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Www hrblock Index A Additional Medicare Tax, Step 5. Www hrblock , Line 18. Www hrblock Address change, Change of address. Www hrblock Adjustments to income Estimated tax, Adjustments to income. Www hrblock Withholding allowances, Adjustments to income (worksheet line 4). Www hrblock Worksheet instructions, Deductions and Adjustments Worksheet, Net deductions and adjustments (worksheet line 8). Www hrblock AGI, AGI. Www hrblock Expected AGI, Expected AGI—Line 1 Aliens Nonresident aliens, Aliens Amended returns, Form Received After Filing, Amended returns. Www hrblock Annualized estimated tax worksheets, Worksheet 2-9. Www hrblock 2014 Annualized Estimated Tax Worksheet, Worksheet 2-9. Www hrblock 2014 Annualized Estimated Tax Worksheet(Continued) Annualized - Capital gains, Worksheet 2-12. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Annualized - Foreign Earned Income, Worksheet 2-13. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 12 Foreign Earned Income Tax Worksheet Annualized - Phaseout of itemized deductions, Worksheet 2-10. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 6 Phaseout of Itemized Deductions Annualized - Qualified dividends, Worksheet 2-12. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Annualized - Reduction of exemption amount, Worksheet 2-11. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 10 Reduction of Exemption Amount Annualized income installment method, Annualized Income Installment Method Capital gains worksheet, underpayment penalty, Worksheet 4-1. Www hrblock 2013 Form 2210, Schedule AI—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Form 2210, Schedule AI, Annualized Income Installment Method (Schedule AI) Qualified dividends worksheet, underpayment penalty, Worksheet 4-1. Www hrblock 2013 Form 2210, Schedule AI—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Underpayment penalty, (Schedule AI), Annualized Income Installment Method (Schedule AI) Annuities, Pensions and Annuities Assistance (see Tax help) B Backup withholding, Backup Withholding, Penalties. Www hrblock Credit against income tax, Backup withholding. Www hrblock C Capital gains and losses Annualized estimated tax, Tax on net capital gain. Www hrblock Estimated tax on net capital gain, Tax on net capital gain. Www hrblock Qualified dividends, Tax on qualified dividends and capital gains. Www hrblock Casualty and theft losses, Itemized deductions (worksheet line 1). Www hrblock Waiver of penalty, Waiver of Penalty Change of address, Change of address. Www hrblock Change of name, Name changed. Www hrblock Charitable contributions, Itemized deductions (worksheet line 1). Www hrblock Child and dependent care credit Personal Allowances Worksheet (Form W-4), Child and dependent care credit (worksheet line F). Www hrblock Child tax credit Personal Allowances Worksheet (Form W-4), Child tax credit (worksheet line G). Www hrblock Claim of right, Itemized deductions (worksheet line 1). Www hrblock Commodity credit corporation loans, Federal Payments Community property states, Community property states. Www hrblock Compensation, Salaries and Wages Independent contractors, backup withholding, Backup Withholding Supplemental wages, Supplemental Wages Tips, Tips Wages and salaries, Salaries and Wages Crediting of overpayment, Credit an Overpayment Credits 2013 withholding and estimated taxes, Credit for Withholding and Estimated Tax for 2013 Deductions and Adjustments Worksheet (Form W-4), Tax credits (worksheet line 5). Www hrblock Estimated tax against income tax, Estimated Tax Excess withholding on social security or railroad retirement taxes, Excess Social Security or Railroad Retirement Tax Withholding Expected taxes and credits, Expected Taxes and Credits— Lines 6–13c Withholding allowances, Tax credits (worksheet line 5). Www hrblock Withholding tax, credit for, Withholding Criminal penalties Willfully false or fraudulent Form W-4, Penalties Crop insurance payments, Federal Payments Cumulative wage method of withholding, Cumulative Wage Method D Deductions Home mortgage interest, Itemized deductions (worksheet line 1). Www hrblock Worksheet instructions, Deductions and Adjustments Worksheet Dependents Exemptions, Dependents. Www hrblock Disabled persons Impairment-related work expenses, Itemized deductions (worksheet line 1). Www hrblock Disaster Waiver of penalty, Waiver of Penalty Dividends Backup withholding, Backup Withholding Underreported, Underreported interest or dividends. Www hrblock Divorced taxpayers Estimated tax credit, Divorced Taxpayers Form W-4, Single. Www hrblock Domestic help, Household workers. Www hrblock Definition, Household workers. Www hrblock Withholding, Household workers. Www hrblock E Earned income credit (EIC), What's New for 2014 Eligible rollover distributions, Eligible Rollover Distributions Employee business expenses Accountable plans, Accountable plan. Www hrblock Nonaccountable plans, Nonaccountable plan. Www hrblock Reimbursements, Expense allowances. Www hrblock Employer Identification Numbers (EINs), Taxpayer identification number. Www hrblock Employers Excess withholding on social security and railroad retirement taxes, Two or more employers. Www hrblock , Employer's error. Www hrblock Repaying withheld tax, Repaying withheld tax. Www hrblock Tips, Tips Withholding rules, Rules Your Employer Must Follow Estate beneficiaries Underpayment penalty, Estate or trust payments of estimated tax. Www hrblock Estate tax Income in respect of a decedent, Itemized deductions (worksheet line 1). Www hrblock Estates Estimated tax, Estates and Trusts Estimated tax Adjustments to income, Adjustments to income. Www hrblock Aliens, Aliens, Nonresident aliens. Www hrblock Amended tax, Regular Installment Method Annualized income installment method, Annualized Income Installment Method Change in amount, Change in estimated tax. Www hrblock Change of address, Change of address. Www hrblock Change of name, Name changed. Www hrblock Credit against income tax, Estimated Tax Crediting of overpayment, Credit an Overpayment Divorced taxpayers, Divorced Taxpayers Estates and trusts, Estates and Trusts Exemptions, Exemptions—line 4. Www hrblock Expected AGI, Expected AGI—Line 1 Expected taxable income, Expected Taxable Income— Lines 2–5 Expected taxes and credits, Expected Taxes and Credits— Lines 6–13c Farmers and fishermen, Farmers and Fishermen, Farmers and fishermen. Www hrblock , Farmers and Fishermen Fiscal year taxpayers, Fiscal year taxpayers. Www hrblock Higher income individuals, Higher income taxpayers. Www hrblock How to figure, How To Figure Estimated Tax, How To Figure Each Payment How to pay, How To Pay Estimated Tax Instructions for Worksheet 2-9, annualized estimated tax, Instructions for the 2014 Annualized Estimated Tax Worksheet (Worksheet 2-9) Itemized deductions, Itemized deductions—line 2. Www hrblock Married taxpayers, Married Taxpayers Net capital gain, Tax on net capital gain. Www hrblock , Tax on net capital gain. Www hrblock No standard deduction, No standard deduction. Www hrblock Nonresident aliens, Nonresident aliens. Www hrblock Overpayment, Credit an Overpayment Payment vouchers, Pay by Check or Money Order Using the Estimated Tax Payment Voucher Payments not required, Estimated Tax Payments Not Required Regular installment method, Regular Installment Method Required annual payment, Required Annual Payment— Line 14c Self-employment income, Self-employment income. Www hrblock Separate returns, Separate Returns Sick pay, Estimated tax. Www hrblock Standard deduction, Standard deduction—line 2. Www hrblock , Line 7. Www hrblock Total estimated tax payments, Total Estimated Tax Payments Needed—Line 16a Types of taxes included, Introduction Underpayment penalty, Underpayment penalty. Www hrblock , Underpayment Penalty for 2013 When to pay, When To Pay Estimated Tax When to start payments, When To Start Who does not have to pay, Who Does Not Have To Pay Estimated Tax Who must pay, Who Must Pay Estimated Tax Estimated tax worksheets, Worksheets for Chapter 2, Worksheet 2-1. Www hrblock 2014 Estimated Tax Worksheet, Worksheet 2-2. Www hrblock 2014 Estimated Tax Worksheet—Line 1 Estimated Taxable Social Security and Railroad Retirement Benefits 2014 annualized estimated tax worksheet, Worksheet 2-9. Www hrblock 2014 Annualized Estimated Tax Worksheet Capital gains, tax on, Tax on net capital gain. Www hrblock Foreign earned income, Worksheet 2-8. Www hrblock 2014 Estimated Tax Worksheet—Line 6 Foreign Earned Income Tax Worksheet Form 1040-ES, Worksheet 2-1. Www hrblock 2014 Estimated Tax Worksheet Phaseout of itemized deductions, Worksheet 2-5. Www hrblock 2014 Estimated Tax Worksheet—Line 2 Phaseout of Itemized Deductions Railroad retirement benefits, Worksheet 2-2. Www hrblock 2014 Estimated Tax Worksheet—Line 1 Estimated Taxable Social Security and Railroad Retirement Benefits Reduction of exemption amount, Worksheet 2-6. Www hrblock 2014 Estimated Tax Worksheet—Line 4 Reduction of Exemption Amount Self-employment tax, Worksheet 2-3. Www hrblock 2014 Estimated Tax Worksheet—Lines 1 and 11 Estimated Self-Employment Tax and Deduction Worksheet Social security benefits, Worksheet 2-2. Www hrblock 2014 Estimated Tax Worksheet—Line 1 Estimated Taxable Social Security and Railroad Retirement Benefits Standard deduction, Worksheet 2-4. Www hrblock 2014 Estimated Tax Worksheet—Line 2 Standard Deduction Worksheet Excess social security or railroad retirement tax withholding, Excess Social Security or Railroad Retirement Tax Withholding, How to claim refund of excess tier 2 RRTA. Www hrblock Nonrailroad employees worksheet, Worksheet for Nonrailroad Employees Railroad employees worksheets, Worksheets for Railroad Employees Exemption from withholding, Exemption From Withholding Claiming, Claiming exemption from withholding. Www hrblock Good for only one year, An exemption is good for only 1 year. Www hrblock Itemized deductions, Itemizing deductions or claiming exemptions or credits. Www hrblock Students, Students. Www hrblock Exemptions, Line 10. Www hrblock Dependents, Dependents. Www hrblock Expected taxable income, Exemptions—line 4. Www hrblock Personal Allowances Worksheet, Exemptions (worksheet lines A, C, and D). Www hrblock Self, Self. Www hrblock Spouse, Spouse. Www hrblock Withholding allowances, Withholding Allowances Expenses, Itemized deductions (worksheet line 1). Www hrblock Allowances, Expense allowances. Www hrblock F Farmers Estimated tax, Special Rules, Farmers and fishermen. Www hrblock , Farmers and Fishermen Fiscal years, Fiscal year farmers and fishermen. Www hrblock Gross income, Gross income from farming. Www hrblock Joint returns, Joint returns. Www hrblock Required annual payment, Farmers and fishermen. Www hrblock Underpayment penalty, Farmers and fishermen. Www hrblock , Farmers and Fishermen Waiver of underpayment penalty, Farmers and fishermen. Www hrblock Withholding for farmworkers, Farmworkers. Www hrblock Figures Tables and figures (see Tables and figures) Fiscal years Estimated tax, Fiscal year taxpayers. Www hrblock Farmers and fishermen, Fiscal year farmers and fishermen. Www hrblock Withholding tax credit, Fiscal Years (FY) Fishermen Estimated tax, Special Rules, Farmers and fishermen. Www hrblock , Farmers and Fishermen Fiscal years, Fiscal year farmers and fishermen. Www hrblock Gross income, Gross income from fishing. Www hrblock Joint returns, Joint returns. Www hrblock Required annual payment, Farmers and fishermen. Www hrblock Underpayment penalty, Farmers and fishermen. Www hrblock , Farmers and Fishermen Waiver of underpayment penalty, Farmers and fishermen. Www hrblock Form 1040-ES, Introduction, How To Pay Estimated Tax Form 1040-ES (NR), Aliens Form 1040X, Form Received After Filing Form 1041-ES, Estates and Trusts Form 1099 series, Backup Withholding, The 1099 Series Form 2210, Form 2210. Www hrblock , Figuring Your Required Annual Payment (Part I) Form 2210-F, Form 2210-F. Www hrblock Form W-2, Form W-2 Form W-2c, Form Not Correct Form W-2G, Form W-2G. Www hrblock , Form W-2G Form W-4 worksheets, Completing Form W-4 and Worksheets Completing of, Completing Form W-4 and Worksheets Deductions and adjustments worksheet, Deductions and Adjustments Worksheet IRS