To locate the Volunteer Income Tax Assistance Program (VITA) nearest you call 1-800-906-9887.
Kentucky Department of Revenue has again partnered with the IRS to provide free tax preparation for taxpayers who have a low to moderate income (generally, $51,000 and below) who can not prepare their own tax returns for FY 2013 (tax year 2012).
The threshold for year 2012 earned income tax credit are shown below.
Earned income and adjusted gross income must each be less than:
1. $45,060 ($50,270 Married Filing Jointly) with three or more qualifying children
2. $41,952 ($47,162 Married Filing Jointly) with two qualifying children
3. $36,929 ($42,130 Married Filing Jointly) with one qualifying child
4. $13,980 ($19,190 Married Filing Jointly) with no qualifying child
The maximum earned income tax credit for 2012:
1. $5,891 with three or more qualifying children
2. $5,236 with two qualifying children
3. $3,169 with one qualifying child
4. $475 with no qualifying child
In partnership, using IRS materials, we are prepared to provide the following services:
Will Prepare:
• Form 1040EZ, 1040A, 1040
• Schedules A, B, D, EIC, SE
• Form 1040-V
• Form 1040-ES
• Form 2441 (child and dependent care credit)
• Form 5329 (part 1)
• Form 5405
• Form 8863 (education credits)
• Form 8880 (credit for qualified retirement savings contributions)
• Form 8812 (additional child tax credit)
• Form 8888 (direct deposit)
• Form 8889 (health savings accounts)
• Schedule C-EZ
• Schedule C (limited)
Unable to Prepare:
• Schedule C with losses
• Complicated & advanced Schedule D (capital gains and losses)
• Schedule E (rental income and loss (will prepare for military only))
• Schedule F
• Form SS-5 (request for social security number)
• Form 2106 (employee business expenses)
• Form 3903 (moving)
• Form 8606 (non-deductible IRA)
• Form 8615 (minor’s investment income)
• Form SS-8 (determination of work status for purposes of federal employment taxes and income tax withholding)
Additional Important Tax Law Changes for 2012
Exemption Amount
The amount a taxpayer can deduct for each exemption increased to $3,800 for 2012.
Alternative Minimum Tax (AMT) Exemption Amount
The American Taxpayer Relief Act increases the 2012 exemption amounts to $50,600 for unmarried individuals; $78,750 for married taxpayers filing jointly and surviving spouses; and $39,375 for married taxpayers filing separately. The 2013 AMT exemption amounts are projected to be $80,750 for married filing joint and qualified widow(er)s, $51,900 for single and head of household, and $40,375 for married filing separate filers.
Retirement Savings Contribution Credit Income Limits Increased
In order to claim this credit, your Modified Adjusted Gross Income (MAGI) must not be more than $28,750 ($57,500 if Married Filing Jointly; $43,125 if Head of Household).
Investment Income
Taxpayers whose investment income is more than $3,200 cannot claim the Earned Income Credit (EIC).
Advance Payment of the Credit
The Education Jobs and Medicaid Assistance Act of 2010 eliminated the advanced EIC for tax years beginning after December 31, 2010.
Adoption Credit or Exclusion
The maximum adoption credit or exclusion for employer-provided adoption benefits has increased to $12,650 for 2012. To claim either the credit or exclusion, the taxpayer’s MAGI must be less than $229,710. This credit is outside the scope of the VITA Program.