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    What taxpayers need to know about getting their unclaimed 2017 tax refunds

    The IRS reminds taxpayers they may have money waiting for them. An estimated 1.3 million taxpayers didn't file a 2017 Form 1040 federal income tax return and are due a refund.
    Here are some things taxpayers should know about these unclaimed refunds:


    To collect the money, taxpayers must file their 2017 tax return with the IRS no later than this year's tax deadline, Monday, May 17.
     
    When a taxpayer who is getting a refund does not file a return, the law gives them three years to claim that tax refund. If the taxpayer does not file a tax return within three years, the money goes back to the U.S. Treasury. For 2017 tax returns, the three-year window closes May 17, 2021.
     
    The law requires taxpayers to properly address and mail the tax return to the IRS. It must be postmarked by the May deadline.
     
    The IRS may hold the 2017 refunds of taxpayers who have not filed tax returns for 2018 and 2019.
     
    The unclaimed money will be applied to any amounts still owed to the IRS or a state tax agency. The money may also be used to offset unpaid child support or past due federal debts, such as student loans.





    By failing to file a tax return, people stand to lose more than just their tax refund. Many low-and moderate-income workers may be eligible for the earned income tax credit. For 2017, the credit was worth as much as $6,318. The EITC helps individuals and families whose incomes are below certain thresholds. The 2017 thresholds were:
     

    $48,340 for those with three or more qualifying children; $53,930 if married filing jointly
    $45,007 for people with two qualifying children; $50,597 if married filing jointly
    $39,617 for those with one qualifying child; $45,207 if married filing jointly
    $15,010 for people without qualifying children; $20,600 if married filing jointly
     


    Current and prior year tax forms are available on the Forms, Instructions and Publications page of IRS.gov or by calling toll-free 800-TAX-FORM (800-829-3676).
     
    Taxpayers who are missing forms W-2, 1098, 1099 or 5498 for the years 2017, 2018 or 2019 should request copies from their employer, bank, or other payer. Taxpayers who are unable to get missing forms can order a free wage and income transcript at IRS.gov using the Get Transcript Online tool. Taxpayers can use the information on the transcript to file their tax return.




    Source :
    www.irs.gov/newsroom/what-taxpayers-need-to-know-about-getting-their-unclaimed-2017-tax-refunds

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    Here’s how the third Economic Impact Payment is different from earlier payments

    The third Economic Impact Payment is an advance payment of the 2021 Recovery Rebate Credit.
    The two earlier payments are advance payments of the 2020 Recovery Rebate Credit. Eligible people who didn't get a first and second Economic Impact Payment or got less than the full amounts, may be eligible to claim the 2020 Recovery Rebate Credit and must file a 2020 tax return even if they don't usually file a tax return.

    The third Economic Impact Payment will be larger for most eligible people.
    Eligible individuals who filed a joint tax return will receive up to $2,800, and all other eligible individuals will receive up to $1,400. Those with qualifying dependents on their tax return will receive up to $1,400 per qualifying dependent.

    More people qualify as dependents.
    Unlike the first two payments, the third payment is not restricted to children under 17. Eligible families will get a payment for all qualifying dependents claimed on their return. This may include older relatives like college students, adults with disabilities, parents and grandparents.

    Income phase-out amounts are different for the third payments.

    Taxpayers will not receive a third payment if their Adjusted Gross Income exceeds:


    $160,000, if married and filing a joint return or if filing as a qualifying widow or widower.
    $120,000, if filing as head of household.
    $80,000 for eligible individuals using other filing statuses, such as single filers and married people filing separate returns


    This means that some people won't be eligible for the third payment, even if they received first or second EIPs or are eligible for a 2020 Recovery Rebate Credit.



    Some people may be eligible for a Supplemental Payment.

    The amount of the third payment is based on the taxpayer's latest processed tax return from either 2020 or 2019. If the taxpayer's 2020 return hasn't been processed, the IRS used 2019 tax return information to calculate the third payment.

    If the third payment is based on the 2019 return, and is less than the full amount, the taxpayer may qualify for a supplemental payment. After their 2020 return is processed, the IRS will automatically re-evaluate their eligibility using their 2020 information. If they're entitled to a larger payment, the IRS will issue a supplemental payment for the additional amount.

    Changes to earlier eligibility requirements.
    For taxpayers who file jointly and only one individual has a valid SSN, the spouse with a valid SSN will receive up to a $1,400 third payment and up to $1,400 for each qualifying dependent claimed on their 2020 tax return.

    For taxpayers who don't have a valid SSN, but have a qualifying dependent who has an SSN, they will only receive up to $1,400 for a qualifying dependent claimed on their return only if they meet all other eligibility and income requirements.

    If either spouse was an active member of the U.S. Armed Forces at any time during the taxable year, only one spouse needs to have a valid SSN for the couple to receive up to $2,800 for themselves, plus up to $1,400 for each qualifying dependent.

    If married taxpayers filing jointly did not receive one or both of the first two Economic Impact Payments because one spouse didn't have a Social Security number valid for employment, they may be eligible to claim a 2020 Recovery Rebate Credit on their 2020 tax return for the spouse with the SSN valid for employment.



    Source :
    https://www.irs.gov/newsroom/heres-how-the-third-economic-impact-payment-is-different-from-earlier-payments

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    Being invited to SelectUSA seminar (Taipei) in January 20

    AIT invited Joy Yang Consulting Limited Company to US investment and law seminar.(Tainan)
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