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April 2010 Newsletter
Don’t Take The Bait-Avoiding Phishing Scams. Claim Your Share of $1.3 Billion. Curing Cancer With Purple Commodes.
Stop Saving Recipts
Throw away that shoe box of receipts. Imagine having the ability document, preserve, share and summarize all your business expenses from anywhere in the world? With Liberty Expense Tracking, you can!
Liberty Tax Service has launched a new Web site called Liberty Expense Tracking designed specifically for self-employed and commissioned sales professionals. The Web site is a cutting-edge way to keep track of meeting expenses, time reporting mileage, receipts and documents--and it’s all online.
The Liberty Expense Tracking Web site enables you to add up receipts, categorize, enter, and file them away--never to be seen again. Worried about a tax audit? When tax time comes along, print off your summary report and bring it to the nearest Liberty Tax Service office. The report is accepted by the IRS.
The process couldn’t be easier. The Liberty Expense Tracking site is user friendly and includes tutorials to quickly bring you up-to-speed on the latest Internet technology. For less than a cup of coffee a day, be assured that all your expenses are recorded in a safe, organized location.
Stop saving receipts. See your local Liberty Tax Office for more information on getting your professional life organized forever.
Tax Filing Season Could Give Criminals More Opportunities
With one document, Fast-Finger Freddy has access to your social security number, current address and is even aware of exactly how much you were paid last year. When it comes to tax filing season, consumers may find they can be at a greater risk for identity theft because of the sensitive financial data that is in their mailboxes.
With that in mind, the identity theft prevention Web site ID Analytics has offered some tips on how people can avoid falling victim to fraud and other crimes when it comes to their financial data.
For example, if your 1099 or W-2 form didn’t show up, it may not have been your employer who didn’t send it, but could be a warning sign of attempted identity theft that should be investigated promptly.
Also, people should keep their tax documents stored in a secure place out of public view, since the data contained in these forms is helpful to would-be identity thieves. It's also important to be wary of scams such as phishing e-mails.
The company also advised that annual statements from the Social Security Administration could reveal signs of identity theft, particularly when it comes to people who steal data to get jobs. It's important to keep track of all communications from the Internal Revenue Service, especially if they involve discrepancies such as inaccurate job information, and to check one's credit report on a regular basis.
Charitable Donations Remain A Popular Deduction
This past year, natural disasters around the world have caused many people to find ways to help others in need. One of the most popular deductions during any given tax filing season is the one for charitable donations, although the recession may have taken a toll on overall numbers this year.
People who itemize on their returns can deduct the amount of charitable contributions they made in the previous year, as long as the recipient is deemed a qualified organization by the Internal Revenue Service.
One important nuance to consider is that if a person receives something in return for their donation, such as admission to an event or merchandise, they can only deduct the amount of their donation minus the fair market value of what they received in return.
Taxpayers may also be able to deduct the costs they incur while helping a charity. For example, money spent on ingredients to be made on a cake for a bake sale are potentially deductible, although one should check with their tax preparer for more information.
So far, it looks like overall charitable donations for 2009 may have taken a hit during the recession. A recent survey from PNC Financial Services Group found that 28 percent of Americans with at least $500,000 in investment assets had felt the need to scale back donations last year, while only 13 percent had increased their donation levels.
Want Your Share of $1.3 billion? File now!
You were busy. You didn’t think you had to file. You forgot. Whatever the reason for not completing your 2006 tax preparation and forms, there’s still time to file and get right with the IRS. And now, there is an additional reason—possibly claiming your share of more than $1.3 billion.
According to the IRS, there is more than $1.3 billion waiting in unclaimed refunds for those who did not file their federal income tax return in 2006. However, to collect the money, a 2006 return must be filed no later than Thursday, April 15, 2010.
If a return was not filed, the law provides most taxpayers with a three-year window for claiming a refund. If no return is filed to claim the refund within three years, the money becomes property of the U.S. Treasury. The estimated median unclaimed refund for tax-year 2006 is $604.
For 2006 returns, time is up April 15, 2010. There is no penalty for filing a late return qualifying for a refund. IRS officials say that 2006 returns cannot be filed electronically, but “taxpayers can still speed up their refunds by choosing to have them deposited directly into a checking or savings account.”
Refunds will not be sent if taxpayers owe money for previous years. Also, the refund will be applied to any amounts still owed to the IRS and may be used to satisfy unpaid child support or past due federal debts such as student loans.
Can’t lay your hands on your 2006 W-2s? Check with your local tax return preparation service or www.irs.gov to obtain a tax transcript. For more details on completing your 2006 tax returns, consulting with a skilled tax preparer is always an advisable strategy.
What The IRS Will Never Ask You
Don’t get hooked by a phishing scam. There are many e-mail scams that fraudulently use the Internal Revenue Service name or logo as a lure. The goal of the scam – known as phishing – is to trick you into revealing personal and financial information. The scammers can use your personal information – Social Security number, bank account or credit card numbers – to commit identity theft and steal your money.
Here are five things the IRS wants you to know about phishing scams.
- The IRS does not send unsolicited e-mails about a person’s tax account or ask for detailed personal and financial information via e-mail.
- The IRS never asks for their PIN numbers, passwords or similar access information for credit card, bank or financial accounts.
- If you receive an e-mail from someone claiming to be the IRS or directing you to an IRS site,
- Do not reply to the message
- Do not open any attachments
- Do not click on any links.
- If you clicked on links in a suspicious e-mail or phishing Web site and entered confidential information, visit IRS.gov and enter the search term 'identity theft' for more information and resources to help.
- You can shut down these schemes and prevent others from being victimized. If you receive a suspicious e-mail that claims to come from the IRS, forward it to a special IRS mailbox, phishing@irs.gov. Forward the message as received or provide the Internet header of the e-mail. The Internet header has additional information to help us locate the sender.
The official IRS Web site is www.irs.gov. Never .com, .net, .org.
Curing Cancer With Purple Commodes
You have a friend who survived breast cancer. Your father is fighting Prostate Cancer. Your co-workers placed a purple toilet in your front yard…and you want it gone.
Whatever your personal reason for making a commitment to help save lives from cancer, your financial support, emotional involvement and sweat equity will now make a real difference. You are now part of a much bigger effort. You’ve joined more than 3.5 million others across the country to celebrate, remember and fight back.
Now what? How do you raise money? What else can be done? Don’t get overwhelmed—get involved! Relay For Life has everything you need to continue to help in the fight. At www.relayforlife.org you’ll find:
- Local events
- Fun-Raiser Ideas
- E-mail templates to send to friends
- How to sign up for a personal Web page
- Newsletters and fundraising ideas
- Ideas to recruit team members
- How to import e-mail addresses and fundraise online
- Badges for your Facebook page
- And lots more
Whether through a friend, family member, or neighbor down the street, we have all been touched by cancer in some way. Please help Liberty Tax Service take a stand with millions of other individuals, teams and companies who have the power to create a world where cancer will not claim one more life. And we thank you for making that decision.