Tax Year 2021 Client Update

Dear Client,

The IRS made a number of significant changes for Tax Year 2021. We want to make you aware, early on, of what we can do to help you get the full refund amount you are due in a timely fashion.

The two changes are the third stimulus economic impact payment, and the advanced child tax credit payments. These amounts are extremely important in completion of your tax return. Any inaccuracy will likely cause a significant delay in the processing of your return and receiving refunds. It also may require you to call the IRS to rectify an inaccuracy.

Providing accurate figures will help expedite your refund. Your payments could have been received as a direct deposit or provided in the mail as a check or debit card. Detailed resources are available in the articles at the bottom of this page.

Third Stimulus EIP 3

- Found on IRS Form 6475
- Received in March of 2021
- $1400 per person including children based on age

Advanced Child Tax Credit

- Found on IRS Form 6419
- Payments starting July 2021 and ending in December 2021
- $300 or Less Per Child

There are few options available to you to obtain the information required;

IRS forms 6475 and 6419 received this month in the mail
Your Bank Statements
IRS.gov and ID.me available here: https://www.irs.gov/payments/your-online-account

Please provide accurate figures in the boxes on this form

Another option would be for your preparer to guide you through your bank accounts or through navigating the IRS systems available. This option will be an additional $45 to your Tax Preparation fee.

We look forward to serving you,
Sherpa Tax & Consulting
317-762-2330
info@sherpataxconsulting.com

ID.me is a trusted technology provider of the IRS that provides secure identity verification for its digital services. Setting up an ID.me account is quick and easy. It requires uploading a picture of your driver’s license or passport and taking a live selfie to confirm your identity. The resources outlined below will provide you with step-by-step guides and supplemental material for verifying your identity through ID.me.. These documents are also available through the IRS Help.ID.me Page.

Once you have an account, you will have access to view and confirm key tax information such as estimated tax payments you have made, tax return transcripts, copies of W-2’s and 1099’s, etc. We look forward to working with you more in the coming weeks. Please let us know if you have any questions.