How to Offer Refund Transfers to Your Clients

Looking for ways to set yourself apart from your competitors? Refund transfers can help. What Are Refund Transfers? Refund transfers are a bank product that allows taxpayers to pay tax preparer fees directly from their refund. Instead of paying your fee upfront, your clients can elect to have it deducted from their refund. When a client chooses to use the refund…

Understanding IRS Form 1120 – U.S. Corporation Income Tax Return

If you are preparing a return for a corporation or a business entity that chooses to be taxed as a corporation, you will use Form 1120 to report their income taxes. Almost all U.S. corporations are required to file a Form 1120, whether they have taxable income or not. You will not need to complete Form 1120 if your client is a nonprofit organization that is exempt…

2018 Tax Reform and the Premium Tax Credit

The Tax Cuts and Jobs Act eliminated the tax penalty for not having health insurance beginning January 1, 2019. However, the new law does not affect the federal Premium Tax Credit. If your client obtained healthcare coverage through the Marketplace or a state exchange, they may still be eligible to receive this tax benefit. Changes to the Individual Shared…

Form 8962: Premium Tax Credit and Shared Policy Allocation

The Premium Tax Credit (PTC) is a refundable tax credit intended to help low to moderate income earners offset the cost of their Marketplace health insurance premiums. If your client usedhealthcare.gov or their state’s health insurance exchange to get coverage in a qualified health plan, they may be eligible for this credit. The Premium Tax Credit is refundable,…