H&R Block is a good online tax filling services for 1040, 1040A, or 1040ez filers who are looking for a quick tax refund. Prepare and efile your federal and state tax return with H&R Block at one of the lowest cost. As a bonus, they also provides quick tax refund with maximum deduction.
Do Your Taxes The EASY Way—For FREE. Use H&R Block Online Free Edition today. Start Now.
Over 53 million taxpayers took advantage of the option to do their income tax filing online last year. The vast majority of them were very pleased with their choice. Read on to understand why most of them, and millions more, will do their taxes online this year.
A quick, easy, smart way to get your taxes where you want them to be --- Done!
Prepare and E-File Online. Fast Refunds. Start Your Taxes Now
First of all, the process is easy. Interactive programs actually guide you through each step as you fill out your return. You will be asked questions that will help you to determine which Federal forms and schedules to use, and you'll simply have to enter data from your tax documents as asked. In addition, on virtually every screen, you'll have access to tips and/or frequently asked questions that will help you make the right entries.
Do Your Taxes The EASY Way—For FREE. Use H&R Block Online Free Edition today. Start Now
H&R Block, an IRS Authorized e-filer built on the same engine used by CPAs and tax professionals nationwide for more than 20 years. In addition, we've been featured in national media like USA Today, Smart Computing, PC World, CNN and more.
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|Need a Tax Identification Number?|
|A Tax Identification Number or TIN is an identifying number used for tax purposes in the United States. It may be assigned by the Social Security Administration or by the IRS.|
A business need a Federal Tax Identification Number or Employer Tax Identification Number, so that they can maintain their own image or entity in the market. It is to be noted that, the tax ID number could not be transfer in case of the transferring of any business. If the structure or ownership would be changed then a new tax ID number is required for the business. But above all you have to collect the relevant information to get an EIN.
Need a Copy of Past Tax Return?
|Taxpayers have two easy and convenient options for getting copies of their federal tax return information — tax return transcripts and tax account transcripts — by phone or by mail.|
If you need a photocopy of a previously processed tax return and attachments, complete Form 4506, Request for Copy of Tax Form, and mail it to the IRS address listed on the form for your area. Copies are generally available for the current and past 6 years.
Choosing the right tax filling Status will result in the lowest possible income tax
You have one and only one filling status. Your taxfilling
status is determined in large part by whether you were considered married at the end of the year.Tax Filling Status as Single:
This includes people who are legally separated or divorced at the end of the year. Unmarried taxpayers who can claim a dependent should check to see if they qualify for the Head of Household filing status, as that will provide more tax benefits.Tax Filling Status as Head of Household
You are unmarried, can claim a dependent, and have cared for a dependent for over half the year. Taxpayers claiming the Head of Household (HOH) filing status benefit from a higher standard deduction and lower tax rates than single taxpayers. Not every single parent, however, qualifies for the Head of Household status, so read over the criteria carefully.Tax Filling status as Qualifying Widow/Widower with Dependent Child
You are unmarried because your spouse died within the last two years, and you have not remarried, and you have cared for a dependent all year.
Qualifying Widows and Widowers (QW) receive the same standard deduction and tax rates as taxpayers who are married filing jointly. In the year of your spouse's death, you can file a joint return. For the two following years, you can use the QW filing status if you have a dependent. After two years, your filing status would be Single or Head of Household.Note for Surviving Spouses:
In the year that your spouse dies, you can file Married Filing Jointly or Married Filing Separately. For the next two years, you may file as Qualifying Widow. You must have at least one dependent. If you re-marry, you cannot file as Qualifying Widow, instead you would file using one of the Married filing statuses. Qualifying Widows have the same standard deduction as Married Filing Joint, and so this provides the same tax benefit as the Married Filing Joint status.Married Filing Jointly Tax Filling Status
You are married, and you are filing a joint return with your spouse. You are considered married if you are legally married on the last day of the year. In order to file jointly, both you and your spouse must agree to file a joint tax return, and both must sign the return. Married Filing Jointly (MFJ) provides more tax benefits than filing a separate return.Married Tax Filling Separately
You are married, and you and your spouse are filing separate tax returns. Married filing separately (MFS) taxpayers have the least beneficial tax treatment. But MFS status is the one way to achieve separate tax liabilities. Married taxpayers should carefully consider whether filing joint or separate returns will be most beneficial for their unique tax situation.
