Rangel Tax Prep Guide

FREE TAX PREPARATION TIPS

(Filing Deadline is April 15, 2013)

• Updated Tax Tips 2013 page on the IRS website.

• FREE Tax Filing and Cut down on the paperwork. If you make less than 57,000 gross income, you can use the IRS' new tool called FreeFile that allows you to file your tax forms online without the hassle of mailing. Click here to check whether you qualify.
• TRACK your Refund and get your refund FASTER through Direct Deposit. For Federal Taxes: Where's My Refund and Direct Deposit. Click here to view the e-Cycle Refund dates. For New York State Taxes: Income Tax Refund Status.
• Tax Credits for Small Businesses thanks to Affordable Care Act. Thanks to provisions in the Affordable Care Act, small businesses and small tax-exempt charities that provide health insurance to their employees can now qualify for the Small Business Health Care Tax Credit. Click here to see if your small business qualifies for any of these new tax provisions. 
• Tax credits for students. Parents and students may qualify for the American Opportunity Credit and the Lifetime Learning Credit. Taxpayers are eligible for full credit if they are individuals earning less than $80,000 a year, or a couple earning $160,000 or less. Even if you make above these levels, you may qualify for a partial tax credit. For more information, click here.
• Understanding the Earned Income Tax Credit (EITC). Earned income is the taxable wages and income you receive from working or owning a business. Individuals earning less than $46,227 and couples earning less than $51,567 are encouraged to apply. To claim, please fill out Form 8862.
• Child Care Tax Credit and other Federal, State and City Tax Credits. You may qualify for other Federal and State tax credits. Click here for the New York City Child Care Tax Credit.
• Health Coverage Tax Credit (HCTC). HCTC is a tax credit administered by the IRS that pays 72.5% of qualified health insurance premiums for eligible individuals and their families. Monthly payments are made directly to a health plan administrator on behalf of participants, allowing them to receive the benefit on the tax credit at the time of need. Click here for eligibility and information.
• FREE Tax Assistance. For low- and middle-income taxpayers, you may qualify to receive free tax help through a Voluntary Income Tax Assistance program site (VITA). To find Tax Preparation Sites in your New York neighborhood, click here.
• How Unemployment Insurance (UI) Benefits are taxed. Unemployment compensation from the government is considered taxable income. If you have received UI benefits during the year, expect to given Form 1099-G indicating the total amount of benefits you were paid. If you choose to have federal income tax withheld from your UI benefits, fill out Form W-4v.