Linda J Vail, Certified Public Accountant

Treasury says be ready for frustration this tax season Wonderful Treasury says be ready for frustration this tax season Wonderful

It's W-2 and 1099 time at the office

Doing the mundane things at office today. Getting files ready for next year. Finishing up tax organizers. And other such fun things. LOL

The Internal Revenue Service announced Wednesday that it will start sending out information letters to recipients of the advance Child Tax Credit and of the third round of Economic Impact Payments that were made in January. Taxpayers will be required to reconcile any advanced CTC received and the payments with their 2021 tax returns, which are currently expected to be due April 15, 2022. Letter 6419 for advanced CTC recipients will include the total amount of credits that the... taxpayer received. The credits were sent out monthly starting last June 15, and were calculated based on information from taxpayers’ previous returns, so the taxpayer have received too much or too little. If they received too much, they’ll need to repay it; if they received too little, or were due the credit but didn’t receive it at all, they can claim the full amount on their 2021 tax return. The advanced CTC letters will start going out this month, and continue into January 2022. In late January, the IRS will start sending out Letter 6475, Your Third Economic Impact Payment, to EIP recipients. That third round, which was sent out starting in March of this year, were advanced payments of the 2021 Recovery Rebate Credit. Like the advanced CTC payments, they were based on information from previous returns, and so will need to be reconciled with the taxpayer’s 2021 tax return.

Beginning on Jan. 1, 2022, the standard mileage rates will be: 58.5 cents per mile driven for business use, up 2.5 cents from the rate for 2021 18 cents per mile driven for medical, or moving purposes for qualified active-duty members of the Armed Forces, up 2 cents from the rate for 2021 and... 14 cents per mile driven in service of charitable organizations; the rate is set by statute and remains unchanged from 2021.

Unbelievable how long things are taking...

Repurposed hats during 2021. Just us having some fun. My husband Joe, brother Doug, and friend Randy The year in review. This year, Linda provided party hats for New Year's Eve. At some point during this event, Doug mentioned that these hats were kinda' special and that they could be "re-purposed" for other holidays. Thanks, Doug. So, Linda decorated the hats for each holiday throughout the year, and we had the pleasure of wearing them and posing for "holiday portraits." Please enjoy our humiliation throughout 2021!

Hold off on claiming those UI benefit exclusions (03-12-21) The IRS has announced that they will be providing guidance shortly regarding the retroactive exclusion of up to $10,200 of UI benefits on the 2020 return that was enacted by the American Rescue Plan Act. For those taxpayers with UI benefits who haven't filed yet, the IRS is working with the software industry to update current tax software (and will be providing a worksheet for those who file paper returns).... For those taxpayers who received UI benefits last year and have already filed their 2020 tax return, the IRS has stated that amended returns should not be filed until they issue additional guidance. The IRS’s statement is available at: www.irs.gov//irs-statement-american-rescue-plan-act-of-2021

Another one from a friend