As with any online program, Turbo Tax 2013 has had its share of people trying to fraud the users by stealing sensitive login information. The reason that this happens is because people are not careful when they log into the system, or they do not ensure that their connection is safe. Here’s many ways to avoid Fraud With Taxes:
Criminals have systematically started to target Turbo Tax simply because it is a site where many people are now going to do their taxes without the help of an expensive tax refundbusiness.
The Internal Revenue Service has reported major losses in its income since this type of fraud has been going on, but they are not the only ones. The customer is the one who also suffers when they are not receiving their full tax income. Sophisticated programs being used by criminals on the Internet are to blame for this, but also the method of encryption used on the site.
Keeping your password safe can help you to be sure that you will not have to worry about hacking in that regard, as is any type of malware protection on your computer. Intuit does offer some state-of-the-art protection for this, but it is also your duty to ensure that fraudulence does not happen on your part. This is all about the safety of you and your tax refund, after all. Always keep your Turbotax login tax return 2014 information safe.
You may be surprised at how many people wait until close to the tax deadline to finish and file their taxes. This may have nothing to do with pure procrastination and everything to do with feeling overwhelmed about the process.
Many people may be focused on the prospect of dealing with penalties for improper filing, but following the good advice from TurboTax can eliminate these types of fears.
Electronic filing is safe and straightforward with TurboTax, and your return will be received much faster than if you mail a paper income tax return. The Internal Revenue Service will inform you within 48 hours whether or not your income tax submission has been accepted.
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You can receive a tax refund by a traditional paper check, but selecting direct deposit is quicker and safer as well. Electronic filing and direct deposit eliminates the potential for lost documents, lost checks, and longer waiting due to document delivery time. TurboTax even has free Federal tax filing options for qualifying income tax filers.
File Now, Pay Later
You should file your taxes as soon as possible even if you end up owing the government. The IRS will let you submit your income taxes and set up a payment for a later date, and you may set up an automatic withdrawal. You can pay through your bank account, debit card, or credit card without penalty as long as you make your payment by the April 15th deadline.
Americans might be willing to wait longer for their tax refunds (60% responded) and would like to see stronger requirements for tax preparers to help reduce tax fraud. H&R Block ran a survey of tax payers this year related to tax fraud and ways to reduce it. 70% of those responding to the survey wouldn’t mind answering additional questions on their returns if it would help out.
H&R Block Business Center (Photo credit: EVRT Studio)
An H&R Block executive explained that tax preparers do not have any requirements or licensing in 48 or the 50 states. He made comparisons to hair barbers who need to be licensed everywhere. But he doesn’t stand with the courts which decided against making tax professionals get training and pass tests before they could work in the field.
Those against preparer requirements of testing and training think the certification should be optional so that it benefits young tax preparers without placing a new burden on seasoned professionals that are already trusted in the community. The lawyers fighting the IRS in court also argued that certification would benefit the big players in the field that could absorb the costs while putting smaller operators out of business.
Get Your Refund Early by Filing Your Returns Early: E-filing with TurboTax 2014 to Start on Jan. 2
Now that the IRS has set January 31, 2014 as the commencement date for processing tax returns, taxpayers are urged to start filing early. You can now get free TurboTax 2014 version from www.turbotax.com and start filing your returns from the 2nd day of January, 2014. The sooner you file your taxes, the sooner you will get your tax refund.
Tax Refund Ballerz (Photo credit: bornazombie)
The average American taxpayer claims around 3,000 dollars in tax refunds. Furthermore, 8 in every 10 taxpayers in the country claim a refund every tax season. Intuit is encouraging taxpayers to start filing their returns at the soonest possible time to avoid delays in processing their tax refund.
Since TurboTax will start accepting e-files earlier than the IRS, the company will hold the information safely and forward them to the revenue service in a first-in, first out basis. This will go a long way in ensuring that taxpayer’s refunds are processed and sent back without delays, and it is important to note that the IRS does not anticipate any delays in doing this. The agency expects to perform as it did in the 2013 tax season; where 90 percent of all refunds were made in less than 21 days.
Turbo Tax 2014 is set to launch new online calculators. These calculators are meant for the calculation of subsidies that you are entitled to when you get insurance cover as well as how much premium you are supposed to pay. The new insurance plans have been made possible by the Affordable Care Act that allows low income earners to get health care by paying low premiums.
