Frequently Asked Accounting Questions

How long will it take for my tax return to be completed?

During tax season, our average turnaround time can be anywhere from 1-3 weeks.

Will my return be electronically filed?

If eligible, we will electronically file your tax return when authorization forms are signed and payment has been made in full.

How much does it cost to have my tax return completed?

Our fees are based on the complexity and the time it takes to prepare the return; and are fair and competitive.

Can I schedule an appointment to talk with an accountant?

If you would like to schedule an appointment, you can call our office at (216) 521-2100. Please note that appointments are limited during the months of January-April.

What is the standard deduction for 2022 and 2023?

Standard Deduction 2022
Single; Married Filing Separately $12,950
Married Filing Jointly & Surviving Spouses  $25,900
Head of Household  $19,400

Standard Deduction 2023
Single; Married Filing Separately $13,850
Married Filing Jointly & Surviving Spouses  $27,700
Head of Household  $20,800

What is the due date of my tax return?

Individual tax returns- April 15, 2024
Extended individual tax return- October 14, 2024
Partnerships & S Corporations- March 15, 2024
Extended Partnerships & S Corporations-September 16, 2024

What are the requirements for making estimated tax payments?

You must make estimated payments for the current tax year if BOTH of the following apply:

  • Your federal withholding and any refundable tax credits will be less than the smaller of:
  • 90% of your current year tax, OR
  • 100% of the prior year’s tax
  • You expect to owe at least $1,000 after subtracting your withholding and refundable credits. 

Until what age am I able to claim my child as a dependent?

There are many variables but, in general, you may claim a son, daughter, step-daughter, etc., who is:

  • Under the age of 19 or under the age of 24 and is a full-time student or is permanently disabled, and
  • Lives with you and does not provide more than one half of their own support.

What happens if I can’t pay my balance due by April 15th?

Pay as much as you can to avoid higher interest payments and penalties. Contact the IRS to set up a payment plan. If you cannot pay under a payment plan, you may propose an offer in compromise that will allow you to pay some of the balance due. This is worked out with the IRS. If you are experiencing financial hardship, the IRS may suspend claims for a short period of time.

What are the mileage rates?

2023:  65.5 cents per mile

2024: 67 cents per mile

What is the annual gift exclusion?

The annual gift exclusion for the 2023 tax year is $17,000 per individual recipient. In 2024 that amount is $18,000

What is the penalty imposed by not having health insurance?

For the 2023 tax year, there is no federal penalty; this excludes state tax returns being filed in Massachusetts, New Jersey, California, Rhode Island, and the District of Columbia.

What is the maximum HSA contribution?

Single- $4,150
Family- $8,300

What are the educational credits?

American Opportunity Credit (maximum benefit amount of $2,500):

  • The student must be enrolled at least half-time in a program leading to a degree, certificate, or other recognized educational credential for at least one academic period beginning during the tax year. Grad students cannot take this credit.
  • Up to $2,500 of the cost of tuition, fees and course materials paid during the taxable year per eligible student. Tax credit can be received for 100% of the first $2,000, plus 25% of the next $2,000 that has been paid during the taxable year.
  • The taxpayer whose modified adjusted gross incomeis $80,000 or less ($160,000 or less for joint filers) can claim the credit for the qualified expenses of an eligible student. The credit is reduced if a taxpayer’s modified adjusted gross income exceeds those amounts. A taxpayer whose modified adjusted gross income is greater than $90,000 ($180,000 for joint filers) cannot claim any of the credit.
  • You cannot receive a credit for: room and board, insurance, transportation, expenses paid with tax-free assistance, medical expenses, expenses used for another deduction or credit, and student fees that are not required as condition of enrollment or attendance.

 

Lifetime Learning Credit (maximum benefit amount of $2,000):

  • Eligible students enrolled in an eligible educational institution. This credit can help pay for undergraduate, graduate and professional degree courses – including courses to acquire or improve job skills.
  • Tax credit can be received for 20% of the first $10,000 in eligible expenses.
  • Credit is non-refundable.
  • The credit is reduced if a taxpayer’s modified adjusted gross income exceeds $90,000 ($180,000 for married filing jointly)