{"id":5579,"date":"2022-02-25T10:43:03","date_gmt":"2022-02-25T15:43:03","guid":{"rendered":"https:\/\/senatedems.com\/wojno\/?p=5579"},"modified":"2024-06-25T14:36:10","modified_gmt":"2024-06-25T18:36:10","slug":"senator-wojno-on-tax-tips","status":"publish","type":"post","link":"https:\/\/dev.senatedems.com\/wojno\/2022\/02\/25\/senator-wojno-on-tax-tips\/","title":{"rendered":"Senator Wojno on Tax Tips"},"content":{"rendered":"\n

Dear Friend,

Happy New Year and best wishes to all of you in 2022. It\u2019s an honor to continue to serve you in the legislature as your state senator.

While the past few years have been difficult for many, I hope that the information provided in this guide is helpful to you as you begin filing your 2021 taxes \u2014 and perhaps it will make what can seem like a difficult task a bit easier to navigate.

I am here to work for YOU, and so if you have any concerns, questions, or issues relating to public assistance, state departments, or state programs, please call my office at (517) 373-8360<\/strong>, or toll-free at (855) DIST009<\/strong> or (855) 347-8009<\/strong>. You can also sign up for my e-newsletter to stay apprised of current issues at the Capitol at SenatorWojno.com<\/a>.

Warmest Regards,<\/p>\n\n\n\n

\"Paul<\/figure>\n\n\n\n

Paul Wojno<\/strong>
State Senator
9th District<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Website:<\/strong> SenatorWojno.com
Toll-free:<\/strong> (855) 347-8009
Email:<\/strong> SenPWojno@senate.michigan.gov<\/a><\/p>\n\n\n\n

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Reasons to Contact My Office<\/h3>\n\n\n\n

To Comment on Legislation<\/strong>
Your opinion counts, and I value your input. Contact me if you want to express your opinion or ask a question about pending legislation.<\/p>\n<\/div><\/div>\n\n\n\n

If You Need Help<\/strong>
My staff and I are here to help you resolve problems that can be addressed through state government. Please do not hesitate to contact my office, so we can try to assist you.

To Suggest a New Law<\/strong>
If you have any ideas for new laws, or ways to improve or repeal existing ones, share your suggestions with me.

For Free Publications<\/strong>
My office can provide free publications on a wide range of topics designed to help you. You can request these publications by sending me an email at SenPWojno@senate.michigan.gov<\/a> or calling my office toll free at (855) 347-8009<\/strong>. Please provide your full name, physical address, and telephone number with your request.<\/p>\n\n\n\n

\n
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\u2022 Child Safety Coloring Book
\u2022 Citizen\u2019s Guide to State Government
\u2022 Consumer Protection Guide
\u2022 Getting to Know Michigan
\u2022 Legislative Process, Student\u2019s Guide
\u2022 Michigan in the American Civil War
\u2022 Michigan State Constitution
\u2022 Moving On, Youth Handbook
\u2022 Planning for Your Peace of Mind<\/p>\n<\/div>\n\n\n\n

\n

\u2022 Portraits of Michigan
\u2022 Practical Guide for Tenants & Landlords
\u2022 Recycling Coloring Book
\u2022 Services for Seniors
\u2022 State Road Map
\u2022 U.S. Constitution
\u2022 Veterans Benefits & Services
\u2022 Your State Capitol<\/p>\n<\/div>\n<\/div>\n\n\n\n

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FREE HELP WITH
TAX PREPARATION<\/h3>\n<\/div>
\"\"<\/figure><\/div>\n\n\n\n

There are free tax services in Macomb County available through the Accounting Aid Society and, for veterans, through the Macomb County Veterans Services. Both are for people whose household income is less than $57,000. You can make an appointment with these two free services online or by phone:<\/p>\n\n\n\n

Accounting Aid Society<\/strong>
3031 West Grand Blvd, Suite 470, Detroit, Michigan 48202-3194
AccountingAidSociety.org<\/a> | (313) 556-1920<\/strong>

Macomb County Veterans Services<\/strong>
Verkuilen Building, 21885 Dunham Road, Suite 3, Clinton Township, MI 48036
vets.macombgov.org<\/a> | (586) 469-5315<\/strong><\/p>\n\n\n\n

*Must have driver\u2019s license or state identification, social security cards and all tax documents. A signature is required from all tax filers.<\/em><\/p>\n\n\n\n

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TAXES DURING COVID:
CHANGES FOR 2021<\/h3>\n\n\n\n

Reconcile Advanced Child Tax Credit Payments<\/strong>
When President Joe Biden signed the American Rescue Plan Act of 2021, the Child Tax Credit increased from $3,000 to $3,600 per child for nearly all working families for 2021 and allowed advance payments.<\/p>\n<\/div><\/div>\n\n\n\n

When you file your 2021 tax return, you should compare the advance credit payments with the amount that you can properly claim on your taxes. The IRS will send you Letter 6419 and provide the total amount of Child Tax Credit
payments you received in 2021. If you receive less than what you\u2019re eligible for, you\u2019ll receive the remaining balance in your tax return. If you received more than you\u2019re eligible for, you may need to repay the remaining balance when you file.<\/p>\n\n\n\n

Economic Impact Recovery Rebate Credit<\/strong>
Due to the COVID-19 pandemic and the resulting economic challenges in many communities throughout our country, the federal government issued Economic Impact Payments which were paid in three installments, one of which will count on your 2021 taxes.