withholding calculator, IRS Withholding Calculator. Www hrblock Number of allowances claimed, Only one job (worksheet line B). Www hrblock Two-Earners/Multiple Jobs Worksheet, Two-Earners/Multiple Jobs Worksheet Withholding allowances, Completing Form W-4 and Worksheets, Form W-4 worksheets. Www hrblock Form W-4, Employee's Allowance Withholding Certificate, Determining Amount of Tax Withheld Using Form W-4 Form W-4P, Periodic Payments Form W-4S, Form W-4S. Www hrblock Form W-4V, Unemployment Compensation Form W-7, Taxpayer identification number. Www hrblock Form W-9, Withholding rules. Www hrblock Fraud Form W-4 statements, Penalties Free tax services, Free help with your tax return. Www hrblock Fringe benefits, Taxable Fringe Benefits, More information. Www hrblock G Gambling Form W-2G, Form W-2G Losses, Itemized deductions (worksheet line 1). Www hrblock , Form W-2G Winnings, Form W-2G Gross income, Gross income. Www hrblock Farming, Gross income from farming. Www hrblock Fishing, Gross income from fishing. Www hrblock H Head of household Personal Allowances Worksheet, Head of household filing status (worksheet line E). Www hrblock Withholding allowance, Head of household filing status (worksheet line E). Www hrblock Help (see Tax help) Higher income individuals Required annual payment, Higher income taxpayers. Www hrblock Underpayment penalty, Higher income taxpayers. Www hrblock Household workers, Household workers. Www hrblock I Individual retirement arrangements (IRAs), Pensions and Annuities (see also Pensions) Interest income Backup withholding, Backup Withholding Underreported, Underreported interest or dividends. Www hrblock IRS withholding calculator, IRS Withholding Calculator. Www hrblock Itemized deductions Deductions and Adjustments Worksheet, Itemized deductions (worksheet line 1). Www hrblock Estimated tax, expected taxable income, Itemized deductions—line 2. Www hrblock Exemption from withholding, Itemizing deductions or claiming exemptions or credits. Www hrblock Gambling losses, Itemized deductions (worksheet line 1). Www hrblock , Form W-2G J Joint returns Excess withholding on social security and railroad retirement taxes, Joint returns. Www hrblock Farmers and fishermen, Joint returns. Www hrblock Underpayment penalty, 2012 separate returns and 2013 joint return. Www hrblock M Marital status Form W-4 worksheet, Marital Status Withholding rate, Marital Status Married taxpayers, Joint returns. Www hrblock (see also Joint returns) Estimated tax, Married Taxpayers Marital status, Married. Www hrblock Withholding allowances, Married individuals. Www hrblock Medical and dental expenses, Itemized deductions (worksheet line 1). Www hrblock Military retirement pay, Military retirees. Www hrblock , Periodic Payments Missing children, photographs of, Reminders Multiple jobs Excess social security and railroad retirement withholding, Excess Social Security or Railroad Retirement Tax Withholding Withholding allowances, Multiple jobs. Www hrblock N Name change, Name changed. Www hrblock Net investment income tax, Step 5. Www hrblock , Line 18. Www hrblock NIIT, Step 5. Www hrblock , Line 18. Www hrblock Noncitizens Estimated tax, Aliens Withholding, Single. Www hrblock , Employees who are not citizens or residents. Www hrblock Nonqualified deferred compensation, Periodic Payments Nonresident aliens Estimated tax, Aliens, Nonresident aliens. Www hrblock Individual taxpayer identification numbers (ITINs), Taxpayer identification number. Www hrblock O Overpayment Crediting to estimated tax, Credit an Overpayment P Part-year method of withholding, Part-Year Method Patronage dividends Backup withholding, Backup Withholding Payment vouchers, Pay by Check or Money Order Using the Estimated Tax Payment Voucher Penalties Backup withholding, Penalties. Www hrblock Underpayment of estimated tax, Underpayment Penalty for 2013 Waiver of underpayment penalty, Waiver of Penalty Willfully false or fraudulent Form W-4, Penalties Withholding allowances, Penalties Pensions, Pensions and Annuities New job, Employee also receiving pension income. Www hrblock Rollovers, Eligible Rollover Distributions Wages and salaries withholding rules compared, Withholding rules. Www hrblock Personal Allowances Worksheet, Personal Allowances Worksheet, Total personal allowances (worksheet line H). Www hrblock Publications (see Tax help) R Railroad retirement benefits Choosing to withhold, Federal Payments Railroad retirement tax Excess withholding, Excess Social Security or Railroad Retirement Tax Withholding, Worksheets for Railroad Employees Refund claims (tier 2), How to claim refund of excess tier 2 RRTA. Www hrblock Regular installment method, estimated tax, Regular Installment Method Reimbursements, Expense allowances. Www hrblock Excess, Accountable plan. Www hrblock Reporting Fringe benefits, How your employer reports your benefits. Www hrblock Gambling winnings, Information to give payer. Www hrblock Tips to employer, Reporting tips to your employer. Www hrblock Required annual payment, Required Annual Payment— Line 14c, Example. Www hrblock Retirement plans Pension plans, Pensions and Annuities Pensions, Pensions and Annuities Rollovers, Eligible Rollover Distributions State or local deferred compensation plan payments, Periodic Payments Rollovers, Eligible Rollover Distributions Royalties Backup withholding, Backup Withholding S Salaries, Salaries and Wages Saturday, Sunday, holiday rule, Saturday, Sunday, holiday rule. Www hrblock Self-employment tax, Self-employment income. Www hrblock Separate returns Estimated tax credit, Separate Returns Underpayment penalty, 2012 joint return and 2013 separate returns. Www hrblock Withholding tax credit, Separate Returns Sick pay, Sick Pay, Estimated tax. Www hrblock Single marital status, Single. Www hrblock Social security benefits Choosing to withhold, Federal Payments Social security taxes Excess withholding, Excess Social Security or Railroad Retirement Tax Withholding Taxpayer identification numbers (TINs), Taxpayer identification number. Www hrblock Withholding obligation, Reminders Spouse, Marital Status (see also Married taxpayers) Exemption, Spouse. Www hrblock Marital status, Marital Status Personal Allowances Worksheet, Spouse. Www hrblock Standard deduction, Standard deduction—line 2. Www hrblock , Line 7. Www hrblock State and local income taxes and property taxes, Itemized deductions (worksheet line 1). Www hrblock State or local deferred compensation plan payments, Periodic Payments Students, Students. Www hrblock Supplemental wages, Supplemental Wages T Tables and figures Do you have to pay estimated tax? (Figure 2-A), Exemption from withholding on Form W-4 (Figure 1-A), Railroad retirement, maximum withholding (Table 3-2), Table 3-2. Www hrblock Maximum Social Security and RRTA Withholding for 2013 Social security, maximum withholding (Table 3-2), Table 3-2. Www hrblock Maximum Social Security and RRTA Withholding for 2013 Worksheets, where to find, Worksheets for Chapter 2 Tax help, How To Get Tax Help Tax Rate Schedules, 2014 Tax Rate Schedules Taxpayer identification numbers (TINs), Taxpayer identification number. Www hrblock Tips, Tips, More information. Www hrblock Total income, Total income. Www hrblock Trust beneficiaries Underpayment penalty, Estate or trust payments of estimated tax. Www hrblock TTY/TDD information, How To Get Tax Help Two-Earners/Multiple Jobs Worksheet, Two-Earners/Multiple Jobs Worksheet U Underpayment penalty, Underpayment Penalty for 2013, Worksheet for Form 2210, Part IV, Section B—Figuring the Penalty Actual withholding method, Actual withholding method. Www hrblock Amended estimated tax, Underpayment penalty. Www hrblock Amended returns, Amended returns. Www hrblock Annualized income installment method, Annualized Income Installment Method (Schedule AI) Beneficiaries of estates and trusts, Estate or trust payments of estimated tax. Www hrblock Capital gains (Worksheet 4-1), Worksheet 4-1. Www hrblock 2013 Form 2210, Schedule AI—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Exceptions, Exceptions Farmers and fishermen, Farmers and fishermen. Www hrblock , Farmers and Fishermen, Farmers and fishermen. Www hrblock Figuring, IRS can figure the penalty for you. Www hrblock , Short Method for Figuring the Penalty (Part III), Regular Method for Figuring the Penalty (Part IV) Higher income individuals, Higher income taxpayers. Www hrblock Joint returns, 2012 separate returns and 2013 joint return. Www hrblock Lowering or eliminating, Lowering or eliminating the penalty. Www hrblock Minimum required each period, Minimum required each period. Www hrblock No penalty, No penalty. Www hrblock No tax liability last year exception, No Tax Liability Last Year Paid through withholding, Paid through withholding. Www hrblock , Actual withholding method. Www hrblock Penalty figured for each period, Penalty figured separately for each period. Www hrblock Penalty thresholds, General Rule Qualified dividends (Worksheet 4-1), Worksheet 4-1. Www hrblock 2013 Form 2210, Schedule AI—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Required annual payment, Figuring Your Required Annual Payment (Part I) Schedule AI, Annualized Income Installment Method (Schedule AI) Separate returns, 2012 joint return and 2013 separate returns. Www hrblock Waiver, Waiver of Penalty When charged, When penalty is charged. Www hrblock Unemployment compensation, Unemployment Compensation, Form 1099-G. Www hrblock W Wages and salaries, Salaries and Wages Waiver of penalty, Waiver of Penalty Withholding Allowances, Withholding Allowances, Alternative method of figuring withholding allowances. Www hrblock , Only one job (worksheet line B). Www hrblock Personal Allowances Worksheet, Personal Allowances Worksheet Amended returns, Form Received After Filing Amount of tax withheld, Form W-4, Determining Amount of Tax Withheld Using Form W-4 Annuities, Pensions and Annuities Backup withholding, Backup Withholding Changing, Changing Your Withholding Checking amount of, Checking Your Withholding Choosing not to withhold, Choosing Not To Have Income Tax Withheld Community property states, Community property states. Www hrblock Credit against income tax, Withholding Cumulative wage method, Cumulative Wage Method Deductions and adjustments worksheet, Deductions and Adjustments Worksheet Divorced taxpayers, Single. Www hrblock Domestic help, Household workers. Www hrblock Employers' rules, Rules Your Employer Must Follow Estimated tax, Withholding—line 15. Www hrblock Excess social security and railroad retirement taxes, Excess Social Security or Railroad Retirement Tax Withholding Exemption from, Exemption From Withholding Farmworkers, Farmworkers. Www hrblock Fiscal years, Fiscal Years (FY) Form received after filing, Form Received After Filing Form W-2, Form W-2 Form W-2c, Form Not Correct Form W-2G, Form W-2G. Www hrblock , Form W-2G Form W-4, Determining Amount of Tax Withheld Using Form W-4 Fringe benefits, Taxable Fringe Benefits Gambling winnings, Gambling Winnings, Backup withholding on gambling winnings. Www hrblock , Form W-2G Getting right amount of tax withheld, Getting the Right Amount of Tax Withheld, IRS Withholding Calculator. Www hrblock Household workers, Household workers. Www hrblock Marital status, Marital Status Married taxpayers, Married. Www hrblock , Married individuals. Www hrblock Multiple jobs, Multiple jobs. Www hrblock Noncitizens, Single. Www hrblock , Employees who are not citizens or residents. Www hrblock Nonperiodic payments, Nonperiodic Payments Part-year method, Part-Year Method Penalties, Penalties Pensions, Pensions and Annuities Periodic payments, Periodic Payments Railroad retirement benefits, Federal Payments Repaying withheld tax, Repaying withheld tax. Www hrblock Rollovers, Eligible Rollover Distributions Salaries and wages, Salaries and Wages Separate returns, Separate Returns Sick pay, Sick Pay Single taxpayers, Single. Www hrblock Social security (FICA) tax, Reminders, Federal Payments Tips, Tips Types of income, Introduction, Salaries and Wages Underpayment penalty, Paid through withholding. Www hrblock , Actual withholding method. Www hrblock Unemployment compensation, Unemployment Compensation Worksheet for Form 2210, Part IV, Section B-Figure the Penalty Penalty Worksheet, Worksheet for Form 2210, Part IV, Section B—Figuring the Penalty Worksheets (blank) Annualized - Capital gains (Worksheet 2-12), Worksheet 2-12. