Tax numbers Feed

John Lithgow in Daddy's Home2 via Tenor We've been hearing all filing season about how ticked off lots of folks are about the size of their tax refunds. Last week, one Indiana woman was especially upset, but not over the refund amount. She was royally ticked that the tax check hadn't yet arrived, so much so that the wait allegedly drove her to violence. Unwelcome wait reaction: The apparently tardy refund actually was intended for Claudia Pedroza's ex-boyfriend, who's also the father of the couple's three children. He had filed his return, claiming the youngsters as dependents, and Pedroza reportedly... Read more →


Unfortunately for taxpayers and the Internal Revenue Service, there's nothing new under the sun when it comes to tax scams. Fortunately for taxpayers and the IRS, the tax agency and its Security Summit partners are still on top of the most common scams that continue to pop up in some form year-round. These 12 schemes, which have been dubbed the Dirty Dozen tax scams, get added attention, of course, during the main tax filing season. During these hectic days from Jan. 1 — yes, some folks are ready to file that soon — through April 15, millions of us are... Read more →


Photo by GotCredit via Flickr CC Most of the focus on tax refunds this year has been on how many people are unpleasantly surprised by how small they are. In many (probably most) cases, the relatively small refunds are because people didn't adjust their payroll withholding last year to account for the Tax Cuts and Jobs Act (TCJA) changes to income tax rates and earnings brackets. Now we have another refund situation that also can be blamed on filers, or actually on nonfilers. Yes, I'm talking about the annual announcement by the Internal Revenue Service that millions of folks who... Read more →


Happy St. Patrick's Day! March 17 is one the top days for beer drinkers, ranking up there with New Year's Eve and Mardi Gras celebrations. Guinness says 13 million pints of its stout will be consumed worldwide today in celebration of the Emerald Isle's patron saint. The average number of drinks is just more than 4 per person. The folks making all the Erin go Bragh toasts and the establishments selling the drinks aren't the only ones celebrating St. Patrick's Day. Here in the United States, all that beer, green or otherwise, and other alcoholic beverages are taxed. Sales tax... Read more →


Lee County, Alabama, March 3 tornado damage. (Photo: Nicholas Baretto via Twitter) As expected, once the White House declared parts of Alabama a major disaster area, the Internal Revenue Service followed up by offering affected residents a variety of tax relief. Victims of the deadly tornadoes and severe storms that raked areas of the Yellowhammer State now have until July 31 to file some individual and business tax returns and make certain tax payments. "With the regular deadline just a few weeks away, we want storm victims to focus on their families and recovering, rather than worrying about the tax... Read more →


It's taken a few weeks, four to be exact, but the 2019 tax season is finally catching up. The latest Internal Revenue Service filing season statistics show that while most categories that the agency tracks each filing season are still lagging 2018 figures, the differences are starting to shrink. And there's even better news for folks who are getting refunds. The average check amounts issued through Feb. 22 are dramatically larger than the week before. More notable, those average refund amounts have finally topped the averages of year ago. Unpleasant tax refund surprises: In case you haven't been following the... Read more →


Some worry that smaller refunds will be a drag on our consumer-driven economy. There's a smidgen of good data news for the Internal Revenue Service. One category the tax agency tracks each filing season has moved into positive territory for 2019. For the week ending Feb. 15, the number of returns that were prepared and submitted directly by taxpayers hit 21.77 million. That was 18,000 more than the third week of the 2018 filing season, or a 0.1 percent increase from last year. Yay all y'all folks who plugged in your tax data on your own and hit send. Unfortunately,... Read more →


NASCAR's 2019 season started today with the auto racing series' biggest event, the Daytona 500. Congratulations to Denny Hamlin and Joe Gibbs Racing for taking the checkered flag in the Great American Race. Things aren't so clear-cut, though for the expired tax break for motorsports speedway improvements and more than two dozen other assorted tax benefits. These tax breaks expired in 2017 and are not on track for reinstatement. Yet. In fact, they're looking as messy as today's closing laps pile-up. Extenders indecision: These assorted tax breaks are known collectively as the extenders. They get that name because they are... Read more →


Much of the music industry's elite will be at the Grammy awards tonight, all hoping to go home with a new piece of hardware. Many will be disappointed. But perhaps they can take some solace from the goodies they'll get as part of the swag bags that will be distributed before the Recording Academy's 61st ceremonies. This year, the official 2019 Grammy swag bag is worth more than $30,000. But that's not the only gift bag. More than 50 presenters and performers will have the option to go home with not one, but two collections of goodies from the Grammy... Read more →


Will youthful enthusiasm prevail over old age and treachery? That's one of the things, although not in exactly those words, that you can bet on in connection with Super Bowl LIII. (Photo courtesy NFL.com) Los Angeles Rams head coach Sean McVay, at right in the above photo, turned 33 last month. He's the youngest coach to take a team to a Super Bowl. Across the field (and at left above) will be Bill Belichick, a veteran of National Football League championship games as the New England Patriots head coach. He's twice as old as McVay. If the Rams win Super... Read more →