Note about Married Filing Separately: There are very good reasons for a husband and wife to file their tax returns separately. However, filing a separate return may require just as much cooperation between the husband and wife as filing jointly. Some good reasons for filing separately include:One spouse wants to file taxes, but the other doesn't.
One spouse is self-employed, and the other doesn't want to be responsible for any tax problems.
One spouse owes taxes, and the other would get a refund.
You are separated but not yet divorced.
When you are filing separately, you must still cooperate and share tax information. If you both have children, you must coordinate who gets to claim the children as dependents. Finally, you must know if your spouse is itemizing deductions or taking the standard deduction. People who choose to file as Married Filing Separately do not qualify for several tax benefits and tax credits. It may be to your advantage to file jointly, or to get divorced so you can file as a single person.
Special assistance offered for seniors and people with disabilities
The United States Internal Revenue Service (IRS) is sponsoring the largest free tax counseling and preparation program in the country, available through AARP.Who Can Use this Free Tax Help and Free Filing Service?
Most people who work need to file a tax return. AARP Tax-Aide is a free tax help service for people who meet the following criteria:
What Are the Details of This Free Tax Help and Filing Service?
- Low- or middle-income taxpayers who want tax help and free filing of their U.S. federal income tax returns
- You must have a simple tax return. People seeking tax help who have more complex returns will be advised to get professional tax assistance.
- You do not need to be a member of AARP or a senior to receive tax help from Tax-Aide, however special attention is paid to people age 60 and over.
Every year, from February 1st through April 15th, about 32,000 trained and certified Tax-Aide volunteers across the country are available to provide tax help for preparing and filing your federal Tax Returns
What Do I Need to Bring When I Receive Free Tax Help?
- Many Tax-Aide locations are equipped to file your return electronically, allowing you to receive your tax refund much faster.
- Some Tax-Aide locations offer bilingual assistance.
- In most situations, you must visit an AARP Tax-Aide site in person to have your tax returns prepared by Tax-Aide volunteers. However, special arrangements can be made to assist shut-ins and homebound disabled persons by providing tax help at locations including hospitals, nursing homes, assisted living facilities, etc. To make a special tax help request, contact AARP at email@example.com.
- Volunteers are not available to provide tax help by phone, so visit the online tax counseling site for a list of frequently asked questions or to submit your own questions.
- Photo identification
- Social Security card
- Wage and earning statements
- Interest and dividend statements
- A copy of last year's federal and state returns if available
- Your bank account and bank routing numbers so you can arrange for direct deposit of your tax refund
The easiest and quickest way to file a return and obtain a refund, is to do this electronically--a practice already used by more than half of all taxpayers. The conventional way of filing taxes with the IRS has been opposed by online tax filing systems in recent times. Filing online will allow you to get your tax refund in as little as 10 days.
The process of filing taxes online is simple and trouble free. The customer first prepares his tax papers personally or approaches professional tax consultants to do so on his behalf. After the tax papers have been prepared they can be effortlessly filed through an IRS e-file provider. Filing can be done online as well, but if an individual is not sure about the mechanics, it is better to seek professional guidance. Usually most tax experts will be licensed IRS e-file providers. The relevant documents are signed and retained by the customer for future reference. The IRS e-file provider then files the returns electronically on the behalf of the customers. Next, the IRS e-file provider sends the customer an acknowledgement mentioning the current status of the filing process.
Online filing eliminates the need for going through tiring steps of rushing to the local IRS offices and post offices and waiting in never ending queues to post the papers before the due date. Office hopping has been completely eliminated. The only thing required is a reliable computer and Internet connection. Mistakes and errors can be corrected online in comparatively less time. Online tax filing has reduced the time gap prior to receiving tax refunds and papers can be printed to maintain precise records for future reference. Online tax filing also facilitates tax payments using credit cards. It has reduced back office processing time considerably.
Join the millions of people who have discovered how easy, online tax filing can be. The cost will be much less, your tax forms will get to the IRS with no hand-written errors, and you'll get your Tax Refunds in as little as 10 days.
Online Income Tax Option.
The list of the advantages you can experience by doing online income tax preparation and filing is pretty impressive. That's one reason that 53 million taxpayers went with the online filing option last year and that millions more will probably join them this year. After all, why not do your taxes in the easiest, fastest, and most accurate way possible.Online Tax Return
starts the same way no matter which filing option you choose. Inevitably,you are the one who will have to gather your tax documents, receipts, and other information pertinent to your taxes. Once you've done that much, however, the rest of the process really changes when you do your taxes online.