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Annualized - Foreign Earned Income (Worksheet 2-13), Worksheet 2-13. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 12 Foreign Earned Income Tax Worksheet Annualized - Phaseout of itemized deductions (Worksheet 2-10), Worksheet 2-10. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 6 Phaseout of Itemized Deductions Annualized - Qualified dividends (Worksheet 2-12), Worksheet 2-12. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Annualized - Reduction of exemption amount (Worksheet 2-11), Worksheet 2-11. Www hrblock 2014 Annualized Estimated Tax Worksheet—Line 10 Reduction of Exemption Amount Annualized estimated tax (Worksheet 2-9), Worksheet 2-9. Www hrblock 2014 Annualized Estimated Tax Worksheet, Worksheet 2-9. Www hrblock 2014 Annualized Estimated Tax Worksheet(Continued) Capital gains tax worksheet Worksheet 4-1, Worksheet 4-1. Www hrblock 2013 Form 2210, Schedule AI—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Dependents (age 65 or older or blind) exemption from withholding (Worksheet 1-4), Worksheet 1-4. Www hrblock Exemption From Withholding for Dependents Age 65 or Older or Blind Estimated tax worksheets (Worksheet 2-1), Worksheet 2-1. Www hrblock 2014 Estimated Tax Worksheet Foreign earned income (Worksheet 2-8), Worksheet 2-8. Www hrblock 2014 Estimated Tax Worksheet—Line 6 Foreign Earned Income Tax Worksheet Phaseout of itemized deductions (Worksheet 2-5), Worksheet 2-5. Www hrblock 2014 Estimated Tax Worksheet—Line 2 Phaseout of Itemized Deductions Qualified dividends Worksheet 4-1, Worksheet 4-1. Www hrblock 2013 Form 2210, Schedule AI—Line 12 Qualified Dividends and Capital Gain Tax Worksheet Railroad retirement benefits (Worksheet 2-2), Worksheet 2-2. Www hrblock 2014 Estimated Tax Worksheet—Line 1 Estimated Taxable Social Security and Railroad Retirement Benefits Reduction of exemption amount (Worksheet 2-6), Worksheet 2-6. Www hrblock 2014 Estimated Tax Worksheet—Line 4 Reduction of Exemption Amount Self-employment tax and deduction (Worksheet 2-3), Worksheet 2-3. Www hrblock 2014 Estimated Tax Worksheet—Lines 1 and 11 Estimated Self-Employment Tax and Deduction Worksheet Social security benefits (Worksheet 2-2), Worksheet 2-2. Www hrblock 2014 Estimated Tax Worksheet—Line 1 Estimated Taxable Social Security and Railroad Retirement Benefits Standard deduction (Worksheet 2-4), Worksheet 2-4. Www hrblock 2014 Estimated Tax Worksheet—Line 2 Standard Deduction Worksheet Prev  Up     Home   More Online Publications
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Www hrblock Publication 556 - Main Content Table of Contents Examination of ReturnsIf Your Return Is Examined Interest Netting Abatement of Interest Due to Error or Delay by the IRS Abatement of Interest for Individuals Affected by Presidentially Declared Disasters or Military or Terrorist Actions Offer in Compromise Appeal RightsAppeal Within the IRS Appeals to the Courts Refund or Credit of Overpayments Before Final Determination Claims for RefundTime for Filing a Claim for Refund Limit on Amount of Refund Processing Claims for Refund Reduced Refund How To Get Tax Help Examination of Returns Your return may be examined for a variety of reasons, and the examination may take place in any one of several ways. Www hrblock After the examination, if any changes to your tax are proposed, you can either agree with those changes and pay any additional tax you may owe, or you can disagree with the changes and appeal the decision. Www hrblock Examination selection criteria. Www hrblock   Your return may be selected for examination on the basis of computer scoring. Www hrblock A computer program called the Discriminant Inventory Function System (DIF) assigns a numeric score to each individual and some corporate tax returns after they have been processed. Www hrblock If your return is selected because of a high score under the DIF system, the potential is high that an examination of your return will result in a change to your income tax liability. Www hrblock   Your return may also be selected for examination on the basis of information received from third-party documentation, such as Forms 1099 and W-2, that does not match the information reported on your return. Www hrblock Or, your return may be selected to address both the questionable treatment of an item and to study the behavior of similar taxpayers (a market segment) in handling a tax issue. Www hrblock   In addition, your return may be selected as a result of information received from other sources on potential noncompliance with the tax laws or inaccurate filing. Www hrblock This information can come from a number of sources, including newspapers, public records, and individuals. Www hrblock The information is evaluated for reliability and accuracy before it is used as the basis of an examination or investigation. Www hrblock Notice of IRS contact of third parties. Www hrblock    The IRS must give you reasonable notice before contacting other persons about your tax matters. Www hrblock You must be given reasonable notice in advance that, in examining or collecting your tax liability, the IRS may contact third parties such as your neighbors, banks, employers, or employees. Www hrblock The IRS must also give you notice of specific contacts by providing you with a record of persons contacted on both a periodic basis and upon your request. Www hrblock    This provision does not apply: To any pending criminal investigation, When providing notice would jeopardize collection of any tax liability, Where providing notice may result in reprisal against any person, or When you authorized the contact. Www hrblock Taxpayer Advocate Service. Www hrblock   The Taxpayer Advocate Service is an independent organization within the IRS whose goal is to help taxpayers resolve problems with the IRS. Www hrblock If you have an ongoing issue with the IRS that has not been resolved through normal processes, or your problems with the IRS are causing financial difficulty, contact the Taxpayer Advocate Service. Www hrblock    Before contacting the Taxpayer Advocate Service, you should first discuss any problem with a supervisor. Www hrblock Your local Taxpayer Advocate will assist you if you are unable to resolve the problem with the supervisor. Www hrblock   For more information, see Publication 1546. Www hrblock See How To Get Tax Help , near the end of this publication, for more information about contacting the Taxpayer Advocate Service. Www hrblock Comments from small business. Www hrblock    The Small Business and Agricultural Regulatory Enforcement Ombudsman and 10 Regional Fairness Boards have been established to receive comments from small business about federal agency enforcement actions. Www hrblock The Ombudsman will annually evaluate the enforcement activities of each agency and rate their responsiveness to small business. Www hrblock If you wish to comment on the enforcement actions of the IRS, you can take any of the following steps. Www hrblock Fax your comments to 1-202-481-5719. Www hrblock Write to the following address: Office of the National Ombudsman U. Www hrblock S. Www hrblock Small Business Administration 409 3rd Street, SW Washington, DC 20416 Call 1-888-734-3247. Www hrblock Send an email to ombudsman@sba. Www hrblock gov. Www hrblock File a comment or complaint online at www. Www hrblock sba. Www hrblock gov/ombudsman. Www hrblock If Your Return Is Examined Some examinations are handled entirely by mail. Www hrblock Examinations not handled by mail can take place in your home, your place of business, an Internal Revenue office, or the office of your authorized representative. Www hrblock If the time, place, or method is not convenient for you, the examiner will try to work out something more suitable. Www hrblock However, the IRS makes the final determination of when, where, and how the examination will take place. Www hrblock Throughout the examination, you can act on your own behalf or have someone represent you or accompany you. Www hrblock If you filed a joint return, either you or your spouse, or both, can meet with the IRS. Www hrblock The person representing you can be any federally authorized practitioner, including an attorney, a certified public accountant, an enrolled agent (a person enrolled to practice before the IRS), an enrolled actuary, or the person who prepared the return and signed it as the preparer. Www hrblock If you want someone to represent you in your absence, you must furnish that person with proper written authorization. Www hrblock You can use Form 2848 or any other properly written authorization. Www hrblock If you want to consult with an attorney, a certified public accountant, an enrolled agent, or any other person permitted to represent a taxpayer during an interview for examining a tax return or collecting tax, you should make arrangements with that person to be available for the interview. Www hrblock In most cases, the IRS must suspend the interview and reschedule it. Www hrblock The IRS cannot suspend the interview if you are there because of an administrative summons. Www hrblock Third party authorization. Www hrblock   If you checked the box in the signature area of your income tax return (Form 1040, Form 1040A, or Form 1040EZ) to allow the IRS to discuss your return with another person (a third party designee), this authorization does not replace Form 2848. Www hrblock The box you checked on your return only authorizes the other person to receive information about the processing of your return and the status of your refund during the period your return is being processed. Www hrblock For more information, see the instructions for your return. Www hrblock Confidentiality privilege. Www hrblock   Generally, the same confidentiality protection that you have with an attorney also applies to certain communications that you have with federally authorized practitioners. Www hrblock   Confidential communications are those that: Advise you on tax matters within the scope of the practitioner's authority to practice before the IRS, Would be confidential between an attorney and you, and Relate to noncriminal tax matters before the IRS, or Relate to noncriminal tax proceedings brought in federal court by or against the United States. Www hrblock   In the case of communications in connection with the promotion of a person's participation in a tax shelter, the confidentiality privilege does not apply to written communications between a federally authorized practitioner and that person, any director, officer, employee, agent, or representative of that person, or any other person holding a capital or profits interest in that person. Www hrblock   A tax shelter is any entity, plan, or arrangement, a significant purpose of which is the avoidance or evasion of income tax. Www hrblock Recordings. Www hrblock    You can make an audio recording of the examination interview. Www hrblock Your request to record the interview should be made in writing. Www hrblock You must notify the examiner 10 days in advance and bring your own recording equipment. Www hrblock The IRS also can record an interview. Www hrblock If the IRS initiates the recording, you must be notified 10 days in advance and you can get a copy of the recording at your expense. Www hrblock Transfers to another area. Www hrblock    Generally, your return is examined in the area where you live. Www hrblock But if your return can be examined more quickly and conveniently in another area, such as where your books and records are located, you can ask to have the case transferred to that area. Www hrblock Repeat examinations. Www hrblock    The IRS tries to avoid repeat examinations of the same items, but sometimes this happens. Www hrblock If your tax return was examined for the same items in either of the 2 previous years and no change was proposed to your tax liability, please contact the IRS as soon as possible to see if the examination should be discontinued. Www hrblock The Examination An examination usually begins when you are notified that your return has been selected. Www