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SIGMA TAX PRO BREAKS DOWN IRS EDUCATION TAX CREDITS

Sigma Tax Pro Breaks Down IRS Education Tax Credits

Tax professionals are often challenged by the complex nature of education tax credits such as the American Opportunity Credit and the Lifetime Learning Credit.

Many professional tax preparers have run into challenges in recent years when their clients have claimed education tax credits. The IRS reported in 2011 that 72 per cent of education tax credits were claimed incorrectly. In many cases this was due to the student not having actually attended college at all. However these incorrect claims are often attributable to honest mistakes by the tax professional who does not understand which clients are eligible for which credit and which are not eligible at all.

The American Opportunity Credit is worth up to $2,500 per eligible student and is only available for the first four years at an eligible college or vocational school. This means it cannot be claimed for graduate programs but it can be subtracted from your taxes and also give you a refund of up to $1,000 if it’s more than your taxes. It must be for students who are earning a degree or other recognized credential and are going to school at least half-time for at least one academic period that started during the tax year. Finally it can be claimed for the cost of tuition, books and required fees and supplies.

The Lifetime Learning Credit is limited to $2,000 per tax return, per year, no matter how many students qualify. However unlike the American Opportunity Credit it is for all years of higher education and includes classes for learning or improving job skills. Another distinction between the two is that the Lifetime Learning Credit is limited to the amount of your taxes. The Lifetime Learning Credit is also applicable to the cost of tuition and required fees, plus books, supplies and equipment, but you must buy them from the school. The two credits are quite similar but tax pros must know how to distinguish the two in order to provide excellent service to their clients. For more information please consult Publication 970 on the IRS website.

Sigma Tax Pro provides a full range of essential services for tax professionals. This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. Sigma Tax Pro specializes in helping tax preparation firms expand their businesses, open new offices and increase their client base. Clients can already renew their software licenses for next year’s tax season and ensure the lowest pricing available in the industry.

 

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SIGMA TAX PRO EXPLAINS IRS GUIDELINES

Sigma Tax Pro explains what tax preparers need to know about IRS guidelines on medical and dental expenses

RECENT CHANGES TO IRS GUIDELINES ON MEDICAL AND DENTAL EXPENSES CAN HAVE SERIOUS IMPLICATIONS FOR TAX PREPARERS AND THEIR CLIENTS
Many taxpayers are unaware of the complex nature of claiming medical and dental expenses on their tax return. The 2014 tax season has seen the advent of many new regulations and it essential that all professional tax preparers are aware of the new guidelines and their implications for their clients. The commonly held assumption by taxpayers that all medical and dental expenses are deductible is certainly not accurate but even seasoned tax professionals may not be aware of some of the recent changes.
The first and perhaps most important change is that medical and dental expenses must exceed 10 percent of AGI before they can be claimed as a deduction. However this is an exception which states that taxpayers over 65 years of age may continue to use the previous threshold of 7.5 percent. Furthermore these expenses can only be claimed if itemized and cannot be claimed if the taxpayer has already claimed the standard deduction. The IRS also mandates that claimed expenses must have been paid in 2013 and must have been paid for the taxpayer, their spouse or their dependents. Only certain expenses are eligible and for guidance IRS Publication 502 should be consulted.
Finally while travel expenses incurred while traveling to receive medical care are eligible double deductions are not.Finally, perhaps the most obvious regulation relates to claiming medical and dental expenses paid from tax free accounts, this is referred to as double benefit. Such accounts include Health Savings Accounts or Flexible Spending Arrangements, any expenses paid from these accounts are not eligible for deductions. In summary it is essential that tax professionals make their clients aware of the new guidelines to ensure they receive the maximum refund with minimum stress.
Sigma Tax Pro provides a full range of essential services for tax professionals.This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. The Audit Assistance program is offered to new and existing clients and can provide them with peace of mind in the event their clients are audited by the IRS.

Read more here: http://www.miamiherald.com/2014/03/07/3980125/sigma-tax-pro-explains-what-tax.html#storylink=cpy

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REGULATE PROFESSIONAL TAX PREPARERS STRUCK DOWN BY SUPREME COURT

SIGMA TAX PRO REPORTS IRS ATTEMPT TO REGULATE PROFESSIONAL TAX PREPARERS STRUCK DOWN BY SUPREME COURT

This article was originally distributed via PRWeb. PRWeb, WorldNow and this Site make no warranties or representations in connection therewith.

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A recent attempt by the IRS to introduce a certification exam, annual fees, and 15 hours of continuing education courses each year has been unsuccessful.

