Taxpayers in financial distress should feel free to consult with me for advice on the tax and financial implications involved in navigating this challenging environment.
If you have tax deferred retirement funds and have been adversely impacted by the Covid 19 crisis, there is a new tax provision that allows for penalty free distributions from your account (up to $100,000) and the option to spread the taxable income (still taxable - penalty only is waived) over 3 years. I recommend that you consult with your tax professional before taking any distribution.
One of the biggest financial mistakes clients make is cashing in a large retirement account at the wrong time. Also consult with your financial advisor regarding concerns in this area.
Retirees age 70 1/2 or older can skip their RMD in 2020 without penalty.
Increased unemployment benefits are available to unemployed individuals including self-employed individuals who were not covered in the past by unemployment laws. Unemployment benefits remain taxable and advice should be obtained regarding the need for withholding.
Small business taxpayers should learn about new programs (Paycheck Protection Program) that may offer forgivable loans when used to keep employees on the payroll or to pay rent and other expenses. Check with your bank or credit union for more information. Visit sba.gov for more information also.
Todd's Tax Service LLC
Note: Due to the unprecedented Covid 19 pandemic, the IRS has furloughed many of it's employees. There is a huge backlog of unopened mail on IRS campuses. Reaching the IRS by phone or expecting a response to a written inquiry are both near impossible at this time. To minimize the chances of a future delay or problem, it is especially important to double check your tax return and make sure that all documents are reported properly and that other information on your returns is correct. Double and triple check your bank information. Verify that your address and other contact information are correct. File and pay on time. The delays in working issues with the IRS are likely to continue for some time.
What should I do if I owe taxes after preparing my returns? The Treasury Department and Minnesota Department of Revenue have extended the due date for filing and payments by 90 days (July 15th) Payments can be made via voucher (we will provide you with vouchers), online, or credit card (a fee applies).
For anyone who doesn't have envelope and postage to mail their information to our office, I can send a pre-addressed and stamped envelope to you for use in submitting your information. Simply call and ask!
With prior-arrangement, you may pick up your returns outside our office. Let me know if you are interested in this option and I'll explain how it works.
President Trump has extended the federal tax filing deadline to July 15th, 2020. I still recommend getting your taxes done now if there is a refund, we want to get that on it's way back to you. If you owe, payment to the IRS and MN can be deferred until July 15th.
Automatic extensions of the time to file are available for clients who choose not to file on time. Form 4868 is required if you wish to extend beyond the July 15th date. (Oct 15th is the extended due date).
The normal extension is not an extension of the time to pay any taxes due.
Let me know if you need your taxes completed immediately after dropping them off or uploading your information. Clients in need will receive priority service at no additional charge. Returns are normally completed in the order information is received. Our service will continue beyond the normal tax filing deadline of April 15th until all prior clients are served.
Property tax statements have started coming out for most counties. If you only file for a property tax refund, remember those returns aren't due until August 15th, 2020. You can drop off your income information through our drop slot and your return will be mailed to you.
Todd's Tax Service LLC
Is the office open for appointments? Yes, the office will be open during "tax season". Please fill out the "Pre check" page to start your returns or send me an email if your returns have already been completed and you would like an appointment. July 15, 2020 will be the last day that the office is open for in office appointments in 2020.
How do I submit my tax information to you? You can use the drop slot next to our front door and drop your information off anytime. We have envelopes and pens available outside the door for your use.
You may also mail us your information via US Mail. We also have a secure portal (Portal Link).
How will I sign my tax returns? Your completed returns will be mailed to you. All documents submitted will be returned. We will include a return pre-addressed stamped envelope for use in returning signature documents. You may also sign online as long as we have an e-consent form on file.
Are you available to answer questions by phone? YES -Use the land line (320) 629-4745.
Do you have Corona Virus? No. (That's the whole idea).
Are you accepting new clients? No.
Mailing Address: 165 5th ST SE Pine City, MN 55063