hrblock The IRS will tell you which records you will need. Www hrblock The examination can proceed more easily if you gather your records before any interview. Www hrblock Any proposed changes to your return will be explained to you or your authorized representative. Www hrblock It is important that you understand the reasons for any proposed changes. Www hrblock You should not hesitate to ask about anything that is unclear to you. Www hrblock The IRS must follow the tax laws set forth by Congress in the Internal Revenue Code. Www hrblock The IRS also follows Treasury Regulations, other rules, and procedures that were written to administer the tax laws and court decisions. Www hrblock However, the IRS can lose cases that involve taxpayers with the same issue and still apply its interpretation of the law to your situation. Www hrblock Most taxpayers agree to changes proposed by examiners, and the examinations are closed at this level. Www hrblock If you do not agree, you can appeal any proposed change by following the procedures provided to you by the IRS. Www hrblock A more complete discussion of appeal rights is found later under Appeal Rights . Www hrblock If You Agree If you agree with the proposed changes, you can sign an agreement form and pay any additional tax you may owe. Www hrblock You must pay interest on any additional tax. Www hrblock If you pay when you sign the agreement, the interest is generally figured from the due date of your return (excluding any extension of time to file) to the date of your payment. Www hrblock If you do not pay the additional tax when you sign the agreement, you will receive a bill that includes interest. Www hrblock If you pay the amount due within 10 business days of the billing date, you will not have to pay more interest or penalties. Www hrblock This period is extended to 21 calendar days if the amount due is less than $100,000. Www hrblock If you are due a refund, you will receive it sooner if you sign the agreement form. Www hrblock You will be paid interest on the refund. Www hrblock If the IRS accepts your tax return as filed, you will receive a letter in a few weeks stating that the examiner proposed no changes to your return. Www hrblock You should keep this letter with your tax records. Www hrblock If You Do Not Agree If you do not agree with the proposed changes, the examiner will explain your appeal rights. Www hrblock If your examination takes place in an IRS office, you can request an immediate meeting with the examiner's supervisor to explain your position. Www hrblock If an agreement is reached, your case will be closed. Www hrblock If you cannot reach an agreement with the supervisor at this meeting, or if the examination took place outside of an IRS office, the examiner will write up your case explaining your position and the IRS's position. Www hrblock The examiner will forward your case for processing. Www hrblock Fast track mediation. Www hrblock   The IRS offers fast track mediation services to help taxpayers resolve many disputes resulting from: Examinations (audits), Offers in compromise, Trust fund recovery penalties, and Other collection actions. Www hrblock   Most cases that are not docketed in any court qualify for fast track mediation. Www hrblock Mediation can take place at a conference you request with a supervisor, or later. Www hrblock The process involves an Appeals Officer who has been trained in mediation. Www hrblock You may represent yourself at the mediation session, or someone else can act as your representative. Www hrblock For more information, see Publication 3605. Www hrblock 30-day letter and 90-day letter. Www hrblock   Within a few weeks after your closing conference with the examiner and/or supervisor, you will receive a package with: A letter (known as a 30-day letter) notifying you of your right to appeal the proposed changes within 30 days, A copy of the examination report explaining the examiner's proposed changes, An agreement or waiver form, and A copy of Publication 5. Www hrblock You generally have 30 days from the date of the 30-day letter to tell the IRS whether you will accept or appeal the proposed changes. Www hrblock The letter will explain what steps you should take, depending on which action you choose. Www hrblock Be sure to follow the instructions carefully. Www hrblock Appeal Rights are explained later. Www hrblock 90-day letter. Www hrblock   If you do not respond to the 30-day letter, or if you later do not reach an agreement with an Appeals Officer, the IRS will send you a 90-day letter, which is also known as a notice of deficiency. Www hrblock You will have 90 days (150 days if it is addressed to you outside the United States) from the date of this notice to file a petition with the Tax Court. Www hrblock Filing a petition with the Tax Court is discussed later under Appeals to the Courts and Tax Court . Www hrblock The notice will show the 90th (or 150th) day by which you must file your petition with the Tax Court. Www hrblock Suspension of interest and penalties. Www hrblock   Generally, the IRS has 3 years from the date you filed your return (or the date the return was due, if later) to assess any additional tax. Www hrblock However, if you file your return timely (including extensions), interest and certain penalties will be suspended if the IRS does not mail a notice to you, stating your liability and the basis for that liability, within a 36-month period beginning on the later of: The date on which you filed your tax return, or The due date (without extensions) of your tax return. Www hrblock If the IRS mails a notice after the 36-month period, interest and certain penalties applicable to the suspension period will be suspended. Www hrblock   The suspension period begins the day after the close of the 36-month period and ends 21 days after the IRS mails a notice to you stating your liability and the basis for that liability. Www hrblock Also, the suspension period applies separately to each notice stating your liability and the basis for that liability received by you. Www hrblock    The suspension does not apply to a: Failure-to-pay penalty, Fraudulent tax return, Penalty, interest, addition to tax, or additional amount with respect to any tax liability shown on your return or with respect to any gross misstatement, Penalty, interest, addition to tax, or additional amount with respect to any reportable transaction that is not adequately disclosed or any listed transaction, or Criminal penalty. Www hrblock Seeking relief from improperly assessed interest. Www hrblock   You can seek relief if interest is assessed for periods during which interest should have been suspended because the IRS did not mail a notice to you in a timely manner. Www hrblock   If you believe that interest was assessed with respect to a period during which interest should have been suspended, submit Form 843, writing “Section 6404(g) Notification” at the top of the form, with the IRS Service Center where you filed your return. Www hrblock The IRS will review the Form 843 and notify you whether interest will be abated. Www hrblock If the IRS does not abate interest, you can pay the disputed interest assessment and file a claim for refund. Www hrblock If your claim is denied or not acted upon within 6 months from the date you filed it, you can file suit for a refund in your United States District Court or in the United States Court of Federal Claims. Www hrblock   If you believe that an IRS officer or employee has made an unreasonable error or delay in performing a ministerial or managerial act (discussed later under Abatement of Interest Due to Error or Delay by the IRS ), file Form 843 with the IRS Service Center where you filed the tax return. Www hrblock If the IRS denies your claim, the Tax Court may be able to review that determination. Www hrblock See Tax Court can review failure to abate interest later under Abatement of Interest Due to Error or Delay by the IRS . Www hrblock If you later agree. Www hrblock    If you agree with the examiner's changes after receiving the examination report or the 30-day letter, sign and return either the examination report or the waiver form. Www hrblock Keep a copy for your records. Www hrblock You can pay any additional amount you owe without waiting for a bill. Www hrblock Include interest on the additional tax at the applicable rate. Www hrblock This interest rate is usually for the period from the due date of the return (excluding any extension of time to file) to the date of payment. Www hrblock The examiner can tell you the interest rate(s) or help you figure the amount. Www hrblock   You must pay interest on penalties and additions to tax for failing to file returns, for overstating valuations, for understating valuations on estate and gift tax returns, and for substantially understating tax liability. Www hrblock Interest is generally figured from the date (including extensions) the tax return is required to be filed to the date you pay the penalty and/or additions to tax. Www hrblock   If you pay the amount due within 10 business days after the date of notice and demand for immediate payment, you will not have to pay any additional penalties and interest. Www hrblock This period is extended to 21 calendar days if the amount due is less than $100,000. Www hrblock How To Stop Interest From Accruing If you think that you will owe additional tax at the end of the examination, you can stop the further accrual of interest by sending money to the IRS to cover all or part of the amount you think you will owe. Www hrblock Interest on part or all of any amount you owe will stop accruing on the date the IRS receives your money. Www hrblock You can send an amount either in the form of a deposit in the nature of a cash bond or as a payment of tax. Www hrblock Both a deposit and a payment stop any further accrual of interest. Www hrblock However, making a deposit or payment will stop the accrual of interest on only the amount you sent. Www hrblock Because of compounding rules, interest will continue to accrue on accrued interest, even though you have paid the underlying tax. Www hrblock To stop the accrual of interest on both tax and interest, you must make a deposit or payment for both the tax and interest that has accrued as of the date of deposit or payment. Www hrblock Payment or Deposit Deposits differ from payments in two ways: You can have all or part of your deposit returned to you without filing for a refund. Www hrblock However, if you request and receive your deposit and the IRS later assesses a deficiency for that period and type of tax, interest will be figured as if the funds were never on deposit. Www hrblock Also, your deposit will not be returned if one of the following situations applies: The IRS assesses a tax liability. Www hrblock The IRS determines that, by returning the deposit, it may not be able to collect a future deficiency. Www hrblock The IRS determines that the deposit should be applied against another tax liability. Www hrblock Deposits returned to you will include interest based on the Federal short-term rate determined under section 6621(b). Www hrblock The deposit returned will be treated as a tax payment to the extent of the disputed tax. Www hrblock A disputed tax means the amount of tax specified at the time of deposit as a reasonable estimate of the maximum amount of any tax owed by you, such as the deficiency proposed in the 30-day letter. Www hrblock Notice not mailed. Www hrblock    If you send money before the IRS mails you a notice of deficiency, you can ask the IRS to treat it as a deposit. Www hrblock You must make your request in writing. Www hrblock   If, after being notified of a proposed liability but before the IRS mails you a notice of deficiency, you send an amount large enough to cover the proposed liability, it will be considered a payment unless you request in writing that it be treated as a deposit. Www hrblock Keep copies of all correspondence you send to the IRS. Www hrblock   If the amount you send is at least as much as the proposed liability and you do not request that it be treated as a deposit, the IRS will not send you a notice of deficiency. Www hrblock If you do not receive a notice of deficiency, you cannot take your case to the