Transcript Just File It! Free Tax Preparation Services

Just File It!
Free Tax Preparation Services
12/1/09
Using Just File It!
I-CAN! E-FILE
It’s free!
www.icanefile.org
I-CAN! E-File was created by the Legal Aid Society of Orange
County (California) to help individuals complete their federal
tax forms and claim EITC without being charged excessive fees.
(No special software is needed, just Adobe Reader.)
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How does it work?
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A credit union member goes to the homepage for their credit union and clicks on the
Just file it! We’ll help. icon, this takes them directly to the I-CAN! E-File site.
Taxpayers can access I-CAN! E-File via the Internet from their home, a library, a
partner site or any other location with an Internet connection and a printer.
Taxpayers go through a series of secure web pages and input answers to simple,
interactive questions in English and Spanish.
Once all of the questions have been answered, the information is compiled and
placed on federal and/or state tax forms that can be e-filed or printed and mailed in.
Using Just File It!
Launch Date : January 18, 2010
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Go to www.icanefile.org and use the Online
Training demo
Live Chat help available during specified hours of
the tax season
Available in English and Spanish
Using Just File It!
What tax information is needed to file?
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Your Social Security number
Your spouse’s and children’s names as they appear on the Social Security card and
their Social Security numbers
All forms that show the income you received in the past year. These may include:
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All W-2s from employment for you, your spouse and your children
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Bank statements which show interest earned on deposits
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1098Ts which list educational expenses
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Your unemployment statements
Child care information such as:
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Name, phone number and address of child care facility or individual
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Amount paid during the year for child care
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Federal taxpayer identification number or Social Security number of facility or
individual
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Whether or not your employer pays part of the child care
Using Just File It!
Steps in the filing process
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First, you will create an account with your Name and Social Security Number.
Next, you will answer questions for your federal and then state, return. Then you
will print and review your return to make sure it is complete and correct. Once you
are satisfied you can mail or e-file your return. If you e-file your e-file status will
then be "Pending".
The next step if you e-file is to come back to www.icanefile.org in 2-3 days and
click on "Check My E-file Status" on the right. If your status is "Rejected", the ICAN! E-file status page will tell you what to do to correct your return. You may be
able to e-file again or you may need to mail your return. Once your status is
"Accepted", your tax return will be filed with the IRS and your state. At this point,
if you are due a refund, you can click the links on the right sidebar under "Where's
my refund?" to track your federal and/or state refund.
YOUR TAX RETURN IS NOT FILED UNTIL YOUR E-FILE STATUS IS
"ACCEPTED".
If your status is "pending" or "rejected" that means that you have not yet filed your
return according to the IRS. If you choose not to e-file you can print your forms
and mail them.
Using Just File It!
E-Filing
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Electronic filing is available to taxpayers using I-CAN! E-File
if those individuals have their own email account.
E-filing allows returns to be processed quickly. Projections
are that these returns and credit will be deposited within 10
days.
E-filed returns are directly deposited into credit union
accounts so E-filers must have the credit union routing
number and their personal share or draft account number.
Using Just File It!
Forms that I-CAN! E-File can complete
Federal Forms
Form 1040
Schedule C Profit or Loss from Business (Profit only, 1099-MISC box 7 only)
Schedule R Credit for the Elderly or the Disabled
Schedule SE Self-employment tax
Form 2441 Child and Dependent Care
Form 8814 Parents' Election to Report Child's Interest and Dividends (For a child under 14 who gets Alaska Permanent Fund Dividends only)
Schedule EIC Earned Income Credit: Qualifying Child Information
Form 8812 Additional Child Tax Credit
Form 8863 Education Credits
Form 8901 Information on Qualifying Children Who Are Not Dependents (For Child Tax Credit)
Form 8880 Credit for Qualified Retirement Savings Contributions
Form 6251 Alternative Minimum Tax
Schedule A&B Itemized deductions, interest and ordinary dividends
Form 8888 Direct deposit into multiple accounts
Form 1040v Payment voucher
Federal Worksheets
Pensions and Annuities Simplified Method Worksheet
Social Security Benefits Worksheet
IRA Deduction Worksheet
Student Loan Interest Worksheet
Standard Deduction Worksheet for Dependents
Child Tax Credit Worksheet
EIC Worksheet A or B
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MI Forms and Worksheets
MI-1040 Michigan Individual Income Tax Return
MI-1040 Schedule 1 & 2
Schedule CT Michigan College Tuition and Fees Credit
Use Tax Worksheet
MI-1040CR Michigan Homestead Property Tax Credit Claim
MI-1040CR-7 Michigan Home Heating Credit Claim
Schedule W
Worksheet 2 Filer eligible to be claimed as a dependent
MI-1040v Payment voucher
Using Just File It!
