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IRS Contact Numbers

Like everyone else, contacting the IRS is in itself a daunting task.

First, just getting through is a challenge, Second, you get frustrated because you are unable to get live support.

Third, if your call get through, you most likely will be talking to a recorded message.

This can be frustrating. We know. We are compiling a list of IRS numbers for taxpayers to call. The list in itself is not thoroughly vetted as the IRS numbers changed. However, this is a WORK IN PROGRESS so that you have something to go by. Call these numbers until you get a live IRS representative to speak to. Ideally, you want to call your local IRS OFFICE.

NumberOptions
Extension
Description
1-800-829-1040Options 2 or 4 Individual
1-800-829-4933 Business Specialty Tax DepartmentBusiness
1-800-829-44771- General Tax
2- Specific tax
3- Amended Return
Refund Status
1-800-829-1954English option 1
Spanish option 2
Refund Status
1-844-545-5640 Taxpayer Assistance Centers (TACs
1-866-681-4271Innocent Spouse Relief
1-800-829-4933Self-Employed (Business)
1-800-908-4490Identity Theft victims; get a new IP PIN
1-800-829-1954Questions about refunds and offsets to IRS liabilities
1-800-919-9835STIMULUSEconomic Impact Payment | Recovery Rebate Credit
1-800-829-0582Extension 332
Extension 653
Extension 652
Amended
Live Human Possible
1-866-682-7451extension 568
extension 633
Reconciliation Form 1095A
Amended Return
1-866-682-7451extension 733Direct Deposit Issues
1-800-829-0922Amended Return
1-800-829-0922Appointments-
Schedule Locally
1-877-829-5500 Non-Profit Taxes
1-866-699-4083Estate and gift taxes
1-866-699-4096 Excise Taxes
1-877-777-4778Taxpayer Advocate Service
1-800-304-3107IRS Treasury Offsets (Child Support, Student Loans, Non-tax Debt)
1-800-830-5084ID VERIFY
IRS Letter 5071C | 6331C | 4883C |
ID Veriffication HotLine

What is Schedule C (Form 1040) – Uber, Lyft and Taxi Drivers (Gig Workers)

If you earned $600 or (someone pay you $600) or more, you were not an employee of a company or the person that paid you the $600, you are consider Self-Employed or an Independent Contractor for IRS tax filing. You will have to file Form Schedule C – Profit or Loss From Business.

If someone pay you for work done or perform and they decide to tell IRS, they will issue you a 1099-Misc, 1099-NEC, or a 1099-K. They are required to report payment to vendors over $600 under our tax laws. You now are going to have to file a Schedule C as part of your tax filings.

So, what is Schedule C?

Schedule C is the form the IRS expects Self-Employed, sole proprietors or Independent Contractors to complete and report their income – i.e. Profit and Loss. Only use Schedule C if you are not a Corporation or an Limited Liability Company LLC with more than one member.

Single member LLCs should file Schedule C also. The IRS refer to Single Member LLCs as Disregarded Entity.

Schedule C is the only form use for filing taxes for independent contractors or self-employed individuals. It is widely use and popular with the IRS. It incorporates Home Office Expenses, Business Travel & Meal Expenses, and Mileage Deductions. All these are tax credits and deductions are tax advantages for taxpayers.

Because Schedule C is widely used, it is the most AUDITED SCHEDULE. We tell clients that they should keep good records when it comes to Schedule C filings. Quickbooks Self-Employed is your Bookkeeper. Sign up for QB Self-Employed.

The story we tell most clients especially retirees who volunteer their time at Church or some charitable organization and the organization decides to show appreciation by paying the individual $1,000 or more for his or her time; Guess what? The charitable organization is now obligated to report such payment to the IRS. The only way the organization can tell the IRS they give you $1,000 is by issuing you a 1099-Misc.

You the receipient of the payment now have to include the 1099-Misc. (i.e. income) with his or her filing. You are now self-employed under the IRS rules. You now have to a file Schedule C.

This law does not make sense but that’s the law. Most people who are paid with a 1099-Misc. or 1099-NEC that come to our practice do not keep records. We see this all the time. We strongly recommend QB Self-Employed for Uber, Lyft, Postmates, DoorDash, etc. etc. etc.

