1. EKS Training

2. Housekeeping Classroom ground rules Ask when unsure
Do not be disruptive when instructor is teaching
No side conversations: if you have a question ASK
Be respectful to your peers
Turn Cell Phones to silent
Wait for instructor prompt to begin computer work

3. Intro to EKS: Let’s watch
Intro to EKS: Let’s watch

4. Class Structure 5 Step Plan:
As a class we will review Client Notes, and
Intake & Interview Sheet & supporting documents.
Instructor will teach Tax Law – referencing Pub 4012 and C
Instructor will show you how to enter information into TaxWise. WATCH!
Now Do! Students will enter information on TaxWise

5. Standards of Conduct Training
As a volunteer in the VITA/TCE Programs, you must:
1. Follow the Quality Site Requirements (QSR).
2. Not accept payment or solicit donations for federal or state tax return preparation.
3. Not solicit business from taxpayers you assist or use the knowledge you gained (their information) about them for any direct or indirect personal benefit for you or any other specific individual.
4. Not knowingly prepare false returns.
5. Not engage in criminal, infamous, dishonest, notoriously disgraceful conduct, or any other conduct deemed to have a negative effect on the VITA/TCE Programs.
6. Treat all taxpayers in a professional, courteous, and respectful manner.
4961 │ VSOC Quiz │ Volunteer Agreement │Pub 4012 pg 18
Standards of Conduct Training

6. Intake/Interview & Quality Review Training
As a VITA volunteer you will also have to complete this training. It covers the following topics:
The purpose of consistently following a consistent Intake/Interview and Quality Review process.
The different sections of Form C Intake/Interview and Quality Review Sheet
The basic steps of a complete:
Intake Process.
Interview Process
Quality Review Process
Publication 5101
Intake/Interview & Quality Review Training

7. User Set-up for tax preparation & certification
Review:
Practice Lab or TaxWise Instructions
Link & Learn Taxes Instructions
Instructor: Have class complete Standards of Conduct certification

8. Key Reference Material
Publication 4012 & Form C
You will use these consistently when preparing tax returns
Pull out Intake & Interview sheet C
Publication 4012 (spiral bound book)
Let’s Review Together
Key Reference Material

9. Scenario #1

10. Scenario #1 What you will learn in this scenario: Who must file
Filing Status
Exemptions: personal exemption
Intro into income- taxable v. nontaxable
W2, Unemployment Income, Interest income
Standard deduction
Refundable and nonrefundable credits
EITC

11. Scenario #1 Let’s review Olivia’s Information:
Pull out Interview Notes
Pull out Intake & Interview sheet C

12. Interview Notes Review
Olivia is single
Olivia did not itemize her deductions last year
Olivia had health coverage the entire year through her father’s insurance
If Olivia is due a refund, she wants her refund to be directly deposited in her checking account. If she has a balance due, she will mail her payment.
Review C to ensure responses match
Interview Notes Review

13. Intake & Interview Let’s review 13614-C
Everything accurate? If not, what’s missing/wrong/needs to be changed?
Notice anything different?
Did they have all the required documents?
Make any corrections needed on C
Lets look at the Job Aid in Pub 4012, pages
Intake & Interview

14. Publication 4012 Is client eligible for VITA services?
Refer to Publication 4012 page 8-9
Scope of Services Chart
Publication 4012

15. Intake & Interview Sheet 13614-C
Taxpayer Requirements
Verify and confirm all information on Part I & II.
Ask all questions in their entirety, even if already filled out by client and confirm accuracy
Confirm taxpayer’s identity and SSN or ITIN with supporting documents and photo ID
Ensure that the documents are available for each item if taxpayer answer “Yes” in Parts IV & V
Review part VI regarding health coverage. Use flow charts in Section ACA 1-3 in your 4012 to determine next steps
Ask the client if there were any questions that they didn’t understand
Intake & Interview Sheet C

16. Intake & Interview Sheet 13614-C cont...…
Make sure their client has the following- Top of C:
Photo ID for all persons on the tax return
Original Social Security (SSN) or Individual Taxpayer Identification Number (ITIN) documents for everyone on the tax return.
Household income of $53,000 or less. Instruct volunteers to ask their site coordinator about income restrictions at your site – you may be able to help higher incomes
Now… Lets look at the Job Aid in Pub 4012, pages
Intake & Interview Sheet C cont...…

17. Let’s watch! How does this play out at most tax sites?
Intake and Interview Video
Let’s watch!

18. Turn to Publication 4012 Tab B
FILING STATUS:
Turn to Publication 4012 Tab B
Filing status—is based on marital status and family situation, and determines the rate at which income is taxed.
A taxpayer may be able to claim more than one filing status. Usually, the taxpayer will choose the filing status that results in the lowest tax. The list below is in order from the most beneficial to the least.
There are five filing statuses
Tax Law Topic #1

19. Review 13614-C Review 13614-C, Part II, numbers 1 &2
Based on decision tree, what is Olivia’s filing status?
Review C

20. TaxWise Instructor: Let’s start return (main information page only)
Students: WATCH instructor
TaxWise

21. Students:
Start the return by entering Olivia’s personal information on the
Main Information page
Do Not Enter Income Documents
TaxWise

