Rapid Tax

A blog focused on providing informative tax and personal finance information.

Posts Tagged ‘Tax Credits’

Double-check Checklist

Tuesday, February 2nd, 2010

Before you guffaw and navigate away, listen to this: the list below is created from the IRS’s list of most common (and sometimes, expensive) yearly filing mistakes. Our list is meant to be a simple catalog of things to double-check before you lick the stamp or mouse-over the “send” button on your tax filing.

If your eyes are straining from rolling too much, we suggest you simply bookmark this page for the final seconds prior to your sending off for your return. Why?

The IRS charges 6% interest and up to a 20% penalty for incorrect filings. A double-check can save you tons of time, and possibly, tons of money.

  • Did you include your W-2?

    • Obviously this won’t be a problem for e-filings, but for our snailmail brothers and sisters, it’s one of the most-repeated mistakes.
    (more…)

Tags: , , , , , ,
Category: Uncategorized, taxes
No Comments »

The CP-21B and Other Forms You Need for the First Time Home Buyer’s Tax Credit

Monday, December 28th, 2009

If you’re confused about the First Time Homebuyers’ Tax Credit, you’re not alone. Months after it was enacted, this tax credit is still causing taxpayers trouble. It’s not just the long delays—not just the constantly changing rules—not just the extra work on top of the already complex process of buying a new home. No, the big problem with the first time home buyer’s credit is all the new forms you have to deal with.

Here’s a quick list of the more common ones: where you get them, what you do with them, and what to watch out for.

(more…)

Tags: , , , , , , ,
Category: Tax Credits
1 Comment »

Is The Federal Earned Income Tax Credit a Good Avenue for Stimulus Payments?

Monday, August 24th, 2009

The American Recovery and Reinvestment Act was designed to get the economy moving again by getting people to spend money. It’s off to a slow start, because most of what the plan calls for is new spending: new infrastructure projects, new subsidies for alternative fuels, new educational stimulus money, and more local handouts. But there’s already a “stimulus” plan in place that can handle all that, and more! (more…)

Tags: , ,
Category: Tax Credits
2 Comments »

Recovery Rebate Ruckus: Why are TurboTax Users Getting Angry Letters from the IRS?

Tuesday, July 7th, 2009

Bloggers and forums are abuzz over the news that TurboTax may be calculating the Recovery Rebate incorrectly. Apparently TurboTax users are getting letters from the IRS complaining that they claimed too large a credit for the rebate, and that they’ll need to pay it back. The TurboTax team has responded to explain some of the confusion, but that’s not the whole story.
(more…)

Tags: , ,
Category: Tax Credits
3 Comments »

Where are the First Time Home Buyer’s Checks?

Monday, June 22nd, 2009

With the recent talk of raising the first-time homebuyer’s credit, one important question is still open: why are the current checks taking so long to go through? No one expects the tax credit to be instantaneous, and of course the IRS will need to validate each claim. But reports of delayed tax credits are pouring in — and when the tax credit is a key part of financing a new home, this has people nervous.

(more…)

Tags: , ,
Category: State Taxes
41 Comments »

Realtors Association Calls for Higher New Home Tax Credit

Monday, June 22nd, 2009

One of the fastest responses to the real estate slump was a new homebuyer credit. The plan, of course, was to stimulate new home purchases. It may have already had an effect — housing starts have jumped lately, and the property market has stabilized — but that may not be enough. If the National Association of Realtors gets their new plan enacted, the credit will be nearly doubled, and the “First-Time” part of “First-Time Home Buyer Credit” will be dropped.
(more…)

Tags: , ,
Category: Tax Credits
1 Comment »