Tax Court. Www hrblock See Tax Court , later under Appeal Rights . Www hrblock Notice mailed. Www hrblock    If, after the IRS mails the notice of deficiency, you send money without written instructions, it will be treated as a payment. Www hrblock You will still be able to petition the Tax Court. Www hrblock   If you send money after receiving a notice of deficiency and you have specified in writing that it is a “deposit in the nature of a cash bond,” the IRS will treat it as a deposit if you send it before either: The close of the 90-day or 150-day period for filing a petition with the Tax Court to appeal the deficiency, or The date the Tax Court decision is final, if you have filed a petition. Www hrblock Using a Deposit To Pay the Tax If you agree with the examiner's proposed changes after the examination, your deposit will be applied against any amount you may owe. Www hrblock The IRS will not mail you a notice of deficiency and you will not have the right to take your case to the Tax Court. Www hrblock If you do not agree to the full amount of the deficiency after the examination, the IRS will mail you a notice of deficiency. Www hrblock Your deposit will be applied against the proposed deficiency unless you write to the IRS before the end of the 90-day or 150-day period stating that you still want the money to be treated as a deposit. Www hrblock You will still have the right to take your case to the Tax Court. Www hrblock Installment Agreement Request You can request a monthly installment plan if you cannot pay the full amount you owe. Www hrblock To be valid, your request must be approved by the IRS. Www hrblock However, if you owe $10,000 or less in tax and you meet certain other criteria, the IRS must accept your request. Www hrblock Before you request an installment agreement, you should consider other less costly alternatives, such as a bank loan. Www hrblock You will continue to be charged interest and penalties on the amount you owe until it is paid in full. Www hrblock Unless your income is below a certain level, the fee for an approved installment agreement has increased to $105 ($52 if you make your payments by electronic funds withdrawal). Www hrblock If your income is below a certain level, you may qualify to pay a reduced fee of $43. Www hrblock For more information about installment agreements, see Form 9465, Installment Agreement Request. Www hrblock Interest Netting If you owe interest to the IRS on an underpayment for the same period the IRS owes you interest on an overpayment, the IRS will figure interest on the underpayment and overpayment at the same interest rate (up to the amount of the overpayment). Www hrblock As a result, the net rate is zero for that period. Www hrblock Abatement of Interest Due to Error or Delay by the IRS The IRS may abate (reduce) the amount of interest you owe if the interest is due to an unreasonable error or delay by an IRS officer or employee in performing a ministerial or managerial act (discussed later). Www hrblock Only the amount of interest on income, estate, gift, generation-skipping, and certain excise taxes can be reduced. Www hrblock The amount of interest will not be reduced if you or anyone related to you contributed significantly to the error or delay. Www hrblock Also, the interest will be reduced only if the error or delay happened after the IRS contacted you in writing about the deficiency or payment on which the interest is based. Www hrblock An audit notification letter is such a contact. Www hrblock The IRS cannot reduce the amount of interest due to a general administrative decision, such as a decision on how to organize the processing of tax returns. Www hrblock Ministerial act. Www hrblock    This is a procedural or mechanical act, not involving the exercise of judgment or discretion, during the processing of a case after all prerequisites (for example, conferences and review by supervisors) have taken place. Www hrblock A decision concerning the proper application of federal tax law (or other federal or state law) is not a ministerial act. Www hrblock Example 1. Www hrblock You move from one state to another before the IRS selects your tax return for examination. Www hrblock A letter stating that your return has been selected is sent to your old address and then forwarded to your new address. Www hrblock When you get the letter, you respond with a request that the examination be transferred to the area office closest to your new address. Www hrblock The examination group manager approves your request. Www hrblock After your request has been approved, the transfer is a ministerial act. Www hrblock The IRS can reduce the interest because of any unreasonable delay in transferring the case. Www hrblock Example 2. Www hrblock An examination of your return reveals tax due for which a notice of deficiency (90-day letter) will be issued. Www hrblock After you and the IRS discuss the issues, the notice is prepared and reviewed. Www hrblock After the review process, issuing the notice of deficiency is a ministerial act. Www hrblock If there is an unreasonable delay in sending the notice of deficiency to you, the IRS can reduce the interest resulting from the delay. Www hrblock Managerial act. Www hrblock    This is an administrative act during the processing of a case that involves the loss of records or the exercise of judgment or discretion concerning the management of personnel. Www hrblock A decision concerning the proper application of federal tax law (or other federal or state law) is not a managerial act. Www hrblock Example. Www hrblock A revenue agent is examining your tax return. Www hrblock During the middle of the examination, the agent is sent to an extended training course. Www hrblock The agent's supervisor decides not to reassign your case, so the work is unreasonably delayed until the agent returns. Www hrblock Interest from the unreasonable delay can be abated since both the decision to send the agent to the training class and not to reassign the case are managerial acts. Www hrblock How to request abatement of interest. Www hrblock    You request an abatement (reduction) of interest on Form 843. Www hrblock You should file the claim with the IRS Service Center where you filed the tax return that was affected by the error or delay. Www hrblock   If you have already paid the interest and you would like a credit or refund of interest paid, you must file Form 843 within 3 years from the date you filed your original return or 2 years from the date you paid the interest, whichever is later. Www hrblock If you have not paid any of the interest, these time limitations for filing Form 843 do not apply. Www hrblock   Generally, you should file a separate Form 843 for each tax period and each type of tax. Www hrblock However, complete only one Form 843 if the interest is from an IRS error or delay that affected your tax for more than one tax period or for more than one type of tax (for example, where 2 or more tax years were being examined). Www hrblock   If your request for abatement of interest is denied, you can appeal the decision to the IRS Appeals Office. Www hrblock Tax Court can review failure to abate interest. Www hrblock    The Tax Court can review the IRS's refusal to abate (reduce) interest if all of the following requirements are met: You filed a request for abatement of interest (Form 843) with the IRS after July 30,1996. Www hrblock The IRS has mailed you a notice of final determination or a notice of disallowance. Www hrblock You file a petition with the Tax Court within 180 days of the mailing of the notice of final determination or the notice of disallowance. Www hrblock   The following requirements must also be met: For individual and estate taxpayers — your net worth must not exceed $2 million as of the filing date of your petition for review. Www hrblock For this purpose, individuals filing a joint return shall be treated as separate individuals. Www hrblock For charities and certain cooperatives — you must not have more than 500 employees as of the filing date of your petition for review. Www hrblock For all other taxpayers — your net worth must not exceed $7 million, and you must not have more than 500 employees as of the filing date of your petition for review. Www hrblock Abatement of Interest for Individuals Affected by Presidentially Declared Disasters or Military or Terrorist Actions If you are (or were) affected by a Presidentially declared disaster occurring after 1996 or a terrorist or military action occurring after September 10, 2001, the IRS may abate (reduce) the amount of interest you owe on certain taxes. Www hrblock The IRS may abate interest for the period of any additional time to file or pay that the IRS provides on account of the disaster or the terrorist or military action. Www hrblock The IRS will issue a notice or news release indicating who are affected taxpayers and stating the period of relief. Www hrblock If you are eligible for relief from interest, but were charged interest for the period of relief, the IRS may retroactively abate your interest. Www hrblock To the extent possible, the IRS can take the following actions: Make appropriate adjustments to your account. Www hrblock Notify you when the adjustments are made. Www hrblock Refund any interest paid by you where appropriate. Www hrblock For more information on disaster area losses, see Disaster Area Losses in Publication 547. Www hrblock For more information on other tax relief for victims of terrorist attacks, see Publication 3920. Www hrblock Offer in Compromise In certain circumstances, the IRS will allow you to pay less than the full amount you owe. Www hrblock If you think you may qualify, you should submit your offer by filing Form 656, Offer in Compromise. Www hrblock The IRS may accept your offer for any of the following reasons: There is doubt about the amount you owe (or whether you owe it). Www hrblock There is doubt as to whether you can pay the amount you owe based on your financial situation. Www hrblock An economic hardship would result if you had to pay the full amount owed. Www hrblock Your case presents compelling reasons that the IRS determines are a sufficient basis for compromise. Www hrblock If your offer is rejected, you have 30 days to ask the Appeals Office of the IRS to reconsider your offer. Www hrblock The IRS offers fast track mediation services to help taxpayers resolve many issues including a dispute regarding an offer in compromise. Www hrblock For more information, see Publication 3605. Www hrblock Generally, if you submit an offer in compromise, the IRS will delay certain collection activities. Www hrblock The IRS usually will not levy (take) your property to settle your tax bill during the following periods: While the IRS is evaluating your offer in compromise. Www hrblock The 30 days immediately after the offer is rejected. Www hrblock While your timely-filed appeal is being considered by Appeals. Www hrblock Also, if the IRS rejects your original offer and you submit a revised offer within 30 days of the rejection, the IRS generally will not levy your property while it considers your revised offer. Www hrblock For more information about submitting an offer in compromise, see Form 656. Www hrblock Appeal Rights Because people sometimes disagree on tax matters, the IRS has an appeals system. Www hrblock Most differences can be settled within this system without expensive and time-consuming court trials. Www hrblock However, your reasons for disagreeing must come within the scope of the tax laws. Www hrblock For example, you cannot appeal your case based only on moral, religious, political, constitutional, conscientious, or similar grounds. Www hrblock In most instances, you may be eligible to take your case to court if you do not reach an agreement at your appeals conference, or if you do not want to appeal your case to the IRS Office of Appeals. Www hrblock See Appeals to the Courts , later, for more information. Www hrblock Appeal Within the IRS You can appeal an IRS tax decision to a local Appeals Office, which is separate from and independent of the IRS office taking the action you disagree with. Www hrblock The Appeals Office is the only level of appeal within the IRS. Www hrblock Conferences with