Some tax filers will have to wait to file

The new tax law just signed will create a delay for some taxpayers to file their returns.  If you itemize your deductions  or if you have the higher education tuition and fees deduction, or if you take the educator expenses deduction, you will need to wait to file your tax return until tax processing systems are ready, which the IRS estimates will be in mid- to late February.

Still probably a good idea to get all your stuff together and ready.

If you have any questions feel free to post them on this blog and I will get you an answer.

-Kathy

New rules (Better!) for gift cards

Seems like we all end up buying some gift cards during the holiday season.  There are some new rules for gift cards that are good for consumers.  The new rules went into effect on August 22, 2010. Here are the highlights, straight from the FTC website:

• Money on a gift card cannot expire for at least five years from the date the card was purchased, or from the last date any additional money was loaded onto the card. If the expiration date listed on the card is earlier than these dates, the money can be transferred to a replacement card at no cost.

• Inactivity fees can be charged only after a card hasn’t been used for at least one year, and you can be charged only once per month. But you may be charged a fee to buy the card or to replace a lost or stolen card.

• The expiration date of a card must be clearly disclosed on the card, and fees must be clearly disclosed on the card or its packaging. There is one exception: Some cards produced before April 1, 2010, that list a short expiration time or inactivity fees in the first year, can be sold through January 31, 2011. However, no matter what your card says, you still are protected by the new rules.

When you shop for a gift card, the FTC recommends that you:

• Buy from sources you know and trust. Avoid buying gift cards from online auction sites, because the cards may be counterfeit or may have been obtained fraudulently.

• Read the fine print before you buy. Is there a fee to buy the card? If you buy a card by phone or online, are there shipping and handling fees? If you don’t like the terms and conditions, buy elsewhere.

• See whether any fees will be deducted from the card after you purchase it.

• Inspect the card before you buy it. Verify that none of the protective stickers have been removed. Make sure that the codes on the back of the card haven’t been scratched off to reveal a PIN number. Report any damaged cards to the store selling the cards.

• Give the recipient your original receipt so they can verify the card’s purchase in case it is lost or stolen.

I would add that if you receive a gift card, that you use and enjoy it right away to reduce the risk of loss or forgetting about it!

-Kathy