Posts Tagged ‘Tax Refund’
Each year, millions of Americans dread the inevitable need to collect all your receipts and records and prepare filing their federal income taxes. When was the first tax season starts? Here, take a look at that magical day of April 15 and why it was chosen as tax day.
During the presidency of Abraham Lincoln in the cut, first legally required to pay income taxes. The President and Congress created the Commissioner of Revenue and enacted a federal tax law to finance the costly civil war.
The original deadline to file your income taxes was March 1, not April 15. It was in 1918 when Congress pushed the date to March 15. In 1954, the date was moved again, this time to April 15, the date that we still know as tax day.
If you are a single taxpayer, must file a return or an extension (Form 4868) by April 15. Companies and other legal entities of the group must submit their tax return or an extension by March 15. The extension only gives you more time to file your tax return, no more time if you must.
A few years after World War II, the tax burden was shared fairly equally by corporate and individual taxpayers. Today, change seems to be toward the individual bear the burden of the tax burden.
An interesting event that took place during the formation of the income tax laws in America in 1918. Until then, a lot of revenue for government funding came from sales of alcoholic beverages.
Then came the ban. In 1919, Congress passed an amendment to the Constitution made it illegal to manufacture or sell alcohol. To replace lost income, the income tax was the solution proposed, and despite the repeal of the ban, we have been paying income taxes since then.
When revenue law passed in 1942 and began the era of “new deal”, the expenditure and control of the Government has continued to grow exponentially, and today the American taxpayer supports a national debt of billions of dollars.
Currently, all tax rules in this country are under the direction of the Internal Revenue Service, in which there are four main divisions: wage and investment, small business / self, large and medium-sized businesses and tax exempt and government. Each division governs the taxpayers and the laws that apply to your particular department.
In a recent decision, a federal court overturned a phone tax has been charged for a years now. Considering the result, the IRS has decided to issue refunds for past collected taxes.
In 1898, the federal government passed a law assessing taxes on the use of long distance telephone in the United States. The tax is so fairly small, ranging from one to three percent, which was never questioned. The year you passed, that changed. The tax was challenged in court and found to be invalid. After some problems, the IRS agreed to stop collecting taxes. They even agree to issue refunds to some of the taxes collected.
Given the fact the 1898 law covers only a short time, the question of the telephone tax refund is potentially complicated. In short, how do you find out how much tax you have paid on telephone bills for this assessment through the years? In one to three percent, the truth is that not much. Also, how do you prove payment of taxes if audited? Anyone have phone bills from 1898? Probably not. Indeed, the amount of the refund only look back 41 months, but you get the idea.
To overcome these problems, the IRS proposes a flat reimbursement rate for taxpayers. The amount of the refund is proposed is $ 30 to $ 60 depending on specific characteristics. More importantly, the taxpayers are not required to dig through old phone bills to justify the deduction. To claim the tax refund, you must fill in an area not yet declared in his 2006 tax return. To be clear, this is the return to be submitted in April 2007.
So, how to find out how much you can claim as a refund? The amount of the refund shall be bound in the number of exemptions you claim. The amounts are $ 30 for a person filing an exemption, $ 40 for two exemptions, $ 50 for three exemptions and $ 60 for four or more exemptions. If you are single and claim an exemption, the refund amount will be $ 30. If you want to access through their phone bills and claim the exact amount of taxes you paid as a refund, you also have this option.