Appeals Office personnel are held in an informal manner by correspondence, by telephone, or at a personal conference. Www hrblock If you want an appeals conference, follow the instructions in the letter you received. Www hrblock Your request will be sent to the Appeals Office to arrange a conference at a convenient time and place. Www hrblock You or your representative should be prepared to discuss all disputed issues at the conference. Www hrblock Most differences are settled at this level. Www hrblock If agreement is not reached at your appeals conference, you may be eligible to take your case to court. Www hrblock See Appeals to the Courts , later. Www hrblock Protests and Small Case Requests When you request an Appeals conference, you may also need to file either a formal written protest or a small case request with the office named in the letter you received. Www hrblock Also, see the special appeal request procedures in Publication 1660. Www hrblock Written protest. Www hrblock   You need to file a written protest in the following cases: All employee plan and exempt organization cases without regard to the dollar amount at issue. Www hrblock All partnership and S corporation cases without regard to the dollar amount at issue. Www hrblock All other cases, unless you qualify for the small case request procedure, or other special appeal procedures such as requesting Appeals consideration of liens, levies, seizures, or installment agreements. Www hrblock   If you must submit a written protest, see the instructions in Publication 5 about the information you need to provide. Www hrblock The IRS urges you to provide as much information as you can, as it will help speed up your appeal. Www hrblock That will save you both time and money. Www hrblock    Be sure to send the protest within the time limit specified in the letter you received. Www hrblock Small case request. Www hrblock   If the total amount for any tax period is not more than $25,000, you may make a small case request instead of filing a formal written protest. Www hrblock In figuring the total amount, include a proposed increase or decrease in tax (including penalties), or claimed refund. Www hrblock If you are making an offer in compromise, include total unpaid tax, penalty, and interest due. Www hrblock For a small case request, follow the instructions in our letter to you by sending a letter: Requesting Appeals consideration, Indicating the changes you do not agree with, and Indicating the reasons why you do not agree. Www hrblock Representation You can represent yourself at your appeals conference, or you can be represented by any federally authorized practitioner, including an attorney, a certified public accountant, an enrolled actuary, or an enrolled agent. Www hrblock If your representative attends a conference without you, he or she can receive or inspect confidential information only if you have filed a power of attorney or a tax information authorization. Www hrblock You can use a Form 2848 or any other properly written power of attorney or authorization. Www hrblock You can also bring witnesses to support your position. Www hrblock Confidentiality privilege. Www hrblock   Generally, the same confidentiality protection that you have with an attorney also applies to certain communications that you have with federally authorized practitioners. Www hrblock See Confidentiality privilege under If Your Return Is Examined , earlier. Www hrblock Appeals to the Courts If you and the IRS still disagree after the appeals conference, you may be entitled to take your case to the United States Tax Court, the United States Court of Federal Claims, or a United States District Court. Www hrblock These courts are independent of the IRS. Www hrblock If you elect to bypass the IRS's appeals system, you may be able to take your case to one of the courts listed above. Www hrblock However, a case petitioned to the United States Tax Court will normally be considered for settlement by an Appeals Officer before the Tax Court hears the case. Www hrblock If you unreasonably fail to pursue the IRS's appeals system, or if your case is intended primarily to cause a delay, or your position is frivolous or groundless, the Tax Court may impose a penalty of up to $25,000. Www hrblock See Appeal Within the IRS, earlier. Www hrblock Prohibition on requests to taxpayers to give up rights to bring civil action. Www hrblock   The Government cannot ask you to waive your right to sue the United States or a Government officer or employee for any action taken in connection with the tax laws. Www hrblock However, your right to sue can be waived if: You knowingly and voluntarily waive that right, The request to waive that right is made in writing to your attorney or other federally authorized practitioner, or The request is made in person and your attorney or other representative is present. Www hrblock Burden of proof. Www hrblock   For court proceedings resulting from examinations started after July 22, 1998, the IRS generally has the burden of proof for any factual issue if you have met the following requirements: You introduced credible evidence relating to the issue. Www hrblock You complied with all substantiation requirements of the Internal Revenue Code. Www hrblock You maintained all records required by the Internal Revenue Code. Www hrblock You cooperated with all reasonable requests by the IRS for information regarding the preparation and related tax treatment of any item reported on your tax return. Www hrblock You had a net worth of $7 million or less and not more than 500 employees at the time your tax liability is contested in any court proceeding if your tax return is for a corporation, partnership, or trust. Www hrblock    The burden of proof does not change on an issue when another provision of the tax laws requires a specific burden of proof with respect to that issue. Www hrblock Use of statistical information. Www hrblock   In the case of an individual, the IRS has the burden of proof in court proceedings based on any IRS reconstruction of income solely through the use of statistical information on unrelated taxpayers. Www hrblock Penalties. Www hrblock   The IRS has the burden of initially producing evidence in court proceedings with respect to the liability of any individual taxpayer for any penalty, addition to tax, or additional amount imposed by the tax laws. Www hrblock Recovering litigation or administrative costs. Www hrblock   These are the expenses that you pay to defend your position to the IRS or the courts. Www hrblock You may be able to recover reasonable litigation or administrative costs if all of the following conditions apply: You are the prevailing party. Www hrblock You exhaust all administrative remedies within the IRS. Www hrblock Your net worth is below a certain limit (see Net worth requirements , later). Www hrblock You do not unreasonably delay the proceeding. Www hrblock You apply for administrative costs within 90 days of the date on which the final decision of the IRS Office of Appeals as to the determination of the tax, interest, or penalty was mailed to you. Www hrblock You apply for litigation costs within the time frames provided by Tax Court Rule 231, found at http://www. Www hrblock ustaxcourt. Www hrblock gov  www. Www hrblock ustaxcourt. Www hrblock gov . Www hrblock   Prevailing party, reasonable litigation costs, and reasonable administrative costs are explained later. Www hrblock Note. Www hrblock If the IRS denies your award of administrative costs, and you want to appeal, you must petition the Tax Court within 90 days of the date on which the IRS mails the denial notice. Www hrblock Prevailing party. Www hrblock   Generally, you are the prevailing party if: You substantially prevail with respect to the amount in controversy or on the most significant tax issue or set of issues in question, and You meet the net worth requirements, discussed later. Www hrblock   You will not be treated as the prevailing party if the United States establishes that its position was substantially justified. Www hrblock The position of the United States is presumed not to be substantially justified if the IRS: Did not follow its applicable published guidance (such as regulations, revenue rulings, notices, announcements, private letter rulings, technical advice memoranda, and determination letters issued to the taxpayer) in the proceeding (This presumption can be overcome by evidence. Www hrblock ), or Has lost in courts of appeal for other circuits on substantially similar issues. Www hrblock   The court will generally decide who is the prevailing party. Www hrblock Reasonable litigation costs. Www hrblock   These include the following costs: Reasonable court costs. Www hrblock The reasonable costs of studies, analyses, engineering reports, tests, or projects found by the court to be necessary for the preparation of your case. Www hrblock The reasonable costs of expert witnesses. Www hrblock Attorney fees that generally may not exceed $125 maximum hourly rate as set by statute and indexed for inflation. Www hrblock See Attorney fees , later. Www hrblock Reasonable administrative costs. Www hrblock   These include the following costs: Any administrative fees or similar charges imposed by the IRS. Www hrblock The reasonable costs of studies, analyses, engineering reports, tests, or projects. Www hrblock The reasonable costs of expert witnesses. Www hrblock Attorney fees that generally may not exceed $125 per hour. Www hrblock See Attorney fees , later. Www hrblock Timing of costs. Www hrblock    Administrative costs can be awarded for costs incurred after the earliest of: The date the first letter of proposed deficiency is sent that allows you an opportunity to request administrative review in the IRS Office of Appeals, The date you receive notice of the IRS Office of Appeals' decision, or The date of the notice of deficiency. Www hrblock Net worth requirements. Www hrblock   An individual taxpayer may be able to recover litigation or administrative costs if the following requirements are met: For individuals — your net worth does not exceed $2 million as of the filing date of your petition for review. Www hrblock For this purpose, individuals filing a joint return are treated as separate individuals. Www hrblock For estates — your net worth does not exceed $2 million as of the date of the decedent's death. Www hrblock For charities and certain cooperatives — you do not have more than 500 employees as of the filing date of your petition for review. Www hrblock For all other taxpayers — as of the filing date of your petition for review, your net worth does not exceed $7 million, and you must not have more than 500 employees. Www hrblock Qualified offer rule. Www hrblock    You can also receive reasonable costs and fees and be treated as a prevailing party in a civil action or proceeding if: You make a qualified offer to the IRS to settle your case, The IRS does not accept that offer, and The tax liability (not including interest, unless interest is at issue) later determined by the court is equal to or less than the amount of your qualified offer. Www hrblock You must also meet the remaining requirements, including the exhaustion of administrative remedies and the net worth requirement, discussed earlier, to get the benefit of the qualified offer rule. Www hrblock Qualified offer. Www hrblock    This is a written offer made by you during the qualified offer period. Www hrblock It must specify both the offered amount of your liability (not including interest) and that it is a qualified offer. Www hrblock   To be a qualified offer, it must remain open from the date it is made until the earliest of: The date it is rejected, The date the trial begins, or 90 days from the date it is made. Www hrblock Qualified offer period. Www hrblock    This period begins on the day the IRS mails you the first letter of proposed deficiency that allows you to request review by the IRS Office of Appeals. Www hrblock It ends 30 days before your case is first set for trial. Www hrblock Attorney fees. Www hrblock   Attorney fees generally may not exceed $125 maximum hourly rate as set by statute and indexed for inflation. Www hrblock However, this amount can be higher in certain