Delray Beach, Florida (PRWEB) February 28, 2014

Professional tax preparers can breathe a sigh of relief as a federal appeals court struck down the recent attempt by the IRS to increase regulation on the industry. The IRS had proposed sweeping changes in the requirements to become a registered tax preparer; this would have included an initial certification exam, new annual fees and and an annual requirement to complete 15 hours of continuing education. Unsurprisingly the move was met with significant opposition from tax preparer associations and the federal appeals court decision was met with enthusiasm by hundreds of thousands of tax pros nationwide.

CPAs, enrolled agents and attorneys handling IRS audits have long been subject to onerous requirements from the IRS, however the recent attempt to expand this regulation to anyone preparing tax returns for money has been unpopular. Many tax professionals are small local businesses and the proposed regulations would have made it impossible for many of them to continue to operate. The IRS holds that its objective is to ensure that taxpayers get quality service from tax professionals and the regulations would not have been unreasonable.

John Koskinen, IRS commissioner believes that a further appeal is not forthcoming but they are exploring other options. This may include voluntary credentials for tax preparers as well as legislative remedies. Koskinen also recognized the chances of the new regulations being passed by the Supreme Court were slim from the beginning. He did however reject claims that the increased regulation would have unfairly benefited large tax preparation chains such as H&R Block and Jackson Hewitt.

Sigma Tax Pro provides a full range of essential services for tax professionals.This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. The Audit Assistance program is offered to new and existing clients and can provide them with peace of mind in the event their clients are audited by the IRS.

 

For the original version on PRWeb visit: http://www.prweb.com/releases/tax-software/sigma-tax-pro/prweb11629417.htm

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SIGMA TAX PRO ANNOUNCES THE OFFICIAL BEGINNING OF THE 2014 TAX SEASON

The wait is over for taxpayers and tax professionals alike as tax seasons begins today. Americans waiting for their tax refunds can breathe a sigh of relief

DELRAY BEACH, Fla.–(BUSINESS WIRE)–The delay in the beginning of the 2014 tax season caused by the US government shutdown in 2013 was not as bad as initially anticipated. There was some speculation that the tax season would not begin until early in February but the IRS confirmed in December that the official date would be January 31st. This is only one day later than 2013 tax season which began on January 30th.

Although the official date this year is January 31st many tax professionals have been diligently preparing their clients taxes in anticipation of this date. Professional tax software allows them to fully prepare their clients’ returns ahead of time and then submit them electronically when tax season begins. The IRS has also advised taxpayers that there is no advantage to submitting paper returns and recommends filing electronically.

The deadline for filing taxes is set by statute and will remain April 15th, however taxpayers do have the option to file an extension for up to six months. The IRS has also stepped up its efforts to fight identity theft this tax season and has provided extensive resources to help taxpayers on their website. It is important that all individuals take the threat of identity theft seriously whether they have been victims or not.

Sigma Tax Pro provides a full range of essential services for tax pros. This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. The Audit Assistance program is offered to new and existing clients and can provide them with peace of mind in the event their clients are audited by the IRS.

 

CONTACTS

Sigma Tax Pro
Jody Dovich, +1 561-450-6422
Email

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SIGMA TAX PRO CONFIRMS THAT TAXPAYERS STILL PREFER TO HIRE A TAX PROFESSIONAL THAN FILE THEIR OWN TAXES

Sigma Tax Pro studied new data from the IRS showing that around 60% of tax returns are filed by a tax professional. Consumers are still unsure of navigating complex IRS guidelines on their own.

While many tax professionals are concerned about software that allows individuals to file their own taxes, data from the IRS shows the majority of Americans prefer to hire a professional. This even applies to more tech savvy high wage earners as they often have to file more complex tax returns. Moreover, as IRS guidelines change each year, many taxpayers are concerned there may be new deductions they are missing.

The IRS has taken steps to make it easier for individuals to file their own tax returns with Free File. This allows taxpayers to file their taxes for free if they make less than $58,000 per year. However it is still the minority of Americans who take advantage of this service. This may be in large part due to tax credits that are available for low income families, taxpayers want to be sure they are getting the maximum refund available to them.

It is also the fear of IRS audits that drives many people toward tax professionals when it comes time to file their tax returns. Taxpayers are aware of the onerous requirements of an IRS audit and would rather get professional advice than risk making a mistake that might trigger an audit. This combination of factors means that for the foreseeable future the majority of Americans will continue to rely on professionals rather than using their home computer when tax time comes around.

