Author: Johnwis

The Treasury Department and the IRS are issuing millions of second Economic Impact Payments by prepaid debit card to speed delivery of the payments to as many people as possible. 

If the Get My Payment tool on IRS.gov shows a date that a recipient’s payment was mailed, they should watch their mail for either a paper check or debit card. The debit cards arrive in a white envelope that prominently displays the U.S. Department of the Treasury seal.

The prepaid debit card, called the Economic Impact Payment card, is issued by Treasury’s financial agent, MetaBank®, N.A. The IRS does not determine who receives a card.

The form of payment for the second mailed EIP may be different than the first mailed EIP. Some people who received a paper check last time might receive a prepaid debit card this time, and some people who received a prepaid debit card last time may receive a paper check.

EIP Cards are safe, convenient and secure 
These cards provide certain protections against fraud, loss and other errors. They can be used to make purchases online or in stores anywhere Visa® Debit Cards are accepted.

Cardholders can also use the cards to do any of the following without paying a fee: 

• Transfer funds to a personal bank account 
• Make signature or PIN-debit purchases anywhere Visa Debit
• Cards are accepted — in stores, online or over the phone
• Get cash back with a PIN debit purchase where available 
• Get cash from in-network ATMs
• Get a replacement EIP Card, if needed 
• Check their card balance online, through a mobile app or by phone

People should watch their mail carefully
EIP Cards are being sent in a white envelope that prominently displays the U.S. Department of the Treasury seal. The envelope also states “Not a bill or an advertisement. Important information about your Economic Impact Payment.” The EIP Card has the Visa name on the front of the card and the issuing bank name, MetaBank®, N.A. on the back. Each mailing will include instructions on how to securely activate and use the EIP Card. These cards are being issued to eligible recipients across all 50 states and the District of Columbia. Residents of the western United States are generally more likely to receive an EIP Card.

People can check the status of their payment using the Get My Payment tool on IRS.gov.

More information
EIP debit cards
Economic Impact Payments

Share this tip on social media — #IRSTaxTip: Millions of taxpayers will receive their second Economic Impact Payments by debit card. https://go.usa.gov/xAyx3

https://content.govdelivery.com/accounts/USIRS/bulletins/2b87abf?reqfrom=share

The IRS expects to issue more than nine out of 10 refunds in less than 21 days. However, it’s possible a tax return may require additional review and take longer. “Where’s My Refund?” has the most up to date information available about refunds. The tool is updated only once a day, so taxpayers don’t need to check more often.

The IRS also notes that refunds, by law, cannot be issued before Feb. 15 for tax returns that claim the Earned Income Tax Credit or the Additional Child Tax Credit. This applies to the entire refund — even the portion not associated with the EITC and ACTC. While the IRS will process the EITC and ACTC returns when received, these refunds cannot be issued before Feb. 15. Similar to last year, the IRS expects the earliest EITC/ACTC related refunds to actually be available in taxpayer bank accounts or on debit cards starting on Feb. 27, 2019, if they chose direct deposit and there are no other issues with the tax return.

“Where’s My Refund?” ‎on IRS.gov and the IRS2Go mobile app remain the best way to check the status of a refund. “Where’s My Refund?” will be updated with projected deposit dates for most early EITC and ACTC refund filers on Feb. 17, so those filers will not see a refund date on “Where’s My Refund?” ‎or through their software packages until then. The IRS, tax preparers and tax software will not have additional information on refund dates, so these filers should not contact or call about refunds before the end of February.

This law was changed to give the IRS more time to detect and prevent fraud. Even with the EITC and ACTC refunds and the additional security safeguards, the IRS still expects to issue more than nine out of 10 refunds in less than 21 days. However, it’s possible a particular tax return may require additional review and a refund could take longer. Even so, taxpayers and tax return preparers should file when they’re ready. For those who usually file early in the year and are ready to file a complete and accurate return, there is no need to wait to file.

The information above was provided by the IRS newswire IR-2019-07

IRS kicks off 2019 tax-filing season as tax agency reopens; Use IRS.gov to avoid phone delays

WASHINGTON ― The Internal Revenue Service successfully opened the 2019 tax-filing season today as the agency started accepting and processing federal tax returns for tax year 2018. Despite the major tax law changes made by the Tax Cuts and Jobs Act, the IRS was able to open this year’s tax-filing season one day earlier than the 2018 tax-filing season.

More than 150 million individual tax returns for the 2018 tax year are expected to be filed, with the vast majority of those coming before the April tax deadline. Through mid-day Monday, the IRS had already received several million tax returns during the busy opening hours.

“I am extremely proud of the entire IRS workforce. The dedicated IRS employees have worked tirelessly to successfully implement the biggest tax law changes in 30 years and launch tax season for the nation,” said IRS Commissioner Chuck Rettig. “Although we face various near- and longer-term challenges, our employees are committed to doing everything we can to help taxpayers and get refunds out quickly.”

Following the government shutdown, the IRS is working to promptly resume normal operations.