limited circumstances depending on the level of difficulty of the issues in the case and the local availability of tax expertise. Www hrblock See IRS. Www hrblock gov for more information. Www hrblock    Attorney fees include the fees paid by a taxpayer for the services of anyone who is authorized to practice before the Tax Court or before the IRS. Www hrblock In addition, attorney fees can be awarded in civil actions for unauthorized inspection or disclosure of a taxpayer's return or return information. Www hrblock   Fees can be awarded in excess of the actual amount charged if: You are represented for no fee, or for a nominal fee, as a pro bono service, and The award is paid to your representative or to your representative's employer. Www hrblock Jurisdiction for determination of employment status. Www hrblock    The Tax Court can review IRS employment status determinations (for example, whether individuals hired by you are in fact your employees or independent contractors) and the amount of employment tax under such determinations. Www hrblock Tax Court review can take place only if, in connection with an audit of any person, there is a controversy involving a determination by the IRS that either: One or more individuals performing services for that person are employees of that person, or That person is not entitled to relief under Section 530(a) of the Revenue Act of 1978 (discussed later). Www hrblock   The following rules also apply to a Tax Court review of employment status: A Tax Court petition to review these determinations can be filed only by the person for whom the services are performed, If you receive a Notice of Determination by certified or registered mail, you must file a petition for Tax Court review within 90 days of the date of mailing that notice (150 days if the notice is addressed to you outside the United States), If during the Tax Court proceeding, you begin to treat as an employee an individual whose employment status is at issue, the Tax Court will not consider that change in its decision, Assessment and collection of tax is suspended while the Tax Court review is taking place, Payment of the asserted employment tax deficiency is not required to petition the U. Www hrblock S. Www hrblock Tax Court for a determination of employment status. Www hrblock There can be a de novo review by the Tax Court (a review which does not consider IRS administrative findings), and At your request and with the Tax Court's agreement, small tax case procedures (discussed later) are available to simplify the case resolution process when the amount at issue (including additions to tax and penalties) is $50,000 or less for each tax period involved. Www hrblock   For further information, see Publication 3953, Questions and Answers About Tax Court Proceedings for Determination of Employment Status Under IRC Section 7436. Www hrblock Section 530(a) of the Revenue Act of 1978. Www hrblock   This section relieves an employer of certain employment tax responsibilities for individuals not treated as employees. Www hrblock It also provides relief to taxpayers under audit or involved in administrative or judicial proceedings. Www hrblock Tax Court review of request for relief from joint and several liability on a joint return. Www hrblock    As discussed later, at Relief from joint and several liability on a joint return under Claims for Refund, you can request relief from liability for tax you owe, plus related penalties and interest, that you believe should be paid by your spouse (or former spouse). Www hrblock You also can petition (ask) the Tax Court to review your request for innocent spouse relief or separation of liability if either: The IRS sends you a determination notice denying, in whole or in part, your request, or You do not receive a determination notice from the IRS within 6 months from the date you file Form 8857. Www hrblock   If you receive a determination notice, you must petition the Tax Court to review your request during the 90-day period that begins on the date the IRS mails the notice. Www hrblock See Publication 971 for more information. Www hrblock Note. Www hrblock Your spouse or former spouse may file a written protest and request an Appeals conference to protest your claim of innocent spouse relief or separation of liability. Www hrblock See Rev. Www hrblock Proc. Www hrblock 2003-19, which is on page 371 of the Internal Revenue Bulletin 2003-5 at  www. Www hrblock irs. Www hrblock gov/pub/irs-irbs/irb03-05. Www hrblock pdf. Www hrblock Tax Court You can take your case to the United States Tax Court if you disagree with the IRS over: Income tax, Estate tax, Gift tax, Employment tax involving IRS employment status determinations, or Certain excise taxes of private foundations, public charities, qualified pension and other retirement plans, or real estate investment trusts. Www hrblock For information on Tax Court review of a determination of employment status, see Jurisdiction for determination of employment status, earlier. Www hrblock For information on Tax Court review of an IRS refusal to abate interest, see Tax Court can review failure to abate interest, earlier under Examination of Returns. Www hrblock For information on Tax Court review of Appeals determinations with respect to lien notices and proposed levies, see Publication 1660. Www hrblock You cannot take your case to the Tax Court before the IRS sends you a notice of deficiency. Www hrblock You can only appeal your case if you file a petition within 90 days from the date the notice is mailed to you (150 days if it is addressed to you outside the United States). Www hrblock The notice will show the 90th (or 150th) day by which you must file your petition with the Tax Court. Www hrblock Withdrawal of notice of deficiency. Www hrblock If you consent, the IRS can withdraw a notice of deficiency. Www hrblock A notice of deficiency may be rescinded if the notice was issued as a result of an administrative error; the taxpayer submits information establishing the actual tax due is less than the amount shown in the notice; the taxpayer specifically requests a conference with the appropriate Appeals office for the purpose of entering into settlement negotiations. Www hrblock However, the notice may be rescinded only if the appropriate Appeals office first decides that the case is susceptible to agreement. Www hrblock See Revenue Procedure 98-54 for a more detailed explanation of the requirements. Www hrblock Once withdrawn, the limits on credits, refunds, and assessments concerning the notice are void, and you and the IRS have the rights and obligations that you had before the notice was issued. Www hrblock The suspension of any time limitation while the notice of deficiency was issued will not change when the notice is withdrawn. Www hrblock After the notice is withdrawn, you cannot file a petition with the Tax Court based on the notice. Www hrblock Also, the IRS can later issue a notice of deficiency in a greater or lesser amount than the amount in the withdrawn deficiency. Www hrblock Generally, the Tax Court hears cases before any tax has been assessed and paid; however, you can pay the tax after the notice of deficiency has been issued and still petition the Tax Court for review. Www hrblock If you do not file your petition on time, the proposed tax will be assessed, a bill will be sent, and you will not be able to take your case to the Tax Court. Www hrblock Under the law, you must pay the tax within 21 days (10 business days if the amount is $100,000 or more). Www hrblock Collection can proceed even if you think that the amount is excessive. Www hrblock Publication 594 explains IRS collection procedures. Www hrblock If you filed your petition on time, the court will schedule your case for trial at a location convenient to you. Www hrblock You can represent yourself before the Tax Court or you can be represented by anyone admitted to practice before that court. Www hrblock Small tax case procedure. Www hrblock   If the amount in your case is $50,000 or less for any 1 tax year or period, you can request that your case be handled under the small tax case procedure. Www hrblock If the Tax Court approves, you can present your case to the Tax Court for a decision that is final and that you cannot appeal. Www hrblock You can get more information regarding the small tax case procedure and other Tax Court matters from the United States Tax Court, 400 Second Street, N. Www hrblock W. Www hrblock , Washington, DC 20217. Www hrblock More information can be found on the Tax Court's website at www. Www hrblock ustaxcourt. Www hrblock gov. Www hrblock Motion to request redetermination of interest. Www hrblock   In certain cases, you can file a motion asking the Tax Court to redetermine the amount of interest on either an underpayment or an overpayment. Www hrblock You can do this only in a situation that meets all of the following requirements: The IRS has assessed a deficiency that was determined by the Tax Court. Www hrblock The assessment included interest. Www hrblock You have paid the entire amount of the deficiency plus the interest claimed by the IRS. Www hrblock The Tax Court has found that you made an overpayment. Www hrblock You must file the motion within one year after the decision of the Tax Court becomes final. Www hrblock District Court and Court of Federal Claims Generally, the District Courts and the Court of Federal Claims hear tax cases only after you have paid the entire tax and penalties, and filed a claim for a credit or refund. Www hrblock The taxpayer may litigate certain types of employment tax cases in either the United States District Court or the United States Court of Federal Claims. Www hrblock Before taxpayers can initiate suit in either of these courts with respect to certain employment taxes, they will have to pay, at a minimum, the employment tax assessment attributable to one employee for any one quarter and file a claim for refund of the tax. Www hrblock Once the claim for refund is denied or 6 months elapse without any action by the IRS, the taxpayer may initiate suit. Www hrblock As explained later under Claims for Refund, you can file a claim with the IRS for a credit or refund if you think that the tax you paid is incorrect or excessive. Www hrblock If your claim is totally or partially disallowed by the IRS, you should receive a notice of claim disallowance. Www hrblock If the IRS does not act on your claim within 6 months from the date you filed it, you can then file suit for a refund. Www hrblock You generally must file suit for a credit or refund no later than 2 years after the IRS informs you that your claim has been rejected. Www hrblock However, you can file suit if it has been 6 months since you filed your claim and the IRS has not yet delivered a decision. Www hrblock You can file suit for a credit or refund in your United States District Court or in the United States Court of Federal Claims. Www hrblock However, you cannot appeal to the United States Court of Federal Claims if your claim is for credit or refund of a penalty that relates to promoting an abusive tax shelter or to aiding and abetting the understatement of tax liability on someone else's return. Www hrblock For information about procedures for filing suit in either court, contact the Clerk of your District Court or of the United States Court of Federal Claims. Www hrblock Refund or Credit of Overpayments Before Final Determination Any court with proper jurisdiction, including the Tax Court, can order the IRS to refund any part of a tax deficiency that the IRS collects from you during a period when the IRS is not permitted to assess that deficiency, or to levy or engage in any court proceeding to collect that deficiency. Www hrblock In addition, the court can order a refund of any part of an overpayment determined by the Tax Court that is not at issue on appeal to a higher court. Www hrblock The court can order these refunds before its decision on the case is final. Www hrblock Taxpayers should thoroughly review IRS settlement offers before signing a Tax Court Decision document to ensure that all adjustments are correct, including the inclusion of any tax credits that the taxpayer is allowed to claim. Www hrblock Note. Www hrblock The court