Personal FAQ's
Q: How long does my tax refund take to be shown in my bank account/WHERE IS MY REFUND?
A:
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If your income tax was sent electronically, you will receive your refund in 14-21 days.
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If your income tax was sent by mail, you will receive your refund in about 6 weeks.
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Want to check the exact date you will receive your refund? Please check online at:
Q: Who do I to contact if experiencing certain problems with the IRS?
A: The Taxpayer Advocate Service is an independent organization within the IRS that helps taxpayers who are experiencing unresolved federal tax problems. However, they couldn’t possibility help all taxpayers in the US who may be having problems at any given time. They focus on cases where they can add the most value. If you fall into one of these four categories, they will definitely help:
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Where a taxpayer is experiencing some financial difficulty, emergency, or hardship, and the IRS needs to move much faster than it usually does (or even can) under its normal procedures. In most cases, time is of the essence. If the IRS doesn’t act quickly, the taxpayer will experience even more harm.
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Where many different IRS units and steps are involved, and the case needs a “coordinator” or “traffic cop” to make sure everyone does their part. TAX plays that role.
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Where the taxpayer has tried to resolve a problem through normal IRS channels but those channels have broken down.
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Where the taxpayer is presenting unique facts or issues(including legal issues), and the IRS is applying a “one size fits all” approach, isn’t listening to the taxpayer, or doesn’t recognize that it needs new guidance for those circumstances
Q: Where can I contact Taxpayer Advocate Services?
A: The toll-free number is: 1-877-777-4778. There are two offices in Florida:
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Ft. Lauderdale: 7850 SW 6th Court. Room 265, Plantation, FL 33324
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Phone Number: (954)423-7677
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Jacksonville: 400 West Bay Street, Jacksonville, FL 32202
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Phone Number: (904)665-1000
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If you do not reside in Florida, here is a link of all the local offices throughout the country
Q: What is the percentage of taxes I need to pay if I receive a 1099 Form?
A: You will need to pay 15.3% of the total amount, which is for Social Security and Medicare; as well as approximately another 10% of Federal Tax depending on the amount of income.
Q: What expenses are considered a tax-deductible if self-employed?
A: All and any expenses associated with business activities like supplies, licenses, etc.
Q: I am a U.S. citizen but I am living in another country. Do I still have to file taxes?
A: Yes, you have to file income taxes regardless of the country you are living in. Depending on how long you live in that other country and your legal status there, you will also have to file taxes there as well.
Q: If I am a US citizen/resident and I have income outside the United States, do I have to report that income in my US tax?
A: Yes, you have to report all other income regardless if is within the United States or not.
Q: How long does the ITIN application process take?
A: The IRS takes 9 to 12 weeks to process your ITIN application.
Q: Is buying a car tax deductible on my personal income taxes?
A: No, buying a car is not considered tax deductible. On the other hand, if you buy a car under a company’s name and it is used for business related activities, it can be depreciated from your corporate income taxes.
Q: What is the difference between a 1099 and W-2 form? And what are their advantages and disadvantages?
A: 1099s and W-2s are two separate tax forms for two different types of workers. If you’re an independent contractor, you get a 1099 form. If you’re an employee, you receive a W-2.
As a W-2 employee, payroll taxes are automatically deducted from your paycheck and then paid to the government through your employer. When you have a W-2 form, that means that half of the Medicare & Social Security taxes were paid by your employer, the other half and the federal unemployment tax was automatically deducted from your paycheck as well. If you’re a contractor, you are responsible for paying your own taxes owed to the government. There are many advantages and disadvantages to have a W-2 or 1099 form. The main advantage of working with a W-2 form is that your employer is taking responsibility of paying half of the taxes owed to the IRS, and it is gradually taken out of your paycheck instead of one big hit on your finances. If working with a 1099 form, you get to claim any business related expenses on your taxes, which is considered tax deductible, as if you have a W-2 form, you cannot claim those deductibles.
Q: Can I declare how much I travel to and from work?
A: If you are a independent contractor, considered self-employed or receive a 1099 Form from a company, there are two ways to declare how many miles are tax deductible. For a vehicle you own or lease, you can deduct either the actual expenses or the standard rate per mile driven. Mileage expenses incurred for business purposes if self-employed or at the request of your employer are deductible using the standard rate of 56 cents per mile for the tax year of 2014.
The optional standard tax deductible IRS mileage rates for the use of your car, van, pickup truck, or panel truck during 2015 are:
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57.5 cents per mile driven for business purposes
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23 cents per mile driven for medical or moving purposes
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14 cents per mile driven in service of charitable organizations
Q: Who can be considered as a dependent when filing personal income taxes?
A: To qualify for an exemption your dependent must:
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receive more than one-half of his/her total support from you.
You should disregard the gross income test in any of the following cases. If the dependent is:
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your child, and is under age 19 on Dec 31 (Tax Year).
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your child, under 24 on Dec 31, (Tax Year), and a full time student for at least five months during (Tax Year). - IF YOUR CHILD IS A FULL-TIME STUDENT, BE SURE TO ENTER 12 MONTHS AS THE AMOUNT OF TIME THEY LIVED WITH YOU
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a permanently and totally disabled person and receives an income for services performed for a tax-exempt organization.
Citizenship
To qualify for an exemption your dependent must either be:
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a US citizen,
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a resident of the US, Canada, or Mexico for part of the year,
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a legally adopted foreign child who now resides in the US, or
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an adopted child living with you the entire year in a foreign country.
Relationship
To qualify for an exemption your dependent must either be:
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a relative or
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a member of your household for the entire year.