Sigma Tax Pro provides a full range of essential services for tax professionals. This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. The Audit Assistance program is offered to new and existing clients andcan provide them with peace of mind in the event their clients are audited by the IRS.

http://www.prweb.com/releases/software/professional-tax/prweb11517297.htm

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SIGMA TAX PRO ADVISES TAX PREPARERS USING PROFESSIONAL TAX SOFTWARE OF IRS E-FILING REQUIREMENTS

Sigma Tax Pro Advises Tax Preparers Using Professional Tax Software Of IRS E-Filing Requirements

As any tax professional knows it can take up to 45 days for the IRS to authorize new e-file provider applications. The 2014 tax season is right around the corner and time is running out to apply.

The IRS confirms that nearly 80% of all individual federal returns are now e-filed. Anyone wishing to take advantage of the e-file program, which is now required for most tax professionals, must apply to become an Authorized IRS e-file ProviderSigma Tax Pro recommends that any tax professional wishing to electronically file for the upcoming tax season should complete their e-file application by December 24th. If the application process takes the full 45 days then the approval would be received by February 7th, already into the beginning of tax season.

The new guidelines state that any tax professional who anticipates preparing and filing 11 or more forms 1040, 1040A, 1040EZ and 1041 during a calendar year must use IRS e-file. It is possible to request a waiver from this requirement by submitting IRS Form 8944 but this form must be submitted by February 15 of the current tax season. Waivers can only be obtained if the individual can demonstrate that an undue hardship would be imposed by the requirement to e-file.

Tax professionals wishing to complete the e-file provider application should be aware of the following IRS requirements: adjusted gross income from the prior tax year; a description of the type of services provided to taxpayers; a fingerprint card for every principal and responsible official in the company who is not an attorney, CPA or enrolled agent; and a suitability check for each principal and responsible official in the office. Personal information is also required from all principals in the company including name, address, social security number and citizenship status. All requirements must be met for the IRS to approve any e-file provider applications.

Sigma Tax Pro provides a full range of essential services for tax preparers using professional tax software. This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. The Audit Protection program is offered to new and existing clients, it can also generate fee income for tax professionals.

Sigma Tax Pro
Jody Dovich, +1-561-450-6422
[email protected]

 

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2013 PROFESSIONAL TAX SOFTWARE NOW AVAILABLE THROUGH SIGMA TAX PRO

The long awaited 2013 edition of Sigma Tax Pro’s professional tax software has been released this week. Sigma Tax Pro offers three industry leading professional tax software solutions at below market prices as well as training, support and business development tools.

As the 2013 tax season fast approaches tax professionals across the United States are eagerly awaiting the release of their preferred tax software solution. Sigma Tax Pro offers three of the industry’s most popular tax preparation software products which are available in a web based edition or a desktop edition. The software products allow tax preparers to complete business as well as personal returns.

While the date for the beginning of the 2014 tax season is still unknown due to the government shutdown earlier this year most industry professionals are already getting ready for the long days and nights of preparing tax returns in time for the April 15th deadline. There are currently no updates from the IRS but it is expected that the season will begin no earlier than January 28th and no later than February 4th. Around 90% of IRS systems were closed during the shutdown which is the reason for the delay.

The 2013 edition of Sigma Tax Pro’s tax software is compliant with all of the 2013 tax law changes prescribed by the IRS. This includes the American Taxpayer Relief Act of 2012, Affordable Care Act Changes for Tax Year 2013, Defense of Marriage Act (DOMA), and other miscellaneous changes. It is essential that tax professionals are informed on these changes to ensure their clients’ returns are filed correctly. The implementation of the Affordable Care Act has been making headlines in the last few months and there are many changes to IRS guidelines as a result of President Obama’s signature legislation.

Sigma Tax Pro provides a full range of essential services for professional tax preparers. This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. The Audit Protection program is offered to new and existing clients, it can also generate fee income for tax professionals.

http://www.prweb.com/releases/taxes/professional-software/prweb11407095.htm

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AUDIT PROTECTION BY SIGMA TAX PRO GIVES TAX PROFESSIONALS PEACE OF MIND

A new product available to tax preparers can help taxpayers deal with the problems presented by an IRS audit; Audit Protection can be purchased by taxpayers and will offer invaluable assistance with audits and tax liabilities

DELRAY BEACH, Fla.–(BUSINESS WIRE)–One of the main concerns for any tax professional is what they should do in the event their client is audited by the IRS. An IRS audit can be a stressful and unwelcome experience; a new service now offers taxpayers assurance in the event this should happen. Tax professionals can offer Audit Protection by Sigma Tax Pro to their clients giving them relief from the stresses of the audit process.

