MARINE CORPS BASE HAWAII, KANEOHE BAY, Hawaii -- From the number of tax professionals that advertise their services this time of year, it's easy to be intimidated by the thought of having to not only prepare your tax return, but also wade through the new and complicated changes that occur each year.
The Tax Center at MCB Hawaii, Kaneohe Bay -- as well as others -- can help, but it's important to understand the basics of the biggest tax change that's affecting service members: the child tax credit.
According to the officer in charge of the base Tax Center, the child tax credit was increased to $1,000 in 2003, an increase of $400 from the previous year's credit. The government sent taxpayers a check for the $400 difference per child, based on the number of children claimed on the taxpayer's 2002 tax return.
Marines and Sailors who qualified for the credit, but did not receive the advance check, can take advantage of the full $1,000 credit on this year's tax return.
"The money that's coming back to taxpayers works first as a credit against what you owe in taxes." said 1st Lt. Christopher Winchell, officer in charge, base Tax Center.
Winchell continued, saying that the government decided to send checks for the difference if a taxpayer owed less money than the tax credit.
The Tax Center can determine whether or not you qualify for the child tax credit. Winchell said the main reason service members didn't receive advance checks is that they moved or changed duty stations without notifying the post office or IRS.
The Tax Center can also help determine if Marines or Sailors should receive extra credit for errors in previous years' returns.
Winchell said the Tax Center can now also print service members' W-2 forms if they are having difficulty with the MyPay Web site.