Current Year Tax Preparation, Done Right the First Time
Stay on track with your tax filings and avoid costly IRS setbacks. We handle annual tax returns for individuals and businesses, ensuring accuracy, compliance, and on-time submission.
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Annual Tax Preparation
Staying current on your tax returns each year is an important part of resolving an active tax debt.
Most tax debt agreements with the IRS require that you file annual tax returns to avoid default. If you have an Offer in Compromise, an installment agreement or Currently not Collectible status, staying compliant with tax filing requirements protects you from renewed IRS collections.
What is the Current Tax Year in the USA?
According to the IRS, a tax year is an annual accounting period for keeping records and reporting income and expenses.
- Calendar year – 12 consecutive months beginning January 1 and ending December 31. This is mostly used by individuals and business.
- Fiscal year – 12 consecutive months ending on the last day of any month except December. A 52-53-week tax year is a fiscal tax year that varies from 52 to 53 weeks but does not have to end on the last day of a month. This is mostly used by businesses.
On the other hand, tax season is the period when individuals and businesses prepare their documents for filing taxes, which are generally between January 1 and April 15 of each year. Additionally, tax laws and regulations can vary by state, so people living in different states might prepare taxes differently.
Why Proper Tax Preparation and Tax Planning is A Lifesaver?
Annually, individuals and businesses are legally required to report their income, expenses and other financial details. Accurate tax planning and preparation will help you avoid issues during tax periods. For example, missing documents might cause you to overlook an eligible tax deduction.
By staying on top of your tax obligations, you can complete your tax preparation smoothly and pay your taxes on time. However, you should be able to know what earnings need to be declared and what expenses can be deducted.
Above all, download the 2024 tax calendar for vital deadlines. If you prefer a stress-free tax planning and preparation experience with expert assistance, we’re just a phone call away.
Best Tax Relief Company: Our Tax Preparation Services
When you work with Precision Tax Relief, you’ll be assigned to an experienced tax team including highly-skilled CPAs and EAs. Our team works every day with clients who have IRS tax problems, and we know how to protect you from collections — in part, through current tax year returns.
We can help with:
- Individual or business tax returns (federal and state)
- Requests for tax extensions
- Unfiled tax return
- Amended tax returns, to correct a previous return
- Preparing a response to an audit of your tax return
- Preparing unfiled tax returns from previous years
Let’s keep you compliant by getting your taxes filed on time, accurately and according to the latest tax laws. We also offer back tax preparation services to ensure all your past due returns are filed properly.
Get Help Filing Your Annual Tax Return
Frequently Asked Questions
Many tax preparation services promise fast filing, but speed means nothing without accuracy and compliance.
These questions will help you see what really matters when choosing a tax professional to handle your current year return.
Am I required to file current year taxes?
Most people need to file tax returns. But it depends on three factors:
- Gross Income: Did you earn salary, wages, tips, bonuses or dividends? If you get a 1099-Misc. and it exceeds $600 dollars, you must file a tax return. If you’re getting social security money, you need to file if your total income is more than $25,000. If you’re married and receiving social security, you need to file if you are: a) married, living together at any time during the tax year, and filing separate returns b) your total gross income and any tax-exempt interest you earn is more than $25,000 ($32,000 if married and filing jointly).
- Filing Status: Were you single, married, married filing separate, head of household, or a qualifying widow/widower with dependent child on the last day of the tax year (December 31)? Your status, combined with your age, determines the gross income thresholds for filing a return. You can determine your status by using the IRS filing status tool.
- Age: If you are age 65 or older in the current tax year, you will be taxed at a different rate and eligible for additional deductions. In addition, If you are turning 65 on January 1, 2018, you can file as 65 years of age on your 2017 tax return. The rule only works for age 65, and only if your birthday is on the first day of the year.
Our tax experts can help you determine if you need to file a tax return. Or, you can use this IRS online questionnaire.
What are the advantages of filing my taxes if I already owe the IRS?
The key advantage is that you may be eligible for a refund for the current year. This refund would then be used to reduce the back taxes you owe.
Refunds are also issued on a “use it or lose it” basis. The statute of limitations for claiming a tax refund is three years from the tax return due date or two years from the date the tax was paid, whichever is later.
Finally, if you do not file your own return, the IRS may file for you. When the IRS files a return, it is not in your best interest. If you have several unfiled returns, your smartest course of action is to get them filed. Only when your returns are filed can you start negotiating with the IRS to resolve any back taxes owing.
If I have IRS tax debt, can I keep any tax refund I am owed?
It depends.
If the amount of the refund is more than the amount of the tax debt you owe, you may be able to keep the difference.
If your refund is seized due to an IRS error, we can make a case to get your refund.
The Treasury Department’s Offset Program can seize your federal tax refund to pay other outstanding debts (for example, child support, student loans, state income tax or unemployment compensation debts). These debts must be negotiated separately from your IRS tax liabilities.
Why should I get professional help with my tax return?
Tax laws are complicated. Deductions, credits and tax rates change regularly. As a result, people who prepare their own taxes can easily overlook deductions and credits to which they’re entitled.
Using tax software also has shortcomings. Software is designed to apply general logic to the data you enter. Software cannot apply critical thinking about tax law to your personal situation.
At Precision Tax Relief, we prepare hundreds of tax returns annually and have thorough knowledge of the most current tax laws. We provide personalized advice to find the maximum possible tax savings. And because we specialize in resolving tax debt, we are experts on keeping our clients safe from IRS collections.
Can I file a tax return extension if I have an existing agreement with the IRS?
Yes, but rules vary by agreement type, and missing deadlines can jeopardize your status.
- Offer in Compromise: During the 5-year probation, you must file by the April deadline. Missing it can void your agreement and restore the original debt.
- Installment Agreement: You can extend your filing deadline (to October) but must still pay at least 90% of your current year’s taxes by April to keep your plan in good standing.
- Currently Not Collectible: Late filing or payment can trigger a review and end your hardship status.
Always request your extension before the April deadline and file on time to protect your agreement.
Can filing an amended tax return reduce my IRS tax debt?
Yes. If you made errors in income, filing status, dependents, or deductions/credits, an amended return (Form 1040X) can lower your debt and stop collections. You generally have 3 years from your original filing date, or 2 years from the date you paid the tax, if later, to claim a refund.
Get IRS tax relief from the team more people trust
If you need immediate relief from IRS collections, call us today.
You’ll get affordable, transparent pricing and a clear plan for the best possible tax debt settlement.
Let the most trusted tax relief team lift the weight off your shoulders.