Online Income Tax Advantages
Below is a list of the advantages you will enjoy when you do your taxes online:
- Once you have determined which form to use, you will be asked a series of questions and will simply enter information from your tax documents into the appropriate fields on your screen.
- You may have the option to have your W-2 and 1098 information pulled directly off the Internet by your vendor thus eliminating some data entry.
- You don't have to pay for the service until your return is completed and you are ready to submit it or print it out for mailing.
- Before you get to the final version, the program will usually do an error review in order to eliminate problems that could cause a delay in your tax refund if you have one coming.
- You will get an emailed confirmation of receipt from the IRS, often within a day or so.
- If you owe taxes, you can pay online using a credit card or electronic check.
- If you are expecting a refund and elect the direct deposit option, your refund will be there in days rather than weeks.
- Most online tax preparation vendors offer some form of help including online tax tips, email, and/or phone support.
The Kiddie Tax
Kids with investment income don't escape the notice of the IRS. For them, there's the "kiddie tax." This so-called tax is not really a specific tax at all. Instead, it refers to the limitations the IRS places on the ability of a child under the age of 14 to have unearned income taxed at the child's lower tax rate. (If you think "kiddie tax" is a silly term, you may prefer to use the full and proper name of the tax: "Tax for Children Under Age 14 Who Have Investment Income of More Than $1,500." What? You'd rather not? We didn't think so.)
For tax year 2001, the kiddie tax provisions work like this:
The first $750 in unearned income (such as interest, dividends, capital gains, etc.) is not subject to tax, either at the child's rate or the parents' rate.
Unearned income of more than $750 and up to $1,500 is taxed at the child's rate (generally 15%, but usually much lower than the parents' rate).
Unearned income of more than $1,500 is taxed at an adjusted parents' rate. (Unless the child's rate is greater. This isn't likely, but it's possible.)
The kiddie tax rules do not apply if:
The child is under age 14 and neither parent is alive at the end of the taxable year; or
The child is age 14 or over as of Dec. 31 of the taxable year.
Filing the tax
There are two ways to file and pay the kiddie tax. The child can file her own return and compute the tax on Form 8615, or the parents can report the child's income on their own tax return using Form 8814 ("Parents' Election To Report Child's Interest and Dividends"). But there are restrictions to reporting the child's income on the parents' return. Form 8814 can only be filed if:
The child's income is from interest and dividends only. (Capital gains from sales of stock would violate Form 8814.)
The child's gross income for the year is less than $7,000.
No prior-year estimated tax overpayments are applied to the child's current-year return.
No estimated tax or withholding tax has been paid in the child's name.
So be sure to keep these restrictions in mind when making your decision about how to file.
Deciding which filing option to use
This can be a difficult decision, since there's very little difference between options. Some advantages of filing the child's income on the parents' return:
Avoids the hassle of filing a separate return for the child.
The parents' net investment income may be increased, which may allow a larger investment interest deduction for the parent.
The adjusted gross income ceiling for charitable contributions is higher, which may allow for an increased deduction for charitable contributions.
The first $1,500 of the child's income is taxed on Form 8814 and is not included in the parents' taxable income. This may reduce state tax liability in states that base income tax on the federal taxable income.
If the child files his own return, he could be subject to the alternative minimum tax, but the AMT might not kick in when reporting on the parents' return.
But there are also disadvantages (of course):
The additional income, by increasing the parents' AGI, can reduce or eliminate the deductibility of some itemized deductions. These may include the medical expense deduction, the deduction for casualty and theft losses, and miscellaneous itemized deductions.
The additional income can reduce the $25,000 rental loss allowable for active participation. (If you own rental property, you probably already know this. If not, read IRS Publication 527.)
Because of the increase in the parents' AGI, the deduction for an IRA contribution may be phased out or eliminated. It's even possible that the additional income could prohibit a conversion from a regular IRA to a Roth IRA. This AGI increase might also trigger other conditions that are based on AGI, such as the taxability of Social Security benefits.
The additional income may reduce the earned income credit, the child tax credit, the dependent care credit, the Hope credit, the Lifetime Learning credit, and any other credits that are based on AGI.
The additional income may result in higher state tax liability for states that base their income taxes on federal AGI.
The tax rate for income above $1,500 per yearThe tax rate used in computing the kiddie tax is the rate that would apply to the parents if the child's net unearned income were added to the parents' taxable income. This could put the child's income in a higher tax bracket than the parents'.