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If you receive this letter you have the option to opt out of the Monthly payments. If you take the advance you tax refund at the end of the year will be less. https://www.irs.gov//irs-sending-letters-to-more-than-36-m

Cryptocurrency - Understanding Virtual Currency and its Tax Implications Virtual currency is a digital representation of value, other than a representation of the U.S. dollar or a foreign currency (real currency), that functions as a unit of account, a store of value, and a medium of exchange. Some virtual currencies are convertible, which means that they have an equivalent value in real currency or act as a substitute for real currency. How is Virtual currency treated for ...Federal income tax purposes? Virtual currency is treated as property and general tax principles applicable to property transactions apply to transactions using virtual currency. For more information on the tax treatment of virtual currency, see the Internal Revenue Service (IRS) Notice 2014-21. What is cryptocurrency? Cryptocurrency is a type of virtual currency (i.e. Bitcoin, Ethereum, Litecoin, Dogecoin, etc.) that uses cryptography to secure transactions that are digitally recorded on a distributed ledger, such as a blockchain. a transaction involving cryptocurrency that is recorded on a distributed ledger is referred to as an on-chain transaction a transaction that is not recorded on the distributed ledger is referred to as an off-chain transaction Will I recognize a financial gain or loss when I sell my virtual currency for real currency? Yes. When you sell virtual currency, you must recognize any capital gain or loss on the sale, subject to any limitations on the deductibility of capital losses. For more information on capital assets, capital gains, and capital losses, see Publication 544, Sales and Other Dispositions of Assets. For additional information on the tax consequences of virtual currency transactions see the Frequently Asked Questions on Virtual Currency Transactions page on the IRS website.

Monthly Child Tax Credit Starts July 15 Got kids? Then there’s some good news coming your way. The IRS will begin advanced payments of the enhanced child tax credit on July 15. The enhanced credit is a provision of the American Rescue Plan. It increases the tax benefit from $2000 to $3000 for kids age 6 to 17. Families with children under 6 can receive a credit of up to $3600. 88% of families in the United States will be eligible....Continue reading

Automatic Monthly Payments of Advanced Child Tax Credit to Begin July 15, 2021 The Internal Revenue Service announced today that the first monthly payment of the expanded and newly-advanceable Child Tax Credit (CTC) from the American Rescue Plan will be made on July 15. Roughly 39 million households -- covering 88% of children in the United State-- are slated to begin receiving monthly payments without any further action required. IRS and Treasury also announced the increased... CTC payments will be made on the 15th of each month unless the 15th falls on a weekend or holiday. Families who receive the credit by direct deposit can plan their budgets around receipt of the benefit. Eligible families will receive a payment of up to $300 per month for each child under age 6 and up to $250 per month for each child age 6 and above. There have been important changes to the Child Tax Credit that will help many families receive advance payments starting this summer. The American Rescue Plan Act (ARPA) of 2021 expands the Child Tax Credit (CTC) for tax year 2021 only. The expanded credit means: -The credit amounts will increase for many taxpayers. -The credit for qualifying children is fully refundable, which means that taxpayers can benefit from the credit even if they don't have earned income or don't owe any income taxes. -The credit will include children who turn age 17 in 2021. -Taxpayers may receive part of their credit in 2021 before filing their 2021 tax return. For tax year 2021, families claiming the CTC will receive up to $3,000 per qualifying child between the ages of 6 and 17 at the end of 2021. They will receive $3,600 per qualifying child under age 6 at the end of 2021. Under the prior law, the amount of the CTC was up to $2,000 per qualifying child under the age of 17 at the end of the year. The increased amounts are reduced (phased out), for incomes over $150,000 for married taxpayers filing a joint return and qualifying widows or widowers, $112,500 for heads of household, and $75,000 for all other taxpayers. The IRS urges people with children to file their 2020 tax returns as soon as possible to make sure they're eligible for the appropriate amount of the CTC as well as any other tax credits they're eligible for, including the Earned Income Tax Credit (EITC). Filing electronically with direct deposit also can speed refunds and future advance CTC payments. Eligible taxpayers do not need to take any action now other than to file their 2020 tax return if they have not done so. Eligible taxpayers who do not want to receive advance payment of the 2021 Child Tax Credit will have the opportunity to decline receiving advance payments. Taxpayers will also have the opportunity to update information about changes in their income, filing status or the number of qualifying children. More details on how to take these steps will be announced soon.

