AARP Tax-Aide Tool List (2024)

Welcome to the Colorado Resource Toolbox

The following tools are designed to be helpful to AARP Tax-Aide Counselors and Trainers.They are not intended to replace official IRS documentation and while accuracy is attempted,no software can be guaranteed to be bug-free. If you see a problem, please let us knowso that it can be corrected.

Most of the calculators have a year option that allows the selection of the current and three years prior. They will default to the new tax year on December first. Version changes can be seen by viewing the web page source if desired.

Colorado tools support team


A NOTE FOR TRAINERS

There have been a few rare cases where too many accesses to the tools from the same IP addresshas caused that IP to be locked out as a way to detect and prevent possible hacking on the server.This has only been an issue in January when we're all in the training mode.Because we're on a shared managed server, I have no control over this.

If you have a large class (more than about 40 people) orif there are other classes elsewhere training at the same time with the same IP address(such as a large community library network), please demonstrate the tools rather than have the entire class practice at the same time and leave it as a homework exercise.

Web Accessible Tools

AARP Tax-Aide Tool List (1)Annuity/Pension Exclusion Calculator

(AKA Pension Exclusion Calculator)
Given the taxpayer's retirement date (first retirement paycheck) and taxpayerand spouse birthdates, calculates an exclusion table by year and a sample form forTaxSlayer® input. Also handles the Public Safety Officer insurance exclusion.

AARP Tax-Aide Tool List (2)Business Activity Codes

Rather than search through the entire list of business codes,click on headers to expand that portion of the list until a suitable code is found.

AARP Tax-Aide Tool List (3)CO Sales Tax Tables

A Colorado-specific table that lists the city and county local sales taxrates for use in Schedule A for those counties you select.

AARP Tax-Aide Tool List (4)Dependent Qualification Calculator

Is a dependent a child or relative? What benefits might the taxpayer claim as a result?This tool is a combination of all the Pub 4012 charts - without the charts.Choose the various taxpayer and dependent options and see a list of benefits.If they don't qualify for a benefit, click on it to see why not.

AARP Tax-Aide Tool List (5)Education Benefits Calculator

There are four different ways to claim education credits,each with their own limits and types of expenses allowed.There are also different funding sources that can be used tax-free for differenttypes of expenses.This calculator provides a way to determine which is best among the most common two (American Opportunity Credit, Lifetime Learning Credit)and can determine the amount of unrestricted scholarships that can be made taxableto maximize the taxpayer's refund.Note: It's best to do parent and dependent student tax returns at the same time.

AARP Tax-Aide Tool List (6)EIN Search Tool

This tool is for the ERO who has experienced an IRS tax return submission reject due toa mismatched EIN and payer name. The entries in this list has been accumulated fromseveral unverified lists and is by no means complete but may help you find the rightEIN if digits are reversed or entered incorrectly. You can enter either the name or EINfrom the incorrect tax return and indicate the number of mismatched digits for whichyou wish to search. DO NOT USE THIS LIST AS A PRIMARY SOURCE FOR EINS; due to mergers,many companies retain multiple EINs. Links to other suggested sources are also provided.

AARP Tax-Aide Tool List (7)Estimated Tax Worksheet with MFJ/MFS Comparison

This is the Form 1040-ES form with considerable expansion,used to estimate taxes for the next year.
This can also be used to do an MFJ/MFS comparison if there are nocomplications in the taxpayers' situation (such as living apart, etc)

AARP Tax-Aide Tool List (8)Home Cost and Support Worksheet

This is a combination of the Head of Household Worksheet 2-1(Cost of Keeping Up a Home) and the Pub 17 Worsheet 3-1(Worksheet for Determining Support) — due to the similarity withhousehold expenses used in both worksheets.Once in the tool, select which you want to use.