A CNN poll conducted in March of 2010Citation needed, days after the Patient Protection and Affordable Care Act was signed into law found nearly 3 in 5 Americans were opposed to the legislationClarify. (Photo credit: Wikipedia)
There are four categories that are offered by the insurance exchanges. You will get various types of benefits depending on the coverage that you choose and your income level. They include; gold plans, silver plans and catastrophic plans that are offered to the low income earner below the age of 30.
The Turbo Tax 2014 calculator is user friendly in its design. There are various settings and inputs on the left and to the right there are running totals. The particulars input on the left side determine two things; how much you will have to pay or the tax refund you will get.
There are various details required to be entered in the Turbo Tax 2014 calculators in order to determine the eligibility for subsidy. The personal information includes:
– Annual income;
– State of residence;
– Whether your employer pays insurance
By entering your information on the left side, you are able to find out what is the best plan for your tax situation. Should you choose to do this manually, it would take a longer time. Therefore, the Turbo Tax 2014 assists in speeding up the process of selecting a decent plan that will not cost you too much in the first couple of years or participating.
The government study that preceded the launch of the Affordable Care Act determined that 90% of those who are above the federal level of poverty are able to pay higher premiums. However, the subsidies only apply to those who do not have health insurance through their employer. Therefore, when filling in your particulars, if you fill in that you receive health insurance on the left side of the 2014 calculator; it means it will not display any subsidy on the right side of the results. It will only display the amount of premiums you are meant to pay.
In case your income is between 133%-399% of the poverty level, then the calculator will show you that your premiums may be at 3%-9.5% of gross income. Anything less than 133% would mean that you get medicaid coverage and therefore do not need to purchase a plan.
You need to note that there is a chance that you may need to include some of your income in the health care calculation. This is because a normal low income house hold spends at least 75% of their income on home expenses. This is why there needs to be some changes in the act in order to accommodate those who are in the low income level of society and give them more in terms of subsidy and less in terms of payment of premiums. Exempting unions and those in congress just isn’t enough of a government benefit for certain parties in the government. This is still under discussion as the rates are not satisfactory to the low income earners who use most of their income for expenses at home.
Law School (Photo credit: Tulane Public Relations)
A considerable amount of tax can greatly help with your tax return upon declaring your legal dependent. Not only will it boost your own exemption but it can also make you eligible for other tax benefits. You can certainly avail of the child tax credit once you have claimed a legal dependent. Keep in mind that the IRS has restrictions or standard qualifications as to whom you can claim as a legal dependent. Never presume that any person or anybody living in your house directly qualifies as a legal dependent.
What is a Legal Dependent?
In general, a dependent is a person who relies on you for more than 50% of his or her finances. He may have an income from a source or totally depending from the help you are giving. But for the IRS, a legal dependent can be your child or anybody that you are providing aid financially.
A child or your spouse living in your home is the most common type of dependents that mostly everyone claims. Your elderly parents and if you have a child in college, they can still be considered as dependent. To claim a brother, sister, stepsister or any of your family relative as a dependent, he or she should only produce an income less than the standard personal exemption rate for that particular year. The IRS has provided 5 attributes to identify legal exemption of a claimed dependent. These are the following: support, citizenship, relationship, gross income and joint return. With regards to citizenship criteria, it requires that a dependent is a U.S. citizen, a legally adopted foreign child currently residing in the U.S., a local of the U.S. or resident of Mexico or Canada within the year.
Are YOU a Dependent?
Before you can claim a dependent, be sure that you are not claimed as a dependent by another person. Each qualified dependent can only be claimed by one taxpayer in that same year. To ensure that only one person has filed the person a dependent, no other relative should claim the child as a dependent. To fully qualify the kid, he should also be residing with the claimant for more than 6 months of the same year. Make sure that you support your claim with documents and keep those important files for future use.
After you have identified that the person is your qualified dependent, you should, at this time, be keeping significant receipts. It would be in your best interest to take note of any medical, daycare or even itemized expenses that was used or occurred for your dependent. It may seem complicated but the rules determined by the IRS are just very easy to follow.
Sean Harris is a tax blogger from Miami Florida. You can check out his blog irs-easy.com for more extensive information on doing your taxs yourself .