IRS resources
decline
Fiscal year 2014
funding for the IRS was $11.29 billion, an $850 million decrease from 2010
funding. Also, from 2010 to 2014, the IRS lost 10,000 full time employees. This
decrease in
resources will
affect the IRS’s ability to maintain
previous levels of taxpayer services and taxpayer enforcement, according to IRS
Commissioner John Koskinen.
2015 HSA limits
released
The IRS has
released the inflation adjusted limits for deductible contributions to health
savings accounts (HSAs) for 2015. For family coverage, the contribution limit
will be $6,650. For individual coverage, the limit will be $3,350. Individuals who
are 55 or older are allowed to
contribute an
additional $1,000. HSAs let taxpayers with high-deductible health insurance
plans set aside pretax contributions that can be withdrawn tax-free to pay
unreimbursed medical expenses.
Facts on amended
returns
Taxpayers are
allowed to file amended returns if they find they have omitted or misreported
an item on the originally filed return. The IRS wants taxpayers to know the
following facts about
amending
returns:
• Amended
returns can’t be e-filed; they must be filed on paper.
• An amended
return should be filed for errors in filing status, income, deductions, or
credits.
• Don’t file an
amended return for math errors; the IRS will correct these and notify you.
• Amended
returns take up to 12 weeks to process.
• Returns can be
amended for up to three years from the original filing.