What you need to know as tax season begins
COLORADO SPRINGS, Colo. (KRDO) -- Tax season is here but, before you dive into the numbers, there are some things you should know.
We spoke with Kathy Bylkas with Your Taxlady about some of the new changes in tax law this year.
Q: Kathy, what are some changes that people filing there taxes should be aware of?
Bylkas: Your children, if they are over age 17 anytime in 2019 they slip from a $2,000 deduction to a $500 deduction. Small businesses have to understand that they are paying their own Social Security [and] Medicare, so that’s called self-employment tax.
Q: And you're now allowed to write off a charity donation as a deduction in the State of Colorado?
Bylkas: If you are giving to a charity of any kind and it’s more than $500, Colorado is one of the unique states, it lets you take it off as a deduction tax.
Q: What's one of the biggest issues that you see every year?
Bylkas: People not withholding enough money. You need to make sure that your paycheck even now is having enough withheld with the new W-4 changes as well.
Q: When should you File?
Bylkas: "As soon as possible."
And if you are looking for help with filing your taxes, Pikes Peak Community College has you covered. For the ninth straight year, the college will provide free tax preparation, which is a service that can usually cost about $200.
Karen Kovaly, communications coordinator at PPCC, said, “We get hundreds of families each year and we save them as whole thousands and thousands of dollars a year.”
And Kovaly calls this service a win-win. Families receive free tax help and students are able to get real hands-on experience.
“It’s great for our students because it provides them with two things. Real-life experience in doing accounting oriented work and it gives them an opportunity to do some community service work.
However, to receive this free service there is a catch. Your household cannot make more than $56,000 a year.
And if you are an active duty service member, retired or a family member, the Fort Carson Tax Center will offer free income tax preparation as well. That will begin on Feb. 4.
The PPCC tax-filing service will take place every Saturday from Feb. 1- March 21, from 8 a.m. – 4 p.m. It will take place at the Centennial Campus located on South Academy. It’s by appointment only, so call 719-502-4tax(4829).
