Drake Software blog for tax pros, covering tax, IRS news, and more
The wait is over; the filing season for 2021 income tax returns has been opened by the IRS. But before taxpayers start sharpening pencils, cranking up the calculator and putting on a pot of coffee, they need to know they’ve got everything together to get the job done right.…
The Internal Revenue Service this week issued a tax tip to help taxpayers with missing or incorrect tax documents.…
Read more about The IRS Has Tips for Getting and Correcting Tax Documents
It won’t be long before the Internal Revenue Service opens its gates and the filing season will be officially underway.…
Read more about Gathering Records Is the First Step in Tax Preparation
No matter what strategy taxpayers use to get their income taxes filed, gathering critical documents now can help make this tax season headache-free.…
Read more about A Little Preparation Now Means Smooth Tax Filing Later
The Internal Revenue Service is giving employers a friendly nudge to remind them that their Forms W-2 and other wage statements have to be filed by Feb. 1, 2021, to avoid penalties.…
Read more about 2021 Deadline for W-2s Closer Than You Think
Some nine million letters are being sent later this month in a special mailing to people who haven’t had a need to file a tax return but may qualify for a Economic Impact Payment (EIP).…
Read more about IRS Readies Nine Million Letters to Non-Filers on EIPs
When someone who claims to be a tax professional tells a customer he or she can guarantee otherwise unbelievable refunds, red flags should be immediately hoisted and alarm bells rung.…
Read more about Dirty Dozen: Why It Sounds Too Good to be True
The new wage verification process inaugurated for the tax year 2016 filing season holds hope in the fight against fraudulent income tax returns, a new report finds, but the Internal Revenue Service faced more than a few challenges in carrying out the plan.…
Read more about GAO: W-2 Verification Promising, but More Work Remains
