Tax Season!

I hope that your new year has gotten off to a great start and that your holidays were very enjoyable. Having said that, it is now tax filing season! How exciting! I’m certain that your joyful anticipation of the best season of the year is as great as mine . . . sarcasm intended.

As with any typical tax year, there are various tax law changes that need to be considered when preparing 2015 business and individual income tax returns. However, with the tax extender law that was passed last month (early on December 18th compared to prior years for what that’s worth), many of the tax extenders consistently in limbo until the end of the year were extended not only through 2015 but also through 2016 and some of them being permanently extended. Because of this legislation, there will be less general changes to the law in 2015 compared to 2014.

The provisions related to the Affordable Care Act (ACA, a.k.a. “Obamacare”) do create changes this year and for the foreseeable future, however. The personal shared responsibility penalty assessed for those who do not secure qualified medical insurance coverage increases again this year and the reporting requirements for employers also escalates this year.

The IRS began accepting electronic income tax return filings on January 19th earlier this week. The C-corporation filing deadline is March 15th again this year although that deadline will change to April 15th for tax year 2015 next year. The S-corporation deadline is also March 15th and will not change next year. The partnership filing deadline is April 15th again this year but will move to March 15th for tax year 2016 returns next year. Lastly, the individual tax return filing deadline is still April 15th and will not change next year.

Lastly, personal tax return phishing scams have escalated over the past couple years so we recommend that you stay vigilant and aware should you be contacted by phone or email by someone claiming to be from the IRS. The IRS does not communicate by email as a general rule so any email received supposedly from the IRS can be ignored. Likewise, the IRS will not call you to collect a debt without first sending several notices of the balance due by mail first. Any phone call received where the supposed IRS agent threatens to send local authorities to arrest you or seize your assets can be ignored as well. It is truly unfortunate that people of this caliber exist and prey on the rest of us. Don’t be a victim.

If you have any questions for us or would like to schedule an appointment for tax return preparation, please contact us.

Mark J Weech, CPA