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Showing posts from December, 2016

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Individual Tax Identification Number (ITIN)

Individual Tax Identification Number (ITIN) What You Need to Know Processing delays are likely for filers with expired Individual Tax Identification Numbers. There are two reasons an ITIN would expire December 31, 2016: If you have not used your ITIN on a U.S. tax return at least once for tax years 2013, 2014 or 2015 or If your ITIN has the middle digits 78 or 79 (9NN-78-NNNN or 9NN-79-NNNN)   What You Need to Do You can renew your ITIN now if it expired and you plan to use it on a U.S. tax return. No action is needed by expired ITIN holders who don’t need to file a tax return next year. There are new documentation requirements when applying for or renewing an ITIN for certain dependents. To avoid delays, ensure accurate W-7 and valid ID documents are submitted. Find more information at IRS.gov/ITIN.

Refunds

Refunds What You Need to Do The IRS will begin to release EITC/ACTC refunds starting Feb. 15. However, the IRS cautions taxpayers that these refunds likely won’t arrive in bank accounts or debit cards until the week of February 27. Read more about  refund timing for early EITC/ACTC filers . Expecting a refund? Some Refunds must be held until Feb. 15 According to a new tax law change, the IRS cannot issue refunds before Feb. 15 for tax returns that claim the  Earned Income Tax Credit  or the  Additional Child Tax Credit . This applies to the entire refund, even the portion not associated with these credits. Be careful not to count on getting a refund by a certain date, especially when making major purchases or paying other financial obligations. You don’t need to wait until Feb. 15 to file your tax return. While the IRS must hold the refund until Feb. 15, it will begin taking the steps it normally does to process your tax return once the fi...