AARP Tax-Aide Tool List (9)Home Sale Worksheet

An implementation of a home sale worksheet that asks the questions needed todetermine if the taxpayer qualifies for an exclusion and assists incalculating the basis of the home being sold. Provides input information forthe TaxSlayer® home sale worksheet and/or direct entry as a capital gain or losson Form 8949. Does not support partial exclusions (although indicates if thetaxpayer may qualify) and does not support homes that have been used for businessor have sustained casualty losses.

AARP Tax-Aide Tool List (10)IRA Worksheet (Form 8606)

A worksheet for Form 8606 Parts I and II for Nondeductible IRA contributions.It can handle up to 5 IRAs for each taxpayer and indicates the amounttaxable for each IRA if deductions or conversions are taken from more than oneIRA. (Form 8606 computes the total for all transactions.)Also provides the totals for input to create the TaxSlayer® Form 8606.

MFJ/MFS Comparison

See theEstimated Tax Worksheet with MFJ/MFS Comparison

AARP Tax-Aide Tool List (11)Mortgage Interest Worksheet

If a home mortgage includes a portion of the funds that were usedto pay expenses for other than for the home or improvements to that home,or if the average monthly sum of all mortgages exceeds a limit,not all the interest is deductible. This may occur for a second or a refinanced mortgage,especially during first few years of the mortgage.Such other expenses might be to pay credit card debt, medical expenses,vacation trips or a new car, as examples.This worksheet helps determine how much of the interest paid on the mortgageis deductible.

AARP Tax-Aide Tool List (12)Part Year Worksheet

TaxSlayer® provides no assistance in determining the portion ofincome (other than W-2s), adjustments and deductions available fora part-year resident.This worksheet is tailored to Colorado state tax returnsand provides TaxSlayer totals for input to the"Income Subject to Tax" section.

AARP Tax-Aide Tool List (13)Railroad Retirement Worksheet

Railroad retirement Tier 1 amounts are not handled correctlyby TaxSlayer® on Colorado state tax returns.Tier 1 amount is included in the retirement exclusionwhich is limited to 20K/24K and should not bebecause RRB benefits are not taxable and have their own exclusion line.This worksheet determines the amounts that should be removedfrom the pension exclusion and calculates the amount that should be addedas the RRB benefits line on the State Return section of TaxSlayer.Although designed specifically for Colorado it may work for other statesif the problem is the same.

AARP Tax-Aide Tool List (14)Sales Tax Deduction Worksheet

A worksheet for totalling income items, sales tax on large item purchases,and other nontaxable income to be used with the IRS Sales Tax Calculator.See Pub 4012 (NTTC version), section F.Includes many items we often don't remember to ask about.

AARP Tax-Aide Tool List (15)Tax Credit Plotter

Can't find the latest version of the Earned Income Tax Credit plots?This tool presents a graphical presentation of the amount of credit available for varioustax credits vs AGI.For simplicity, it assumes all income is earned income and provides options for comparingtax years, filing status and number of children (or students for education credits) orseeing how various credits kick in for a particular year and filing status.The effect of combinations of credits is not considered but will, of course,change the results in a real tax return so you can't just add them together.

AARP Tax-Aide Tool List (16)Taxable Refund and Recovery Calculator

TaxSlayer® determines the taxable amount of the state tax refund based on sales tax andcomparison with the standard deduction.If the taxpayer made estimated payments to the state or had negative taxableincome (may show as 0), there may be a better solution.This calculator includes those other comparisonsso you don't have to do the math.Taxability of other refunds, such as medical repayments, are also includedand can be quite complex when a state tax refund is also present.

Downloadable Tools for the PC (sorry, not Chromebook)

AARP Tax-Aide Tool List (17)Forms Generator (v 23.9.4)

This great tool, contributed by [a tax volunteer in Washington state],creates custom forms for training.Create them and then save them on your PC for later use and modification.Last updated in 2023, it produces forms for the current, prior and next calendar year.The zip file contains two installation files - one for Tax-Aide and one for VITA/TCE.
Installation: Copy the executable in the zip file to your desktop.When you run the executable, a new directory is created with the support filesand a desktop icon is (optionally) added.
Note: Some users have reported that a virus is detected on download.The author assured me that the app is clean and the virus alert is erroneous.

