The recently passed American Rescue Plan means that millions of individuals will be receiving a third round of stimulus checks. Optima CEO David King and Lead Tax Attorney Philip Hwang answer questions about who is and who is not eligible to receive the most recent economic payment, as well as how to file an extension to ensure the IRS has your most recent information.
The newly passed $1.9 trillion Covid relief bill includes $1,400 stimulus checks that will be sent out to qualifying Americans who have been financially struggling due to the ongoing pandemic. However, individuals who have unpaid debts may be at risk of having their stimulus checks garnished.
What is IRS Notice 1444 and will you need it for Filing your 20221 Taxes?
Several stimulus checks were issued out to qualifying taxpayers who needed financial assistance during the pandemic. If you were issued out a payment, you can expect to also receive Notice 1444 from the IRS. It is recommended taxpayers utilize the notice when filing their taxes to notify the IRS that they received an economic impact payment.
You could face a Marriage Tax Penalty
One thing that will change for recently married couples is the way they file their taxes. Couples will need to decide whether they will file jointly or separately based on their current circumstances. Here are a few tax-filing tips couples should consider when filing their taxes.
Rolling over your 401(k) to an IRA could Cost you
Individuals who are changing jobs should look into rolling over their 401(K) to an IRA. It is recommended that taxpayers do their research on where they should rollover their retirement account in order to avoid making a costly mistake that may cause them to owe when filing their taxes.
Optima CEO David King and Lead Tax Attorney Philip Hwang answer questions about the tax deadline. How to file a tax extension for free, which form to use when filing an extension, how to avoid costly penalties and interest, and how Optima can help.
With the pandemic still ongoing and many Americans out of a job, the distribution of two stimulus checks has helped many individuals pay their bills. Now that it is tax filing time, tax filers should have received Notice 1444 in the mail from the IRS. This notice will be required when filing your taxes in order to notify the IRS you have received the stimulus check.
Understanding Notice 1444
If you were sent Notice 1444, you probably received an economic impact payment (EIP), also known as the stimulus payment. Notice 1444 was sent out to each stimulus recipient within 15 days of the IRS issuing out the payment. The notice should indicate the following:
Why Notice 1444 was mailed out
Notice 1444 was issued by the IRS to recipients of the economic impact payment. It should be kept with other important tax documents to be used for when it comes time to filing your 2020 taxes. For those who did not receive the full amount for the stimulus payment but qualified for the full amount, having Notice 1444 will come in handy. The notice will reflect the total amount you received and can be used when filing your taxes in order to get the rest of your payment.
Is there a deadline for IRS Notice 1444?
There is no deadline for Notice 1444. It is important that taxpayers hold on to their notice and file it away with their other tax documents for end of year tax preparation.
Optima Tax Relief provides assistance to individuals struggling with unmanageable IRS tax burdens. To assess your tax situation and determine if you qualify for tax relief, contact us for a free consultation.
Receiving a notice from the IRS can be stressful and terrifying, especially if you don’t know what it means. Join Optima CEO David King and Lead Tax Attorney Philip Hwang as they dive into various IRS tax notices that a typical taxpayer could receive and show you how to look out for some common tax scams.
