Taxpayers Tell How They Really Feel

Pie chart of when people plan to pay their taxes
^ When people plan to pay their taxes

They don't like the IRS, but they might get an IRS tattoo to skip out on taxes.

By CPA Trendlines Research

Let’s put the shoe on the other foot for a moment.

MORE ON TAX SEASON: Five-Point Action Plan for Turning Tax Scam Threats into New Opportunities | Liberty Tax Earnings Down 48% | H&R Block Lagging Behind Last Year | Tax Pros Filing Only 51% of E-Returns | Tax Refunds Up Slightly | Tax Filings Data Looking Less Squirrely | Tax Return Filings Still Lag, But Pros Hold 57% of Market | Tax Filings Down, but IRS Blames the Calendar
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We know how accountants view tax season. But how about the average taxpayer?
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Four Common Errors in Form 1098-T

Form 1098-T Tuition Statement

The minefields in tuition statements.

By Dennis P. Benvie MS, CPA
Surgent Professional Education

Errors associated with educational credits, specifically for Form 1098-T, can be easily misinterpreted.

Eligible educational institutions often file Form 1098-T to report either the aggregate amount of payments received (Box 1) for qualified tuition and related expenses or the aggregate amount billed (Box 2) for such tuition and expenses. Should you receive this form, here are four common errors to watch for, and how to interpret them.

Benvie

1) Educational credits are based on the amount of adjusted qualified education expenses paid for the student in 2016 for academic periods beginning in 2016 or beginning in the first 3 months of 2017. An issue occurs when the costs for early 2016 tuition were billed in 2015, and the educational institution utilizes Box 2 of Form 1098-T.Example: In January 2016, Alex pays $6,000 for his final semester of classes. The university Alex attends actually billed the tuition payment in December 2015. In May 2016, Alex pays certain qualifying expenses amounting to $200. Alex receives Form 1098-T for 2016. Box 1 is blank, and box 2 includes $200.

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Taxes: Beyond Income to Gas and More

Color-coded U.S. map of state tax rates
The darker the blue, the lower the taxes, with Alaska at #1 and Illinois at #51

Ranking the states by tax burden.

By CPA Trendlines Research

You hear the word "tax" right now and the first thought is "income" – ah, but there are so many more varieties.

MORE ON TAX SEASON: Five-Point Action Plan for Turning Tax Scam Threats into New Opportunities | Liberty Tax Earnings Down 48% | H&R Block Lagging Behind Last Year | Tax Pros Filing Only 51% of E-Returns | Tax Refunds Up Slightly | Tax Filings Data Looking Less Squirrely | Tax Return Filings Still Lag, But Pros Hold 57% of Market | Tax Filings Down, but IRS Blames the Calendar
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While the average U.S. household pays more than $5,700 in federal income taxes, there is significant disparity when it comes to state and local taxes.
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Five-Point Action Plan for Turning Tax Scam Threats into New Opportunities

Click here to learn how to get the benchmarks

How to advise clients of the IRS 'Dirty Dozen' fraud schemes.

Tax season tracking poll:
Join the survey. Get the results

By Rick Telberg
CPA Trendlines

For the third year in a row, the Internal Revenue Service is listing the “Dirty Dozen” scams that can land taxpayers in the hands of crooks… or in jail.

MORE on TAX SEASON: Liberty Tax Earnings Down 48%  |  Global Tax Talent Shortage Mounting into ‘Perfect Storm’  |  H&R Block Lagging Behind Last Year  |  Tax Pro E-Filing Down 10%  |  Successful Tax Seasons Require Teamwork  |  8 Considerations with New Clients  |  11 Ways to Get More Tax Clients  |  Mandatory Saturdays Stir Controversy  |  10 Quick and Easy Tips for a Better Busy Season  |  Mandatory Saturdays Stir Controversy10 Quick and Easy Tips for a Better Busy Season

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Tax professionals are well-aware of the risks, with almost half in some of our tracking polls reporting "security, privacy and identity theft issues" as one of their chief concerns this year. In fact, savvy tax professionals are proactively advising clients about these common scams.

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