Tax Professional Newsletter (03/20/2018)
Updates, tips, and best practices for March
In this issue:
- Tax professional data breaches
- Estimated tax payments
- Requests for additional information
- Itemized deductions, credits and income: required documentation
- Driver license
- Best practices
- Upcoming due dates
- Tax professional hotline
What’s new
Tax professional data breaches
We’ve identified suspected preparer data breaches this tax season; if we believe identity theft has occurred, we may send your client a letter to verify their identity. To learn about the breaches and how to respond to Form TR-207, Identity Verification Letter, see Protect yourself and your clients from identity theft.
Estimated tax reminder letters
On March 21, we will send notices to your clients who pay estimated tax reminding them of the upcoming filing due date. If your clients signed up for email notifications, they will receive Form TR-137 electronically, if not, they will receive Form TR-137.1-NR by mail.
Make your clients' estimated tax payments electronically using your New York State-approved software. If your software doesn’t support estimated tax payments, pay online using Online Services.
Note: Please remember to verify your clients’ estimated tax payments to ensure that they are reporting the correct amount on their returns.
Tips
Requests for additional information
If we have a question or concern about a client's tax return, we can communicate with them faster by email and they can respond faster online. Direct your clients to our Sign up for email alerts page to create an Online Services account (if they don't already have one) and set their electronic communications preferences:
- To receive an email when we assign a refund issue date, they can sign up for Other Notifications.
- To elect to receive bills and notices online with email alerts instead of waiting for a letter (including requests for additional information), they can sign up for Bills and Related Notices. This option allows your client to view their letter the date it is issued and respond online sooner.
Required documentation for claiming deductions, credits, and income
Before you claim itemized deductions, credits, or income for your clients, review our checklists to be sure they have maintained the required records. See Recordkeeping for individuals for acceptable proof of eligibility.
Note: If we request additional information after you’ve filed your client’s return, refer to the checklists for the required documentation.
Driver license requirement
If you use software to prepare a client’s personal income tax return for tax year 2016 or 2017, you must include the client’s driver license or state-issued ID information on that return. If the client has a spouse, you must include the spouse’s information as well. For more information, see Driver license requirement.
Follow best practices
- To avoid processing delays, verify client information each year, including addresses, Social Security numbers, dependents, and direct deposit information.
- Remember to sign all prepared tax returns.
Upcoming due dates
Governor Andrew M. Cuomo has declared a State Disaster Emergency for five counties affected by the March 2018 Nor’easters that began on March 2, 2018, and on March 9, 2018. See N-18-2, Announcement Regarding the March 2018 Nor’easters, for more information.
- 3/20/18: Wireless Communications Surcharge Return Web File
- 4/17/18: Individuals, estates and trusts (fiduciaries), New York C corporation, insurance corporation, and most Article 9 corporate returns
Contact us
Tax Practitioner Hotline: 518-457-5451