Tax Tips For NY Metro Area Taxpayers

With the 2004 tax filing season in full swing, here’s some tips for busy New York Metropolitan Area taxpayers from the Internal Revenue Service.

"Use e-file to do your return, it’s fast, accurate and secure," IRS New York Metro Area Spokesperson Kevin McKeon said. This year, electronic filing continues its solid growth, with early tax returns in the Metro area (Long Island, New York City and Rockland and Westchester County) showing e-filing running more than 13 percent ahead of last year’s pace. Returns prepared and filed from home computers have jumped 26 percent.

"With e-file, you’ll get your refund in two weeks or less with direct deposit," McKeon said.

The IRS Free File program, now in it’s second year, also has shown growth. So far, the IRS has received more than 1.9 million returns nationwide through Free File, an increase of more than 24 percent from last year.

About 3.3 million Metro Area taxpayers may be eligible for Free File which gives free access to the benefits of online tax preparation and e-filing. "Working New York taxpayers with low incomes should review their eligibility for the Earned Income Tax Credit to see if they qualify for tax relief. More than 500 area volunteer tax help sites are available to help taxpayers figure out their eligibility," he said.

In the Metro Area, 863,835 individuals and families received $1.5 billion in Earned Income Tax Credits as of June 30, 2003 with an average credit of $1,762. To obtain the location, dates, and hours of the nearest volunteer site, taxpayers may call the IRS toll-free help line at 1-800-829-1040. New York City residents can also call "311," the NYC information line.

Taxpayers are urged to steer clear of one of the "Dirty Dozen" tax scams and a variety of other schemes. In the new 2004 ranking, several new scams have reached the top of the IRS consumer watch list, including abusive trusts and the "claim of right" doctrine.

"We’ve also posted on IRS.gov 10 new pieces of legal guidance involving tax scams which debunks the schemes and provides new legal details to help tax practitioners and taxpayers.

Taxpayers who suspect tax fraud can report it to the IRS at 1-800-829-0433.

More information on tax scams and schemes is available by visiting "The Newsroom" section of IRS.gov.

"We’re also reminding taxpayers claiming the Child Tax Credit that they cannot claim the full $1,000
per child if they received an advance payment check last year. When figuring the credit, they must subtract
the amount they got in advance. Failure to do so will reduce and could delay the tax refund claimed," McKeon said.

Taxpayers can get the amount of their advance Child Tax Credit payment by visiting IRS.GOV Information is available by clicking on "1040 Central" or "Your 2003 Advance Child Tax Credit."

Paper tax return filers in the New York Metropolitan Area taxpayers should avoid refund delays by mailing their returns to the IRS Service Center in Andover, Massachusetts. The IRS Service Center in Holtsville New York is not processing individual tax returns this year.

Taxpayers have made about 9.8 million visits to the "Where’s My Refund?" service on IRS.GOV so far this tax season, almost twice as many as a year ago, according to the Internal Revenue Service. Taxpayers who file electronically can use the service within 72 hours of submitting their returns. Paper filers can use "Where’s My Refund?" three to four weeks after their returns are mailed.