It’s coming. Most dread it. A few look forward to it. For just about anyone with a job, it’s a reality that must be dealt with each year.
Tax Day.
Because of the coronavirus (COVID-19) situation, the deadline to file and to pay any tax on your 2019 tax returns has been pushed back 90 days from the traditional deadline of April 15 to July 15.
“Tax season” started on January 27, which is the date the Internal Revenue Service (IRS) began accepting and processing returns.
Schoolcraft College student Roane Gaddy knows very well what it’s like to be in the middle of tax season. He’s a Tax Professional with H&R Block, working primarily out of an office in Milford, and will graduate this spring with an Associate in Applied Science in Accounting.
Gaddy, who also is certified as a Tax Analyst, said helping people is a rewarding part of his job.
“I genuinely enjoy the work, and I love the challenges that it presents,” he said. “Income tax is a subject that naturally induces stress and unease in people, and it makes me feel good when I can alleviate that stress by providing my professional services.”
In addition to working last tax season, Gaddy also spent the summer doing tax returns and learning how to do tax notification services and audit services. That’s in addition to staying current on IRS and state tax codes and understanding how to apply those laws in a way that gives his clients the optimal results on their tax returns.
The time drain during this part of the year is, well, taxing.
“During tax season, I typically work an average of 55 hours a week,” said Gaddy, noting he also serves clients from Wixom and Novi, conducting tax interviews and completing accurate tax returns based on the information provided.
“The most challenging part of this job is keeping up with changes in the federal and state tax codes, and the research that often has to be done in order to ensure that the client's return is in full compliance,” he said.
For Schoolcraft students who still need to file their returns, Gaddy said make sure to take advantage of all tax credits available to them.
“The American Opportunity Credit and Lifetime Learning Credit are great ways to recoup some of the costs of out-of-pocket tuition and other school-related expenses,” he said. “Be sure to bring a copy of your 1098T form, as well as receipts for other expenses, with you to your tax appointment so the preparer can determine if you are eligible to receive these.
“Also, for those students who are graduating, or already paying on their student loans, remember that student loan interest can be deductible. The great thing about this type of deduction, is that is what is referred to as a ‘deduction for AGI (adjusted gross income)’ or ‘above the line,’ which means you can still take it even if you take the standard deduction, and because it reduces your adjusted gross income, there are tax savings for Michigan as well.”
Taxes are inevitable – learn more about how you can control, plan and manage your own personal tax situation by taking tax classes at Schoolcraft. Classes are offered in personal Income Tax Preparation (Acct 138) , Michigan State Taxes (Acct 139) and Federal Tax Accounting (Acct 238). Schoolcraft accounting courses prepare students for a wide variety of careers in accounting that are in high demand in Southeast Michigan. Read more about our Schoolcraft Accounting Programs.