may no longer order a refund of an overpayment after the case is final. Www hrblock Generally, the IRS is not permitted to take action on a tax deficiency during: The 90-day (or 150-day if outside the United States) period that you have to petition a notice of deficiency to the Tax Court, or The period that the case is under appeal if a bond is provided. Www hrblock Claims for Refund If you believe you have overpaid your tax, you have a limited amount of time in which to file a claim for a credit or refund. Www hrblock You can claim a credit or refund by filing Form 1040X. Www hrblock See Time for Filing a Claim for Refund , later. Www hrblock File your claim by mailing it to the IRS Service Center where you filed your original return. Www hrblock File a separate form for each year or period involved. Www hrblock Include an explanation of each item of income, deduction, or credit on which you are basing your claim. Www hrblock Corporations should file Form 1120X, Amended U. Www hrblock S. Www hrblock Corporation Income Tax Return, or other form appropriate to the type of credit or refund claimed. Www hrblock See Publication 3920 for information on filing claims for tax forgiveness for individuals affected by terrorist attacks. Www hrblock Requesting a copy of your tax return. Www hrblock   You can obtain a copy of the actual return and all attachments you filed with the IRS for an earlier year. Www hrblock This includes a copy of the Form W-2 or Form 1099 filed with your return. Www hrblock Use Form 4506 to make your request. Www hrblock You will be charged a fee, which you must pay when you submit Form 4506. Www hrblock Requesting a copy of your tax account information. Www hrblock   Use Form 4506-T, Request for Transcript of Tax Return, to request free copies of your tax return transcript, tax account transcript, record of account, verification of nonfiling, or Form W-2, Form 1099 series, Form 1098 series, or Form 5498 series transcript. Www hrblock The tax return transcript contains most of the line items of a tax return. Www hrblock A tax account transcript contains information on the financial status of the account, such as payments, penalty assessments, and adjustments. Www hrblock A record of account is a combination of line item information and later adjustments to the account. Www hrblock Form W-2, Form 1099 series, Form 1098 series, or Form 5498 series transcript contains data from these information returns. Www hrblock Penalty for erroneous claim for refund. Www hrblock   If you claim an excessive amount of tax refund or credit relating to income tax (other than a claim relating to the earned income credit), you may be liable for a penalty of 20% of the amount that is determined to be excessive. Www hrblock An excessive amount is the amount of the claim for refund or credit that is more than the amount of claim allowable for the tax year. Www hrblock The penalty may be waived if you can show that you had a reasonable basis for making the claim. Www hrblock Time for Filing a Claim for Refund Generally, you must file a claim for a credit or refund within 3 years from the date you filed your original return or 2 years from the date you paid the tax, whichever is later. Www hrblock If you do not file a claim within this period, you may no longer be entitled to a credit or a refund. Www hrblock If the due date to file a return or a claim for a credit or refund is a Saturday, Sunday, or legal holiday, it is filed on time if it is filed on the next business day. Www hrblock Returns you filed before the due date are considered filed on the due date. Www hrblock This is true even when the due date is a Saturday, Sunday, or legal holiday. Www hrblock Disaster area claims for refund. Www hrblock   If you live in a Presidentially declared disaster area or are affected by terroristic or military action, the deadline to file a claim for a refund may be postponed. Www hrblock This section discusses the special rules that apply to Presidentially declared disaster area refunds. Www hrblock    A Presidentially declared disaster is a disaster that occurred in an area declared by the President to be eligible for federal assistance under the Disaster Relief and Emergency Assistance Act. Www hrblock Postponed refund deadlines. Www hrblock   The IRS may postpone for up to 1 year the deadlines for filing a claim for refund. Www hrblock The postponement can be used by taxpayers who are affected by a Presidentially declared disaster. Www hrblock The IRS may also postpone deadlines for filing income and employment tax returns, paying income and employment taxes, and making contributions to a traditional IRA or Roth IRA. Www hrblock For more information, see Publication 547. Www hrblock   If any deadline is postponed, the IRS will publicize the postponement in your area and publish a news release, revenue ruling, revenue procedure, notice, announcement, or other guidance in the Internal Revenue Bulletin. Www hrblock A list of the areas eligible for assistance under the Disaster Relief and Emergency Assistance Act is available at the Federal Emergency Management Agency (FEMA) website at www. Www hrblock fema. Www hrblock gov and at the IRS website at www. Www hrblock irs. Www hrblock gov. Www hrblock Nonfilers can get refund of overpayments paid within 3-year period. Www hrblock   The Tax Court can consider taxes paid during the 3-year period preceding the date of a notice of deficiency for determining any refund due to a nonfiler. Www hrblock This means that if you do not file your return, and you receive a notice of deficiency in the third year after the due date (with extensions) of your return and file suit with the Tax Court to contest the notice of deficiency, you may be able to receive a refund of excessive amounts paid within the 3-year period preceding the date of the notice of deficiency. Www hrblock The IRS may postpone for up to 1 year certain tax deadlines, including the time for filing claims for refund, for taxpayers who are affected by a terrorist attack occurring after September 10, 2001. Www hrblock For more information, see Publication 3920. Www hrblock Claim for refund by estates electing the installment method of payment. Www hrblock   In certain cases where an estate has elected to make tax payments through the installment method, the executor can file a suit for refund with a U. Www hrblock S. Www hrblock District Court or the U. Www hrblock S. Www hrblock Court of Federal Claims before all the installment payments have been made. Www hrblock However, all the following must be true before a suit can be filed: The estate consists largely of an interest in a closely-held business. Www hrblock All installment payments due on or before the date the suit is filed have been made. Www hrblock No accelerated installment payments have been made. Www hrblock No Tax Court case is pending with respect to any estate tax liability. Www hrblock If a notice of deficiency was issued to the estate regarding its liability for estate tax, the time for petitioning the Tax Court has passed. Www hrblock No proceeding is pending for a declaratory judgment by the Tax Court on whether the estate is eligible to pay tax in installments. Www hrblock The executor has not included any previously litigated issues in the current suit for refund. Www hrblock The executor does not discontinue making installment payments timely, while the court considers the suit for refund. Www hrblock    If in its final decision on the suit for refund the court redetermines the estate's tax liability, the IRS must refund any part of the estate tax amount that is disallowed. Www hrblock This includes any part of the disallowed amount previously collected by the IRS. Www hrblock Protective claim for refund. Www hrblock   If your right to a refund is contingent on future events and may not be determinable until after the time period for filing a claim for refund expires, you can file a protective claim for refund. Www hrblock A protective claim can be either a formal claim or an amended return for credit or refund. Www hrblock Protective claims are often based on current litigation or expected changes in the tax law, other legislation, or regulations. Www hrblock A protective claim preserves your right to claim a refund when the contingency is resolved. Www hrblock A protective claim does not have to state a particular dollar amount or demand an immediate refund. Www hrblock However, to be valid, a protective claim must: Be in writing and be signed, Include your name, address, social security number or individual taxpayer identification number, and other contact information, Identify and describe the contingencies affecting the claim, Clearly alert the IRS to the essential nature of the claim, and Identify the specific year(s) for which a refund is sought. Www hrblock   Generally, the IRS will delay action on the protective claim until the contingency is resolved. Www hrblock Once the contingency is resolved, the IRS may obtain additional information necessary to process the claim and then either allow or disallow the claim. Www hrblock   Mail your protective claim for refund to the address listed in the instructions for Form 1040X, under Where To File. Www hrblock Exceptions The limits on your claim for refund can be affected by the type of item that forms the basis of your claim. Www hrblock Special refunds. Www hrblock   If you file a claim for refund based on one of the items listed below, the limits discussed earlier under Time for Filing a Claim for Refund may not apply. Www hrblock These special items are: A bad debt, A worthless security, A payment or accrual of foreign tax, A net operating loss carryback, and A carryback of certain tax credits. Www hrblock   The limits discussed earlier also may not apply if you have signed an agreement to extend the period of assessment of tax. Www hrblock For information on special rules on filing claims for an individual affected by a terrorist attack, see Publication 3920. Www hrblock Periods of financial disability. Www hrblock   If you are an individual (not a corporation or other taxpaying entity), the period of limitations on credits and refunds can be suspended during periods when you cannot manage your financial affairs because of physical or mental impairment that is medically determinable and either: Has lasted or can be expected to last continuously for at least 12 months, or Can be expected to result in death. Www hrblock    The period for filing a claim for refund will not be suspended for any time that someone else, such as your spouse or guardian, was authorized to act for you in financial matters. Www hrblock   To claim financial disability, you generally must submit the following statements with your claim for credit or refund: A written statement signed by a physician, qualified to make the determination, that sets forth: The name and a description of your physical or mental impairment, The physician's medical opinion that your physical or mental impairment prevented you from managing your financial affairs, The physician's medical opinion that your physical or mental impairment was or can be expected to result in death, or that it has lasted (or can be expected to last) for a continuous period of not less than 12 months, and To the best of the physician's knowledge, the specific time period during which you were prevented by such physical or mental impairment from managing your financial affairs, and A written statement by the person signing the claim for credit or refund that no person, including your spouse, was authorized to act on your behalf in financial matters during the period described in paragraph (1)(d) of the physician's statement. Www hrblock Alternatively, if a person was authorized to act on your behalf in financial matters during any part of the period described in that paragraph, the beginning and ending dates of the period of time the person was so authorized. Www hrblock    The period of limitations will not be suspended on any claim for refund that (without regard to this provision) was barred as of July 22, 1998. Www hrblock Limit on Amount of Refund If you file your claim within 3 years after filing your return, the credit or refund cannot be more than the part of the tax paid wi