Category: Tax

Taxpayers In Colorado Are Not Sure About Tax Refund

For four consecutive years, the Colorado Department of Revenue has flagged several state tax returns while in a number of cases they have offered to send refunds through paper checks instead of sending a direct deposit. To those who are still planning to obtain a Tax ID in Colorado, they might not be familiar the term warrant which refers to checks when processing paper refunds from the state. Though the refunds come with a letter, there are still a number of taxpayers that were confused because of the term used.

Another point that creates confusion is the recommendation made to taxpayers to visit the branch of Wells Fargo directly if they are not willing to shoulder the fees that are charged by financial institutions. Wells Fargo is in charge of keeping the refund money for the state tax and they are willing to cash out the warrants, also known as checks, without additional charges. In addition, the state said that they do not have control over institutions that decide to impose charges.

One taxpayer named Barbara Cooper said that she went ahead to deposit her warrant to an automated teller machine under the credit union but it got rejected. After which, she decided to visit a location of Wells Fargo to cash out her warrant which she then brought back to the credit union in order to continue the depositing process.

She complained that the warrant holds their money therefore they must be able to access it in the most convenient way there is. The government is using warrants instead of checks when getting money from the Treasury account but the banking system recognizes the warrant the same way as checks.

According to a spokesperson from the revenue department, Mim Mirsky, there are a lot of financial institutions all over Colorado that were able to cash out or make a deposit using the checks in the recent years. Any financial institution will be able to process the checks without problem but some might have additional charges.

This matter is something that every taxpayer should know about even those who are planning to obtain a Tax ID in Colorado in order to avoid confusion and problem with their tax return.

Florida Power Company Will Not Charge Homeowners After Hurricane Irma Costs

According to the Florida Power & Light Company they are going to use the federal tax savings of the company, which they received based on the new tax law, to cover the costs incurred after Hurricane Irma. The recovery costs after the natural disaster amounted to $1.3 billion. This lifted a heavy burden from the homeowners including those who are processing their Florida application for a tax ID.

Due to this decision of the utility company, it is expected that the average bill of a residential property from FPL will decrease to $99.37 from the usual amount of $102.72. If there are no surcharges due to the Irma storm which ranges from $4 and $5.50 every month until the year 2020, the average savings of the company’s subscribers will amount to $250. Currently, FPL has a total of 4.9 million customers.

FPL has already expressed their plan to gather a new charge due to the storm starting from the month of March and there is also the plan to get approval from the Public Service Commission of Florida to be able to charge additional until they are able to pay off the bill they have incurred because of the electric grid restoration.

According to the president of FPL, Eric Silagy, the federal tax reform came at the right time because they have just experienced one of the most expensive hurricanes that have visited in the history of Florida. It presented a good opportunity that has never happened before.

The public counsel of Florida, J.R. Kelly, expressed that the Office of Public Council together with various parties that made a deal with the utility company in 2016 have already expected the implementation of the corporate tax cuts. Trump has always been vocal about the plan of his Administration and that was a part of it. During the deal, the parties have already created a provision incorporated in the agreement regarding action they will take on the issue.

According to Kelly, taxpayers beginning their Florida Application for a tax ID should know that consumes pay based on their income taxes which is a factor.