Reminder: May 17th Tax Deadline Approaching The federal filing deadline for 2020 individual tax returns is Monday, May 17, 2021. Taxpayers can request an extension, if needed. Those who cannot meet the May 17 deadline can easily request an automatic filing extension to October 15 and prevent late filing penalties. Use Free File or Form 4868. But keep in mind that while an extension grants additional time to file, tax payments are still due May 17.... May 17 is also the deadline for the following: Making a contribution to an IRA for Tax Year 2020 Making a contribution to a health savings account (HSA), an Archer medical savings account, or a Coverdell education savings account for Tax Year 2020

The IRS has stated that if a taxpayer mailed a check (either with or without a tax return), it may still be unopened in the backlog of mail the IRS is processing due to COVID-19. Any payments will be posted as the date the IRS received them rather than the date the IRS processed them. To avoid penalties and interest, taxpayers should not cancel their checks and should ensure funds continue to be available so the IRS can process them. To provide fair and equitable treatment, t...he IRS is providing relief from bad check penalties for dishonored checks the agency received between March 1 and July 15 due to delays in this IRS processing. However, interest and penalties may still apply. Due to high call volumes, the IRS suggests waiting to contact the agency about any unprocessed paper payments still pending. See www.irs.gov/payments for options to make payments other than by mail. The IRS is encouraging taxpayers and tax professionals to use electronic options to speed the processing of tax returns, refunds, and payments.

13.9 million Americans to receive IRS tax refund interest; Taxable payments to average $18 WASHINGTON- This week -August 18, 2020- the Treasury Department and the Internal Revenue Service will send interest payments to about 13.9 million individual taxpayers who timely filed their 2019 federal income tax returns and are receiving refunds. The interest payments, averaging about $18, will be made to individual taxpayers who filed a 2019 return by this year's July 15 deadline an...d either received a refund in the past three months or will receive a refund. Most interest payments will be issued separately from tax refunds. In most cases, taxpayers who received their refund by direct deposit will have their interest payment direct deposited in the same account. About 12 million of these payments will be direct deposited. Everyone else will receive a check. A notation on the check -saying "INT Amount" - will identify it as a refund interest payment and indicate the interest amount. By law, these interest payments are taxable and taxpayers who receive them must report the interest on the 2020 federal income tax return they file next year. In January 2021, the IRS will send a Form 1099-INT to anyone who receives interest totaling at least $10. This provision is different from the long-standing 45-day rule, generally requiring the IRS to add interest to refunds on timely-filed refund claims issued more than 45 days after the return due date. Instead, this year's COVID-19-related July 15 due date is considered a disaster-related postponement of the filing deadline. Where a disaster-related postponement exists, the IRS is required, by law, to pay interest, calculated from the original April 15 filing deadline, as long as an individual files a 2019 federal income tax return by the postponed deadline -July 15, 2020, in this instance. This refund interest requirement only applies to individual income tax filers- businesses are not eligible. Interest is paid at the legally prescribed rate that is adjusted quarterly. The rate for the second quarter ending June 30 was 5%, compounded daily. Effective July 1, the rate for the third quarter dropped to 3%, compounded daily. Where the calculation period spans quarters, a blended rate applies, consisting of the number of days falling in each calendar quarter. No interest will be added to any refund issued before the original April 15 deadline. For more information, visit IRS.gov.

Starting mid-April, Economic Impact Payments, also known as Stimulus Payments, began being paid out to taxpayers across the U.S. Taxpayers that were an eligible recipient of a stimulus check and received payment should have also received Notice 1444 in the mail following the disbursement of the payment. Notice 1444 appears as a letter issued by The White House and contains the amount of Economic Impact Payment received, needed when filing 2020 tax returns. Taxpayers should... be reminded to not discard this notice and to bring it in during tax preparation as the amounts received will be reconciled during preparation next year. Although the stimulus amounts taxpayer already received are not taxable, the letter is necessary to determine if taxpayer qualifies for additional stimulus credit and would only help them. Please share or Inbox me if you have any questions.