Those who didn\u2019t qualify for the third payment, or did not receive the full credit, are eligible to receive the remaining total to the $1,400 that was issued. To receive the payment, you must fill out a 2021 tax return, even if you don\u2019t normally file. If you are unsure if you received any, or all, of the money, the IRS will send you Letter 6475 in early 2022 to provide the total amount of the third Economic Impact Payment and any Plus-Up payments you received.<\/p>\n\n\n\n

Earned Income Tax Credit<\/strong>
The Earned Income Tax Credit (EITC) is a proven tool for putting more money back into the pockets of working families and lifting people out of poverty. The EITC is both a federal and state tax credit, although the state only provides 6% of the federal EITC. The amount of tax credit depends on income, filing status, and qualified children claimed as dependents. To qualify, you must fi ll out a federal tax return.<\/p>\n\n\n\n

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Tax season is here, so it\u2019s time to get out your tax documents and file with the state and federal governments before the national deadline on Monday, April 18, 2022. Below are some helpful tips on how to take advantage of some of the most common tax deductions while staying clear of common scams that target people during the early parts of the year.

For federal returns, the IRS\u2019s official website is IRS.gov<\/a>, and they will only reach out to you through regular mail delivered by the U.S. Postal Service. The Michigan Department of Treasury\u2019s official website is Michigan.gov\/treasury<\/a>, but they also have a dedicated tax page at Michigan.gov\/taxes<\/a>.<\/p>\n\n\n\n

Home Ownership<\/strong>
Costs such as property taxes and points paid to get a lower home loan interest rate are deductible, as is interest on home equity loans up to a certain threshold.

Your deduction is generally limited if all mortgages used to buy, construct or improve your first home (and second home, if applicable) total $750,000. Mortgages that existed before December 14, 2017, will continue to receive the
same tax treatment as under the old rules.

Also, if you live in your home for two of the five years before you sell, you won\u2019t owe taxes on up to $250,000 in profit (or $500,000 for a married couple filing a joint return) from the sale of your principal home.

Medical Expenses and Other Deductions<\/strong>
Medical costs that exceed 7.5% of your federal adjusted gross income may be claimed on your taxes. Be sure to include them as itemized deductions. You may also qualify for deductions from student loan interest, child and dependent care, mortgage interest and more.

Give to Charity<\/strong>
You can usually claim the full amount you give to an IRS-qualified organization as an itemized deduction on your federal taxes. Since 2012, however, credits for certain donations are no longer available on your Michigan tax return. Be sure to check with IRS.gov<\/a> or your tax preparer, if applicable.<\/p>\n\n\n\n

Avoid Scams<\/strong>
It is also important to remember that tax season can and does bring with it an increased number of scams. The IRS will only send you communications through the United States Postal Service.

The IRS will never:

\u2022 Call you to demand immediate payment or for taxes owed;
\u2022 Demand payment without appeal;
\u2022 Require a specific payment method;
\u2022 Ask for credit card information over the phone;
\u2022 Ask for you to pay tax penalties in gift cards; or,
\u2022 Threaten to involve local law enforcement.

Visit IRS.gov<\/a> for more information and to learn additional ways to protect yourself from tax scams.<\/p>\n\n\n\n

UNDERSTAND REFUND TIMING<\/strong>
The IRS processed more than 240 million tax returns last year and they are very efficient at turning returns and payments around in 21 days. Despite that, it\u2019s unwise to rely on the IRS and your bank to process your return and\/or payment by a specific date. All kinds of delays can occur, such as processing a mailed-in return; security checks for refund fraud and identity theft; some tax credits such as the Earned Income Tax Credit can\u2019t be issued until mid-February; and more.<\/p>\n\n\n\n

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LEGISLATIVE PRIORITY: REMOVE THE UNFAIR, TIERED TAX SYSTEM ON OUR SENIORS<\/h3>\n\n\n\n

<\/p>\n<\/div>

\"\"<\/figure><\/div>\n\n\n\n

In 2011, the Michigan Legislature decided to relieve corporations of $1.64 billion in taxes and shifted $1.4 billion of that amount to the people of Michigan in the process when they passed taxes on seniors\u2019 pensions. The three-tiered taxation system created in 2012 to generate this lost revenue meant that seniors have been paying more of their hardworking dollars in taxes ever since.<\/p>\n\n\n\n

These existing taxes are unfair for our seniors and, during the worst pandemic of a century, it\u2019s unconscionable that corporations are allowed to post record profits while Macomb seniors continue to foot the bill for the state\u2019s tax shortcomings.

Removing this unfair, tiered tax system is a priority of mine in the Legislature, which is why I sponsored and introduced Senate Bill 3. This bill would eliminate the tiered approach to taxing pensions. I look forward to working with my colleagues on this legislation this year.<\/p>\n","protected":false},"excerpt":{"rendered":"

Dear Friend, Happy New Year and best wishes to all of you in 2022. It\u2019s an honor to continue to serve you in the legislature as your state senator. 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