Tag Archives: Earned income tax credit

TIGTA Releases Review of Earned Income Tax Credit Program

The Treasury Inspector General for Tax Administration (TIGTA) today publicly released its most recent review of the Internal Revenue Service’s (IRS) Earned Income Tax Credit Program (EITC). The report concludes that the IRS has successfully developed processes to identify erroneous EITC payments prior to their issuance to taxpayers. However, the IRS estimates that between $10 […]

IRS Seeks Fraud in EITC

EITC Due Diligence Compliance Program IRS is taking a multi-prong approach to reduce the number of erroneous EITC claims. The agency estimates that 23 to 28 percent of EITC claims filed for tax year 2007 were erroneous and resulted in overpayments of $11 billion to $13 billion. IRS adopted the EITC Paid Preparer Compliance Program […]

Veteran and EITC

Today TaxMama hears from Kathy in New Mexico who says. “My husband has his full VA disability and Social Security disability. I do not work. Are we entitled to the earned income tax credit (EITC)? We do not file taxes. Are we entitled to file for the last stimulus check, or is to late?”

Withholding and W-4

Today TaxMama hears from Ron in Wisconsin who tells us. “I just got a job working full time for a salary of $18,000 per year. My wife does not work. We have 4 kids at home. How many dependents may I claim on my W-4 to avoid losing a bunch of money every week in […]

IRS Has $1.2 Billion for People Who Have Not Filed a 2004 Tax Return

Courtesy of the Internal Revenue Service IR-2008-046 WASHINGTON — Unclaimed refunds totaling approximately $1.2 billion are awaiting about 1.3 million people who failed to file a federal income tax return for 2004, the Internal Revenue Service announced today. However, to collect the money, a return for 2004 must be filed with an IRS office no […]

IRS Partners Host Free Tax Help for Low-Income, Elderly Taxpayers

Courtesy of the Internal Revenue Service IR-2008-012 WASHINGTON — Nearly 12,000 free tax preparation sites will be open nationwide this year as the Internal Revenue Service continues to expand its partnerships with nonprofit and community organizations performing vital tax preparation services for low-income and elderly taxpayers. The IRS Volunteer Income Tax Assistance (VITA) Program offers […]

Most Taxpayers Eligible to File Their Taxes Online for Free

Courtesy of Internal Revenue Service WASHINGTON — The Internal Revenue Service and its private-sector partners today announced the Jan. 11 opening of this year’s Free File program. The free tax preparation and electronic filing initiative begins its sixth year with high customer satisfaction ratings. Most Taxpayers Eligible Seven out of 10 taxpayers — 97 million […]

No Notary

Today TaxMama hears from Mark from Brooklyn, who asks, “is income from a notary public considered income for the EIC (the Earned Income Credit)? Most people I asked, said at their first instinct that, yes it is. But when I make them aware that this income is exempt from self-employed tax (not income tax) they […]

Inmate Income

Today TaxMama hears from Karen in the Tax Parlor, who’s curious. “I’m seeing in my tax prep software, a reference to “inmate income”. Is income earned by inmates taxed or handled differently? Just curious.”

Friend’s EIC

Today TaxMama hears from Mike in Portland, OR who tells us. “My girlfriend and I recently did our taxes, separately. We both already filed, too. However, when I did mine, I checked for an EIC and got more of a refund than she did. Unfortunately, she already filed and received a refund. I know she […]

I Want my EIC

Today, Ford from the Internet says, “Last year I was head of household for 8 months. Then, I got married. Can I still file head of household? I want to be able to collect an Earned Income Credit (EIC).”