The so-called Fiscal Cliff negotiations in Washington, D.C. are finally reaching northern Nevadans. This tax season there are some changes to keep in mind. While many people are aware of the changes to the 2013 tax rates, you may not know about some retroactive tax deductions for the 2012 returns being filed right now. Take sales taxes in Nevada, for example. In states with no or limited state income taxes, residents can continue to receive the state sales tax deduction when they file their income taxes with the Internal Revenue Service. People in states with income taxes can deduct those taxes on their federal returns, while the non-income tax states have no such deduction. So, the sales tax deduction extension is meant to equalize taxes among the states. If you choose to include these deductions, keep in mind you need to itemize.
One of the more common questions during any tax season is, "Where's my refund?" Well now, there is an app for that. The IRS is offering an app for smart phones that features helpful tax tips, tutorial videos and a refund progress report. Raphael Tulino, with the IRS, says the tool is refreshed once a day. To get to that tool, log on to: http://www.irs.gov/Refunds/Where's-My-Refund-It's-Quick,-Easy,-and-Secure
Tulino also warns our viewers about scams. He says the IRS will not contact you via email or social media, so if you receive electronic correspondence that seems too good to be true, either ignore it or report it at email@example.com. Most often, Tulino says, the IRS will contact you by mail.
If you have questions about your tax return, deductions, filing an extension, e-filing or finding a free tax preparer for qualifying taxpayers, log on to: www.IRS.gov.
Written by Kristen Remington