22. Let’s Open Publication 4012 Tab C
EXEMPTIONS:
There are two types of exemptions: Personal and Dependency. For this scenario, we are only addressing a personal exemption.
This year’s exemption amount is $3,950. This amount is deducted from your taxable income for every person that is claimed on your return, thus decreases the amount of tax owed.
Only one exemption can be claimed per person. An exemption for a particular person cannot be claimed on more than one tax return.
Let’s Open Publication 4012 Tab C
Tax Law Topic #2

23. Let’s Open Publication 4012 Tab D
INCOME:
There are two types of income: taxable and nontaxable. All income, such as wages and tips are taxable unless the law specifically excludes it. See a list of types on income in Pub , Tab D-1.
Employers report wage, salary and tip income on Form W2, Wage and Tax Statement. Other documents you may see are: INT/DIV, 1099-G, 1099-MISC, etc.
Income is reported on lines 7-21 on the 1040
Let’s Open Publication 4012 Tab D
Tax Law Topic #3

24. Tax Law Review What type of exemption does Olivia have?
What is that exemption amount?
What types of income does Olivia have?
Tax Law Review

25. TaxWise Instructor: Let’s continue return Enter Income Documents
Students: WATCH instructor
TaxWise

26. Enter Olivia’s Income information
Students:
Enter Olivia’s Income information
TaxWise

27. DEDUCTIONS
Let’s Watch a VIDEO
Tax Law Topic #4

28. Tax Law Topic #4 DEDUCTIONS
Open Publication 4012 Tab F
Let’s review information and determine what deduction Olivia will take.
Tax Law Topic #4

29. Turn to Publication 4012, Tab ACA (other resource: Publication 5157)
Affordable Care Act:
Most people are covered by insurance through their employer, Medi-Cal, Medicare, etc.
Taxpayers who receive insurance through the marketplace may be eligible for a refundable premium tax credit.
Many low-to-moderate income taxpayers who do not have medical coverage will be eligible for an exemption
Turn to Publication 4012, Tab ACA
(other resource: Publication 5157)
Tax Law Topic #5

30. Reviewing the Federal Tax Return
Now lets review the federal tax return so far!
You’ll notice the amount on line 66:
Earned Income Tax Credit (Pub4012, Tab I)
This credit is called the "earned income" credit because to qualify, you must work and have earned income and meet certain eligibility requirements. Earned Income includes wages, salaries, and tips that are includible in gross income and net earnings from self-employment earnings.
Reviewing the Federal Tax Return

31. Completing the CA return
THINGS YOU NEED TO KNOW ABOUT THE CA STATE RETURN:
Get the red out! Most information will automatically populate from the federal return
If you have entered more than one W-2 on the 1040, you will have to manually add the additional W-2’s. The first W-2 will carry over, but the rest won’t.
Make sure to complete the direct deposit or balance due portion of the return
Complete the CA Renters Credit Wkt when applicable.
Completing the CA return

32. Finishing the return Pub 4012, Tab K
THINGS YOU NEED TO KNOW ABOUT FINISHING A RETURN
All returns will be e-filed (unless otherwise specified)
Bank account information needed for direct deposit- refer to Part VII of the Intake Sheet
Identity Protection PIN- if client checked the “yes” in box 12 of the Intake Sheet, refer to Pub. 4012, Tab P-1
Finishing the return Pub 4012, Tab K

33. Refunds & Balance Due REFUNDS
Using the filers bank account and routing number, enter it into TW on Main Info Sheet and Page 2 of the 1040.
Always double check account numbers!
BALANCE DUE
Balances must be paid by the filing deadline (April 15th) to avoid penalties and interest charges. There are separate penalties to paying and filing late. Pay as much as you can before the deadline!
Filers will send in their own payments or have it directly debited from their bank account. See Publication 4012, K-3 for instructions
If the filer chooses to send their payment via mail, show them the 1040V Payment Voucher and instruct them to send it with their payment

34. TaxWise Instructor: Enter Olivia’s bank information for direct deposit
Reference:
Main Information sheet
1040 Pg.2.
Pub. 4012, Tab C-13
TaxWise

35. TaxWise Students: Enter Olivia’s bank information Reference:
Main Information sheet
1040 Pg.2.
Pub. 4012, Tab C-13

36. Let’s review 1099-INT entry
Quality Review
Let’s check our work!
Do we have matching AGI?
Let’s review W2 entry
Let’s review 1099-INT entry
Let’s review 1099-G entry

37. What is something you always ask for during the intake and interview process? Identification Where in our resource material can you find information on the intake and interview process? Publication 4012, Page 15 How many 5 filing statuses are there? Can you name them? 5: Single, Married Jointly, Married Separately, Qualified Widower with Dependent Child, and Head of Household Where can I find this info in our resource material? Pub 4012, Tab B-1
Knowledge Check!

38. Name the two types of exemptions and identify which one Olivia is getting. Personal and dependency; Personal Where in our resource material can you find information on exemptions? Amounts are in Pub 4012, Tab C-1 Where can I find info on a filers exemptions in Taxwise? Main Info, number 6 and line 42 on the 1040 What types of taxable income does Olivia have? Wages/W2, Interest income/1099-INT, and Unemployment Compensation/1099-G
Knowledge Check cont...

39. Where in our resource material can you find information on income?
Publication 4012, Tab D
What tab in the 4012 specifies the line number for most income documents?
Pub 4012, Tab D-3
Where in our resource material can I find information on how to finish a return?
Pub 4012, Tab K
What form do you use for splitting a refund?
8888
What form does the taxpayer send in with their balance due?
1040V Payment Voucher
Knowledge Check cont...
End of Scenario 1!