However, in additional to filing schedule C, you also will need to file Schedule SE which stands for Self-Employment Tax. The IRS require you to pay 7.5% in Self-Employment Taxes (Schedule SE). So then, the $1,000 or more you did received for voluntary service at a charitable organization will now be tax twice. One for self-employment taxes. The other tax is for ordinary income on your “Net Profit.” The IRS do not like self-employed individuals to show business losses. (Side note: Between us, the IRS is after self-employment taxes more than anything else.)

What does this means? It means that $1,000@7.5% = $75 SE taxes you owe. Then the $1,000 less $500 business expenese leave you with $500 taxable ordinary income. Let’s caculate your taxes on the $500.

The Federal Tax Rate for oridinary income varies depending on your tax bracket. You can view your tax bracket the 2020-2021 tax season at Bankrate. The $500 income falls under the 10% bracket. Therefore, $500@10% = $50. Now the total taxes you owe on the $1,000 is $125.00. [$75+$50]

This rule is burdensome and can cause lots of headaches | extra work for tax practitioners.

We can help you with filing Schedule C and tracking those business expenses

Per the IRS: Gig economy workers are all consider Schedule C filers. The IRS monitors these filings closely.
Let us first look at what is a Gig Work?

A gig work is a certain activity that you do to earn income, often through an app or website (digital platform), like:

  • Drive a car for booked rides or deliveries
  • Rent out property or part of it
  • Run errands or complete tasks
  • Sell goods online
  • Rent equipment
  • Provide creative or professional services
  • Provide other temporary, on-demand or freelance work
  • Note: This list does not include all types of gig work.

What are Digital Platforms?
Digital platforms are businesses that match workers’ services or goods with customers via apps or websites.
This includes businesses that provide access to:

  • Ridesharing services
  • Delivery services
  • Crafts and handmade item marketplaces
  • On-demand labor and repair services
  • Property and space rentals

You now have to file Schedule C along with whatever form was issued to you by company that employ you. Ridesharing workers usually get form 1099-K.

Taxpayers must report gig economy earnings when filing taxes – Issue Number:  Tax Tip 2022-07

Whether it’s a full-time job or just a side hustle, taxpayers must report gig economy earnings on their tax return. Understanding how gig work can affect taxes may sound complicated but, it doesn’t have to be. The IRS offers several resources to help gig economy taxpayers properly fulfill their tax responsibilities.

Here are some things gig workers should keep in mind.

Gig work is taxable:

  • Earnings from gig economy work is taxable, regardless of whether an individual receives information returns. The reporting requirement for issuance of Form 1099-K changed for payments received in 2022 to totals exceeding $600, regardless of the total number of transactions. This means some gig workers will now receive an information return. This is true even if the work is full-time, part-time or if an individual is paid in cash.
  • Gig workers may also be required to make quarterly estimated income tax payments and pay their share of Social Security and Medicare taxes.

Check worker classification:

  • While providing gig economy services, it is important that the taxpayer is correctly classified.
  • This means the business, or the platform, must determine whether the individual providing the services is an employee or independent contractor.
  • Taxpayers can use the worker classification page on IRS.gov to see how they are classified.
  • Independent contractors may be able to deduct business expenses, depending on tax limits and rules. It is important for taxpayers to keep records of their business expenses.

Pay the right amount of taxes throughout the year:

  • An employer typically withholds income taxes from their employees’ pay to help cover income taxes their employees owe.
  • Gig economy workers who are not considered employees have two ways to cover their income taxes:
    • Submit a new From W-4 to their employer to have more income taxes withheld from their paycheck, if they have another job as an employee.
    • Make quarterly estimated tax payments to help pay their income taxes throughout the year, including self-employment tax.

The Gig Economy Tax Center on IRS.gov answers questions and helps gig economy taxpayers understand their tax responsibilities.

More information:
Publication 5369, Gig Economy and your taxes: things to know
Publication 1779, Independent Contractor or Employee
Is My Residential Rental Income Taxable and/or Are My Expenses Deductible?

The IRS letter 6419 Child Tax Credit (CTC)

The IRS letter 6419 is the official documentation that has the details to be reported for a taxpayer’s advance Child Tax Credit (CTC) payments. This letter will provide:

  • Total amount of advance CTC payments received for 2021; this information goes on Schedule 8812
  • Number of qualifying children counted in determining the advance CTC

Failure to use the amounts referenced in the IRS Letter 6419 on a customer’s return could trigger a manual review thus possibly delaying the refund by 6-8 weeks.
Please, keep in mind that anyone that received at least one Child Tax Credit payment from July to December 2021 should receive the letter 6419, even if they opted-out of the payments at some point.
If taxpayers cannot provide the IRS letter 6419 but did receive at least one advance CTC payment, there is an IRS Child Tax Credit portal available here to find this information.