The IRS has announced that Veteran Affairs (VA) recipients that did not file tax returns in 2018 and 2019 will automatically receive Economic Impact Payments. VA recipients who are not typically required to file a tax return do no need to file a tax return. Veterans and their beneficiaries who receive Compensation and Pension (C&P) benefit payments from VA will receive a $1,200 Economic Impact Payment with no further action needed on their part. Timing on the payments is still being determined.

** PLEASE NOTE: INFORMATION IS UPDATED FREQUENTLY AND SUBJECT TO CHANGE** As indicated earlier this week, the IRS inadvertently sent a small number of Economic Impact Payments (EIP) through TPG in error. TPG Stands for Tax Products Group who is a third party entity that takes Tax Prep fees from the Federal refund for a fee.... If the IRS website indicates funds were sent to TPG, payments identified as EIP will be rejected back to the IRS so that the taxpayer can receive an IRS-issued Treasury check for the full EIP amount. The IRS website may indicate funds were deposited to an account ending in the last four digits of a taxpayer's Social Security number. For our client's protection any account that was established at TPG to facilitate processing of a tax refund was closed when the Taxpayer received their tax refund, and that account no longer exists. Please note: The IRS does not specifically identify EIPs so we have no way of verifying with certainty that these are EIP and not federal refunds. If EIP payments are processed as refunds, all associated fees owed to the tax professional will be deducted and the taxpayer will not receive their full EIP amount. IRS Get My Payment page Funds received in error and returned to the IRS, may not have an accurate status on the IRS Get My Payment page until the IRS re-issues the EIP stimulus payment as a check.

IRS Unveils New "Get My Payment" Online Tool to Help with Economic Impact Payments The Internal Revenue Service today unveiled the new "Get My Payment" with features to let taxpayers check the status of their Economic Impact Payment date, and, where possible, provide direct deposit information if the IRS doesn't already have it. With an initial round of more than 80 million Economic Impact Payments starting to hit bank accounts over the weekend and throughout this week, this ...new tool will help address key common questions. "Get My Payment" will show the projected date when a deposit has been scheduled, similar to the "Where's My Refund tool" many taxpayers are already familiar with. 'Get My Payment" is updated once daily, usually overnight. The IRS urges taxpayers to only use "Get My Payment" once a day given the large number of people receiving Economic Impact Payments. How to use "Get My Payment" Available only on IRS.gov, taxpayers only need a few pieces of information to quickly obtain the status of their payment and, where needed, provide their bank account information. Having a copy of their most recent tax return can help speed the process. -For taxpayers to track the status of their payment, this feature will show taxpayers the payment amount, scheduled delivery date by direct deposit or paper check and if a payment hasn't been scheduled. They will need to enter basic information including: -Social Security number -Date of birth -Mailing address used on their tax return. -Taxpayers needing to add their bank account information to speed receipt of their payment will also need to provide the following additional information: -Their Adjusted Gross Income from their most recent tax return submitted, either 2019 or 2018 -The refund or amount owed from their latest filed tax return -Bank account type, account and routing numbers "Get My Payment" cannot update bank account information after an Economic Impact Payment has been scheduled for delivery. To help protect against potential fraud, the tool also does not allow people to change bank account information already on file with the IRS. A Spanish version of "Get My Payment" is expected in a few weeks. For a link to the "Get My Payment" tool, please reference following link: https://www.irs.gov/coronavirus/get-my-payment