AARP Tax-Aide Tool List (2024)

FAQs

Does AARP help you with taxes? ›

This modal can be closed by pressing the Escape key or activating the close button. AARP Foundation Tax-Aide provides tax assistance to anyone, free of charge, with a focus on taxpayers who are over 50 and have low to moderate income. You don't need to be an AARP member to use the service.

Is AARP renewal tax deductible? ›

Membership dues are not tax-deductible. However, donations to AARP's charitable affiliate, AARP Foundation, are tax-deductible.

How long do you have to keep tax records for AARP? ›

Hold on to your old tax returns and supporting documents for three years, counting from the return's due date or the date you filed (whichever comes later).

What do I need to bring to the tax aide in Colorado? ›

State ID, driver's license or passport. Income tax documents. Prior year tax return highly recommended for tax year 2022. Bank routing and account number (if directly depositing your refund)

At what age is Social Security no longer taxed? ›

Yes, Social Security is taxed federally after the age of 70. If you get a Social Security check, it will always be part of your taxable income, regardless of your age. There is some variation at the state level, though, so make sure to check the laws for the state where you live.

What is the best free tax program for seniors? ›

Many seniors and retirees can file their taxes for free with IRS Free File at IRS.gov/freefile. The program offers online tax preparation software for taxpayers with adjusted gross income (AGI) of $79,000 or less in 2023. With IRS Free File, leading tax software providers make their online products available for free.

What is the IRS 6 year rule? ›

6 years - If you don't report income that you should have reported, and it's more than 25% of the gross income shown on the return, or it's attributable to foreign financial assets and is more than $5,000, the time to assess tax is 6 years from the date you filed the return.

When can seniors stop filing taxes? ›

At What Age Can You Stop Filing Taxes? Taxes aren't determined by age, so you will never age out of paying taxes. Basically, if you're 65 or older, you have to file a return for tax year 2023 (which is due in 2024) if your gross income is $15,700 or higher.

How far back can the IRS audit you? ›

Generally, the IRS can include returns filed within the last three years in an audit. If we identify a substantial error, we may add additional years. We usually don't go back more than the last six years. The IRS tries to audit tax returns as soon as possible after they are filed.

How much money do I have to make to file taxes? ›

If you were under 65 at the end of 2023
If your filing status is:File a tax return if your gross income is:
Single$13,850 or more
Head of household$20,800 or more
Married filing jointly$27,700 or more (both spouses under 65) $29,200 or more (one spouse under 65)
Married filing separately$5 or more
1 more row

Who qualifies for a tabor refund? ›

Taxpayer's Bill of Rights (TABOR)

If you were 18 or older for all of 2023, You lived in Colorado for all of 2023. You owe tax on your 2023 Colorado state income tax return, or you are claiming a refund of wage withholding.

Why can't I file my Colorado taxes? ›

The state of Colorado did not begin accepting returns until February 12, 2024. Returns filed prior to that date were held securely until the state opened their e-filing systems for receipt.

Are there any real benefits to AARP? ›

AARP offers big discounts tailored to its members

Through AARP, members can access reduced rates on gym memberships, fitness trackers and even telemedicine services — all of which may be crucial for staying healthy during your senior years. And, travel discounts have been, and remain, a cornerstone of AARP benefits.

How does AARP help you save money? ›

With AARP, you get access to hundreds of carefully chosen discounts, tools and resources that help you learn, plan and save daily – you may even find that using a single benefit covers the entire cost of your membership. Consider this: during 2022, AARP members saved $460 million through everyday and travel discounts.

Do seniors pay less federal taxes? ›

For the 2022 tax year, seniors filing single or married filing separately get a standard deduction of $14,700. For those who are married and filing jointly, the standard deduction for 65 and older is $25,900.

Does the IRS do taxes for seniors? ›

More In File

The IRS's Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) programs offer free basic tax return preparation to qualified individuals.

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