Stacy’s Tax Tips
Iwas asked about the make work pay credit. In 2009, many of you had your withholding adjusted so that $400 less was taken out of your federal withholding. Schedule M is new in 2009 and is the worksheet for that credit. The $400/ each credit will appear on line 63 of your 1040. Depending on what your employer did, you may or may not see the effect of this credit. There are income limitations, so check with your tax advisor.
Are you an employee of the US Government or Local Government and you did not receive a pension or annuity? If that work was not subject to social security you may be entitled to a $250 credit.
If you are claiming your child as a dependent and they are under 17 at the end of 2009, ensure that you are receiving the child tax credit. Again, as most IRS rules, this one is subject to income limits.
Those of you who file corporate returns beware, as the penalties are going up for those who fail to file their 1120 and 1120S returns on time.
Call me for all of your accounting and tax needs! If you have a topic of interest, call me and I will try to include it in my tax tips. I can be reached at 718- 318-8829 and my office is located at 438 Beach 129 Street, 2nd Floor.