“Appliance Credit”, a rebate, not a tax form

Rebates for ENERGY STAR® Appliances

You may be eligible to receive rebates from your state or territory for the purchase of new ENERGY STAR qualified Thumbnail image of the map showing approved State Energy Efficient Appliance Rebate Programs.appliances. These rebates are being funded with $300 million from the American Recovery and Reinvestment Act of 2009. Under this program, eligible consumers can receive rebates to purchase new energy-efficient appliances when they replace used appliances.   more more yet

For itemizers, IRS has set a tax-filing date of Feb. 14

Taxpayers search through a sea of tax forms offered to the public as tax season kicks off.

Taxpayers who claim itemized deductions will be able to file their federal tax returns starting Feb. 14, the IRS said Thursday.

While the tax-filing season began on Jan. 4, the IRS announced last year that taxpayers who itemize — which includes just about everyone who has a mortgage — would have to wait until at least mid-February to file.

The IRS said the delay was necessary because it needed more time to program its systems to accommodate tax breaks included in the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010.

Employment Taxes: 941/940 deposits now via (EFTPS).

Electronic Federal Tax Payment System usage is now required for most every remitter.

Beginning in 2011, the Financial Management Service (FMS), a Bureau of the Treasury Department, is eliminating  Federal Tax Deposit Coupons (Form 8109)….beginning January 1, 2011, all deposits must be made using the Electronic Federal Tax Payment System (EFTPS).

There are penalties for depositing late, or for mailing payments directly to the IRS that are required to be deposited, unless you have reasonable cause for doing so.

Employers below the $2,500 threshold may remit the employment taxes with their Form 941 or Form 944, may voluntarily make deposits by EFTPS, or may use other methods of payment as provided by the instructions relating to the return

To enroll in EFTPS, call 800-555-4477, or to enroll online, visit http://www.eftps.gov. For general information about EFTPS, call 800-829-1040 for individuals or 800-829-4933 for businesses.

Refer to Publication 966 (PDF) for Electronic Federal Tax Payment System information and Publication 15, (Circular E), Employer’s Tax Guide.

New on the 2010 Form 1040


Due Date is April 18

No More Phase-Outs for Itemized Deductions and Exemptions

Liberalized Adoption Credit

One-Time Break for Self-Employed Individuals

Homebuyer Credit Repayment Rules Kick In

As I explained in an earlier column, you may have to repay part or all of the credit claimed for a 2008 or 2009 home purchase with your 2010 Form 1040.

In most cases, however, only those who purchased homes in 2008 will be affected. They will generally have to repay 1/15 of the credit with the 2010 Form 1040. If this rule impacts you, fill out Form 5405 (First-Time Homebuyer Credit and Repayment of the Credit), and enter the repayment amount as an addition to your tax bill on line 59 of Form 1040.

Real Estate Tax Deduction for Non-Itemizers is Gone

Deductions for Sales Taxes on New Vehicle Purchases Are Gone

Break for Unemployment Benefits Is Gone

In 2009, the first $2,400 of unemployment benefits was federal-income-tax-free. This break was not continued for 2010. Therefore, 100% of 2010 unemployment benefits generally must be reported as income on Form 1040 (use line 19).

Your Tax Preparer Might E-File Your Return This Time