Form 1099-QA, Distributions From ABLE Accounts

The IRS tax Form 1099-QA is used to report information about the distributions from the saving accounts of special-needs individuals, through their accounts that are been created through the ABLE (Achieving a Better Life Experience) Act. The Internal Revenue Service states that any agency that has established and maintains a qualified ABLE program, should file this Form with the IRS, every time it makes any distributions for each ABLE account or when it terminates them.  What are...

LLC vs. Incorporation: Which Should I Choose?

While registering a business, the decision is generally made whether it should be a corporation or a limited liability company. This decision depends on the type of the business, the tax consequences of the entity, and other similar considerations. Upon such registrations, the assets of the business will be protected from creditors. It also offers an additional layer of legal protection for the business. But what should you choose between incorporation or LLC? Let us discuss this...

E-file Form 8868 Exempt Organization Return? Non-profit Tax Extension

Are you an administrator, manager, or director running a tax-exempt organization looking for a federal tax extension? Then you must know the details about form 8868. Non-profit groups, charities, and other tax-exempt organizations can file form 8868 for an extension of six months for filing form 990. By filing form 8868, you gain an extension for form 990/990-EZ, form 990-BL, form 990-PF, and form 4720.  Requirements for filing form 8868 The best feature of form 8868 is...

8868 Nonprofit Tax Extension Due date/Deadline for 2022

Form 8868 is the extension form obtained from the Internal Revenue Service for an automatic extension of six months to file Form 990. This form can be used by charities, non-profit organizations, and others who have tax exemptions. This automatic extension is applicable for these organizations, without having to submit a valid reason for extension with the IRS.  Deadline/DueDate for Form 8868 The deadline to fill and submit Form 8868 is May 16, 2022. For fiscal year...

Everything Your Nonprofit Needs to Know About the Form 990 Balance Sheet

Not-for-profit organizations generally stay tax-exempt but still have to file Form 990 to let the IRS know the way they use their donations and resources to stay exempted from tax. The Form 990 balance sheet statements testify to their financial position and are essential to substantiate the transparency of the Nonprofit business. This form is made public to make it easy for donors and other people interested in supporting the cause to evaluate the organization before supporting...

What happens if I file form 4868 late?

The tax filers of the United States can use Form 4868, to avail automatic extension of time to file the individual income tax return. By filling out this Form, the citizens can avail time extension only for the paperwork. It is important to note that filing Form 4868 does not entitle late payment of taxes. They should pay the tax amount they owe to the IRS, well within the deadline.  What if I file Form 4868 late?...

When can I file my 2021 taxes 2022?

The Internal Revenue Service announced that the Nation’s tax season will start on January 24th, 2022. The Tax agencies will begin accepting and processing the 2021 tax returns after this date. The IRS encourages the citizens to have all the information they require in hand, to complete and return the tax Forms accurately. Accuracy of the tax form helps in reducing processing delays, and delays in refunds as well.  The due date for filing 2021 tax returns:...