Tax Day, April 15, is quickly approaching. It is when federal income tax returns are due and the last day U.S. citizens and resident aliens can mail their returns without incurring penalties. Even with the tax deadline just days away, individuals having difficulty preparing their income tax return can still get free tax help.

The IRS Volunteer Income Tax Assistance (VITA) and the Tax Counseling for the Elderly (TCE) Programs offers free tax help for taxpayers. The programs can help taxpayers by answering tax questions, offering tax advice, discussing tax problems and providing free tax return preparation assistance. Most VITA sites also offer free electronic filing (e-filing)

To take advantage of the VITA program, individuals must earn less than $49,000 and cannot prepare their own tax returns.

The Tax Counseling for the Elderly Program provides free tax help to people 60 and older. TCE is run by trained volunteers who provide free income tax counseling, answer income tax questions and help the elderly with tax problems.

Individuals in the military can also take advantage of the Volunteer Income Tax Assistance (VITA) Program through the Armed Forces Tax Council (AFTC). The AFTC consists of the tax program coordinators in all branches of the military, including the Coast Guard.

Members of the military and their families can get help with free tax preparation, having their military specific tax questions answered and consultation on any tax problem they may have.

When visiting the VITA/TCE sites don’t forget to bring the following:

• Proof of identification (Social Security Cards for you, your spouse and dependents)
• Wage and earning statement(s) Form W-2, W-2G, 1099-R, from all employers
• Interest and dividend statements from banks (Forms 1099)
• Bank routing numbers and account numbers for Direct Deposit
• Total paid for daycare provider and the daycare provider’s tax identifying number
• A copy of last year’s federal and state returns if available (if available)
• To file taxes electronically on a married-filing-joint tax return, both spouses must be present to sign the required form

For more information on TCE, call 1-800-829-1040 or log onto www.irs.gov

In this economic climate it makes sense to take advantage of the free tax help provided by the IRS.

source: irs.gov

Its unfortunate that many taxpayers who owe federal income tax or have tax problems avoid consulting with a tax attorney. When you have a legal problem – you see a lawyer and when you’re sick – you see a doctor. So why is that many of you would rather stick your head in the sand and wait for the IRS to knock on their door than to consult with a tax attorney?

I guess one of the reasons is you’re not aware of the benefits of a tax attorney; maybe it’s because you feel it will cost you a fortune or maybe you just don’t know that a tax attorney is your best ally against the IRS.

Regardles of the reason you have avoided consulting a tax attorney, its time to change and seek tax help. Tax attorneys are schooled in knowing U.S. tax laws, representing you in IRS cases, providing you your legal options, help you restructure your finances to alleviate future tax debts. Perhaps the biggest benefit you can get from consulting a tax attorney is peace of mind.

What you need to understand about a consultation with a tax lawyer is that it is just a consultation. You are not obligated to hire the professional. Tax attorneys work like other lawyers, you pay for a consultation and go from there.

If you owe back taxes or haven’t filed federal income tax statements, the worst thing you can do is to continue to avoid them. It will cost you in the long run. In fact, it could cost you more than money, in extreme cases it could cost you time in jail.

Here we go again.  Another Barack Obama nominee, this time for Health and Human Services secretary, is being investigated for failing to pay back taxes.  Tom Daschle, the former South Dakota Senator waited nearly a month after being nominated before informing President Obama that he had not paid years of back taxes, according to the Washington Post.

Dashle paid  $140,000 in back taxes and interest on January 2, 2009 and a few days later informed the White House and Senate Finance Committee. 

Obama’s transition team discovered in December that $15,000 of the $276,000 in charitable contributions claimed by Daschle lacked proper documentation. But Daschle waited until after amended returns were filed before he mentioned the larger tax liability.

Daschle spokeswoman Jenny Backus said he had known since June 2008 that his luxury car and driver provided by wealthy Democratic donor, longtime friend and business associate Leo Hindery might be taxable, but never expected the amount to be such a “jaw-dropping” sum and “thought it was being taken care of” by his accountant.

Hindery founded InterMedia Partners, a private equity firm, in 1988. Daschle was paid $1 million annually for his consulting services, the Senate Finance Committee said.

Daschle had an unreported consulting income of $88,333, in 2007.

“Senator Daschle is embarrassed and disappointed by these errors,” Backus said. “He apologized for his part in these errors and expressed his deep regret that the committee had to devote time to them.”

The White House acknowledged Friday that Daschle had “some tax issues,” which, the administration said, have been resolved and should not bar his confirmation as secretary.

A statement issued by the White House affirmed that Daschle “is the right person to lead the fight for health care reform.”

“Senator Daschle brought these issues to the Finance Committee’s attention when he submitted his nomination forms and we are confident the committee is going to schedule a hearing for him very soon, and he will be confirmed,” it said.

Why is it that these high ranking politicians are trying to get away with paying taxes.  I mean $140,000 in taxes is by no means an oversight, how could it be?

And in Daschle’s case, he calculated his strategic moves in when to pay the back taxes and when to inform Obama and the Senate Finance Committee.  It is the same old political sleeze that we all hate.  This is very disturbing and brings up the point that maybe elected officials should be held accountable.

And Daschle’s sleezy moves won’t even affect his nomination.  This is a travesty – I don’t care how the constituents spin it.  If someone in the private sector owed $140,000 in federal taxes, do you think they would be treated the same? 

I see no excuse for this and Tom Daschle’s nomination should be voided.  Shame on you! Shame on government!

Something must be done!