In many cases, through no fault of their own, a taxpayer can end up owing money to the IRS; for many working people it can be difficult if not impossible to pay back money received from a tax refund. Audit Protection gives taxpayers up to $2,500 in reimbursement if their tax preparer made a legitimate error on their return. For example if a preparer failed to enter the taxable amount of retirement income leading to their client being assessed a tax liability they would be covered by Audit Protection. The taxpayer is covered for up to three years from when the return was filed.

IRS audits involve extensive requests for paperwork, many taxpayers will be overwhelmed by the forms they have to fill out and the documentation they have to provide. There are outside firms that can handle these requests for taxpayers but they usually charge over $100 per hour. Audit Protection handles all correspondence between the IRS and taxpayers giving them peace of mind and relief from this often stressful process. Assistance is also provided to taxpayers with debts to the IRS; Audit Protection will work to find a resolution to outstanding tax debt.

Sigma Tax Pro provides a full range of essential services for professional tax preparers. This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. The Audit Protection program is offered to new and existing clients, it can also generate fee income for tax professionals.

CONTACTS

Sigma Tax Pro
Jody Dovich, +1 561-450-6422
[email protected]

http://article.wn.com/view/2013/11/21/Audit_Protection_By_Sigma_Tax_Pro_Gives_Tax_Professionals_Pe/

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PROFESSIONAL TAX PREPARERS USING NEW SIGMA TAX PRO BANK PRODUCTS TO ATTRACT NEW CLIENTS

As the 2013 tax season fast approaches, tax professionals across the United States are looking for ways to increase their client base.

One of the main challenges many tax professionals face is the need to collect their preparation fees. The use of bank products can be a win-win for tax professionals and their clients.

If clients cannot pay up front, tax preparers have to rely on the client to return to their office and pay when they receive their refund. Not only is this a risky proposition for preparers if the client is new, but preparers will lose hours invoicing and contacting clients to receive payment for services rendered. Many tax professionals prefer to use bank products when e-filing clients’ tax returns for this reason. When a tax preparer uses a bank product, it gives them the convenience to collect their preparation fees through the bank that processes the clients refund. This means they are guaranteed to receive their preparation fees and the client does not have to pay upfront.

The clients also benefit from the bank product beyond not having to pay their preparation fees upfront. They receive their refund quicker as they do not have to wait for the check to arrive in the mail from the IRS. They also have a choice in how they receive their refund. If clients do not have a checking account, they can have their entire refund loaded onto a VISA debit card. Many working families can really benefit from having their tax preparer use a bank product.

Sigma Tax Pro provides a full range of essential services for professional tax preparers. This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. All of Sigma’s software solutions are compatible with bank products and many of their clients have leveraged them to attract new clients.

http://www.prweb.com/releases/taxes/professional-tax-software/prweb11291018.htm

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2013 PROFESSIONAL TAX SOFTWARE NOW AVAILABLE THROUGH SIGMA TAX PRO

The long awaited 2013 edition of Sigma Tax Pro’s professional tax software has been released this week. Sigma Tax Pro offers three industry leading professional tax software solutions at below market prices as well as training, support and business development tools.

As the 2013 tax season fast approaches tax professionals across the United States are eagerly awaiting the release of their preferred tax software solution. Sigma Tax Pro offers three of the industry’s most popular tax preparation software products which are available in a web based edition or a desktop edition. The software products allow tax preparers to complete business as well as personal returns.

While the date for the beginning of the 2014 tax season is still unknown due to the government shutdown earlier this year most industry professionals are already getting ready for the long days and nights of preparing tax returns in time for the April 15th deadline. There are currently no updates from the IRS but it is expected that the season will begin no earlier than January 28th and no later than February 4th. Around 90% of IRS systems were closed during the shutdown which is the reason for the delay.

The 2013 edition of Sigma Tax Pro’s tax software is compliant with all of the 2013 tax law changes prescribed by the IRS. This includes the American Taxpayer Relief Act of 2012, Affordable Care Act Changes for Tax Year 2013, Defense of Marriage Act (DOMA), and other miscellaneous changes. It is essential that tax professionals are informed on these changes to ensure their clients’ returns are filed correctly. The implementation of the Affordable Care Act has been making headlines in the last few months and there are many changes to IRS guidelines as a result of President Obama’s signature legislation.

Sigma Tax Pro provides a full range of essential services for professional tax preparers. This includes industry leading software solutions as well as technical support, tax preparation support and client retention strategies. The Audit Protection program is offered to new and existing clients, it can also generate fee income for tax professionals.

http://www.prweb.com/releases/taxes/professional-software/prweb11407095.htm