Credits you can claim on I-CAN! E-File
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I-CAN! E-FILE will help you complete all necessary tax forms for your
Michigan and Federal tax returns and allow you to claim all other credits
and deductions your are eligible for including:
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Child Tax Credit
Education Credit
Savers Credit
Student Loan Deductions
Child and Dependent Care Expenses Credit
Michigan Homestead Property Tax Credit
Michigan Home Heating Credit
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And the Federal and State Earned Income Tax Credit (EITC)
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Using Just File It!
Some things to be aware of:
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Please make sure you have ALL of your tax documents before you e-file. You may
start entering your information into I-CAN! E-file before you have all of your
documents and "Save and Exit" before you get to the e-file confirmation screen.
Once you e-file you cannot change your information. Once your return is accepted,
you cannot e-file again. If you receive a new tax document after you e-file, you will
need to amend your return and you cannot do this using I-CAN! E-File.
EITC
The Federal Earned Income Tax Credit
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The Federal Earned Income Tax Credit (EITC) program was
created in 1975 to provide a tax-based wage supplement to
low and moderate income working families. This special tax
credit helps ease the tax burden for working families and
individuals and offsets some of their living expenses.
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Federal
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Have Earned Income in 2009
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Have a valid Social Security Number
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Be a U.S. citizen or Legal Permanent Resident
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Not Qualify as a Dependent for another taxpayer
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Investment Income must be less than $3,100 (if applicable)
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If the number of qualifying children is 0, must be 25 years or older.
Michigan
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Must be a Michigan taxpayer
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Subject to the Michigan income tax
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Not necessarily a resident
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Must be eligible for the federal EITC
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Must have a Social Security Number
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Cannot be married filing a separate return
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Meet income/child criteria
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EITC
Eligibility for EITC
Cannot be blocked from claiming the federal credit due to negligence or suspected fraud
(I.R.C. Sec. 32(k)).
EITC
Amount Taxpayers Get Back!
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For 2009 low income wage earners can receive:
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Earned Income and adjusted gross income (AGI) must each be less than:
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$43,279 (48,279) married filing jointly) with three or more qualifying children
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$40,295 ($45,295 married filing jointly) with two qualifying children
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$35,463 ($40,463 married filing jointly) with one qualifying child
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$13,440 ($18,440 married filing jointly) with no qualifying children
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Tax Year 2009 maximum credit:
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$5,657 with three or more qualifying children
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$5,028 with two qualifying children
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$3,043 with one qualifying child
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$457 with no qualifying children
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Earned Income includes: wages, salaries and tips; net earnings from self-employment; union strike
benefits; employer – paid disability benefits; and military combat pay.
Earned Income does not include: non-taxable earned income (payroll deductions for dependent care or
retirement plans); public benefits (Social Security); Other taxable income such as unemployment; alimony;
interest on bank accounts.
VITA Resources
How to find free tax preparation services
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Individuals may can find this information by
calling 2-1-1
http://www.michiganeic.org/freetaxprep
I-CAN! E-File limitations
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Can’t use I-CAN! E-File if you:
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own a business
are a church employee or clergy member
sold Real Estate in the tax year
your employer has a non – US address.
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Individuals with disabilities or in the military may be eligible for tax credits not
included in I-CAN! E-File.
A small number of people should not use I-CAN! E-File:
Persons who are Blind because there are complicated credits this person may be eligible for
and I-CAN! E-File cannot complete these forms;
Employees whose employer contributes to child care costs; and
Self- Employed individuals if they want to amortize equipment or itemize deductions.
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