Tax Services

Yes. The IRS requires all individuals who earn income in the United States to file a tax return, regardless of immigration status. You can file using an Individual Taxpayer Identification Number (ITIN) instead of a Social Security Number. Filing taxes can also help your immigration case by demonstrating good moral character and ties to the U.S. The IRS has strict confidentiality rules and does not share tax information with USCIS or ICE.

An Individual Taxpayer Identification Number (ITIN) is a 9-digit tax processing number issued by the IRS for individuals who are not eligible for a Social Security Number but need to file taxes. This includes undocumented immigrants, non-resident aliens with U.S. income, foreign nationals with U.S. tax obligations, and spouses and dependents of U.S. citizens or residents. ITINs do not authorize work in the U.S. and are not valid for Social Security benefits.

No. To claim the Earned Income Tax Credit (EITC), you must have a valid Social Security Number (SSN) - not an ITIN. However, once you obtain an SSN (e.g., after receiving work authorization), you may be able to file an amended return to claim the EITC for prior years. The EITC is worth up to $7,830 for families with 3+ children in 2026.

Filing taxes generally helps your immigration case. USCIS may request tax returns as evidence of financial stability and good moral character. The IRS has strict confidentiality rules and does not share tax information with USCIS or ICE. Tax returns are often required for green card applications (Form I-864 Affidavit of Support). Failing to file taxes can negatively impact naturalization applications.

It depends on your tax residency status. U.S. tax residents (including green card holders and those who meet the Substantial Presence Test) must report their worldwide income - including income earned abroad. Nonresident aliens only report U.S.-source income. You may be able to exclude foreign earned income (up to $126,500 in 2024) using Form 2555, or claim a foreign tax credit for taxes paid to another country.

Do not panic - the IRS has programs to help taxpayers get back into compliance. The IRS can assess penalties and interest on unfiled returns. You have 3 years to claim a refund on an unfiled return. The IRS may file a substitute return on your behalf (usually unfavorable). First-time penalty abatement may be available. We specialize in helping clients catch up on multiple years of unfiled returns - contact us for a confidential consultation.

For a complete and accurate tax return, bring: Income documents (W-2s, 1099s, K-1s), ID (Social Security cards or ITIN letters for all family members), last year's tax return (if available), deduction receipts (mortgage interest Form 1098, charitable donations, medical expenses), business records (income/expense records, mileage logs), health insurance (Form 1095-A, 1095-B, or 1095-C), education (Form 1098-T, student loan interest 1098-E), and childcare (provider's name, address, and EIN/SSN).

Filing Extension (Form 4868): Gives you 6 more months to FILE your return (until October 15). This is automatic when you file Form 4868 by April 15. Payment Extension: There is NO automatic extension to PAY your taxes. Taxes owed are still due by April 15, even if you file an extension. If you cannot pay by April 15, you should still file your return (or extension) to avoid the failure-to-file penalty (5% per month), and then set up a payment plan with the IRS.

You can choose either the standard deduction or itemized deductions - whichever gives you a larger deduction. Standard Deduction (2026): Single: $15,000 | MFJ: $30,000 | HOH: $22,500. Itemized Deductions include: mortgage interest, state/local taxes (up to $10,000), charitable contributions, medical expenses over 7.5% of AGI, and more. Most taxpayers benefit from the standard deduction. Itemizing makes sense if your deductible expenses exceed the standard deduction amount.

Families with children may qualify for: Child Tax Credit - up to $2,000 per qualifying child under 17 (partially refundable). Earned Income Tax Credit (EITC) - up to $7,830 for families with 3+ children (requires SSN). Child and Dependent Care Credit - up to 35% of childcare expenses (up to $3,000 for 1 child, $6,000 for 2+). American Opportunity Credit - up to $2,500 per year for first 4 years of college. Lifetime Learning Credit - up to $2,000 per year for education expenses.

Generally, no. Money sent to family members abroad (remittances) is not tax-deductible. However, if you financially support a family member abroad who qualifies as your dependent, you may be able to claim them as a dependent. Charitable donations to IRS-approved foreign charities may be deductible. Business payments to foreign contractors may be deductible as business expenses. Claiming foreign family members as dependents has specific requirements - contact us to determine if you qualify.

Yes. All income - including cash, tips, gig work (Uber, DoorDash, Airbnb, etc.), and side jobs - must be reported to the IRS. You must report all self-employment income over $400. You will owe self-employment tax (15.3%) on net self-employment income. You can deduct business expenses (mileage, supplies, phone, etc.) to reduce taxable income. You may need to make quarterly estimated tax payments. Platforms like Uber and DoorDash will send you a 1099-K if you earn over $600.

Common deductible business expenses include: Home office (dedicated workspace - simplified method: $5/sq ft, up to 300 sq ft), Vehicle (business mileage at 67 cents/mile in 2024, or actual expenses), Phone and internet (business-use percentage), Equipment and supplies (computers, tools, office supplies), Professional services (accounting, legal, consulting fees), Education (courses and training related to your business), Health insurance (self-employed health insurance premiums), and Retirement contributions (SEP-IRA, SIMPLE IRA, Solo 401(k)).

Do not panic - most IRS notices are routine. Read it carefully - the notice will explain what the IRS wants and what action is required. Check the deadline - most notices require a response within 30-60 days. Do not ignore it - ignoring IRS notices can lead to additional penalties and collection actions. Verify the notice is real - the IRS always contacts you by mail first, never by phone or email demanding immediate payment. Common notices include CP2000 (income discrepancy), CP501/CP503/CP504 (balance due), and LT11 (final notice before levy). Contact us immediately if you receive any IRS notice.

An IRS audit is a review of your tax return to verify accuracy. Types: Correspondence audit (most common - conducted by mail), Office audit (you meet with an IRS agent at a local IRS office), Field audit (IRS agent visits your home or business). If you are audited: respond promptly, gather all supporting documentation, do NOT go to an audit alone - you have the right to representation. Our enrolled agents can represent you before the IRS.

Yes. The IRS offers several options: Short-term payment plan - pay in full within 180 days (no setup fee). Long-term installment agreement - monthly payments over time (setup fee applies). Offer in Compromise (OIC) - settle for less than you owe if you qualify. Currently Not Collectible (CNC) - temporarily delay collection if you have financial hardship. Penalty Abatement - request removal of penalties if you have reasonable cause. Interest and penalties continue to accrue on unpaid balances, so it is important to address IRS debt as quickly as possible.

Protect yourself from tax scams: Check credentials - look for IRS Enrolled Agents (EA), CPAs, or licensed attorneys. Verify PTIN - all paid tax preparers must have an IRS Preparer Tax Identification Number. Use the IRS Directory - search the IRS Directory of Federal Tax Return Preparers. Avoid ghost preparers - never use a preparer who will not sign your return. Watch for red flags - promises of large refunds, charging fees based on refund size, asking you to sign a blank return. Teranga's tax professionals are IRS Enrolled Agents - the highest credential awarded by the IRS.