March Newsletter
Working Families Tax Credit…do you qualify?
We are excited to inform you about a new tax credit available to eligible working families in Washington State. The Working Families Tax Credit (WFTC) is designed to provide financial relief to low- and moderate-income households, helping to ease the burden of everyday expenses.
What is the Working Families Tax Credit?
The Working Families Tax Credit is a refundable tax credit aimed at supporting families who are working hard but may still be struggling to make ends meet. It is modeled after the federal Earned Income Tax Credit (EITC) and is designed to provide direct financial assistance to eligible Washington residents.
The credit is available to individuals and families who meet specific income and residency requirements, offering a substantial refund to help boost their financial stability.
What are the Eligibility Requirements?
To qualify for the Working Families Tax Credit, applicants must meet the following general criteria:
Be a Washington resident for at least half of the year.
Be at least 25 years old but under the age of 65 or be between the ages of 18 and 24 if you have a qualifying child.
Have earned income through employment or self-employment during the year.
Have an income level below the eligibility thresholds set by the state, which varies based on your family size
How Much Can You Receive?
The amount of the credit depends on factors like your income, family size, and whether you have qualifying children. Eligible individuals could receive up to several thousand dollars in credit, providing much-needed financial relief for working families.
How do I Apply?
If you believe you qualify for the Working Families Tax Credit, the application process is simple. You can apply for the credit when filing your Washington State tax return. Be sure to gather the necessary documentation, such as proof of income and residency, to make the process go smoothly.
Scam Alert: IRS "Dirty Dozen" Taxpayer Threats…
The IRS has released its annual "Dirty Dozen" list of taxpayer threats, and it’s important to stay informed. This list highlights the various scams and fraudulent schemes that target individuals, businesses, and tax professionals alike. We want to make sure you're aware of these dangers to protect yourself and your business.
Key Scam Warnings to Watch Out For
Misinformation on Social Media
A growing concern highlighted by the IRS is misleading advice on social media, particularly on platforms like TikTok. As tax professionals, we often get asked by clients to verify the accuracy of these posts. Sometimes, the advice shared is clearly inaccurate and can mislead people into making harmful decisions for their financial health. Always verify any advice you see online through trusted, official sources.
The "New Client" Scam
Another scam that continues to grow is the "new client" scam, where criminals impersonate prospective clients to trick tax professionals into engaging with them. Once the scammer has gained the professional’s trust, they send malicious links that can compromise both client data and the tax professional’s identity. This can lead to fraudulent tax returns being filed under stolen identities. Be vigilant when engaging with new clients, especially if there are any red flags or suspicious links.
Stay Protected
The IRS Dirty Dozen website is regularly updated to reflect the latest threats, so we recommend keeping an eye on this resource to stay informed about the ever-evolving cyber risks.
