1040Return.com’s blog with tax tips and information regarding tax credits, tax forms, and tax updates/changes.

Top 5 Tax Tips For students starting a Summer Job!

Summer is just around the corner, which means many students will start their summer jobs for extra cash. Here are some useful tax tips every parent or student should know when starting their summer job! 1. How to complete Form W-4 when starting a New Job – This form is used by employers to determine the taxes that will be withheld from their paycheck. A student who is claimed as a dependent of another with income only from summer and part-time employment can earn as much as $6,100 (the standard deduction amount) without being liable for income tax. 2. Tips – Many students work as a waiter or camp counselor over the summer. With these jobs, the student will likely receive tips as part of their summer income. All tip income received is taxable income and is therefore subject to federal income tax. Employees are required to report tips of $20 or more received while working with any one employer in any given month. The reporting should be made in writing to the employer by the tenth day of the month following the receipt of tips. […]

Education Tax Credit FAQS

Many college students are always caught in a balancing act between studying for their courses, working to pay expenses, and all enjoying the social activities that college life has to offer. This is often stressful and overwhelming to some. Well, 1040Return.com wants to help relieve some of this financial burden by recommending the following tax credits below. 1040Return has helped several students receive their maximum refund because 1040 Return only asks you easy to answer questions so you do not ever have to fill out a complicated tax form on 1040Return. American Opportunity Credit Qualifications: Maximum credit: Up to $2,500 credit per eligible student. Limit on modified adjusted gross  income (MAGI) $180,000 if married filing jointly; $90,000 if single, head of household, or qualifying widow(er) Refundable or nonrefundable 40% of credit may be refundable; the rest is nonrefundable Number of years of postsecondary education: Available ONLY if the student had not completed the first 4 years of postsecondary education before 2013Number of tax years credit available. Available ONLY for 4 tax years per eligible student (including any year(s) Hope Scholarship Credit was claimed) […]

Child and Dependent Care Expense Credit

Are you a working parent? Do you have Day Care Expenses? Did you know that you can deduct your child and dependent care expenses? The Child and Dependent Care Expenses Credit is a nonrefundable credit and will reduce the amount you owe on your taxes. About Dependent Care Expense Credit The dependent care credit was extended permanently by the year end 2012 Tax Act. To apply for this credit, working parents will use Form 2441 called Child and Dependent Care Expenses As with all credits there are limitations and rules on who can qualify and what amount you can deduct for the Child and Dependent Care Expenses. Here are some useful guidelines: * Maximum amount you can receive is $3,000 for one child and $6000 for more than one child. (Note: the total limit of $6000 does not have to be divided equally between all the children.) […]

Child Tax Credit Guidelines

The Child Tax Credit for 2013 is still available for families who have a dependent under the age of 17. The Child Tax Credit has been extended through December 31, 2017 by the 2012 Taxpayer Relief Act. […]

5 Tips: Bigger and Faster Refund

If you are expecting to receive a refund, here are a few tips on how to get a quicker refund and how to make sure your taking full advantage of your tax credits and deductions. […]

Earned Income Tax Credit 2013

Earned Income Tax Credit 2013 “EIC” is one of the most popular tax credits if you have children. So, what is earned income credit? The government will actually give you money for supporting your children. For example if you have 3 children and filing as Head of Household and earned $14,300.00 last year the government will give you an additional $6,044! Like all tax laws there are certain requirements. So, here are the earned income credit guidelines. […]

Free Tax Advice For Your Charitable Contributions

December is almost over, and that means tax time is shortly arriving! While everyone is running around doing their last minute Christmas shopping, people are also making charitable contributions left and right. Did you know that some 40 percent of all individual charitable donations are made in December? The American charitable sector is the largest in the world, with Americans contributing more than $300 billion per year in money plus $260 billion in volunteer time to many charities. […]

Same Sex Couples vs Federal Tax Law

  The U.S. Treasury Department and the IRS issued new regulations as a direct result of the recent Supreme Court ruling regarding same-sex couples. Under the ruling any same-sex marriage legally entered into in one of the 50 states, the District of Columbia, or a U.S. territory that recognizes same-sex marriage will be treated as married for all federal taxpurposes. This includes: […]

1040Return vs. IRS Free File Site

1040Return.com has changed its pricing structure to provide Tax Returns for a flat fee of $4.95. Individuals can file their 1040EZ, 1040A, and 1040 Federal Tax Return for $4.95 including Free efile and Free printing. The reason of the price change is to compete against the IRS Free File Site. However, there are limitations to the IRS Fee File Site. There are restrictions based your Adjusted Gross Income, the number of tax forms available, and not all companies support all of the States. […]

How the Affordable Health Care Act will affect my Return

About 6 million of the 7 million people expected to buy health coverage on the new insurance marketplaces next year will be low- and middle-income consumers who’ll receive federal subsidies, or “tax credits,” that will drastically cut their costs, according to the nonpartisan Congressional Budget Office. And they won’t have to wait to file their income taxes to get the money. When the marketplace open enrollment period under the new health care law begins on Oct. 1, the tax credits will be ready and waiting for eligible citizens and legal residents who earn between 100 percent and 400 percent of the federal poverty level. […]

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