“The IRS will be doing everything it can to have a smooth filing season,” Rettig said. “Taxpayers can minimize errors and speed refunds by using e-file and IRS Free File along with direct deposit.”

The IRS expects the first refunds to go out in the first week of February and many refunds to be paid by mid- to late February like previous years. The IRS reminds taxpayers to check “Where’s My Refund?” for updates. Demand on IRS phones during the early weeks of tax season is traditionally heavy, so taxpayers are encouraged to use IRS.gov to find answers before they call.

The IRS will start receiving tax return for 2018 on January 29, 2019.

Before we meet, there’s a few things that you should do to get organized and make this a smooth and easy process.

First, collect any tax document from your employer and financial institutions. Examples are listed below:

– W-2 (wages from employment)

– 1098 (student loans, mortgage interest)

– 1099-Misc (Non-employee compensation)

– 1099-Int (Interest income from savings account)

– 1099-Div (Investment income such as dividends and capital gains)

– 1098t – Tuition statement form

– 1095-a,b,c (health insurance coverage)

 

Other documents you’ll need include:

– Drivers license

– Social security card

– Charitable donation receipts

– Childcare and education costs

– Medical receipts

– Contributions to tax-deferred retirement accounts (401(k), IRA)

– Business expense receipts: office equipment and supplies, mileage, utility bills, advertising, meals

– Receipts for tax-deductible home improvements such as energy efficiency upgrades

– Real estate tax and personal property tax documents

 

Your specific tax need might require other forms, feel free to contact me with additional questions.

 

Johnwis Garcia

 

Due to the lapse in appropriations, most IRS operations are closed during the shutdown. An IRS-wide furlough began on December 22, 2018, that affects many operations.

During this period, the IRS reminds taxpayers that the underlying tax laws remain in effect, and all taxpayers should continue to meet their tax obligations as normal. Individuals and businesses should keep filing their tax returns and making payments and deposits with the IRS, as they are required to do by law.

2019 Filing Season: Key Information for Taxpayers

The IRS has announced that the 2019 filing season will begin on Jan. 28, 2019, for individual taxpayers. The IRS began accepting business tax returns (non-1040 series) on Jan. 8.

Taxpayers should keep several things in mind during this challenging period:

• File electronically. The IRS will accept paper and electronic tax returns, but taxpayers are urged to file electronically to speed processing and refunds.
• Tax refunds. Refunds will be paid, but the IRS cautions that returns will continue to be subject to refund fraud, identity theft and other internal reviews as in prior years. Taxpayers should use e-file or Free File with direct deposit to help speed refunds.
• Tax filing. Taxpayers can go ahead and start working on their returns in advance of the Jan. 28 opening. Both tax software and tax professionals will be available and working in advance of IRS systems opening. Software companies and tax professionals will then submit the returns when the IRS systems open. The IRS strongly encourages people to file their tax returns electronically to minimize errors and for faster refunds.

Additional information related to the 2019 filing season will be available in coming days on IRS.gov.

Limited Operations During the Appropriations Lapse

Automated applications. IRS.gov and many automated applications remain available, including such things as Where’s My Refund, the IRS2go phone app and online payment agreements.

Telephones. No live telephone customer service assistance is currently available, although the IRS will be adding staff to answer some of the telephone lines in the coming days. Due to the heavier call volume, taxpayers should be prepared for longer wait times. Most automated toll-free telephone applications will remain operational. The IRS encourages people to use IRS.gov for information.

In-person service. IRS walk-in taxpayer assistance centers (TACs) are closed. That means those offices are unable to handle large cash payments or assist identity theft victims required to visit an IRS office to establish their identity. In-person assistance will not be available for taxpayers experiencing a hardship.

Taxpayer appointments. While the government is closed, people with appointments related to examinations (audits), collection, Appeals or Taxpayer Advocate cases should assume their meetings are cancelled. IRS personnel will reschedule those meetings at a later date, when the IRS reopens.

Taxpayer correspondence. While able to receive mail, the IRS will be responding to paper correspondence to only a very limited degree during this lapse period. Taxpayers who mail in correspondence to the IRS  during this period should expect a lengthy delay for a response after the IRS reopens due to a growing correspondence backlog.

Tax-exempt groups. The IRS will not be processing applications or determinations for tax-exempt status or pension plans.

Enforcement activity. During this period, the IRS will not be conducting audits, but automated initial contact letters will continue to be mailed. No collection activity will generally occur except for automated collection activity. For example, automated IRS collection notices will continue to be mailed. Criminal Investigation work, however, continues during this period.

Passports. The IRS will not be certifying for the State Department any individuals for passport eligibility.

For tax professionals and others interested in a more detailed view of IRS operations during the shutdown, there is an extensive listing available in the filing season lapse plan.

The IRS will continue to update this page to provide taxpayers and tax preparers with the latest information available on the tax filing season.

https://www.irs.gov/newsroom/irs-operations-during-the-appropriations-lapse?inf_contact_key=c17ec4bddedca0fb07d1b5ebc0b2bfff499e5245a65ce38f971a3a2740c5ab1e