Information Related to Preparing Your Tax Return

EMAIL THE OFFICE NOW TO MAKE AN APPOINTMENT

We prefer scheduling in-person appointments this year via email if you can.  Send email request for an appointment to brenda@smithincometax.com

Because none of us at Smith Income Tax can afford to get sick (with anything) during our short tax season, we will ask you to wear a mask if you have been exposed to anyone with Covid symptoms.  Our contact information can be found here on our website.

Please cancel your appointment if you are having ANY Covid, cold, or flu symptoms, we promise to reschedule you at a later date.

 We reserve the right to cancel or change your appointment.

IF YOU HAVE A STRAIGHTFORWARD TAX RETURN AND WOULD LIKE TO SAVE SOME MONEY ON TAX PREPARATION, WE ARE HAPPY TO HELP YOU OUT.

We encourage you to try 1040.com for online personal tax preparation.  You can set up an account and prepare your tax return for a flat fee of $25!  No hidden costs for added forms or your state return.  The main reason we suggest this website over the other known brand names is that it is owned by Drake, the software company that we have used for over 20 years.  It is very user-friendly and you don't pay until you are satisfied with the result.  1040.com is also a trusted partner recommended by IRS.

AGAIN, WE PREFER THAT YOU DO NOT DROP OFF YOUR DOCUMENTS WITHOUT DISCUSSING IT WITH US IN ADVANCE.  CALL AND ASK ABOUT DROPPING OFF IF YOU CAN NOT COME IN.

NOTE ANYTHING DROPPED OFF AFTER MARCH 15TH MAY REQUIRE AN EXTENSION.

Only current clients can drop off their documents at the office.  Please use our cover sheet, and check out our helpful checklists and organizers found here on our website under "Organizers". Having your actual tax documents (or copies of them) is a must, so wait until you have them all.  You can add notes, but do not use a "summary" in lieu of letting us review the actual documents.  Please include a good phone number and email address.  Make notes with any questions you have and we will answer those questions when we call you.   You are welcome to schedule a virtual or phone appointment AFTER you have dropped off your documents or we will call you once we review your documents.

NOTE ANYTHING RECEIVED AFTER MARCH 15 MAY REQUIRE AN EXTENSION.

We suggest you use USPS priority mail flat rate cardboard envelopes which come with tracking.  As stated above, gather ALL of your documents together and mail them to us once you have them all. Please use our cover sheet, and check out our helpful checklists and organizers found here on our website under "Organizers".  Please include a good phone number and email address.  Please do not mail anything that will not fit through our mail slot.  If you need to mail a larger item, contact us for an alternate address to mail the package.   You are welcome to schedule a virtual or phone appointment AFTER you have mailed in your documents or we will call you once we review your documents.

This is a great option for computer-friendly clients who have a scanner and printer available.  This is best for clients who are familiar with "dropbox" type portals.  Here is a link to our SecureFilePro site  If you do not have a SecureFilePro/Drake portal account from last year, you can use the "Guest Exchange" on the portal site linked above.  PLEASE DO NOT SCAN EACH DOCUMENT IN A SEPARATE PDF.  SEND IN AS FEW PDFS AS POSSIBLE.  Only use the portal if you are able to group your documents into a few consolidated files. Again, it is imperative that you do not scan one document at a time, as it is extremely difficult for us to open (and often print) multiple one-page documents.  If you electronically download your brokerage or bank 1099 pdfs to your personal computer, it is fine to send those pdf files separately.

If you are unable or not prepared to come in for an appointment, you may have to file an extension, we will be happy to help you with an extension.  

Extensions give you more time to file the tax return, however, they are NOT AN EXTENSION OF TIME TO PAY ANY TAXES YOU EXPECT TO OWE.  Again, any taxes you owe and do not pay by the April deadline will be subject to penalties and interest.

If you normally owe taxes when you file or expect to owe taxes this year, we can estimate your tax liability for 2023 based on your 2022 tax return.  You will need to pay what you expect to owe by 4/15.   If you cannot pay the full balance, it is still best to pay something when you file the extension.  

IF YOU OWE OR EXPECT TO OWE YOUR OPTIONS ARE...

1) YOU CAN GO TO THE IRS WEBSITE HERE and make a payment for no charge using an electronic check.  Making this online payment will automatically give you an extension!  Even if you only send $10, that easy, you are done!  Just choose "Make a Payment" and then choose "Extension".

2) Come by or call us and we can efile an extension for you and have your bank account debited for the amount you wish to send.  (Be aware, we will need a signature to debit your account)

3) You can call us and ask us to prepare a paper extension for you to pick up and mail with a check before the deadline.  Or you can prepare a paper extension from home using  Form 4868 found here on the IRS website and mail it with a check before the deadline.

IF YOU NORMALLY RECEIVE REFUNDS when you file your tax return and are confident that you will receive refunds this year, we can efile an extension for you and there will be no need to send any money at this time.  Call us and let us know if you want to do this.

**CASH DONATIONS UP TO $600 CAN NO LONGER BE  DEDUCTED IF YOU DO NOT ITEMIZE**

Bring in proof of cash, check, or credit card donations and we can deduct them on the federal tax return if itemize deductions.  Donations that total over $500 are deductible on Colorado tax returns EVEN IF YOU DO NOT ITEMIZE DEDUCTIONS!

**BUSINESS OWNERS CAN NO LONGER DEDUCT 100% OF BUSINESS MEALS IN 2023**

Specifically, RESTAURANT meals with clients and/or employees that are consumed at a restaurant or through take-out or delivery are 50% deductible IN 2023.   This does not include the cost of entertainment and must not be extravagant or lavish.  Again, entertainment is no longer deductible.