Stimulus checks may be delayed for some customers, the IRS and major tax prep software companies warned this week.
The problem is direct deposited payments bouncing from temporary or alternative bank accounts used to receive the first round of stimulus payments which the companies have now closed. These include Refund Transfer services used with tax prep software and reloadable pre-paid debit cards.
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The second round of economic impact payments, which provide for $600 per adult and qualifying dependent child, started going out at the end of December.
Quite a lot has been going on:
2021 Sales Tax Rates | State & Local Sales Tax by State | Tax Foundation
Retail sales tax es are one of the more transparent ways to collect tax revenue. While graduated income tax rates and brackets are complex and confusing to many taxpayers, sales taxes are easier to understand; consumers can see their tax burden printed directly on their receipts.
In addition to state-level sales taxes, consumers also face local sales taxes in 38 states. These rates can be substantial, so a state with a moderate statewide sales tax rate could actually have a very high combined state and local rate compared to other states. This report provides a population-weighted average of local sales taxes as of January 1, 2021, to give a sense of the average local rate for each state. Table 1 provides a full state-by-state listing of state and local sales tax
2021 State Tax Changes, Effective January 1, 2021 | Tax Foundation
Although some state tax changes take effect at the beginning of the fiscal year—for many states in July—most are implemented at the beginning of the calendar year. Twenty-six states and the District of Columbia had notable tax changes take effect on January 1, 2021.
Because most states' legislative sessions were cut short in 2020 due to the COVID-19 pandemic, fewer tax changes were adopted in 2020 than in a typical year. As such, most of the tax changes highlighted in this paper are the result of laws that were adopted prior to 2020 but that have January 2021 effective dates. Among the handful of tax changes that were adopted in 2020, many were adopted directly by voters on their November 2020 ballots.
5 Tax Mistakes You Can't Afford to Make This Year | Personal Finance | roanoke.com
Though 2020 may finally be behind us, many people have yet to recover from the tumult of the past year.
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Millions of Americans have lost their jobs during the pandemic. If you were one of them, you might've received quite a bit of income in unemployment benefits. If you didn't have taxes withheld on those benefits, you'll need to prepare to pay up when you file your taxes. Don't forget to declare those benefits on your tax return. Failing to report any sort of income could have serious consequences and result in expensive penalties.
Not to change the topic here:
Maryland to extend tax deadlines, expand access to state contracts for small businesses -
Maryland businesses and some taxpayers will be able to postpone making certain tax payments to the state as the coronavirus pandemic continues to affect the economy.
Comptroller Peter Franchot said Wednesday in announcing the program that it will provide some relief to those who are struggling without the state government losing out on any money.
"They can keep that money in their pocket," Franchot, a Democrat, said during a video meeting of the state's Board of Public Works.
Advocates Call for Higher Taxes on Wealthy
Facing a multi-billion budget deficit brought on by the pandemic, a coalition of Democrats and their progressive allies say the solution is higher taxes on the wealthy.
At a rally outside Governor Cuomo's manhattan office, groups urged Cuomo and the legislature to tax the rich immediately, and not wait for a Washington bailout.
What You Need To Know Ahead of the 2021 legislative session and Governor Cuomo's State of the State Address, advocates urge higher taxes on the wealthy
The COVID-19 crisis has left a huge budget hole
State officials agree higher taxes are likely, but some of the ideas in the report from advocates are unrealistic
Low Taxes and High Temperatures Lure Finance Firms to Miami - WSJ
MIAMI—This city has long pitched itself as an attractive location for finance and tech firms, with its tax advantages, flight connections to New York and cosmopolitan flair. Its efforts appear to be paying off.
Private-equity giant Blackstone Group Inc. unveiled plans in October to open an office in the city to serve its internal technology needs that will eventually employ 215 people. Billionaire financier Carl Icahn moved his company to nearby Sunny Isles Beach earlier in 2020. Real-estate investor Starwood Capital Group is building a sleek new 144,000-square-foot headquarters in Miami Beach.
Michigan Restaurant and Strip Club Owner Sentenced to Two Years n Prison for Tax Crimes | OPA |
A Walled Lake, Michigan, business owner was sentenced today to two years in prison, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department's Tax Division.
According to court statements and filings, Johni Semma owned Bayside Sports Bar & Grill (Bayside) and The Coliseum, an adult entertainment business. As the owner of Bayside, Semma was responsible for collecting and paying to the IRS Bayside's employment taxes. From the first quarter of 2008 through the first quarter of 2015, however, Semma timely filed only two employment tax returns with the IRS, despite being obligated to file 29 such returns during this period.
Happening on Twitter
Based on average consumer spending, $600 would last you 3.5 days. If you stayed at a Motel 6, ate only Top Ramen a… https://t.co/VbaundlbKa DanPriceSeattle (from Seattle, WA) Tue Jan 05 04:33:03 +0000 2021
Choose your own adventure: Dems win GA, Senate passes $2k stimulus, assets keep inflating OR Republicans win GA,… https://t.co/wl51mOeGYA chamath (from Palo Alto, CA) Tue Jan 05 18:13:10 +0000 2021
What are you going to do with your $2,000 stimulus check? 😃 joncoopertweets (from New York) Wed Jan 06 12:54:08 +0000 2021
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