Personal Taxes

An employee or self-employed individual may deduct as an adjustment to gross income the costs of moving him or herself and his or her family from one location to another. The move has to be related to starting work in a new location and the amount claimed has to be reasonable. In order to claim this deduction the distance between the new job location and your old house location must be at least 50 miles or more than the distance between your old job location and your old house. Also you must work in a locality of the new job as a full time employee for a tleast 39 weeks during the twelve month period immediately following your arrival at the new job location. The deduction is claimed on IRS Form 3903.

No. Your pre-move house hunting expenses, temporary living expenses or expenses of selling, purchasing or leasing the old or new residence, are not deductible as moving expenses. Any meal costs while traveling to your new residence are not deductible.

Yes. Taxpayers who own or operate businesses may be eligible for the following tax incentives: Business tax credits named the Work opportunity tax credit, and the Disabled Access credit. The Work Opportunity Tax Credit is a federal tax credit used to reduce the federal tax liability of private-for-profit employers. Employers can hire from 9 different targeted groups: Qualified TANF Recipients, Qualified Veterans, Qualified Ex-Felons, Qualified Designated Community Residents (DCR), Qualified Vocational Rehabilitation Referrals, Qualified Summer Youth, Qualified Food Stamp Recipients, Qualified Supplemental Security Income (SSI) Recipients Qualified Long-Term Family Assistance Recipients.

The Telefile system is an interactive computer program that calculates your taxes and begins the electronic filing process over the phone. The IRS automatically sends taxpayers a special Telefile package to those who may be eligible to use it. Generally, teenagers and students are Telefiler candidates. Only those receiving the package can use the Telefiler system. Telefile is available 24 hours a day and requires nothing to be mailed in.

If you suspect or know of an individual or company that is not complying with the tax laws, you may report this activity by completing Form 3949-A. You may fill out Form 3949-A online, print it and mail it to: Internal Revenue Service Fresno, CA 93888. If you do not wish to use Form 3949-A, you may send a letter to the address above. Include the following information, if available: Name and address of the person you are reporting. The taxpayer identification number (social security number for an individual or employer identification number for a business) A brief description of the alleged violation, including how you became aware of or obtained the information. The years involved and the estimated dollar amount of any unreported income. Your name, address and daytime telephone number

A CP-2000 notice informs you of the proposed changes in income, credits, payments, or deductions and the amount due to the IRS, or a refund due to you. You should forward a copy of this letter to your local CPA for a follow-up response. Frequently these notices are sent out erroneously.

The IRS has a tax assistance staff in 7 U.S. Embassies throughout the world. Speak to your local CPA about locating the U.S. Embassy nearest to you.

No. Any termite or moth damage costs are not considered casualty losses. Generally, casualty losses occur from auto accidents, earthquakes, fires, floods, hurricanes, sonic booms, storms, thefts, tornadoes, vandalism, volcanic eruptions and other accidents.

If you itemized your deductions in the prior year and received a state tax refund in the current year (reported on a 1099-G slip), you may have to include all or part of the refund as income on your current year's tax return.
If you did not itemize your deductions in the prior year, you will not have to pick up as income the 1099-G refund amount.