Taxes

Federal authorities say they have recently prosecuted a number of tax preparers in Kentucky who falsified returns.  During a news conference in Louisville Monday, U.S. Attorney for the Western District of Kentucky John Kuhn, said it’s important that the public guard against dishonest preparers.

"Taxpayers have to remain diligent when they work with return preparers," emphasized Kuhn.  "Taxpayers remain responsible for the contents of their returns."

Two Logan County tax preparers, Tara L. Mitchell and Mechelle Blankenship, were recently charged with falsely claiming education credits for taxpayers who were not entitled to them. 

Kuhn explained that some preparers who charge clients a percentage of their tax refund intentionally prepare false returns to increase their clients’ refund and their own fees.

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Officials with the Kentucky Department of Revenue are using safeguards to protect against growing concerns of fraud. Issues at the federal level earlier this year resulted in a break from processing state tax returns in Frankfort. 

Taxpayers Confused By Late Health Law Forms

Feb 17, 2016

As the 2015 tax filing season gets underway, tax preparers said a delay in health law tax forms is tripping up some consumers, while others want details about exemptions from increasingly stiff penalties for not having insurance.

Under the law, most people must have health insurance or pay a fine. In 2015, the penalty was $325 per adult and $162.50 per child up to $975, or 2 percent of household income, whichever is greater.

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For Kentucky tax filers, the check will be in the mail a little later than usual this year. The state Department of Revenue says enhanced security features and fraud analysis tools will delay refund checks. 

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Motorists can now look up the taxes paid on any of their vehicles with a new feature on the Kentucky Division of Motor Vehicle Licensing’s website. Using the Vehicle Identification Number owners can access the taxes that were paid in 2015. 

The old saying goes, "Nothing is certain except death and taxes." But the Affordable Care Act has added a new wrinkle.

For many policyholders, the ACA has introduced a good deal of uncertainty about their tax bills. That has led to surprise refunds for some and higher-than-expected tax payments for others.

FRANKFORT — In his final State of the Commonwealth address, Gov. Steve Beshear celebrated many of his major policy accomplishments during his tenure and called on lawmakers to continue moving the 2015 session toward job-creation initiatives.

The over-riding theme of Wednesday evening’s address was Beshear’s advocacy for workforce development in Kentucky, and the four ways he says he’s strengthened it: early childhood development, education reform, affordable healthcare, and low taxes.

The Internal Revenue Service has warned of tax season chaos if Congress fails to pass a series of breaks by the end of November. The so-called tax extenders include everything from deductions for school teachers who buy classroom supplies to faster depreciation for business equipmentent.

From NPR: Almost nobody is paying the use tax. It’s for all those online purchases you didn’t pay state sales tax for last year. In fact, accountants are about the only ones who went through the trouble of sifting through all their receipts to calculate it.

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It’s tax day and a busy one at the Kentucky Revenue Department. State Division of Individual Income Director Bruce Nix says some 1.3 million state tax returns have already been filed, but another 400,ooo could arrive today.  For taxpayers who need more time, Nix says filing for an extension with the IRS is all that’s required in Kentucky.

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