Experts warn taxpayers about new scams and new tax credits related to the derecho
CEDAR RAPIDS, Iowa (KCRG) - Taxes are no exception to the complications brought on by the pandemic.
From stimulus payments, derecho damage, unemployment benefits; taxpayers have a lot of unique benefits available to them.
That includes news warnings about identity thieves filing for fraudulent unemployment benefits using stolen identities. Eastern Iowa taxpayers will also have the benefit of using specific tax credits due to the August derecho.
Those tax benefits were created in a new law that gives a tax credit to businesses that kept their employees when they couldn’t open. The new law also removes penalties on people taking out money from their retirement accounts to cover the cost of certain storm-related expenses.
Mark Steber, who is the chief tax information officer at Jackson Hewitt, said the number of unique situations created by the pandemic and a natural disaster means it’s best to have a tax professional perform a person’s taxes this year.
“A lot people like to do their own,” Steber said. “But when you got something really tricky, like starting your own business or some pandemic implications and most importantly if you got a disaster area and technical loses, you can really get some of your money back from your tax return.”
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