides for your programs and a FSA portal for your clients to file directly. 
As a living resource page, the Taxpayer Opportunity Network team will be working diligently to update it with the most up-to-date resources as they become available. With the formalization of the stimulus package and the taxpayers at its center, the community tax preparation field will be vital to ensure the financial stability for low- and moderate-income taxpayers. Please check out our page and stay tuned to our mailings for updates! 
​Preseason Kick-off Slides
 Recent Tax Law Changes:  Click on image to read more (in an easy to understand language :) 
NEW Addition to Site:
Greeter/Intake

You may want to sign up for: 

VITA Blog-- know when there are updates, system crashes, restarts, etc. Enter your email address on the right of the screen that opens: I Strongly suggest signing up for this one
 https://vitablog.taxslayerpro.com/2019/08/19/release-notes-tuesday-august-20th-at-500am-et/

 Jonlyn & Associates Inc, CPA's - monthly newsletter this always has something helpful--explains things in an easy to understand language https://www.jonlyn.com/ sign up on the left side of the screen--scroll down to find Newsletter sign up FANTABULOUS!!
Check out the Coordinator Page--New Refund Slips Added!!
1099-MISC from Ford, GMC, etc
We have seen a lot of these in the 2018 tax season for the first time.  This confuses people on how to enter. Towards the end of season we had clients come in with these who had even received letters on how it should be entered on the tax return.
No, you don't need a Schedule C--simply add it to "Other Income-not reported elsewhere"  and call it Ford Legal Trust or GMC Legal Trust...

Form 1099-K

New 1099-NEC
For Self-Employed
Power of Attorney
​OR Deceased Client
Gambling Loss
Rental Income of less than 15 days


​Considered by IRS Minimal Rental Use
There's a special rule if you use a dwelling unit as a residence and rent it for fewer than 15 days. In this case, don't report any of the rental income and don't deduct any expenses as rental expenses.
Statute of LImitations (from IRs.gov https://www.irs.gov/taxtopics/tc153) 
  • There's no penalty for failure to file if you're due a refund. However, you risk losing a refund altogether if you file a return or otherwise claim a refund after the statute of limitations has expired. An original return claiming a refund must be filed within 3 years of its due date for a refund to be allowed in most instances. After the expiration of the three-year period, the refund statute prevents the issuance of a refund check and the application of any credits, including overpayments of estimated or withholding taxes, to other tax years that are underpaid. However, the statute of limitations for the IRS to assess and collect any outstanding balances doesn't start until a return has been filed. In other words, there's no statute of limitations for assessing and collecting the tax if no return has been filed.
VITA LEDGERS
While these are made for volunteers of our local VITA program, there may be information relevant to others.  
VITA Ledger 5, February 2-21-2020  Stats to date

VITA Ledger 4, December 12-26-2019 

VITA Ledger 3, November 11-6-19 Testing & Practice Lab 2019 is up; Facilitated Practice Schedule

VITA Ledger 2, October 10-8-19 *Training Resources Avail Online Now! New Forms & More

​Vita Ledger 1, September 9-20-19 
Mortgage Credit Certificate (MCCC)
I started seeing this 2 years ago, we had 3 people walk in talking about it, here is a How-To
Are you getting the Primary Client Email is not a valid email error over and over again? Isn't it driving  you crazy? Well, the software "thinks" the email field is a username field--so it is auto-populating with a username that has been saved on that computer. 
Look at the image below for reference--delete what has auto-populated and click on the key that is in the address bar and you can tell the system to stop saving passwords for that site.

**I have found the best way to stop this is from the actual sign in screen to Taxslayer--do not let it save your log in information--from the log in screen click the key icon and delete username
Picture

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1099-LTC Click on the image below to see How to Enter 1099-LTC Income Statement on return
QCD (Qualified Charitable Distribution) from IRA as part of a RMD (Required Minimum Distribution)  Click on the image to learn more
Here’s the 411 on who can deduct car expenses on their tax returns. Employees who use their car for work can no longer take an employee business expense deduction as part of their miscellaneous itemized deductions reported on Schedule A.  Employees can’t deduct this cost even if their employer doesn’t reimburse the employee for using their own car. This is for tax years after December 2017. The Tax Cuts and Jobs Act suspended miscellaneous itemized deductions subject to the 2% floor.  
However, certain taxpayers may still deduct unreimbursed employee travel expenses, this includes Armed Forces reservists, qualified performing artists, and fee-basis state or local government officials.

Click link above to learn more.


To e-file a return that has no taxable income (AGI $0; e.g., client has Social Security Income only) enter $1 on Line 21 Other Income and describe as “IN ORDER TO EFILE.” This will allow the return to be e-filed. Some people prefer to file to make sure their SSN isn't being used fraudulently and some have to file for other reasons. If the client has Marketplace or First Time Homebuyer's Credit, you do not need to enter the $1 as the other forms entered will allow the e-file to transmit successfully.
How To's and What's New:
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Contact Me
You can contact me at maryvitataxes@gmail.com 
Please note: I, Mary Meador, AM NOT a certified accountant or tax law expert. I volunteer with VITA providing free tax preparation for individuals and families whose income is less than $66,000 a year. We deal with simple returns at our sites.  I cannot guarantee the accuracy of all the information on this site as tax laws change and I may not have a clear understanding of complicated issues. I am trying to provide basic tax preparation information for our volunteers to get started--remember Publication 4012 is your go-to resource for questions, as well as irs.gov and Publication 17. ​