What do I do if I receive a notice from the IRS about
my taxes?
Don’t panic! the first thing to do is carefully read
the notice—to determine why it was sent, what the IRS
is requesting, and what they want you to do. It may be
nothing of importance; it may even be a notice in your favor.
After reading it you should bring it to our attention by
faxing it to us at 240.465.0201
What do I need to bring when I am having my taxes
prepared?
Following is a list of the more common items you should bring
if you have them.
- Wage statements (Form W-2)
- Pension, or retirement income (Forms 1099-R)
- Dependents' Social Security numbers and dates of
birth
- Last year's tax return
- Information on education expenses
- Information on the sales of stocks and/or bonds
- Self-employed business income and expenses
- Lottery and/or gambling winnings and losses
- State refund amount
- Social Security and/or unemployment income
- Income and expenses from rentals
- Record of purchase or sale of real estate
- Medical and dental expenses
- Real estate and personal property taxes
- Estimated taxes or foreign taxes paid
- Cash and non-cash charitable donations
- Mortgage or home equity loan interest paid (Form 1098)
- Unreimbursed employment-related expenses
- Job-related educational expenses
- Child care expenses and provider information And any other
items that you think may be necessary for your
taxes.
My university required each incoming freshman
to come to school with their own computer. Is there any way
to deduct the cost of the computer from my tax
liability?
The cost of a personal computer is generally a personal
expense that is not deductible. However, if the school bills
everyone, as a condition of attendance or enrollment, for
proprietary computer devices and/or software available no
where else, then this may qualify as an expense towards
either the Lifetime Learning Credit or Hope Credit. For more
information, refer to Publication
970, Tax Benefits
for Education, Chapters 2 and 3
How long do I keep my records and tax
returns?
You should keep your records and tax returns for at least 3
years from the date the return was filed or the date the
return was required to be filed, whichever is later. It is
recommended that you keep these records longer if
possible.
What do I need to keep for my charitable
contributions?
First, is your contribution cash or non-cash?
All contributions must be made to qualified charitable
organizations.
Is my social security taxable?
Usually if your income including social security benefits is
less than $25,000 if single or $32,000 if married, your
benefits are not taxable. If your income is higher than those
limits, there are formulas to determine what percentage of
your social security is taxable. Currently up to 85% of your
social security may be taxable.
I owe the IRS money. What are my
options?