Swalker Services LLC

‼️ 🚨 👉🏽 If your payroll is managed through ADP your W-2 will be available online starting 12/29 (today). Today is the last day to opt in for paperless delivery. If you don’t opt in for paperless delivery, then ADP will mail your W-2 starting 1/5/2026. Go ahead and opt in now to avoid delays! ✨👩🏽‍💻

Wishing you a Christmas filled with moments of joy, strength, and limitless potential from everyone at Swalker Service.

To ensure smooth and efficient tax preparation, here’s a step-by-step guide on how a return moves through the system from start to finish.

1️⃣ Preparing & Submitting the Return
• Collect all necessary client documents (W-2, 1099, deductions, credits, ID, etc.).
• Enter data accurately into our tax software.
• Review for errors, missing information, and compliance.
• Have the client sign the 8879 form (E-file authorization).
• Submit the return electronically to the IRS/state.

2️⃣ Return Status: Pending → Accepted/Rejected
• Once submitted, the return goes into a Pending status.
• The IRS reviews the return and either accepts or rejects it:
• ✅ Accepted – The IRS has received the return and will begin processing.
• ❌ Rejected – There is an issue (e.g., incorrect SSN, AGI mismatch). Corrections must be made and resubmitted.

3️⃣ Processing the Return
• The IRS verifies income, deductions, and credits.
• If any discrepancies arise, the IRS may request additional verification or issue a review/audit.
• Most refunds are processed within 7-21 days unless flagged for review.

4️⃣ Refund Approved & Disbursed
• Once the IRS completes its review, the refund status updates to Approved.
• Funds are scheduled for direct deposit or mailed check.
• Clients can track their refund at Where’s My Refund? (IRS website).

5️⃣ Possible Delays & Issues
• PATH Act Hold (EITC/ACTC) – Returns with Earned Income Credit (EITC) or Additional Child Tax Credit (ACTC) are held until mid-February.
• ID Verification – Some clients may receive a 5071C letter requiring identity verification.
• Offset/Debt Collection – If a client owes debts (e.g., student loans, child support), the IRS may apply the refund toward those balances.

6️⃣ Finalizing & Providing Support
• Once funds are received, ensure the client has no further questions.
• Offer financial guidance on how to use refunds wisely (savings, investments, business funding).
• Provide post-filing support if they receive letters or need amendments.

🚨 Attention, Tax preparers! 🚨 Certain STATES are offering extra tax credits this year, and you won’t want to miss out! 💰💸 Here’s the scoop on what you need to know to get those savings rolling in:

💡 Claim Your Benefits Early!

These credits can mean THOUSANDS back in your pocket. Here are the highlights by state:

Hawaii
💰 EITC Expansion: Max credit of $220 per exemption for low-income families.

California
💰 Young Child Tax Credit: Up to $1,117 per child under 6 for qualifying families.

Minnesota
💰 Child Tax Credit: Up to $1,750 per child (+ there’s a working family credit!).

Washington
💰 Working Families Tax Credit: Refundable credit of $50 to $1,255 based on family size.

Oregon
💰 Child Tax Credit: $1,000 per child under 6!

New York
💰 Empire State Child Credit: Either $100 per child or 33% of federal CTC (for kids under 17).

Missouri
💰 Working Family Tax Credit: 20% of federal EITC for many!

Michigan
💰 New EITC match of 30%, boosting average refunds by $550.

Massachusetts
💰 Child Tax Credit: Refundable credit of $180 per dependent - no cap!

Maryland
💰 Child Tax Credit: Refundable credit of $500 per child under 6.

Connecticut
💰 EITC: State match increased to 40% of federal EITC!

Colorado
💰 Child Tax Credit: Up to $1,200 per child under 6 based on income!

New Mexico
💰 Child Income Tax Credit: $25 to $600 per child, depending on income.

Illinois
💰 Child Tax Credit: 20% of the state’s EITC, increasing to 40% in 2025!

New Jersey
💰 Child Tax Credit: Refundable credit ranging from $200 to $1,000 per child under 6.

⚠️ Important: If you're preparing taxes in Oregon, Maryland, Massachusetts, New York, Iowa, or California—make sure you have the required certifications for professional practice in those states. 📝✨

Stay informed, stay certified, and let’s maximize those refunds! 💪💼

IF YOUR KID IS IN COLLEGE THEY ARE A DEPENDENT AND YOU SHOULD BE FILING THEIR 1098T ON YOUR TAXES

IF YOUR KID IS IN COLLEGE THEY ARE A DEPENDENT AND YOU SHOULD BE FILING THEIR 1098T ON YOUR TAXES

IF YOUR KID IS IN COLLEGE THEY ARE A DEPENDENT AND YOU SHOULD BE FILING THEIR 1098T ON YOUR TAXES

IF YOUR KID IS IN COLLEGE THEY ARE A DEPENDENT AND YOU SHOULD BE FILING THEIR 1098T ON YOUR TAXES

IF YOUR KID IS IN COLLEGE THEY ARE A DEPENDENT AND YOU SHOULD BE FILING THEIR 1098T ON YOUR TAXES

❗️❗️This is information H & R Block won't tell you

As a W2 employee, you can deduct:

# Itemized Deductions
1. Home mortgage interest: If you own a home, you can deduct interest paid on your mortgage.
2. State and local taxes: You can deduct state income taxes, sales taxes, or property taxes.
3. Charitable donations: Donations to qualified charities can be deducted.
4. Medical expenses: Medical expenses exceeding 7.5% of your adjusted gross income (AGI) can be deducted.

# Business-Related Expenses (Subject to 2% AGI Limit)
1. Unreimbursed business expenses: Expenses related to your job, such as travel, meals, or professional fees.
2. Professional development: Courses, training, or certifications related to your job.
3. Home office expenses: If you work from home and use a dedicated space for work.

# Other Deductions
1. Student loan interest: Interest paid on student loans can be deducted.
2. Moving expenses: If you moved for a job, you can deduct moving expenses.
3. Child care credits: If you pay for child care, you may be eligible for a tax credit.

Plan and keep accurate records to ensure they’re taking advantage of all eligible deductions moving forward! I hope this helps ♥️