** PLEASE NOTE: INFORMATION IS UPDATED FREQUENTLY AND SUBJECT TO CHANGE** We are providing the following update about the disbursement of Economic Impact Payments (EIP), and IRS plans to distribute EIP stimulus payments directly to qualified taxpayers.... The issuance of payments directly from the IRS to taxpayers means that the IRS is the best source of information regarding the amount, timing and status of the EIP. Your clients should contact the IRS directly if they have any questions. Taxpayers to begin receiving payments this week The IRS has begun issuing payments to taxpayers with direct deposits, and the lowest income (AGI) taxpayers first. The IRS has indicated most payments will be received by April 15. They will issue payments weekly until payments are complete. Direct Deposit Taxpayers who utilized direct deposit will receive payment to the bank account used for the federal refund. If a payment is returned to the IRS (Ex. bank account is closed), the IRS will mail a check to the taxpayer. IRS-issued checks Taxpayers who received their refund by Walmart MoneyCard, Walmart Direct2Cash or check (IRS, ERO site print or bank print) will receive a check from the IRS mailed to the address indicated on the tax return. Because of the resource demand of printing checks and the time of mailing it will take longer for checks to arrive to taxpayers. The IRS plans to release a Get My Payment tool by April 17 which will provide people with the status of their payment, including the date their payment is scheduled to be deposited into their bank account or mailed to them. We will continue to update our website as more details are available.

"Simple" Returns for Economic Impact Payments-What You Need to Know Beginning week of April 13th! In the coming weeks the Treasury Department plans to distribute automatically economic impact (stimulus) payments, with no action required for most people. Social Security recipients and railroad retirees who are otherwise not required to file a tax return are automatically eligible and will not be required to file a return. However, some individuals such as low-income workers... and certain veterans and individuals with disabilities who typically do not file returns will need to submit a "simple" tax return to receive stimulus money. What is a 'Simple" Return? A "simple" return is a quick way to submit information to the IRS for the sole purpose of getting stimulus money. Only qualifying taxpayers without a filing requirement and did not file federal returns for 2019 and 2018 will need to file a "simple" return in order to receive stimulus money. What information we Will Need from Taxpayer To file a "simple" return you will need the following information: 1. Full name and valid work SSN of taxpayer (and spouse if filing jointly) 2. Current address 3. Name, SSNs (or ATINs), and relationship of children under age 17. Children with ITINs do not qualify for stimulus money. 4. Bank account information if requesting direct deposit. 5. Determine if the taxpayer is married or single. Only a filing status of "single" or "married filing joint" is allowed Other Facts Filing "simple" returns electronically and including direct deposit information will allow the IRS to process and send the economic impact payment to the taxpayer in the least amount of time. If the direct deposit information is not included, the taxpayer will receive the stimulus amount as a paper check.

https://www.irs.gov//irs-issues-warning-about-coronavirus-

Economic Impact Payments. Please refer to www.irs.gov/coronavirus

When to expect payments On Monday the IRS and Treasury Department announced payments would begin within 3 weeks. The IRS has indicated they may begin issuing direct deposit and check payments as early as April 9th with taxpayers is beginning to receive payments as early as the week of April 13th.* * Information is extremely fluid and changing frequently.

This just in: Guide for taxpayers that have not needed to file for 2018 and 2019 tax but need Economic Impact Payment! The IRS announced that distribution of Economic Impact Payments will begin in the next three weeks and will be distributed automatically, with no action required for most people (including Social Security recipients as posted in the prior bulletin). However, some taxpayers who typically do not file returns and haven't filed for 2018 and 2019 will need to submit a simple tax return to receive an Economic Impact Payment. The IRS is expected to announce guidelines on how to prepare and complete returns for these taxpayers that are filing just for purposes of receiving an Economic Impact Payment. In the meantime, preparers should delay filing these type of returns until further IRS guidance is announced.

This Just In: For Social Security Recipients Economic Impact Payment Update Related to Social Security Recipients - (4/2/20) The U.S Department of the Treasury has announced that Social Security recipients that did not file tax returns in 2018 and 2019 will automatically receive Economic Impact Payments by either direct deposit into their bank accounts or by check. Social Security recipients who are not typically required to file a tax return do not need to file a tax retu...rn. The IRS will use information on from Form SSA-1099 and Form RRB-1099 to generate $1,200 Economic Impact Payments. For more information about the announcement, please reference the Treasury site at: https://home.treasury.gov/news/press-releases/sm967

Here is a link for all entrepreneurs that may qualify for an SBA Loan due to Covid 19. CARES ACT. https://www.sbc.senate.gov//index.c/guide-to-the-cares-act Attachments area