IRS Phone NumbersExtensionForms or Notices
866-682-7451568Amended Return
866-682-7451733CP53A
866-682-74515691095- A Health
800-829-0582652Talk to a human
Trying Calling & Get a Human

What Is a Tax Accountant?

Ok. So, you ask what a tax accountant is. The short answer, a Tax Accountant is someone who has been train in preparing income tax returns and is an Accountant. Thus, the term Tax Accountant refer to someone that specialize in the tax laws, rules, and regulations.

Ideally, a Tax Accountant training must include any of the following.

  • An Attorney
  • CPA – Certified Public Accountant
  • Enrolled Agent
  • Tax Practitioner

These are the four categories of people the IRS considers preparing taxes and represent their clients. The list of people practicing before the IRS is much longer. See Publication 947 (02/2018), Practice Before the IRS and Power of Attorney | Internal Revenue Service

However, a Tax Accountant must know tax laws as well as General Accepted Accounting Principles (GAAP). Sixty percent (60%) of tax filing deals with tax laws and the other forty percent (40%) deals with accounting.

So then, a Tax Accounting is someone with adequate knowledge of tax laws as well as General Accepted Accounting Principles. These two qualities are not mutually exclusive.

Here’s What’s New and What to Consider When Filing in 2022

The IRS encourages taxpayers to get informed about topics related to filing their federal tax returns in 2022. These topics include special steps related to charitable contributions, economic impact payments and advance child tax credit payments. Taxpayers can visit IRS.gov/getready for online tools, publications and other helpful resources for the filing season.

Here are some key items for taxpayers to know before they file next year.

Changes to the charitable contribution deduction

Taxpayers who don’t itemize deductions may qualify to take a deduction of up to $600 for married taxpayers filing joint returns and up to $300 for all other filers for cash contributions made in 2021 to qualifying organizations.

Check on advance child tax credit payments

Families who received advance payments will need to compare the advance child tax credit payments that they received in 2021 with the amount of the child tax credit that they can properly claim on their 2021 tax return.

  • Taxpayers who received less than the amount for which they’re eligible will claim a credit for the remaining amount of child tax credit on their 2021 tax return.
  • Eligible families who did not get monthly advance payments in 2021 can still get a lump-sum payment by claiming the child tax credit when they file a 2021 federal income tax return next year. This includes families who don’t normally need to file a return.

In January 2022, the IRS will send Letter 6419 with the total amount of advance child tax credit payments taxpayers received in 2021. People should keep this and any other IRS letters about advance child tax credit payments with their tax records. Individuals can also create or log in to IRS.gov online account to securely access their child tax credit payment amounts.

Economic impact payments and claiming the recovery rebate credit

Individuals who didn’t qualify for the third Economic Impact Payment (STIMULUS) or did not receive the full amount may be eligible for the Recovery Rebate Credit based on their 2021 tax information. They’ll need to file a 2021 tax return, even if they don’t usually file, to claim the credit.

Individuals will need the amount of their third economic impact payment and any plus-up payments received to calculate their correct 2021 recovery rebate credit amount when they file their tax return.

In early 2022, the IRS will send Letter 6475 that contains the total amount of the third economic impact payment and any plus-up payments received. People should keep this and any other IRS letters about their stimulus payments with other tax records. Individuals can also create or log in to IRS.gov online account to securely access their economic impact payment amounts.

More information: Tax Filing Made Easy

Reconciling Your Advance Child Tax Credit Payments on Your 2021 Tax Return

Friendly Tax Services

Friendly Tax Services is the premier income tax preparation firm for individuals, families, small business owners and the self-employed; Uber, Lyft, Taxi, and Limousine drivers; Actors, Independent Contractors and Entrepreneurs. We have empathy and understand the toll driving takes on Uber, Lyft, Taxi, and Truck drivers. That driving is time consuming. Uber drivers just don’t have the time it takes time to keep track of those business-related expenses.


Contact Us

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    1010 N Central Ave. Suite 415 Glendale, CA 91202
  • Call Us :

    (323)451-5768
    (866)542-9551
  • E-mail Us :

    Contact@LAPremierTax.com
FRIENDLY Tax Services (Accountants and Tax Preparers)