UPDATE, 9:05 p.m. Central Time: Donald J. Trump has signed into a law a short-term funding bill that should get paychecks flowing again for the around 800,000 federal workers affected by the longest government shutdown in U.S. history. UPDATE 2:30 p.m. Central Time: A deal to reopen the federal government fully for the next three weeks was announced by Donald J. Trump this afternoon. The government will reopen; Trump gets no funding (yet) for his campaign-promised physical border wall. This should solve the current furloughed workers' sick-out crisis. Will this truce last beyond Feb. 15, or will we go through... Read more →


Most taxpayers every year end up getting refunds. But some folks are at the opposite end of the tax spectrum. They owe Uncle Sam at filing time. And some of those owing taxpayers end up in an even worse situation. Their tax bills are large enough that they also face added penalty charges. This filing season, though, those penalty-paying taxpayers could get a break. Tax underpayment penalty calculations: A tax penalty assessment usually occurs when wage earners don't have enough income tax withheld from paychecks or, if they have other income not subject to withholding, don't pay enough (or any)... Read more →


UPDATE, 9:05 p.m. Central Time, Friday, Jan. 25, 2019: Donald J. Trump has signed into a law a short-term funding bill that should get paychecks flowing again for the around 800,000 federal workers — including the 14,000 or so Internal Revenue Service employees who called in sick during the tax agency's partial closure — who were affected by the longest government shutdown in U.S. history. ***** Twenty-two Thirty-five days and counting (updated Jan. 25, 2019). We now are in the midst of the longest federal government shutdown in U.S. history. National park properties, such as the National Mall west of... Read more →


Whew! We made it through 2018, the first full year that the latest major tax law changes were in effect. Now we're about to see, depending on when Congress and the White House can agree to get the government (including the Internal Revenue Service) fully operational, if we can deal with the first tax filing season under those laws. But before we get lost in the intricacies of the Tax Cuts and Jobs Act (TCJA), I'm taking this one early day in 2019 to look at the six tax stories that turned out to be big deals last year. These... Read more →


There's one more day in 2018, but it's too late to adjust your withholding for this almost over tax year. Following enactment of the Tax Cuts and Jobs Act (TCJA), a lot of folks earlier this year should have tweaked the amount of federal taxes they have taken out of their paychecks. Those TCJA changes, which went into full effect for 2018, could mean some — OK, a lot; one estimate says 30 million — taxpayers could face an unexpected tax bill when they file their returns in 2019. If you discover in a few months that you're one of... Read more →


I'm getting a lot of feedback about the partial government shutdown, specifically about the pay status of Internal Revenue Service (and other federal) personnel who will report to work next week and those who are furloughed. More than 420,000 federal employees who will work will do so without pay, according to a report from the Democrats on the Senate Appropriations Committee. The additional 380,000 furloughed workers head home to wait out the closure, again without pay. Those 800,000 or so federal employees earn this week's By the Numbers honors. Many folks objected to my description in recent government shutdown blog... Read more →


Those of us of a certain age — translation: before video games, handheld devices and Wi-Fi equipped cars — staved off road trip boredom with a variety of games. One was counting the various auto makes and models we came across in our travels. The hubby and I found ourselves doing a version of that last week when we were out running errands. It happened organically when we noticed there were an awful lot of Teslas on Austin's roads. My Central Texas neighbors are not alone in loving Elon Musk's electric auto. The Internal Revenue Service confirmed the national popularity... Read more →


If you have a medical flexible spending account, or FSA, one of the key year-end tasks you need to take care of this month is ensuring that you don't lose any of this tax-free money. Yes, some employers give workers a 2½-month grace period, until March 15, to use the prior year's FSA funds. Others let their workers roll over up to $500 left in their medical accounts. Both of those options are at the discretion of the companies offering the tax-favored benefit. A lot of companies, however, still just take advantage of the use it or lose it rule.... Read more →


Are you an Instagram fan? I have an account, but it's not my go-to social media platform. That's not too surprising since, according to various data, I'm not part of the app's primary demographic. The digital marketing firm Omnicore says 59 percent of internet users between the ages of 18 and 29 use Instagram. The Internal Revenue Service has found other research that shows an even larger slice of young Instagrammers. The tax agency says more than 70 percent of U.S. young adults age 18 to 24 are active on the photo and video sharing app. And since young people... Read more →


Computer hacking ID theft image by Don Hankins via Flickr The billions of holiday shoppers who head for their electronic devices instead of malls are well aware of the precautions they need to take as they pick perfect gifts from websites. This year, everyone also needs to be on alert for tax crooks who've joined this annual online crime wave. Specifically, the Internal Revenue Service and its Security Summit partners warn that they've recently seen a surge of fraudulent emails where the sender impersonates the IRS and uses tax transcripts as bait to entice users to open documents containing malware.... Read more →