Tax Planning for Grandparents Helping With College
As the holiday season is upon us, this time of the year we find ourselves answering lots of questions from grandparents who want to use holiday gifts to help pay for or contribute to their grandchildren’s college education. The queries always revolve around one simple theme— how do I maximize my tax advantages when paying for my grandchild’s college expenses? There are a few options to consider and definitely some dos and don’ts. Our own Kelly Roberts has authored a nice piece on the subject that was featured in Carolina Business Connection. Read more HERE.
NC Employers Must Collect New Form NC-4 EZs or NC-4s
The North Carolina General Assembly recently enacted House Bill 998 which will affect individual taxes beginning on or after January 1, 2014. (These changes will not affect the tax returns you file on April 15, 2014) The new law eliminates all personal exemptions for taxpayers, their spouse, children, or any other qualifying dependents. As a result, every employer must have all employees provide a new Employee’s Withholding Allowance Certificate, either Form NC-4 EZ or Form NC-4 so the correct amount of State income tax is withheld for any payment periods beginning on or after January 1, 2014.
Read all about it HERE.
IRS Warns Consumers About New Phone Scam
The IRS is warning consumers about a very sophisticated phone scam that has been targeting taxpayers— especially recent immigrants— throughout the country.
Often using fake IRS badge numbers and names, the perpetrators inform victims they owe money to the IRS which must be paid immediately through pre-loaded debit cards or wire transfers. Victims who refuse are told they face arrest, deportation and/or suspension of business/driver’s license.
The IRS will never ask anyone for a credit card number over the phone. If consumers receive such a call, they should call the IRS at 1-800-829-1040 to verify any claims of money owed. They can also report the incident to the Treasury Inspector General for Tax Administration at 1-800-366-4484.
For more information, click HERE or call Scharf Pera & Co., PLLC at 704-372-1167.