Tax Insight – April 2015
New Social Security Service
About a third of people who receive social security benefits have to pay income tax on those benefits. At the end of each year, the Social Security Administration mails a Social Security Benefit Statement (SSA-Form 1099) showing the total benefits received. Social security beneficiaries who misplaced or didn’t receive their SSA-1099 or SSA-1042S can get an instant and official replacement for tax purposes by going to ssa.gov and clicking on “my Social Security” to create an account.
Pay Your Taxes Online
If you owe the IRS, your payment must be received by April 15. The IRS electronic payment option is the best way for you to pay federal taxes. Paying electronically is convenient and secure. The IRS uses the latest encryption technology and does not store your banking information. You can make electronic payments online, by phone or from a mobile device. When you use any of the IRS ePay options, it puts you in control of paying your tax bill and gives you peace of mind. You determine the payment date, plus you’ll receive an immediate confirmation from the IRS. It’s much quicker than mailing a check or money order. For more information, visit irs.gov and type “electronic payment options” in the search field.
Extended Marketplace Enrollment
The Centers for Medicare and Medicaid Services (CMS) announced a special enrollment period for individuals and families who did not have health coverage in 2014 and are subject to the shared responsibility payment when they file their 2014 taxes in states that use the federal Marketplace. This special enrollment period will allow those individuals and families who didn’t understand or were unaware of the implications of this new requirement to enroll in 2015 health insurance coverage through the Marketplace. The special enrollment period is open until April 30. If consumers do not purchase coverage for 2015 during this special enrollment period, they may have to pay a fee when they file their 2015 income taxes. Individual taxpayers who take advantage of the extended enrollment period may still be subject to the shared responsibility payment for the months during 2014 and 2015 in which they didn’t have coverage. More information can be found at Healthcare.gov.
Did You Know?
As of March 4, 2015, the IRS has processed 56,857,000 individual tax returns.
“Isn’t it appropriate that the month of the tax begins with April Fool’s Day and ends with cries of ‘May Day!’?” ~Rob Knauerhase