New answers tagged

2

I doubt anybody can answer definitively until later this year when the tax forms are released. With that said, I'm confident the answer will be yes, you can claim a refundable tax credit on your 2020 taxes in your scenario. As you mention, some people will receive an extra $500 due to a child being born. Others whose incomes drop in 2020 will be entitled to ...


0

Anytime a company has to submit a tax form for a person for example a W-2, 1099, 1098, or any of the forms related to retirement accounts, you can expect that at some point in the near future the IRS will attempt to match it with the items you have referenced on your 1040 form. So when your 401(k) conversion is reported then the IRS will notice the issue. ...


7

This block is to determine whether taxes should be withheld as if the job for which you are filling out the W-4 is your only household income, or whether there are multiple jobs contributing to household income. The shorthand "Multiple Jobs or Spouse Works" is spelled out in more detail immediately at right: you (1) hold more than one job at a time [i.e. ...


20

"Spouse Works" is not a term. It is an incomplete sentence. The complete sentence would be "Your spouse works." or "My spouse works." This means, "your/my husband or wife (spouse) has a job (works)". The creators of the form left out words in the naming of the section. Whether your spouse works is relevant because your tax rate depends on your total ...


0

If you have not received your payment yet, you may want to try https://www.irs.gov/coronavirus/get-my-payment


5

First, you need the brother's SSN. People don't give their SSNs to just anybody. Second, the brother's own tax forms must agree with your claim: So if you do not have the person's consent, no go. The classic collision (old tax forms) is when a parent claims a child as a dependent to collect the $1000-ish in tax benefits, and the child also claims 1 ...


24

This appears to be something that is done on the honor system. The biggest check the IRS does is with the social security number. They will make sure that nobody else is claiming your half-brother. So before you do this you need check a few things: Nobody else is claiming him. It is possible that either parent might also believe they can claim them. If ...


13

As with most things on your tax return, you are on the honor system until you are audited. If you claim him as a dependent, it will most likely be accepted and no proof will be asked for. If you are audited, you have evidence.


2

In order to claim a dependent, you must enter their SSN or ITIN on your tax return. Since your children are US citizens, they are eligible for SSNs, and thus cannot get ITINs. Therefore, you must get SSNs for them in order to claim them as dependents. In order for you to children to qualify for the $500 stimulus amount and the Child Tax Credit, their Social ...


1

I would review what is in Publication 519 (2019), U.S. Tax Guide for Aliens as in the Introductory section there is an example on the Substantial Presence Test which includes the following section: The term United States includes the following areas. All 50 states and the District of Columbia. The territorial waters of the United States. The ...


2

It is possible that the information you provide in an audit for year X can trigger an audit for other years. For example in Year X you didn't claim income from a side job because they paid you in cash, and you were a contractor. The company did submit a 1099 so they could claim the expense. It is possible that when the IRS was conducting the audit they ...


0

Transferring money through a wire transfer has no tax consequences, and does not trigger any reporting or auditing, if the money doesn't change owner (meaning it was yours before the transfer = names on sending and receiving accounts match). If the money is not illegally earned, you have nothing to worry about.


1

From the IRS's Refund Inquiries page: If you lost your refund check, you should initiate a refund trace: Call us at 800-829-1954 (toll-free) and either use the automated system or speak with an agent. However, if you filed a married filing jointly return, you can’t initiate a trace using the automated systems. Download and complete the Form 3911,...


1

(1) Yes. No. (2) You should file 3520. You do not need to identify the sender. The purpose of the form is to itemize any related gifts from a foreign source. Since the gifts are related, they should be itemized together. Note that the form contains a trap. In Section IV, the gift section, it reads "property received". In US tax law transfers of tangible ...


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